foxex: What is 'Technical Analysis'?

Wednesday, July 3, 2019

What is 'Technical Analysis'?

Technical analysis is a trading discipline employed to evaluate investments and identify trading opportunities by analyzing statistical trends gathered from trading activity, such as price movement and volume. Unlike fundamental analysts, who attempt to evaluate a security's intrinsic value, technical analysts focus on patterns of price movements, trading signals and various other analytical charting tools to evaluate a security's strength or weakness.

Related to "Technical Analysis"

An Introduction to Trading Types: Technical Traders

The technical trading approach looks to the past to predict the future.

Fundamental vs. Technical Analysis: What's the Difference?

Fundamental analysis and technical analysis, the major schools of thought when it comes to approaching the markets, are at opposite ends of the spectrum. Here are the differences between the two.

Technical Analysis That Indicates Market Psychology

A good understanding of crowd behavior is crucial to your understanding of particular technical indicators like MACD, Stochastics, etc.

Related Definitions

Momentum

Momentum is the rate of acceleration of a security's price or volume. Momentum generally refers to the speed of movement and is usually defined as a rate.

Rate of Change (ROC)

The rate of change - ROC - is the speed at which a variable changes over a specific period of time.

Relative Strength Index (RSI)

The Relative Strength Index (RSI) is a momentum indicator that measures the magnitude of recent price changes to analyze overbought or oversold conditions.

Learn the Basics of Technical Analysis

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