1) Technical Analysis based of following factors. With the help of Chart trader can predict the price of securities.
2) Supply & Dem&.
3) Price movement in stocks, commodities, currency etc are depend on supply & dem&.
4) Price UP Low Supply-High Dem&.
5) Price Down High Supply-Low Dem&.
Technical Analysis Based on Price Trend.
Price Trend means The direction & momentum of the price of a security or other asset.
There are three types of price Trend.
Up Trend If the price of a Stocks/ share is going upward with only a few inconsistent loss, it is said to be on a Upward price trend.
Down Trend If the price of a Stocks/ share is going downward with only a few inconsistent gains, it is said to be on a Downward price trend.
Sideways Trend If the price of a Stocks/ share is not going in any direction, it is said to be on a Downward price trend.
Support & Resistance.
Support: Support level is a price level where the price tends to find support as it is going down.Support refers a price level (zone) at which there are more willing buyers than willing sellers. (Dem& exceeds supply when a stock is at support.)Think of support as a matters spring; usually, it will hold, but it might eventually breaks
Resistance: Resistance level is a price level where the price tends to find resistance as it is going up.Resistance refers a price level (zone) at which there are more willing sellers than willing buyers. (Supply exceeds Dem& when a stock is at resistance.)Think of Resistance as a weak ceiling; it might suppress a stock for a little while, but it could be broken eventually.
The number of stocks or contracts traded in a security or an entire market during a given period of time. It is simply the amount of shares that trade h&s from sellers to buyers as a measure of activity. If a buyer of a share purchases 200 stock from a seller, then the volume for that period increases by 200 stock based on that transaction.
|Strong Bear Sentiments||UP||DOWN|
What Is Driving Volume Higher?
1) Volume rise caused by news is not good reason to enter position.
2) Volume rise that is not caused by news is a good reason to enter position.
A change in the direction of trading securities or any other financial product that exceeds a normal correction point. Often referred to simply as a reversal.
Bearish divergence Price reaches a new high. Indicator makes a lower high.
Bullish divergence Price reaches a new low. Indicator makes a lower low.
A whipsaw means when the market unexpectedly moves back & forth in a confusing manner. Whipsaws move the market in way that traders that are trading either short or long using tight stops are stopped out of the market.
If Price make support & resistance on based average or trend line than its called respect.