Category: Technical Analysis Guide

What Is a Price Channel? A price channel appears on a chart when a security’s price becomes bounded between two parallel lines. Depending on the direction of the trend, the channel may be termed horizontal, ascending, or descending. Price channels…

General Trading-Related Terms Fear, Uncertainty, and Doubt (FUD): Spreading of fear and misinformation to gain an advantage. Fear Of Missing Out (FOMO): The emotion you feel when you panic buy. HODL: Buy and hold on to it for a long…

What is the Dow Theory? Essentially, the Dow Theory is a framework for technical analysis, which is based on the writings of Charles Dow concerning market theory. Dow was the founder and editor of the Wall Street Journal and the…

What Is a Trendline? Trendlines are easily recognizable lines that traders draw on charts to connect a series of prices together or show some data’s best fit. The resulting line is then used to give the trader a good idea…

What Is The Wychoff Method? Legendary technician Richard Wyckoff wrote about financial markets in the early decades of the 20th century at the same time as did Charles Dow, Jesse Livermore, and other iconic market analysis figures. His pioneering approach…

Introduction To Charts & Bar Styles In this guide, we will explain the different bar styles that you can use to technically analyze the finencial markets. Many styles and techniques have been developed over the years but here at AlgoStorm,…

What Is a Trend? A trend is the overall direction of a market or an asset’s price. In technical analysis, trends are identified by trendlines or price action that highlight when the price is making higher swing highs and higher…

What Are Support & Resistance Lines? The concepts of trading level support and resistance are undoubtedly two of the most highly discussed attributes of technical analysis. Part of analyzing chart patterns, these terms are used by traders to refer to…

Technical Analysis Definition Technical analysis is the study of historical market data, including price and volume. Using insights from market psychology, behavioral economics, and quantitative analysis, technical analysts aim to use past performance to predict future market behavior. What Does…