Account
New to ADSS? Open an
account now to get started.
Already have an account?
Add funds to your ADSS account
Account
New to ADSS? Open an
account now to get started.
Add funds to your ADSS account
Technical analysis is one method for predicting future price movements and works by observing past price data. A few assumptions, not always accepted, underpin technical analysis: that all relevant market data is included in the price, that prices move in patterns called trends, and that psychological phenomena such as support and resistance have an impact on market activity. Traders can use technical analysis in various financial markets, such as stocks, bonds, forex, and more.
Traders use technical analysis to predict future price moves. The techniques involved can include oscillators, candlestick charting, support and resistance based on trend lines, and other tools. All these use publicly available price data to identify the beginning and end of trends, as well as momentum within the trend, to see if one is likely to reverse or continue. Practitioners claim that this data allows them to accurately predict future market movements.
Not everyone agrees with the claims of technical analysis, with other traders preferring to use fundamental economic factors to influence their trading decisions. Disagreements between technical and fundamental traders are a normal occurrence, but many traders have devised strategies that combine both.
For example, a trader might use fundamental criteria to identify a list of currencies he expects to outperform, then use technical strategies to find entry points, take profit levels and set stop losses. This sort of combined strategy allows traders to benefit from both strategies simultaneously.
ADSS offers a range of global markets for traders, with opportunities in indices, commodities, forex, equities and more. We also feature tutorials, how-to guides, and weekly webinars to help you navigate the financial markets and find better trading opportunities. You can start trading and investing online by opening a live trading or demo trading account.
See all glossary trading terms
See related entries from our knowledge base:
Introduction to technical analysis
ADSS
8th floor, CI Tower
Corniche Road
PO Box 93894
Abu Dhabi
United Arab Emirates
Trading Services
ts@adss.com
+971 2 657 2414
Investing in CFDs involves a high degree of risk that you will lose your money due to the use of leverage, particularly in fast moving markets, where a relatively small movement in the price can lead to a proportionately larger movement in the value of your investment. This can result in loses that exceed the funds in your account. You should consider whether you understand how CFDs work and you should seek independent advice if necessary.
ADS Securities L.L.C – S.P.C (“ADSS”), a limited liability company – sole proprietorship company incorporated under United Arab Emirates law. Registered under Commercial License No.1190047. ADS Securities L.L.C S.P.C is regulated and authorised in the UAE by the Capital Market Authority (CMA) under Category 1 License No.305027 (Trading Broker, Trading and Clearing Broker, Trading Broker in the International Markets, Trading Broker of OTC Derivatives and Currencies in the Spot Market, Financial Products Dealer) and Category 5 License No.20200000217 (Introduction). Registered Office: 8th Floor, CI Tower, Corniche Road, P.O. Box 93894, Abu Dhabi, United Arab Emirates.
The information presented is not directed at residents of any particular country outside the United Arab Emirates and is not intended for distribution to, or use by, any person in any country where the distribution or use is contrary to local law or regulation.
ADSS is an execution only service provider and does not provide advice. ADSS may publish general market commentary from time to time. Where it does, the material published does not constitute advice, or a solicitation, or a recommendation to a transaction in any financial instrument. ADSS accepts no responsibility for any use of the content presented and any consequences of that use. No representation or warranty is given as to the completeness of this information. Anyone acting on the information provided does so at their own risk.
