ROG 20.0% 0.4¢ red sky energy limited.

@markaway77I'd always recommend starting with the charting...

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    @markaway77

    I'd always recommend starting with the charting basics - things like support/resistance, trend lines and market structure. Understanding what these are, how & why price behaves the way it does within these constructs gives a good foundation for charting and technical analysis.

    I'd probably then move onto chart set ups and patterns (e.g. cup & handle, bullish pennant etc). Predictions through charting & TA (Technical Analysis) will never be 100% accurate, but you will see that these set ups and patterns do play out a lot, meaning you'll be able to identify potential opportunities purely based on a chart.

    Then there are indicators. There are a ton of indicators out there, so before you start thinking of which indicators to use I suggest thinking of what information do you want to get out of your TA. Is it trend analysis? Then maybe look into moving averages. Is it momentum & sentiment? Then maybe the MACD or Stochastic might be suitable. Are you looking for buy or sell signals? Maybe use a combination of MACD and the price bouncing off a moving average as support, or the price has touched the lower Bollinger Band.

    There's a million ways to skin a cat with charting and Technical Analysis, and everyone has their own trading/investing style. You'll need to find what kind of charting or technical analysis will fit your style or needs. Google, Youtube & books are your friends.

    The reason we do due diligence, of any kind, in trading/investing is to increase the probability that our trade or investment is a winner. Technical Analysis is just one tool that can help increase those odds as part of your due diligence.
    Last edited by ngberg: 28/04/21
 
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