Technical analysis is the study of past market data, primarily price and volume, to forecast future price movements. Unlike fundamental analysis, which focuses on a company's financial health, technical analysis relies on chart patterns, indicators, and statistical measures.

Key Principles

**Price discounts everything** - All known information is already reflected in the price

**Prices move in trends** - Once a trend is established, prices tend to continue in that direction

**History repeats itself** - Chart patterns tend to recur over time

Getting Started

Begin by learning to read candlestick charts. Each candle shows four data points: open, high, low, and close (OHLC). Green candles indicate price went up during that period, while red candles show price went down.

Common Chart Patterns

Head and Shoulders — A reversal pattern indicating a change in trend direction

Double Top/Bottom — Another reversal pattern showing support/resistance levels

Triangles — Continuation patterns that show consolidation before a breakout

Flags and Pennants — Short-term continuation patterns

Introduction to Technical Analysis

Key Principles

Getting Started

Common Chart Patterns

Practice What You've Learned