#TradingAnalysis101

1. Technical Analysis

This analysis is based on historical price movements and chart patterns to predict future price movements.

Main components:

Price Action → Price movement without additional indicators.

Support and Resistance → Psychological levels where prices tend to stop or reverse.

Technical Indicators

Moving Averages (EMA, SMA) → Smooths prices to see trends.

Relative Strength Index (RSI) → Indicates whether an asset is overbought or oversold.

Fibonacci Retracement → Determines potential retracement levels.

Candlestick Patterns → Such as bullish engulfing for entry confirmation.

Time Frame → Used according to strategy (scalping, intraday, swing, etc.).

2. Fundamental Analysis

This analysis looks at economic, financial, and news factors that can influence asset prices.

Main factors in crypto and forex:

Economic News → CPI, FOMC, GDP, NFP, etc.

Supply & Demand → The amount of circulating assets and the level of demand.

Regulation & Market Sentiment → Government regulations, institutional adoption.

On-chain Analysis (Crypto) → Blockchain data such as the number of transactions and active wallets.

3. Sentiment Analysis

Assesses market psychology based on the reactions of traders and investors.

Tools:

Fear & Greed Index → Indicates whether the market is in euphoria or fear.

Social Media & News Monitoring → Observes sentiment from news or social media.

Open Interest & Funding Rate (Crypto) → Shows dominance of long or short positions.

How to Use It in Trading?

1. Use Technical Analysis for Entry & Exit → Look for suitable patterns and indicators.

2. Monitor News & Fundamentals → Avoid trading during major news if volatility is high.

3. Pay Attention to Market Sentiment → Check whether the market is bullish or bearish.

4. Risk Management → Use stop loss, trailing stop, and risk-reward ratio for capital protection.