By Roberto Pedone
WINDERMERE, Fla. (Stockpickr) -- Technical analysis is a great tool that investors and traders can use to try to even the playing field on Wall Street. Instead of blindly throwing money at a stock, market players can consult the charts and try to determine things such as prevailing trends, where support and resistance are and what levels on a stock mark a good entry or exit point. They can also analyze trading volume to see if the big money is moving into a stock or moving out.
All investors hope to end up on the right side of the trend, and using technical analysis to stalk the charts like a forensic scientist can help them remove emotional bias and make informed decisions. For instance, noticing that a stock is trending down might help an investor avoid an investment based on his or her love of the company's product.
By no means should we ignore the fundementals, but at the end of the day, the objective is to make money. Technical anlaysis can help us make money on the long or short side by discovering the best chart patterns that give us the highest probability of success.Here's a look at some compelling charts that are piquing the interest of the Stockpickr community. If you're interested in having a chart analyzed for a future article, please visit this forum and post your tickers.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV