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Random article: Forex Support and Resistance
Analyzing any Forex currency pair, every trader accounts for such values, which go through consolidation of its price not just once. At this point, it does not matter which forecast method is adhered by a trader: those values should be considered by all of them. Support line represent force line to which the price moved top down and back not once. In the opposite case when the price several times approached a certain point down top and bounced from it, it is known as resistance line.
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Popular article: Basics of Technical Analysis
By technical analysis we should basically understand employment of price chart (and results of its math interpretation) for further market and price forecast. Technical analysis rests upon repeated nature of market and implies that ups and downs of currency quotations on charts are rotated according to certain time periods. An advantage of technical analysis is its universal application: with its help one can research any financial contract for any period of time. The market accounts for everything. That means that any event, which could affect price behavior is already accounted by market and is reflected on the price chart. This proposition means that all factors impacting the price will be definitely reflected in its behavior, therefore, it is required to monitor quote graph.
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