The examination of market movements to interpret potential future price fluctuations based on historical patterns forms the foundation for a specific trading approach. Information pertaining to this approach often focuses on chart analysis and the identification of setups, with the aim of predicting short-term changes. Such insights are frequently disseminated through financial news outlets and educational resources dedicated to trading strategies.
A reliance on price data alone, without incorporating external indicators or fundamental analysis, allows traders to react swiftly to emerging trends. This methodology is often favored by individuals seeking to capitalize on short-term market inefficiencies or to execute highly specific trading plans. Historically, this type of analysis has been crucial for floor traders and those lacking immediate access to comprehensive economic data.
