Core Assumptions and Logic
Technical Analysis assumes that prices move in patterns and that similar past conditions may produce similar future reactions. Trends, support-resistance levels, and cyclical patterns are identified on the chart.
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Technical Analysis
Indicators, patterns, and chart reading methods — for all types of markets.
What is Technical Analysis?
It is a method for predicting future price direction not only in Forex but across all market analyses. Unlike fundamental analysis, it provides more objective results through mathematical calculations and historical data analysis.
Indicators
Indicators like Moving Averages, RSI, and MACD are calculated from historical data and provide objective signals on the chart.
Chart Reading and Drawing Tools
Tools like trendlines, Fibonacci, support/resistance, and channels help visualize potential entry and exit points.
Patterns
Candlestick and shape formations can provide signals about the future when interpreted with experience; confirmation with other indicators is recommended.
Fibonacci
Fibonacci retracement and extension levels are widely used to identify reversal points; their theoretical background is rooted in mathematics.
Frequently Asked Questions
Why is Technical Analysis considered objective?
Because indicators are calculated using mathematical formulas and produce numerical results, reducing subjective interpretation.
Do patterns give the same signal to everyone?
Patterns may require interpretation; they should be confirmed with timeframes, volume, and other indicators.
Which indicators are suitable for beginners?
SMA/EMA, RSI, MACD, and volume indicators are good starting points for most investors.
Source: Education Center
Updated: 01.01.2025
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