COBOL has three fundamental data types specified by picture clauses: Alphabetic (A) for letters only, Alphanumeric (X) for letters, numbers, and special characters, and Numeric (9) for digits only. Option C incorrectly includes 'String (S)' which is not a COBOL picture clause - the 'S' in picture clauses indicates a signed number, not a separate data type. The basic three types are A, X, and 9.