What is Technical Analysis? 

Technical analysis is a method, or tool, used to predict the probable future price of the stock or movement of a security  or currency and also commodity prices based on market data.

We explain what Technical Analysis is, how it works, and the general steps one should take when using technical charts and indicators to analyze stocks.

Technical analysis is the study of price and volume changes over time. Technical analysis usually involves the use of financial charts to help study these changes. Anyone who analyzes financial charts can be called a technical analyst.

Despite being surrounded by data, graphs, raw numbers, mathematical formulas and more, Technical analysts study human behavior, specifically crowd behavior in the context of fear and greed. All investors interested in a particular stock can be seen as the “market” for that stock, and it is the emotional state of these investors that determines that stock’s price.

Technical analysis

Learn About Technical analysis

Technical analysis is the forecasting of price by using the data generated in the process of trading over a period of time. technical analysis relies on the assumption that the market discounts everything in the security’s current price, be it hopes ,fears and knowledge, including reasonable future expectation. in other words, “Technical analysis is the process of analyzing a security’s historical prices in an effort to determine its probable future prices.”

More about Technical Analysis click here….


Past Price as an Indicator of Future Performance

Technical traders believe that current or past price action in the market is the most reliable indicator of future price action.

Technical analysis is not only used by technical traders. Many fundamental traders use fundamental analysis to determine whether or not to buy in the market, but after making this decision, they use technical analysis to determine good low-risk entry levels.

Tools of the Technical Analysis

In Stock market technical analysis Trading tools for everyday traders and Technical Analysts consist of charting tools that generate buy or sell signals or indicate trends or patterns in the market. In general, there are two main types of Technical Indicators in Stock Market:

  • Technical Overlays
  • Technical Indicators / Technical Oscillators

Technical Overlays: 

Technical indicators that use the same scale as prices are plotted over the top of the prices on a stock chart. Examples include moving averages and Bollinger Bands or Fibonacci lines.

Technical Oscillators

Rather than being overplayed on a price chart, Technical Indicators that oscillate between a local minimum and maximum are plotted above or below a price chart. Examples include the stochastic oscillator, MACD or RSI. It will mainly be these second kind of technical indicators that we consider in this article.

Technical Analysis in Hindi


जब हम किसी कंपनी का शेयर सिर्फ इस आधार पर देखते है, कि उसके भाव कब कब बढ़ जाते है और कब कब कम हो जाते है, और इस बात पर जोर नहीं दिया जाता कि कंपनी और उसके लाभ कमाने कि क्षमता कितनी STRONG है, यानी जब  सिर्फ शेयर के PAST PERFORMANCE को ध्यान में रखा जाता है तो इस तरह कि BUYING या SELLING को हम TECHNICAL  ANALYSIS के आधार पर खरीदना और बेचना कहते है,

और इस तरह हम कह सकते है कि,  FUNDAMENTAL ANALYSIS और TECHNICAL ANALYSIS आधार पर ही आप अच्छे तरीके से किसी शेयर के FUTURE PERFORMANCE का एक अनुमान बता सकते है,

इस सन्दर्भ में TECHNICAL ANALYSIS, शेयर्स के खरीदने का मूल्य, खरीदने का समय, कितना खरीदना और कब बेचना, कितना बेचना, कितने भाव में बेचना, स्टॉप लोस लगाना आदि के बारे में हमें बताता है,

और इसी लिए बड़े से बड़े INVESTOR भी TECHNICAL ANALYSIS कि मदद से मार्केट में हो रहे बदलाव और शेयर्स के सौदों के बारे में बताते है कि हमें कब खरीदना और बेचना चाहिए ताकि ज्यादा से ज्यादा हम लाभ कमा  सके |