BASICS
In all probability, technical analysis is the well tested
method of predicting the stock price based on certain factors which may
differ pursuing the circumstances prevailed.
Technical analysts have therefore a pivotal role to play here. He takes note of the past market, price of
the stock and volume of the traded stocks daily or periodically to do the stock
analysis and thereby forecast the probable price of stock. In practice on ground, technical analysis is
done on the basis of the different models and trading patterns. The technical
analysis is amply utilized by the intraday software developers who track
it infallibly to arrive at conclusion.
While trading with NIFTY FUTURE OR NIFTY OPTION, the technical
analysis comes handy to see the developing future pattern of NIFTY CHARTS
both periodical charts as well as nifty chart live. Even in intraday trade, the technical
analysis executes into live buy and sell signal perfectly. The intraday traders chalk out their
trading strategy based upon these analyses.
INDICATORS-THE CRUCIAL PLAYERS
Analysts take note of various indicators such as relative strength
index, regressions, moving average, cycle’s regressions, and inter-market and
intra-market price correlations to prepare charts that actually show the
pattern of the price movement for a particular stock. On the basis of the very chart and
identifying the price pattern stock or technical analysts predict the
future movement of the stock. These
financial indicators are actually mathematical transformation of the stock
price and trading volume. Apart from
these indicators some analysts also consider the market psyche while predicting
the stock prices. Indicators like moving
averages both simple and exponential, Bollinger band plays important role in stock
market. How the crossing moving
averages indicate buy or sell signal need mastery over technical
analysis. Intraday tips
providers or stock market software; all use this theory to arrive at
certain conclusion.
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