Český finanční a účetní časopis 2007(3):32-40 | DOI: 10.18267/j.cfuc.231

Some Less Known Charting Methods of Technical Analysis and Possibilities Its Using for Identification Trend Changes

Jitka Veselá
Ing. Jitka Veselá, Ph.D. - odborná asistentka; Katedra bankovnictví a pojišťovnictví, Fakulta financí a účetnictví, Vysoká škola ekonomická v Praze, nám. W. Churchilla 4, 130 67 Praha 3; <veselaj@vse.cz>.

Technical analysis is a method of predicting price movements and future market trends by studying charts and future of past market action. By technical analysts are used past information about prices, volume of trading and indexes for predicting futures prices movements. Technical analysis is a subjective "art" or skill whose success depends on a great deal on the analyst experience. Technical analysis is based on three underlying principles: 1.Market action discounts everything, 2.Patterns exists and 3.History repeat itself. The technical analyst has a wide variety of technical analysis tools and techniques to choose from. It is possible all tools of technical analysis dividing into too group. First of them contents different types of charts and seconds of them is composed from technical indicators. There are several types in Europe and America less known charts of technical analysis as for example Kagi Chart, Three Line Break Chart and Renko Chart. These types of charts can be successfully used for identification changes of trend on the capital, commodity or currency markets. Basic principles for plotting these types of charts are special, however very clear. Their basic principles come from Japanese philosophy.

Keywords: Technical Analysis; Kagi Chart; Three Line Break Chart; Renko Chart.
JEL classification: G12, G19

Published: October 1, 2007  Show citation

ACS AIP APA ASA Harvard Chicago Chicago Notes IEEE ISO690 MLA NLM Turabian Vancouver
Veselá, J. (2007). Some Less Known Charting Methods of Technical Analysis and Possibilities Its Using for Identification Trend Changes. Czech Financial and Accounting Journal, 2007(3), 32-40. doi: 10.18267/j.cfuc.231
Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    References

    1. Bloomberg (1998): Technical Analysis Revisited. A Magazine for Market Professionals, 1998, roč. 12, č. 12, s. 99.
    2. Equis International (1995): MetaStock(TM) verze 4.5 - uživatelská příručka. Brno, Moneco, 1995.
    3. Fanta, J. (1996): Technická analýza kapitálových trhů. Praha, Karolinum, 1996.
    4. Hamilton, W. P (1922): The Stock Market Barometer. New York, Harper and Bros., 1922.
    5. Musílek, P. (1999): Finanční trhy a investiční bankovnictví, Praha, ETC Publishing, 1999.
    6. Pring, M. J. (2002): Technical Analysis Explained, New York, McGraw-Hill, 2002.
    7. Rhea, R (1932): Dow Theory. New York, Barron, 1932.
    8. Reuters (1999): An Introduction to Technical Analysis. New York, Wiley, 1999.
    9. Veselá, J. (2005): Burzy a burzovní obchody - výchozí texty ke studiu. Praha, Oeconomica, 2005. Zdroj pro zpracování grafů
    10. EQUIS International: program Metastock verze 8.01.

    This is an open access article distributed under the terms of the Creative Commons Attribution 4.0 International License (CC BY 4.0), which permits use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.


    Return to the content