Chapter 17

Ten Tips to Remember about Technical Analysis

In This Chapter

bullet Getting some sound advice on technical analysis

bullet Finding the right balance in your data

bullet Remembering to always back up your data

A debate continues to rage about the validity and usefulness of technical analysis in security trading. I’m a firm believer that, when used correctly, technical analysis is an outstanding trading and investing tool. There are also other methods of investing and trading, but for my purposes, technical analysis combined with candlestick charting has worked quite well. As you begin or continue your trading efforts, you almost certainly encounter differing opinions on technical analysis, and I use this chapter to set out ten points on the topic that you should remember as you cut through all the discussions and get down to the business of trading.

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