As the market restarts its engines after a long weekend in the US and the UK, we note that the…
Read MoreWatch daily commentary and make informed trading decisions
As the market restarts its engines after a long weekend in the US and the UK, we note that the…
Read MoreIn a rather easy-going Monday with no major financial releases expected, we tend to turn our attention towards fundamentals, seeking…
Read MoreMarket worries for a US default on a fundamental level, remain strong as we glance into what next week has…
Read MoreThe USD continued to be on the rise for a fourth day in a row yesterday and prepares for a…
Read MoreThe USD tended to gain probably on safe haven inflows as the market worries for a possible default of the…
Read MoreUS stock markets moved lower with all three major indexes recording a decline, as market fears of the US defaulting…
Read MoreTechnical Analysts believe that every relevant market factor is already counted in the instrument’s price. As such, the only thing they need to analyse is the price movement.
Prices are always expected to form and follow trends, even at random. It is more likely for a price to continue a past trend than to move erratically.
Technical Analysts base their predictions on the observation that history tends to move in circles and thus repeat itself. They attribute historic price movement to market psychology based on fear or excitement. By trying to pinpoint these emotions when analysing chart patterns and understanding movement trends, analysts aim at predicting future price movement from market sentiment.
Peter Iosif
Senior Research Analyst
Chartered Accountant (ACA), Member of ICAEW
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