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Pros and cons of what is technical analysis?

Pros and cons of what is technical analysis? 

Characteristics of Forex Trading is the psychological pressure, when the market is almost never stable, and as soon as you open a transaction status, you need to prepare for the possibility of incurring losses to the extent as well as being able to make a profit. Technical analysis will help you control the psychological pressure by predicting market movements objectively becomes easier by using the support and resistance levels, and other indicators pricing model. When strict adherence to the rules of technical trading is a business often have the ability to withstand pressure better psychological losses Technical hon.Phan use a combination of different methods to clarify the situation the present and predict the next evolutions of the market. The technical transaction automation is a major advantage of technical analysis. And the biggest drawback of technical analysis is, in fact, it is completely based on historical data that history is not always repeated. Therefore, the signal from the index can not promptly report the ongoing situation in the market. 
Technical analysis studies the results of a model rather than studying the causes of that model.Although an event can cause a huge impact on the market are also no guarantee that prices will certainly have to change soon after the event. Another downside of technical analysis is that the index can lead to misunderstanding or incorrect understanding of different situations on the market.Status speculators apply trading strategies similar but different results obtained from each other very often happens. Why is there this? The reason is that the applicable index ranges in different times, the signals are interpreted differently, and risk control strategies are applied is also different. In other words, technical analysis is very diverse. Personal views of business houses also affect his interpretation of historical data and new data updates like. 

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Besides, there is the situation, although rare, the expression price chart and the indicators used for the same amplitude time again there are differences in the software transaction, depending on the source quoted rates or installing software. At first listen through the technical analysis seems completely untrustworthy but not so true. Whether you use the software and source quoted different rates, the results of technical analysis will not be affected, especially in the long term. Analysis can help us understand the current situation of the market and forecasts the next evolution of technical no.Phan are becoming increasingly popular and more weight than by a growing number of entrepreneurs apply the same type of analysis. When traders in the world and identified a technical pattern are appearing, they would have similar actions. This means that more and more business houses, especially large organizations, trying to enlist emerging models; and at the same time, these models will become more pronounced as more and more activities to catch up with chung.Mot important point to remember is that the interpretation of price charts can also vary to design the image of the chart itself. Line chart, bar charts, candlestick charts ... each with its own characteristics. For example, a candlestick chart shows the chart elements that can not currently be a straight line. I recommend that you should not force themselves to use only one type of chart or a few indicators. With technical analysis in general, the more views the more analysis and interpretation is illustrated by the image of the data, as traders have the opportunity to review the information under a variety of different angles, and this helps to improve the depth and quality of the analysis is done based on that data.


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