What are the different tools for technical analysis?

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tool for technical analysis of shares focuses on the data collected on price fluctuations for shares and volume of shares traded after specific periods of time. Market data is compiled in graphs and graphs that monitor the movement of shares. These changes include technical analysis tools such as candlestick signals, Fibonacci compensation, moving diameters and rotation points to determine when the shares will change the price direction and predict how much higher or lower it will be based on previous power.

Technical Security Analysis is a form of quantitative analysis of the stock market, which relys exclusively on mathematical models and past data that was collected on the stock itself or on the market in which it is traded. This is significantly different from the basic analysis that attempts to assess the true value of society and its products based on its competitive and wide economic factors, jaKO are national economies and industrial conditions. Tools for technical analysis can therefore be very accurate in mapping a number of changes that can go through the shares on the basis of decades of historical data, and forces with a delivery that affects stocks. While a stock trader can use some principles of economic behavior to understand general emotional factors on the market that can control stocks up or down, the overall goal in using technical analysis tools is to look for mathematically predictable patterns in market trends that increase the stock price. Therefore, a technical analyst focuses on the effects of market trends in warehouse charts, while the basic analyst deals with the causes of these trends.

candlestick signals can be traced up to 18 years century and Homma Munehisa, which is attributed to inventing the concept of technical analysis. Munehisa was an Ayponian rice trader who created a combined line and a column chart to watch the overall movement of the priceThe product on the line market, and at the same time monitored its opening and final prices using bars, so the chart looks like a number of candlestick numbers that progress on the page. Since the stock price goes beyond the current commercial and closing trading prices, they are referred to as "candle shadows" that are slightly colored in the graph to emphasize the main range of movement. The complexity of the chart gives him the opportunity to convey information about short -term or immediate business conditions and long -term price variations quickly and made it one of the most important tools for technical analysis of shares.

Fibonacci retrorsted charts Calculate when the stock price goes above or below the price stop setting for your normal movement, known as "support" as it rises above the estimated values ​​and "resistance" when fallen. The graph is one of the important tools for technical analysis, as it can tell the trader the optimal point for the location of the store based on movement values. The calculations in the graph areBased on Fibonacci numbers, which are sequences of integers discovered by Leonard Fibonacci, Italian mathematician from 12 . The number of Fibonacci numbers has many uses in modern calculations and biological and economic calculations because they represent a predictable branch that seems common over life and technological systems.

Many other indicators exist as technical analysis tools, all of which can be mapped to predict prices and volume, from Bollinger Bands, which show price volatility up to Williams % R OCILATOR PRO volume, showing whether the stock is currently sold or transferred. Each method focuses on a unique way of looking at price changes and volume changes. Price activity chart (PAC) for instances, directly compares volume levels with prices as the stock price changes, while the Graph of Sliding average Divergence (MACD) instead focuses on the oscillation nature of the sliding diameter by deducting the longer gliding diameterr from the shorter moving diameter regardless of volume.