Posts Tagged ‘Technical Analysis’

Five ways how technical analysis can fail

Tuesday, April 26th, 2011

Technical analysis is truly unique. In less then 1 second the trader can see a very significant quantity of information related to price movement of one currency. The lines of moving average can show you the trend. Candlesticks show you the correlation between the opening price and the closing price. Bollinger bands gives you price target and shows you the volatility level of a currency pair. Oscillators like MACD offer entry point signals and exit point signlas. All this informations are provided instantly, but technical analysis is not necessarily the best invention ever.

Bellow are shown 5 ways in which technical analysis shows it’s imperfection. This unpredictable events can cause currency pairs to move unpredictable for a couple of hours or a couple of days, in some cases even for a few months.

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Trend Analysis

Wednesday, April 20th, 2011

Understanding Trend Analysis

Bellow are a few methods that you can use to analyse the trends and how you can use them on charts.

~What are trends and different types of trends

~Who to draw a trend line

~Trend movements and trend channels

~Support and resistance levels of trends and how to identify them

1. Trends

The trends are use to determine the relative direction of a price in the market. There are 3 types of trends: bullish trends (upward trend), bearish trend (downward trend), sideways trend (neutral trend). Without a trend the prices stay flat and unchanged. For the trades to be profitable there must be a movement in price value, or there must be a trend. The forex market, a market with a lot of trends, has a lot of explosive price movement in a short period of time, which can create significant income opportunity. There is a saying: “The trend is your friend“, never forget this when you are tranding.

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Daily Forex Analysis – March 09, 2010

Tuesday, March 9th, 2010

Investors confidence rouse more then expected, the published result was -7.5
In Germany the industrial production increased, but it was still with 0.5% lower then the 1.1% result expected.

EUR

Fundamental Analysis

Today for the euro will be published the trade bance of France, which is expected to have a slightly increase from -4.3 bilions of euro to -3.9 bilions.

Technical Analysis

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Daily Forex Analysis – March 08, 2010

Monday, March 8th, 2010

Last week was one with a lot of price movement mostly because of the important economic data published.

Both in Europe and USA, unemployment rate fell to 9.9% and 9.7%. The interest rates for both euro and British pound where unchanged from the lowest levels in history, 1% and 0.5%.

Eur/Usd

Fundamental Analysis (more…)