Analyze and Understand Patterns and Indicators
In this section we will take a deeper look at the various tools employed by technical analysts in predicting the direction of the trend, and for deciding on entry or exit points. We will first study the main categories of forex technical analysis, and then examine some of the most popular indicators used in this type of analysis, in order to help you decide on the best tools for your approach.
Neither a great understanding of the markets, nor exceptional skills in mathematics is a necessity for being a successful technical analyst. Since the tools have been refined through decades of trial and error, we have all the principles laid out for us by the past wizards of this trade. Many scenarios have been examined, countless situations have been explored with technical tools, and what is more, with the backtesting capability of today’s software, the ways in which our technical schemes can be employed are practically limitless. With all this automation, the knowledge and experience that is readily available for students of technical analysis, all that is needed is patience and hard work. More forex trading education articles.