Technical Analysis

Technical analysis is a quantitative market research , the market indices , rates , charts, and supply and demand of the market and last time , based on indicators such as the process of determining trends . Technical analysis is used will depend on the accuracy of the statistics , like fundamental analysis is used , but can not achieve alone .

Technical analysis, the following are the main theories :

Market events in quantitative .

History repeated and believed that certain types of graphics further changes zögnödög . These patterns, generated by price movements , and is called the signal or signals . So technical Analistiin Objective of the past events, and studied the signal and to identify trends .

Graph of variations are offered to the direction of flow , and the rise and fall , and is regularly one of the streams that dominated that part of the case as a traffic signal .

When entered correctly when needed from

People enter and exit the trade optimal Graph selection when looking for a classic . To do that , first of all, the overall exchange rate changes and trends in the sector should be explored . Technical analysis of the discipline required to reduce the emotion .

Time frame - Time frame

Graph one of the most important concepts in the time frame or period . Any time graphics on a step for a few minutes , hours , days , and months show depends . For example , TM1 as graphical time step of 1 minute , but the TM1 , a step at a time , is to represent the whole 1 hour .

Graphics

Bar chart, Candlestick, Line chart is a general 3 types of patterns . Line chart is a simple and most displays fluctuations traveled route .

More specific than the other 2 . Open High Low Close consists of 4 main eliyementees . Open - a moment the opening price , High - at a time or within Time Frame reached the highest point , Low - a point in time down most of and Close - closed for the period of rate respectively .

Graphics can go to this link for more details on the types of study

Go the candlestick as of this link for further details !

Types of technical indicators

Technical analysis in the various indicators used and how grafiktaigaa can be a platform for connecting instructions . First , to introduce them .

Trend indicators identify areas

A direction indicator indicators of the rate data in any direction that defines a press . ( For example : moving averages, trend lines)

Strength- trend indicators to determine the energy

This kind of direction indicators of the chart how fast could kharuudag . Data on the size of the unit in the market , get details like son .

Volatility - Range

This price How refers to fluctuate above or below . ( For example : Bollinger Bands)

Cycle - Wards

This type of indicators that determine the frequency of a particular time period . ( For example : Elliott Wave)

Support / resistance - Support / protesting

Graph continued south of the critical points . Support - line back and rate reached a point at the bottom , the chart will move upwards . If you pass the first point Support rate until the next Support is likely to be very high . Resistance is the same difference located above as graphics . Resistance comes at increased prices will likely fall back . If exceeded would go next Resistance ürgeljilene up .

Momentum

Momentum indicator shows the direction of how dynamic and weak . Be much higher in case of trend momentum and trend indicators at the end decreases. Price momentum and crosses trend indicates weakening . When you lose momentum , prices become unstable , in the direction of the trend indicates that the ending here . But momentum is strong and exchange rate fluctuations , the formation of a new trend in nature . ( For example : Stochastic, MACD, RSI)

Using technical indicators

If the changes in the indicators is likely to specify that you should review before making a decision . Thus , the call to look again any kharznakh or another indicator of changes in signal should expect fantastic . Patient tolerance of the signal to be correctly understood and steps are helpful .

Types of Moving Averages indicator

Most kheregddeg indicator Moving Average trend is helpful to understand the nature of the material . If the price of the curve MA trend more ögsönö , but an indication of the underlying trend decrease .

Simple moving average - a fact that reflects the average of the exchange rate fluctuations can be understood.

Weighted moving average - an average of the exchange rate fluctuations , along with the most recent change is to give more value .

Exponential moving average - the most recent price percentage change from the previous indicator value by multiplying average price .

Moving Average best to choose the unit of time and

A particular currency pair of MA and match periods is very important to choose the right . Properly selected , they can be clear as to the trend of this pair state . Find that optimal curve fitting or called reconcile curve .

Curve to fit the MA- a previous graphics different on whether Time Frame kharji each time is better able to provide a view . And for most , better specified Time Frame of choice.

Chosen currency pair fit mA is found , he is an ascending trend support, descending trend can be considered as resistance . Price charts with the MA crosses would have changed direction .

However , long - term and short -term MA organizations teach different parameters at the same time . MA shows the overall direction of the trend is short - term , long - term , refers to a specific moment in the movement direction . Consequently , currency pair of MA different Time Frame must be observed . If the short - and long - term MA s crosses trend is ending , and gave orders to this area would be developed close .

