The Tens of Technical Analysis

Some learnings that I’m sure I need to review in my soon trading career. I  strongly recommend Technical Analysis for Dummies. Learn technical analysis the fun way that any person can understand easily.

Ten Secrets of the Top Technical Traders
- Put your faith in the chart rather than the “experts”
- Get to know the virtues and drawbacks of technical indicators

1. Trust the Chart
2. Trend Is Your Friend
3. You Make Money Only when You Sell
4. Take Responsibility
5. Avoid Euphoria and Despair
6. Making Money Is Better Than Being Right
7. Don’t Let a Winning Trade Turn into a Losing Trade
8. Don’t Curve-Fit
9. Trade the Right Amount
10. Diversify

Ten Rules for Working with Indicators
- Identify market sentiment
- Use indicators as a guide - not a crystal ball

1. Listen to the Price Bars
2. Understand Your Indicator
3. Use Support and Resistance
4. Use the Breakout Principle
5. Watch for Convergence/ Divergence
6. Choose a Ruling Concept
7. Back-test Your Indicators Properly
8. Acknowledge that Your Indicator Will Fail
9. There Are No Secret Indicators
10. Be Original