The Investor Sentiment - Equity and investments forum for Sri Lankans
Search
 
 

Display results as :
 


Rechercher Advanced Search

Latest topics
» Trading Journal
Free Technical Analysis Education EmptyToday at 12:15 pm by lanka

» Dividend Announcement
Free Technical Analysis Education EmptyFri Sep 13, 2019 4:24 am by Rana

» Performance of the Market-Weekly
Free Technical Analysis Education EmptyThu Sep 12, 2019 7:58 pm by ruwan326

» කැසිනෝ ව්‍යාපාරික රවී විජේරත්න, අර්බුදයට පත් MTD Walkers මිල දී ගැනීමට සැරසෙයි
Free Technical Analysis Education EmptyMon Sep 09, 2019 7:47 pm by nihal123

» Happy Birthday
Free Technical Analysis Education EmptyMon Sep 09, 2019 10:54 am by nuwanmja

»  Rajgama Heroes !
Free Technical Analysis Education EmptySat Sep 07, 2019 10:24 am by කිත්සිරි ද සිල්වා

» Yahoo mail
Free Technical Analysis Education EmptyFri Sep 06, 2019 5:38 pm by Rana

» Thread for News on International Markets
Free Technical Analysis Education EmptyFri Sep 06, 2019 9:50 am by The Invisible

» JINS.N0000 ( Janashakthi Insurance PLC)
Free Technical Analysis Education EmptyFri Sep 06, 2019 9:47 am by The Invisible

» Browns Investments update
Free Technical Analysis Education EmptyFri Sep 06, 2019 6:00 am by sanjulanka

» Hayleys MGT
Free Technical Analysis Education EmptyFri Sep 06, 2019 5:55 am by The Invisible

» SEYB.N0000 ( SEYLAN BANK PLC )
Free Technical Analysis Education EmptyThu Sep 05, 2019 8:47 pm by soileconomy

» Tourism Sector
Free Technical Analysis Education EmptyThu Sep 05, 2019 6:08 pm by NIRMALSG

» CLND Not to miss
Free Technical Analysis Education EmptyWed Sep 04, 2019 9:42 pm by sureshot

» Thread for News on CSE and SL Economy
Free Technical Analysis Education EmptyWed Sep 04, 2019 6:35 pm by NIRMALSG

» TJL.N0000 (Textured Jersey Lanka PLC.)
Free Technical Analysis Education EmptyTue Sep 03, 2019 6:12 pm by Ethical Trader

» UBC Union Bank of Colombo
Free Technical Analysis Education EmptyTue Sep 03, 2019 12:09 pm by The Invisible

» Obituary Notice.
Free Technical Analysis Education EmptyMon Sep 02, 2019 10:34 pm by කිත්සිරි ද සිල්වා

» Thread for News on Local and Foreign Politics
Free Technical Analysis Education EmptySat Aug 31, 2019 5:13 pm by The Invisible

» Sri Lanka bank profitability under pressure: Moody’s
Free Technical Analysis Education EmptySat Aug 31, 2019 8:44 am by The Invisible

» ‘වැඩකාරයාගේ නමත් සිරිසේන’ කියලා හිනාවුණා
Free Technical Analysis Education EmptyFri Aug 30, 2019 4:05 pm by sanjulanka

» 8000 Post Club | Celebration of a Great Milestone කිත්සිරි ද සිල්වා
Free Technical Analysis Education EmptyThu Aug 29, 2019 7:17 pm by කිත්සිරි ද සිල්වා

» In the Meantime, Within Our Shores !
Free Technical Analysis Education EmptyThu Aug 29, 2019 10:37 am by කිත්සිරි ද සිල්වා

» Sri Lanka to call for bids to develop Mannar Basin natural gas find
Free Technical Analysis Education EmptyTue Aug 27, 2019 4:32 pm by nuwanmja

» “බිරිඳගේ සහ පෙම්වතියගේ වෙනස මොකක්ද?”
Free Technical Analysis Education EmptySun Aug 25, 2019 11:51 pm by sanjulanka

» The Central Bank of Sri Lanka Reduces its Policy Interest Rates
Free Technical Analysis Education EmptySat Aug 24, 2019 4:26 am by Ethical Trader

