June 2006
Beginner
352 pages
7h 6m
English
Technical analysis is based on the premise that in order to know where prices are going, one must know where prices have been. In the early days of stock trading, the only way to know where prices had been was to read the ticker tape. Only a very few had access to the tape.
Because most of us are not working on the floor of the exchange, computers read the tape and send the prices to home screens and newspapers. However, even getting an idea of the market from these quotes is nearly impossible. The more stocks (or mutual funds, bonds, and futures) are followed, the harder it is to do investment research. Only so much information can be kept track of in one’s head.
Enter the chart. By plotting the closing prices ...
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