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What is technical analysis?
Technical analysis is a widely used approach in the stock market to forecast future price movements.
It involves the study of past market data, such as price and volume, to identify patterns and trends that can help predict future price direction. Technical analysts use various tools and indicators, such as moving averages, trend lines, and oscillators, to analyze the historical price data and make informed decisions. This method assumes that historical price patterns tend to repeat themselves and that market psychology plays a significant role in price movements. By studying these patterns, traders aim to identify potential buying or selling opportunities and manage their risk effectively.
However, it is important to note that technical analysis is not foolproof and should be used in conjunction with other forms of analysis and risk management strategies.
Technical analysis Part-1
Technical analysis Part-2
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