Dow Jones Focus Group Free Technical Analysis

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Technical Analysis, in a nutshell, is the forecasting of future financial price movements based on an examination of past price movements. It is applicable to stocks, indices, commodities, futures or any tradable http://newheightsdance.com/dow-jones-focus-group-review/ instrument where the price is influenced by the forces of supply and demand. When using technical analysis to trade look out for the following:

The Overall Trend 
The first step is to identify the overall trend, a trend is really nothing more than figuring out the general direction in which your security is heading. This can be accomplished using trend lines, moving averages or peak/trough analysis (I will write an in depth article just on these three darlings in the near future.) The short and long of it is that as long as the price remains above its uptrend line the market is considered bullish. When studying the overall trend keep a lookout for the resistance and support levels.

Resistance Level - This is where the price tends to find resistance as it is going up. The price usually bounces off it and fails to break through. However, once the price passes this level it is likely to continue to rise. At this point trade up.

Support Level - Dow Jones Focus Group Review Basically the opposite of the Resistance level, it is where the price tends to find resistance as it is going down. Should the price pass this level it is likely to continue dropping. At this point trade down.