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Make money with cryptocurrencies - Technical analysis description
First words about your best friend; the technical analysis
1 min read
Technical analysis is an everyday study of stock charts, these well-known lines you can find everywhere online. This analysis is using values of stokes, drawing points on a chart. We then draw lines between theses points, creating the chart itself.
During archaeological researches in the XXe century, the Western started working on these curves and are still trying to understand its rules... Even if they are the result of irregular trades between humans that have nothing in common.
Why understanding technical analysis counts
We had to find the reason, the rules that manage the evolution of charts, to finally be able to say: I understand! I know what's going to happen! This human ambition has always existed. For example, candles were used by Japanese to predict rice price variations, as early as 1710.
Is technical analysis useful?
Technical analysis of charts is now considered as fundamental to reduce market hazardous behavior. It helps a lot defining entry and exit points of trades.
But, specialists are agreeing on one opinion; technical analysis is an difficult art, requesting advanced knowledge & experience, and a strong acuity.