Technical Analysis

A method of forecasting the price movements of financial instruments based on the study of historical data, charts, and patterns. It is often used by traders to make decisions aimed at achieving short-term profits. Technical analysis is based on the principle that “the market discounts everything,” meaning all available information and expectations are already reflected in prices. It differs from fundamental analysis, which focuses on economic indicators, financial statements, and other factors that determine an asset’s intrinsic value.