Here are a few tips in conducting technical analysis:
Do not use too many Indicators
Most traders consider a growing number of indicators they use, the more accurate their predictions. This assumption is wrong. Thus the more indicators you use instead will make your getting confused for a decision. All you need to do is combine indicators, such as indicators for the trend of MA combined with indicators RSI or stochastics oscillator. Do too much, just two or three of a kind just so you don't get confused.
Use indicators that are understandable only
Learn carefully until you know how to use it, then practise. If you already feel comfortable and able to collect profit consistently with a indicator that, don't try something that you've never prove profitability.
Simple is better
Good or whether the indicator is not dependent on complicated or not, but the indicators or whether the trader could use it. The more simple, the more You readily understand its usefulness, that the easier you know the trick, the easier it is for you to collect the profit.
Many are practicing
Analysis of learning like learning to swim. Nobody will be able to swim if you only learn in theory without going down to the pool. To be able to do the analysis properly, you have to practice it. Though you practice using the demo account, deal like a real account, so you'll get used when a real transaction.
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