Stock market technical analysis is the study of past market data
statistics for patterns and trends in the activity of stock markets for
purposes of forecasting future price movements of stocks,
commodities, futures and forex etc.
Technical analysts believe that the market is always right, so all
relevant information is reflected in the price and historical price
patterns tend to repeat as traders and investors will have the same
collective emotions and reactions to events that previous traders and
How Does Stock Market Technical
Human nature being what it is means that however individually minded we
each are, we will always be influenced by the herd mentality of the
crowd. It is extremely difficult for any individual trader to remain
completely free from the bias of the majority. Humans are social pack
animals and we have strong natural instincts that are not
always conducive with successful trading. More about the fundamentals
Market Technical Analysis.
Many traders employ the use of purely technical trading strategies,
where others may only use their technical analysis in order to confirm
their views based on their fundamentals analysis.