Moving Average  A tool used to smooth fluctuations, allowing you to
better determine price trends.

Optimization  A test performed on historical data to determine what
would have resulted in the maximum profit during a given period of time.

Point and Figure Chart  Records price activity without reference to time
and volume.

Pullback  When a security or the overall market falls back from a
previous advance.

Resistance Level  The price at which sellers tend to sell in sufficient
volume to lower the price of a security.

Selling Climax  A sharp price decline followed by extremely high volume
created by panic stricken investors dumping securities.

Short Covering  The process of buying stock to close out a short sale.

Support Level  The price at which buyers tend to buy in sufficient
volume to raise the price of a security.

Technician  One who uses technical analysis as the basis for making
investment decisions.

Top  A high for a security or the overall market.

Trend  The trend is the direction of the price movement.

Trend-line  A straight line on a chart that connects consecutive tops or
consecutive bottoms of prices.

Uptrend  When the price of a security or the overall market is rising.

Volume  Number of shares traded in a security or market in a given time.

Whipsaw  Occurs when a trading technique produces many buy and sell
signals in a small range that do not follow-thru in the predicted direction.