Just some of the benefits of Technical Analysis
- Helps identify trends and where price action is in relation to that trend.
- Useful in money management – helping to Identify targets – stops and price targets
- Enables the analyst to cover many markets in a short space of time, and you do not necessarily have to be an expert in that market to analyse it to some degree.
- Helps you understand the nature of human behaviour by looking at price action, studying emotions of fear and greed and hope become apparent.
- Helps understand the supply/demand situation of a particular instrument.