Technical Analysis - The Dedicated Trader

Better Trades Dedicated Trader

The heartbeat of options trading is technical analysis. It's the most common approach to predicting the direction and movement of a stock and is vital to making profits in the stock market. Technical analysis is so important that an entire section of The Dedicated Trader's Education Center is devoted to the subject.

The BetterTrades tool has placed great emphasis on technical analysis in the Education Center. The material is designed to inform and enlighten a user and help answer questions about technical analysis before they jump into the stock market.

There are three main jumping off points regarding the subject on The Dedicated Trader. These three tutorials are an introduction to technical analysis, support and resistance, and an introduction to candlestick charts. The material offers essential information for newcomers and can be useful for experienced traders, who may want a review or need to have other questions answered.

The introduction to technical analysis covers many basic topics. It explains a stock chart and describes the various types of charts. There are directions on picking a time frame to view and how the price scaling process works.

The support and resistance section explains the concept of stocks selling between a high point and a low point. These are key junctions where supply and demand, as well as the feelings of buyers, can be felt. Not only does this section explain the idea behind support and resistance levels, it explains how to establish both and use the parameters to determine possible trades.

The candlestick chart portion of the stock may be especially enlightening to new traders, who have always seen a stock chart presented in a line form. The candlesticks put analysis on another level, which gives the trader a better view of potential candidates to trade. This section explains many of the common formations of a candlestick, including a doji, a sign of indecision in the market.

Other articles on the page cover assorted topics related to technical analysis. Subjects include trendlines, chart patterns, and indicators.

All this information is available on The Dedicated Trader in an effort to make the BetterTrades students wiser about how to make money in the stock market. The proper use of education is essential to those looking to make financial gains in the market.