Technical Analysis

 

 

 

1.)Introduction                     2.) The Basics                      3.) Moving Average Indicators

 

4.) Volatility Indicators        5.) Volume Indicators         6.)Ranging Indicators

 

 

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Introduction

Technical analysis is used to forecast future price movements based on patterns and trends identified in historical price movements. There are many different types of traders active in the market place and all of them have different opinions and different agendas. It is important at this stage to make it clear that technical analysis is just one of many methods for predicting market movements and it is certainly not always a 100% accurate process. The level of reliance a trader will have on technical analysis ranges from none whatsoever to traders that will only trade based on technical analysis modelling.

There are far too many technical analysis techniques to mention all of them, so what follows is an introduction to the techniques that we, as experienced traders in our markets, have found to be the most useful and more importantly, the most profitable.

Technical indicators use price, volume, volatility and other factors to create measures of how the market crowd is behaving. Trend lines, support and resistance levels, reversals and numerous other patterns can also be used to track and identify trends.

The below chart combines some of the different indicators that will be covered within this section: