In finance, technical analysis is a security analysis discipline used for forecasting the direction of prices through the study of past market data, primarily price and volume. Behavioral economics and quantitative analysis use many of the same tools of technical analysis, which, being an aspect of active management, stands in contradiction to much of modern portfolio theory. The efficacy of both technical and fundamental analysis is disputed by efficient-market hypothesis which states that stock market prices are essentially unpredictable.
Read more about Technical Analysis: History, General Description, Characteristics, Principles, Industry, Combination With Other Market Forecast Methods, Empirical Evidence, Ticker Tape Reading, Quotation Board
Famous quotes containing the words technical and/or analysis:
“Where there is the necessary technical skill to move mountains, there is no need for the faith that moves mountains.”
—Eric Hoffer (1902–1983)
“The spider-mind acquires a faculty of memory, and, with it, a singular skill of analysis and synthesis, taking apart and putting together in different relations the meshes of its trap. Man had in the beginning no power of analysis or synthesis approaching that of the spider, or even of the honey-bee; but he had acute sensibility to the higher forces.”
—Henry Brooks Adams (1838–1918)