What is technical analysis?

What is Technical Analysis?

Technical analysis is an approach to investing that attempts to forecast the future direction of prices, for any futures market or specific stock, through the study of past market data such as price and volume. This website is primarily focused on technical analysis of Futures Markets; however technical analysis can also be used for trading stocks and foreign exchange.

Technical analysis is primarily concerned with the price behavior of a market. A major assumption in technical analysis is that price reflects all relevant factors before a trader becomes aware of them through fundamental information about the market being analyzed.

Some common tools used by Technical Analysts include oscillators, moving averages, trend lines, Fibonacci numbers, Bollinger Bands, chart patterns and a wide variety of other indicators.