Forex market today - one of the main places of earning online. In scale market is second to none in e-commerce, or writing, or promotion of advertising and promotion, and on a number of indicators on the contrary far ahead of the aforementioned areas.
At first glance, the scheme of currency trading is simple - buy cheap and sell expensive. In practice, however, things are more complicated. There are lots of approaches and systems to help analyze the situation on the currency market. Fundamental analysis and trading psychology technical analysis together form the knowledge base necessary for market participants to make good decisions on certain transactions.
Most traders based their work selected schemes and methods of technical analysis is being built on the prediction of events based on motion graphics currency rates. This type of analysis is carried out by using different graphical models.
Graphical models - certain principles of lines of support and resistance levels on the charts. With these models traders predict further trend. He may continue or turn back. Based on this, all the graphical models are divided into two main groups: reversal patterns and continuation patterns. Foreign word pattern is a synonym for a graphical model.
Figures of the first group showed significant changes in the market situation and inform traders about the occurrence of an important, perhaps even a tipping point, causing to be on the alert. The figures continue in most cases signal the onset of a certain phase of a lull in the foreign exchange market. Such a situation is possible in the case of too rapid development trend and indicates its intermediate correction.
The basis of all the Forex graphical models put the main principle of technical analysis . It consists in the fact that the price of any world currency moves in a certain trend. All trends or market trends last for a certain period of time, after which can undergo significant changes.
In most cases, this happens gradually, slow-motion graphics, the onset of pause or transition graphs in the "flap". Abrupt changes are a rare occasion. Further, as a general rule, you should turn and begins to develop a certain pricing model.
Predict the imminent appearance of the figure can turn on the following features:
• Availability of long-term trends of the preceding character traits;
• In some cases, such a signal is a key trend line break;
• Based on the level of the width and height of the model, we can predict the future behavior of the charts.
Height dimension is responsible for the degree of volatility of a particular shape, and the width shows the time required for the formation of a new model or the termination of its existence.