» JKH - 155/00 Breakout is pending
Free Technical Analysis Education EmptyFri Aug 23, 2019 2:21 pm by pjrngroup

» Tokyo as at 21.08.2019 Morning
Free Technical Analysis Education EmptyWed Aug 21, 2019 10:07 am by nisashi

» අනං මනං! #/+?.<>
Free Technical Analysis Education EmptyTue Aug 20, 2019 8:18 pm by ruwan326

» What Would You Do?
Free Technical Analysis Education EmptyMon Aug 19, 2019 1:02 pm by කිත්සිරි ද සිල්වා

» Back of the Legends
Free Technical Analysis Education EmptyMon Aug 19, 2019 10:13 am by Topcat

» NTB.N0000 (NATIONS TRUST BANK PLC)
Free Technical Analysis Education EmptySun Aug 18, 2019 10:33 pm by lanka

» Melstacorp (MELS)
Free Technical Analysis Education EmptySun Aug 18, 2019 8:33 pm by The Invisible

» Cargills (CARG)
Free Technical Analysis Education EmptySun Aug 18, 2019 8:26 pm by The Invisible

» DOCK.N0000 (COLOMBO DOCKYARD PLC)
Free Technical Analysis Education EmptySun Aug 18, 2019 8:18 pm by The Invisible

» SHL.N0000 (Softlogic Holdings PLC)
Free Technical Analysis Education EmptySun Aug 18, 2019 8:14 pm by The Invisible

» SAMP.N0000 (SAMPATH BANK PLC)
Free Technical Analysis Education EmptySat Aug 17, 2019 12:44 pm by nuwanmja

» CFVF - First Capital
Free Technical Analysis Education EmptyFri Aug 16, 2019 9:58 am by CK

» Ceylinco Insurance CINS
Free Technical Analysis Education EmptyWed Aug 14, 2019 9:18 am by The Invisible

» HNB.N0000 ( Hatton National Bank PLC)
Free Technical Analysis Education EmptyWed Aug 14, 2019 9:15 am by The Invisible

» NDB.N0000 (NATIONAL DEVELOPMENT BANK PLC)
Free Technical Analysis Education EmptyWed Aug 14, 2019 9:11 am by The Invisible

» LIOC.N0000 (Lanka IOC PLC)
Free Technical Analysis Education EmptyMon Aug 12, 2019 2:55 pm by xmart

» HAYL.N0000 Hayleys PLC
Free Technical Analysis Education EmptyMon Aug 12, 2019 1:43 pm by CK

» PABC.N0000 (Pan Asia Banking Corporation PLC)
Free Technical Analysis Education EmptyMon Aug 12, 2019 1:33 pm by The Invisible

» Grain Elevators
Free Technical Analysis Education EmptyMon Aug 12, 2019 1:31 pm by The Invisible

» Sri Lanka sets US$3.5bn tea export target for 2030
Free Technical Analysis Education EmptyMon Aug 12, 2019 1:27 pm by The Invisible

» Tea: July 2019 national average shows gains month on month
Free Technical Analysis Education EmptySun Aug 11, 2019 9:19 pm by Topcat

» OSEA .N
Free Technical Analysis Education EmptySat Aug 10, 2019 6:40 pm by The Invisible

» Sri Lanka mulls reforms to punish 'errant' plantation companies
Free Technical Analysis Education EmptySat Aug 10, 2019 6:33 pm by The Invisible

» JKH.N0000
Free Technical Analysis Education EmptySat Aug 10, 2019 11:38 am by The Invisible

September 2019
SunMonTueWedThuFriSat
1234567
891011121314
15161718192021
22232425262728
2930     

Calendar Calendar

Disclaimer


Information posted in this forum are entirely of the respective members' personal views. The views posted on this open online forum of contributors do not constitute a recommendation buy or sell. The site nor the connected parties will be responsible for the posts posted on the forum and will take best possible action to remove any unlawful or inappropriate posts.
All rights to articles of value authored by members posted on the forum belong to the respective authors. Re-using without the consent of the authors is prohibited. Due credit with links to original source should be given when quoting content from the forum.
This is an educational portal and not one that gives recommendations. Please obtain investment advises from a Registered Investment Advisor through a stock broker

Free Technical Analysis Education

Go down

Free Technical Analysis Education Empty Free Technical Analysis Education

Post by nihal123 on Sun Aug 23, 2015 10:58 pm

nihal123
nihal123
Top contributor
Top contributor

Posts : 5720
Join date : 2014-02-24
Age : 53
Location : Waga

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:31 am

Thank U Nihal Ayya for ur initiative,
I would like to go further....

