Technical Analysis



If the name of technical analysis comes, then technical charts come to mind, but what to do, how to read the chart?, if these questions are there, then you can get the answer only by doing technical analysis. Now before that you have to know what are these types of charts ?

Basically, there are three main types of charts available in the market.

  1. LINE CHART


  2. The line chart is shown by a single line, that line tells the share price of the companies listed in the stock market, as the price of shares fluctuates, so does that line keep going up and down.



  3. CANDLESTICK CHART


  4. This chart is shown in the shape of a candle, due to which that chart is called candle stick chart. Which was first used in Japan, due to which it got the name Japanese candlestick chart. Whereas in the line chart only you can see the opening or closing of the day only one thing, then in the candle stick chart you can see the low, high, opening and closing of the day simultaneously.



  5. BAR CHART


  6. In this chart, rectangular bars are used to show the ups and downs of the stock, due to which it is called bar chart. The most popular of these charts is the Japanese candlestick chart, which if seen, 80 percent of the people like to use it, they think that the candlestick chart is very good for technical analysis.



History Of Technical Analysis

It is believed that trading should be done by learning technical analysis, this is fine, but everyone has a different perspective of looking at the stock market. Almost all the people who invest their money in the stock market use technical analysis. But do you know By the way, he is known for establishing Dow Jones, whose name was given to Charles Henry Dow and his name was given to the American Stock Exchange as Dow Jones. Charles Dow had done a lot of study on technical analysis and then after that he made his own theory on technical analysis. That theory of this technical analysis of Charles Henry Dow is known today as Dow theory.



Father

Charles Henry dow is considered the father of technical analysis after his dow theory. He founded dow Jones in 1884, which he was not the only person to do, he was accompanied by two more people named Edward Jones, and Charles Bergstresser and all three were reporters by profession.