Forex Technical Analysis

Posted by: | Posted on 12:36:00 AM | Post Categories

 In technical analysis, traders trade based on price movement.

The key is that a trader can see the past price movement, understand the current price movement and gain an idea of ​​what the future price will look like.

Your chart will have all the previous price movement charts. So you can see what happened before if you want. You must have heard, "History is reflected again and again"?

Such is the technical analysis. What happened in the past, we can hope that will happen in the future. If a price level has previously acted as support or resistance, traders will have an eye on that and they will trade based on that.

Through technical analysis we try to match the same pattern that happened before. And since it happened before, we hope that the same thing may happen again.
 

When someone says the word technical analysis, the first thing that comes to mind is the chart. Charts are used in technical analysis because historical data is most easily presented through charts.

You can look at the previous data in the chart to understand the trends and patterns which can give you some good trading opportunities. Price pattern, indicator signal can help you get a good idea about the market.

The technical analysis depends on how you do the analysis.

Johnny and Ronnie might analyze by looking at the same charts and indicators, but they may not get the same trade idea, they may get different trade ideas.

The fact is that you need to know the basic concept of technical analysis. We need to know about Fibonacci, Bollinger Bands, Pivot Point, Moving Average etc.

 

 



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