Charts Types....

1. Daily bar chart– This is the most widely used chart. It is constructed to show four pieces of information: opening price, closing price, high of the day, and low of the day. Looking at each day’s history, a vertical line shows the day’s range with a horizontal line pointing left to mark the opening price and a horizontal line pointing right to mark the closing price.

Free Technical Analysis Education Gs-daily-bar-graph

2. Candlestick chart – This chart presents the same data as a bar chart, but in a slightly different format. The chart has two main parts. The first is the thin line, known as the “shadow,” which shows the price range from high to low. The wider area, known as the “real body,” measures the difference between the opening price and the closing price. If the close is higher than the open, the real body is white.

Free Technical Analysis Education Gs-candlestick
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:33 am

3. Line chart – A line chart measures only the closing price and connects each day’s close into a line. Many technicians believe closing price is the only point that matters. For them, a line chart may be the most appropriate study.

Free Technical Analysis Education Gs-line


4. Point and figure –A point and figure chart is concerned only with price, not time or volume. The chart uses an X to mark increases in price and an O to mark lower prices. With this approach it is easier to spot trends and reversals. However, since time is not used as an input, P&Fs offer little guidance on how long it will take for profit objectives to be met.

Free Technical Analysis Education Gs-point-and-figure
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:38 am

Stock Chart Patterns Every Investor Should Know

1. Gaps – Gaps occur when a price opens much higher (gap higher) or lower (gap lower) than the previous day’s close. Once a gap occurs, the new price represents an important price level. Gaps higher create support that should allow the stock to move higher and gaps lower create resistance that should pressure the stock lower. Until the gap is violated, we should assume the trend will continue in the gap’s direction. Amazon.com (AMZN) shows a gap higher on heavy volume (black arrow) that now acts as support (black line). As the stock has traded higher from that moment, it would take a close below $57.50 to indicate the bullish move is over.

Free Technical Analysis Education Amzn-gap
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:39 am

2. Head and shoulders – This is a powerful pattern that marks a top and also provides a downside price target. When a head and shoulder forms, we see a rise within an existing uptrend to a new high that creates the left shoulder. Prices then move lower, but rebound to another new high to form the head. From that point, we see a decline that does not violate the initial sell-off from the left shoulder. Prices rally again, but the failure to top the recent high forms the right shoulder. By connecting the lows that occurred after the left shoulder and head were formed, we identify the neckline. Once the neckline is violated, the pattern is complete and prices will move lower.

To see this pattern in action, consider the Volatility index (VIX). In October, a strong uptrend took the VIX near 80 before a sell-off. This formed the left shoulder. A rally above 80 and subsequent decline created the head. When VIX then topped out near 70, the right shoulder was formed. The breaking of the neckline (blue line) pointed to lower prices. To estimate the downside target, we use the difference between the head and the neckline.

Free Technical Analysis Education Vix-head-and-shoulders
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:40 am

3. Triple bottom/top – This is a variation of a head and shoulders pattern. The main difference is that whereas the head and shoulders offers three points at different prices, the triple top/bottom offers them at the same price. Cliff Natural Resources (CLF) shows three highs at the same level (blue circles). This indicates a potential triple top that would drive prices toward $20.

Free Technical Analysis Education Clf-tripple-top
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:41 am

4. Double bottom/top – This is more frequent as it requires only two data points whereas the triple top and head and shoulders require three points. When we see two prices at the same level, it indicates stocks have reached either a top or bottom. As with most technical patterns, reversals on heavy volume reinforce the movement. Returning to KO, the black circle indicates a spike in volume that accompanied the reversal. This should have warned all those owning the shares that the massive reversal was occurring.

