Recognising that portfolio managers and analysts do not need the kind of technical analysis used by day-traders and dealers, this course concentrates on market timing from a longer-term point of view. This course is designed to give a timing overlay for fundamental decisions.

Day 1
+ Behavioural finance and the case for technical analysis
+ Dow Theory
+ Chart Types
+ Trends and channels
+ Chart Patterns
+ Moving Averages
+ Momentum – the popular indicators
+ Determining the strength of the trend
+ Volume analysis
+ Elliott Wave analysis
+ Cycles
+ Putting it all together
+ A systematic approach

This course is suitable for those involved in all market sectors. There is an additional half-day module in the morning of Day 2 specifically for those involved in Equities. This module will cover:

Day 2 (for equities only)
+ Sentiment Indicators
+ Indices – Top Down Approach
+ The business cycle
+ Relative strength

Charting scales
Comparing linear and log scaling on charts – what they show and when to use them

Candlestick charts
- The unique advantages of candlestick charting
- An overview of the 40 most popular patterns and their signals
- Some lesser known but effective patterns and how to trade them
- Developing a trading strategy by applying stochastic studies to candlestick charts

Point and figure charting
This often overlooked charting technique has much to offer in generating clear and
unambiguous trading signals. Point and figure charts are more sophisticated in their
construction than either bar or candlestick and skill is required in optimizing the chart
settings to the market being traded. This section presents the most effective
applications of the point and figure technique.

Chart patterns
The most effective continuation and reversal patterns and how to identify and trade
them: head-and-shoulders, double tops and bottoms and consolidation areas.

Trading volume
- Volume theory
- The On Balance Volume (OBV) indicator
- Chaikin’s oscillator

Moving averages techniques
- Choosing ideal period settings for moving average lines across different markets
- Optimization
- Advanced rule-based trading methods such as the Turtle system

DAY 2
Fibonacci ratios
- Fibonacci and market psychology
- Practical applications: retracements, targets and time.

Trend lines
- Drawing them correctly
- Targets and false breaks
- Tom DeMarks’ TD Lines: an alternative approach to trend lines
- Exit methods

Ichimoku charting
Ichimoku is a much talked about mechanical charting technique that can be applied to
all markets. This section presents a detailed explanation of Ichimoku and its practical
application.

Advanced indicators
- Moving Average Convergence-Divergence
- Wilder’s Relative Strength Index
- Stochastics
- Directional Movement Index

DeMark Indicators
TD Sequential and TD Combo: calling tops and bottoms accurately

Long-term trend analysis
- Identifying a trend and assessing its strength
- Indicators that measure if the market is trending or non-trending
- Measuring if the trend is close to exhaustion using volume data and histograms
- Market breadth indicators - how broadly based is a market rally?
- Advance/Decline analysis techniques

This course provides a thorough grounding in technical analysis to traders and investment managers new to the subject.

The course gives particular attention to the following topics:

Technical analysis
- Why it works and its limitations

Chart types
- Line, bar, candle and semi-log – Using them in different markets and market conditions

Support and resistance levels
- Identifying levels
- Assessing their strength
- Expected price movement on the break of levels

Trend lines
- Drawing lines correctly
- Recognising trend line breaks and ‘false breaks’

Chart patterns
- The major continuation and reversal patterns
- How to recognise them and how to project subsequent price moves

Volume
- Understanding its significance and using volume data with price

Moving averages
- The different types of moving average lines
- Which periods to use
- Moving average based trading techniques

Dow Theory
- Appreciating the contribution of Charles Dow

New developments in technical analysis
- What new analysis is catching on?