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5 articles
Clear filtersWhat Technical Analysis Is, and What It Is Not
Technical analysis studies price and trading volume to describe the balance of supply and demand. It describes conditions; it does not forecast outcomes.
Moving Averages: Simple and Exponential
The most used indicator there is. An average of recent closes, redrawn each bar, which converts a jagged series into a slope.
The Golden Cross and the Death Cross
Two named events describing the 50-day moving average crossing the 200-day. They are widely reported, heavily lagging, and describe a trend that has already turned.
RSI: The Relative Strength Index
A bounded oscillator comparing the size of recent gains to recent losses. It measures stretch, and the conventional thresholds are conventions rather than rules.
Volume and On-Balance Volume
Trading volume measures participation. It is the one input that is not a transformation of price, which is what makes it worth reading on its own.