The Professional Forex Trading Course – Lesson 9 - Technical Analysis - Part 1
Technical Analysis
Getting an Edge Over The Market
•Technical analysis is the study of the collective psychology of the market.
•Technical analysis is not about predicting with certainty. It is used to anticipate the probability of future price movements.
Three Axioms of Technical Analysis
1.Market prices discount all known information
•Market price is a reliable measure of collective human psychology
•Market price is a leading indicator of all fundamental data (i.e. economic & political news)
•Relying of fundamental news always causes you to react too late
- Prices Move with the Trend
Uptrend-> Probability for prices to move higher
Downtrend-> Probability for prices to move lower
- History repeats itself
•The market is not completely random
•By studying charts patterns and using indicators, we can anticipate the probability of future price movements.\
Principles of Technical Analysis
Probability and Not Prediction
•Technical analysis is not about predicting with certainty. It is used to
anticipate the probability of future price movements.
• Having just a slight edge over the market will make you
immensely profitable
Charts and Candlesticks
SEE YOU IN NEXT LESSON. THANK YOU
