Technical Analysis

Notice! ...... Both books can usually be found in most public libraries.

Technical analysis is a very reliable tool for forecasting market trends
and timing market changes. Technical analysis can be very accurate. It is
also very ... unemotional. It has been proven time and again that stocks
move in trends. Technical analysis is used to spot those trends.

Technical analysis is best defined as ... the study of individual securities
and the overall market based on supply and demand. Technicians use
charts and graphs to study past and future probability of stock prices.
Historical stock price and volume activity is used to program their charts.

Technicians believe that price movements are simply a reflection of the
changes in supply and demand. A technician does not care what the
underlying forces are that cause a shift in supply and demand. All that a
technical analyst cares about is ... what is actually occurring.

Technicians believe that stock price movements are nothing more than
the reflection of changes in supply and demand. A major principle of all
technical analysis is that prices move in identifiable trends and trends
persist. Again, there's no emotion. There's only the event occurring.

If a stock is set in motion, the trend will remain intact until it ends. Once a
stocks price starts moving up, the trend will continue until there is a clear
reversal. And yes, once a stock price starts to move down, it will decline
until there's a clear reversal.