Free Technical Analysis Education Ko-double-top
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:41 am

5. Saucers – Saucers show a gradual turn from downtrend to sideways to uptrend. They are long-lasting base-building patterns that indicate trends are changing. Copper offers an example whereby a long downtrend eventually bottomed, moved sideways, and then pushed higher. This lets us know that the recent lows near $130 should serve as a long-term base years into the future.

Free Technical Analysis Education Copper-saucer
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:47 am

6. Cup and Handle

A cup-and-handle pattern resembles the shape of a tea cup on a chart.
This is a bullish continuation pattern where the upward trend has paused, and traded down, but will continue in an upward direction upon the completion of the pattern. This pattern can range from several months to a year, but its general form remains the same.

The cup-and-handle pattern is preceded by an upward move, which stalls and sells off. The sell-off is what forms the initial part of this pattern. After the sell-off, the security will basically trade flat for an extended period of time, with no clear trend. The next part of the pattern is the upward move back towards the peak of the preceding upward move. The last part of the pattern, known as the handle, is a relatively smaller downward move before the security moves higher and continues the previous trend.

Free Technical Analysis Education Cup_and_Handle
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:56 am

Trading Psychology, The 14 Stages of Investor Emotions

Free Technical Analysis Education Investor-stages-emotions


1.Optimism – A positive outlook encourages us about the future, leading us to buy stocks.

2.Excitement – Having seen some of our initial ideas work, we begin considering what our market success could allow us to accomplish.

3.Thrill – At this point we investors cannot believe our success and begin to comment on how smart we are.

4.Euphoria – This marks the point of maximum financial risk. Having seen every decision result in quick, easy profits, we begin to ignore risk and expect every trade to become profitable.

5.Anxiety – For the first time the market moves against us. Having never stared at unrealized losses, we tell ourselves we are long-term investors and that all our ideas will eventually work.

6.Denial – When markets have not rebounded, yet we do not know how to respond, we begin denying either that we made poor choices or that things will not improve shortly.

7.Fear – The market realities become confusing. We believe the stocks we own will never move in our favor.

8.Desperation – Not knowing how to act, we grasp at any idea that will allow us to get back to breakeven.

9.Panic – Having exhausted all ideas, we are at a loss for what to do next.
10.Capitulation – Deciding our portfolio will never increase again, we sell all our stocks to avoid any future losses.

11.Despondency – After exiting the markets we do not want to buy stocks ever again. This often marks the moment of greatest financial opportunity.

12.Depression – Not knowing how we could be so foolish, we are left trying to understand our actions.

13.Hope – Eventually we return to the realization that markets move in cycles, and we begin looking for our next opportunity.

14.Relief – Having bought a stock that turned profitable, we renew our faith that there is a future in investing.
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 8:59 am

So,Before embarking on a journey to technical trading, we are best served to understand the five main assumptions of this approach. These are:

1.Art over science – Many investment approaches require us to perform a great deal of math to generate an answer. Technical analysis does not. Looking at the same chart, many investors will derive different answers. Therefore, reading charts evolves into an art form where each analyst can provide a unique insight.

2.No need to know – As more information becomes available, people become obsessed with knowing why events occur. In the markets, we often never know. Instead of searching for the next piece of data that magically unlocks the puzzles, technicians focus on the past and interpolate how it will affect the future.

3.History repeats – A study of history shows that set patterns repeat themselves over long periods. By relying on the past to predict the future, we can take advantage of these patterns.

4.Self-fulfilling prophecy – Enough people seeing the same pattern will take actions that force the prediction to occur. While this is positive if you are on the right side of the trade, it presents a major weakness when everyone attempts to exit at the same time.

5.Momentum reverses – When a trade becomes very crowded with everyone assuming the same position, unexpected surprises can drive prices. If the exit becomes crowded, what first looked promising quickly becomes a nightmare.
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Free Technical Analysis Education Empty Re: Free Technical Analysis Education

Post by chutiputha on Sat Oct 31, 2015 9:59 am

Free Technical Analysis Education The-Viscous-Cycle-of-Failure
chutiputha
chutiputha
Top contributor
Top contributor

Posts : 1876
Join date : 2014-11-09
Age : 33
Location : Panadura

Back to top Go down

Back to top


 
Permissions in this forum:
You cannot reply to topics in this forum