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The concept of market efficiency initially was developed for stock market, but it applies equally to the foreign exchange market and indeed to markets

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The concept of market efficiency initially was developed for stock market, but it applies equally to the foreign exchange market and indeed to markets in general, financial or otherwise. In efficient market prices reflect all available information. Depending on the available information the efficient foreign exchange market can be weak efficiency, semi strong efficiency or strong efficiency. Required; a) Discuss the three form of efficient in foreign exchange market b) Comment on the implication of each form of market efficiency in foreign exchange market

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