Technical Analysis has always been an interesting way to
read and understand the price patterns of a traded instrument. No matter you
trade equities, commodities or currencies, Technical Analysis is always handy
to precise your timing of buying and selling. With sound knowledge of Technical
Analysis, you can considerably increase the accuracy and percentage of your
profit making trades.
The objective of this course is to equip you with the basics of all the popular
Tools & Techniques of Technical Analysis starting with Moving Averages,
Trend lines to RSI, Stochastics. You learn to read Japanese Candle Sticks Price
Charts and formation of various interesting price patterns like Hammer,
Shooting Star etc. The whole purpose of the program is to make you feel confident
about your own buying and selling decisions .
What is the broad Coverage in Certificate in Technical
Analysis Program?
- Introduction to technical analysis
We start with the basics of technical analysis covering the concepts that does
price discounts everything, the basic assumptions in technical analysis,
importance and weakness of technical analysis.
- Candle Charts: The Japanese way to predict Prices
Without the understanding of Candlesticks in Technical analysis one cannot
learn the art of predicting the prices. Candlesticks are formed by using open
price, high price, low price and the closing price. In this part we will be
covering One, two and three candle pattern.
- Pattern study: The bone of Technical Analysis
Technical Analysis is about knowing the current trend and predicting the future
trend. Patterns are formed when many candlesticks are clubbed together forming
a visible pattern. It is imperative to correctly identify a pattern without
getting confused. We start by finding the support and resistance and why are
they so important in Technical Analysis. Later we move to other popular patterns
which include head and shoulders, double top and double bottom, the Gap theory.
- Major Indicators and Oscillators: The Advanced Technical
Analysis
Indicators in Technical analysis are the part of
advanced technical analysis.
Indicators when plotted on charts can help in deciding the entry and exit
point. Candidates are equipped on what does indicator offer, types of
indicators, trend following indicators. Oscillators on the other hand are used
to identify the over bought or oversold conditions in the market. Major
oscillators include Relative strength index (RSI), Moving average
convergence/divergence(MACD).
Candidates are equipped with using multiple indicators for trading signals,
price sensitive techniques, volume sensitive techniques, Composite methods.
- Dow theory and Elliot wave theory: The Charts make sense
Dow theory describes the price movements and explain repetitive price patterns
on the other hand Elliot wave theory focuses on wave patterns by using wave
counts on the charts. In technical analysis it is very important to understand
these two theories. Under this part candidates are equipped with the principles
of Dow theory its significance and problems with dow theory. The candidates
also gain knowledge on fundamental Elliot wave concept and what after Elliot.
- Trading psychology and Risk Management
In actual trading it is very important to manage risk and to have right
psychology before and during the trader takes the trade. Under this part
candidates will be equipped with the tolls that are available to manage risk
such as stop loss, risk reward ratio, trail stop loss, golden rules of traders,
do’s and don’ts in trading, importance of discipline in trading.
