Technical Analysis - Explained - Credit Suisse
Patterns(Elliott waves)Trend(Moving averages) momentum (Rates-of-change)Techni cal Analysis - ExplainedPrivate BankingZurich/SwitzerlandGlobal Technical Research and Behavioral FinanceCautionHopeGreedOptimismEuphoriaC onvictionConfidenceReliefDespondencyPess imismFearPanicDenial- 2 - Technical Analysis - ExplainedGlobal Technical Research60006500700075008000850090009500 ContentsWhat is Technical Analysis ? . . . . . . . . . . . . . . . . . . . . . . . . .3Technical Analysis pre-empts fundamental data . . . . . . .4Mood governs ratio . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5Optimism, pessimism, greed and fear . . . . . . . . . . . . . . .6Chart types and chart construction . . . . . . . . . . . . . . . . . .7Support and resistance . . . . . . . . . . . . . . . . . . . . . . . . . . .8Trendlines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . .9Investment horizons.
Watching financial markets, it becomes obvious that there are trends, momentum and patterns that repeat over time, not exactly the same way but similar. Charts are self-similar as they show the same fractal structure (a fractal is a tiny pattern; …
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