Technical Analysis An Art Or Science?

Forex Charting Lesson: Chapter 1 - Introduction

We made our Technical Analysis lessons as simple as possible for easy understanding. There will be as much graphs and step by step guide as possible. We believe that the basic is the most important step to understanding TA - with these basics, you can move on to read some of the more advanced books in the market. But what we can say is that - you do not need to. With the basics + your own experience = You can develop your own set of proven tools. Lets start with Chapter One.

Technical Analysis an Art or Science?
It started more as an art and has became more scientific due to rapid development in computer technologies.
It will remain an art with greater scientific underpinning.

Technical Analysis (TA) Vs Fundamental Analysis (FA)
FA = Gives the causes of price movement
TA = Studies the effects of price movement

TA and FA are mutually supportive in the long-term but when it comes to short-term theres usually conflicts.
FA tends to be economic in nature and will not be able to forecast non-economic events such as political and other crises which often move financial markets.

Guidelines in using Technical Analysis
- TA is based on evidence, not logical.
- TA is based on probabilities and same as HYIP investment - theres no gurantee.
- Do not have the ONE tool mentality. TA is able using a combination of the tools available.
- When a tool/technique is proven to be successful, try to use it more often and improve it.

Discover how to turn your investments into high monthly streams of income with less risk than most mutual funds with my free online ebook: MILLIONAIRE INCOME. Click this link to get it free:

If you would like to discover how to double or triple your returns on your mutual fund investment and convert them into growing streams of monthly income, stop by the website listed below and get your free online ebook, "GROWTH & INCOME: How To BUild A Mutual Fund Money Machine":


Translate Page Into German Translate Page Into French Translate Page Into Italian Translate Page Into Portuguese Translate Page Into Spanish Translate Page Into Japanese Translate Page Into Korean

More Articles



Search This Site


Related Products And FREE Videos


More Articles

The Stock Market - A Brief Primer

... new investor needs to do some heavy reading and studying before investing in the stock market. This is not something that should be decided impulsively, but rather needs fully researched over time. In addition to following the current trends in the stock market, the potential investor needs to also research past trends, and be sure to research far enough in the previous years to ascertain that the company ... 

Read Full Article  

Online Investment Secrets And Tips

... to online investment tips, everyone could benefit from tips. Most people are new to online investing, and are not very familiar with the way things work. The online world of investing can be cruel, but also very rewarding. When it comes to investing online, the tips you will find below are designed to help you make the most out of your experience. The first thing to do with online investing is to start ... 

Read Full Article  

Stock Option Trading To Increase Returns

... yield high returns in stock option trading. The analysis was done with custom developed software and then the strategy was applied to all stocks for the last five years. Stock trading resulted in an average return per trade of 3.2%, but with stock option trading the average return per trade was over 55% for 2005. Investors have already begun to exploit the patterns found in this research and are reporting ... 

Read Full Article  

A Disciplined And Organized Approach To Trading In The Stock Market

... is a game of probabilities.

  • Use your head and stay calm – don’t get excited or depressed.
  • Handle trading as a serious intellectual pursuit.
  • Don’t count how much money you have made or lost while you are in a trade - focus on trading well.
  • Trading Framework was designed to help you build those crucial elements into your ... 

    Are Stock Market Prices An Accurate Reflection

    ... be delivered to his buyer, and Mr. Felons shares could be obtained by accepting delivery from her seller. However, it would be much easier to transfer Mr. Stevens shares to Mr. Felon and instruct Felons seller to deliver the 1000 shares directly to Mr. Stevens buyer. This would be especially helpful if the brokerage firms clients Mr. Felon and Read Full Article