Читать книгу Currency Trading For Dummies - Kathleen Brooks - Страница 17

The term technicals refers to technical analysis, a form of market analysis most commonly involving chart analysis, trend-line analysis, and mathematical studies of price behavior, such as momentum or moving averages, to mention just a couple.

We don’t know of too many currency traders who don’t follow some form of technical analysis in their trading. Even the stereotypical seat-of-the-pants, trade-your-gut traders are likely to at least be aware of technical price levels identified by others. If you’ve been an active trader in other financial markets, chances are that you’ve engaged in some technical analysis or at least heard of it.

If you’re not aware of technical analysis but you want to trade actively, we strongly recommend that you familiarize yourself with some of its basics (see Chapter 6). Don’t be scared off by the name. Technical analysis is just a tool, like an electric saw — you don’t need to know the circuitry of the saw to know how to use it. But you do need to know how to use it properly to avoid injury.

Technical analysis is especially important in the forex market because of the amount of fundamental information hitting the market at any given time. Currency traders regularly apply various forms of technical analysis to define and refine their trading strategies, with many people trading based on technical indicators alone.