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Graphic figures catalog Graphic figures catalog What is a technical analysis for binary options? If briefly — that is the basis of all the basics of binary trading.
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Analysis of binary… Graphic shapes are one of the most powerful and intuitive tools to help accurately identify the trend and determine its direction. They are used by both beginners and professionals, graphic shapes able in some cases to completely replace the technical analysis and to run without signals and indicators.
Graphic shapes are divided into 2 types: continuation patterns and reversal patterns. The presence on the chart of trend continuation patterns indicates the period of stagnation in the market.
If we are talking about a longer timeframe, complete immobility will persist for a long time. For this reason, some traders in Forex, ignore the figures continue the trend, because trading in the referred period is almost impossible. Players on the binary options more than happy with this figure, since it shows stable and easily predictable movement of the trend.
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Reversal patterns indicate a trend reversal and are key for traders, as most successful trades. Built and analyzed such figures also much longer than graphics continue.
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It is noteworthy that the graphs show the General direction of the price and its trends, while nuances in the digital equivalent, they do not show. Reversal patterns As mentioned graphic figures in binary options, such figures of technical analysis will display the change of trend in the market.
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All of them are these graphic figures in binary options Such figures often are in the case, if the trend is sustainable and clearly defined. If the relevant line has been broken the trend line, it is an essential prerequisite for reversal.
The size of the model is crucial.
The bigger it is, the more rapid will be the movement. Technical analysis looks at the change of the downward trend rising such an important indicator as the volume of trade. If patterns are formed on the bottom, the price movement will be quiet and not Express.
The closer to the top — the higher the intensity. The main feature of any reversal pattern is the presence of a clearly expressed trend. If on the chart there is what looks like a reversal, but the trend is absent in this case, the reversal is actually there most oftenand the signal is false.
Classic graphic shapes All major reversal patterns and continuation was described by Alexander elder, John j. Murphy, E. Newman, Schwager and others. To the classic reversal patterns include: double top and the base; triple top making money with our head the base; head and shoulders; the thorn the base and the V-shaped vertex ; diamond diamond ; To the classical trend continuation patterns include: rectangle.