The RDS Forex System: A Breakthrough Method To Profiting from Market Turning Points

CHAPTER 9

Why Technical Analysis Works

Stephanie sometimes says “I eat stress for breakfast.” We laugh at that, but it's a good attitude to have! After laying out fundamental analysis tips (parity and the annual reset button) we now will focus in more depth on our five key technical analysis rules. We refer to all of our rules as our five internal advisors, as we wear all of the hats when controlling the decisions to buy and sell. We are the risk manager, the economist, the forecaster, the computer technician, the Internet technician, and the buyer and seller using the charts and execution platform. Would you want it any other way? Remember that nobody cares more about your money than you do and these sometimes tedious and difficult hills to climb are the necessary ingredients to success. Hang in there, as these skills are not that tough to acquire. Your brain, an Internet connection, and a desktop computer or laptop are the basic ingredients. Most everybody has a cell phone as well, and you can even use that to monitor action while off running daily errands. We are here to harness and unlock the inherent skills that you already possess but just haven't tapped in to yet.

Everybody looks for timing and that is why technical analysis is not only a necessity in the trading recipe but also it is a prerequisite. Technical analysis uses a series of past data points that specifically represent two key elements used in every study: time and price. The wheel has already been developed, ...