Forex chart analysis

Forex chart analysis

Over a long time of work on the Forex market, traders accumulated a bulk of material regarding monitoring of price charts. This experience allows to conclude about regularity of lines combinations, which form so called graphic figures. Outline of those figures allows to forecast further movement of price. Forex chart analysis gained popularity among traders and became a full-fledged analytical and forecasting instrument.

All figures of Forex chart analysis are usually divided into two groups: the figures telling about keeping current tendency and reversal figures. As it is already clear from their names, continuation patterns tell that main direction of current price won't change and current trend will keep on. On the contrary, reversal patterns tell us that in the nearest time change of main tendency should be expected.