Two basic assumptions of technical analysis are that security prices adjust:
a. Gradually to new information, and study of the economic environment provides an indication of future market movements.
b. Rapidly to new information, and study of the economic environment provides an indication of future market movements.
c. Rapidly to new information, and market prices are determined by the interaction between supply and demand.
d. Gradually to new information, and prices are determined by the interaction between supply and demand.