Stochastics - sample value indicator

Stochastic oscillators and can be used to monitor the stability trend and price trend change signal . Stochastics ,% K and % D 2 dimensions . % K % d is faster and more sensitive indicator , but the exact opposite . If the indicator value is 20 % - Oversold below or sell too much done now to change direction on the other side , perhaps , but greater than 80 % Buy too much has not been done .

Stochastic small waves and directed sideways ( sideway ) suitable for use in the exhibit . At this point , too much confusion intersection .

Relative Strength Index (RSI) - Relative energy index

Like Stochastics- RSI trend to 0-100 % of the energy is to be measured . The indicator value is above 50 % or 60 % of the long - term direction is upward , but less than 50 % or 40 % of the long - term direction will be directed down .

RSI- d always indicator should be used in combination with one another . Also need to adjust Time Frame ( , MA as adjusted ) . Ideally sets longer term Time Frame beings .

Bollinger Bands ( John Bollingyer is created , so is called )

Bollinger Bands to the maximum point and the minimum price that may be fluctuations in the curve of the upper and lower 2 . Likes any support / resistance as can not return . It just shows that there is more volatility . To find the power of the trend indicators should be used in combination with another .

MACD - Moving Average Convergence Divergence - Traffic and average compliance violations

Gerald Appyeli by a man called , and uses the difference of the 26 and 12 day EMA . And 9 day MA used as the trigger line . MACD is below the trigger line crosses may signal trend Descending and and the trigger line crosses above trend will grow up a signal .

Parabolic SAR

This indicator shows the direction of the trend . The price curve indicator trend line is going up , but the underlying trend is going down .

Short -term trading

Ride the trend and follow the short - term

Trend is usually in the same direction . Support, resistance 2 to be returned back to the middle of the common . It is trading range , or the distance between the commercial zone . Short - term trading can use the following strategies .

Commercial settings (Trade Set-up)

This strategy is 1 hour and 10 minutes and 2 Time Frame 200tai Moving Average, 14- Stochastic use .

Step 1 : Ride the trend analysis

2 observes the graphical MA- g in comparison . 2uulan Ma price curve on the right or bottom of the trend can also be considered .

Step 2 : Enter the point

After determining the trend of the 10 - minute chart, check the following 2 conditions . Next , check the following conditions for 10 minutes , 2 graphics . Now 2 of 10 minute chart below coinciding commercially acceptable when :

Price curve than MA 20pip able to buy in , or under the 20pip to sell within .

Stochastic ( % K ) a ( D ) is down by 20 % , and can be buy or below , and also to sell at least 80 % .

2 of 2 of us , however , coincided with the same signal , trading in the appropriate moment .

Step 3 : Ride the trend to follow

After trading or trailing stop loss limit will be accepted . With the limit of 200 mA on the other side plenums put 10 pip away . In other words , the upward trend for buy orders and limit the loss of less than 10 mA paying pip distance . Sell ​​the case of the opposite .

Using indicators to determine the trend

Trend of authentication

Similarly , technical indicators combinations Ride the trend survey methods . Trended mainly due to macro - economic factors of long - term direction and international investment can occur due to short - term flow .

Trend lines (Trendlines)

Support / Resistance is would help determine Ride the trend of the . Ago durisanchlan and Resistance upper limit of the trend , and the minimum of support roles . Curved ceiling over the price it is , then continue that trend direction .

See previous charts easier to draw trend lines . However , the trend is difficult to imagine that the continued future .

Trend lines will need to draw on the long - term Time Frame (daily, weekly , etc. ) . , Then Time Frame - AR shall jijigrüüleed ( 1-4 hours , etc. ) . As you do so , the most important Support / Resistance levels can find and follow the short - term trend when those levels should be taken into account .

Indicator of the direction of movement - Directional Movement Indicator (DMI)

J.Uells Vaildyeriin DMI developed reduce guessing Ride the trend , Ride the trend indicator is used to verify .

DMI system of 2 parts :

ADX (average directional movement index). If the ADX- data of more than 20 indicates that sustainable trend . ADX also measured the power of the trend as well . Is particularly high rates of trend indicates that strong .

ADX also helps to know the end of the trend early . When it drops from the highest subscription disabled DI + / DI - new call fantastic, is to say that you need to wait .

DI + and DI- lines . DI + DI- focused than a plantation , then buy signal . Conversely, a Sell signal .

Trend right end the ADX- to determining the Parabolic indicator often used in combination .

The short - term trading - Trading short-term

The above methods can be used to make short -term decisions , and sideway and can be used even if no trendgüi .

However , if you are doing short - term trading , but the long - term can not ignore the big picture . Against the long - term trend towards short -term trading , it is important to avoid permanent ! ! !