Introduction to Technical Analysis for Day Traders

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It never bothered me if people disagreed with 
what I thought, as long as I felt I knew the  

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facts. I mean, there’s a whole bunch of things I 
don’t know to think about—I just stay away from  

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those. So I stay within what I call my circle 
of competence. You know that. And Tom Watson  

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said it best. He said, “I’m no genius, but I’m 
smart in spots, and I stay around those spots.”

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Well, I try and stay around those spots. And 
I just don’t have a problem if somebody says,  

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“You know, you’re wrong on something.” I 
just go back and look at the facts. And  

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I think that really is much more important, 
frankly, than having a few extra points of  

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IQ or taking an extra course or two 
in school or anything of the sort.

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You need emotional stability.

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Hey, traders! Welcome back to the ComLucro 
channel. What a great way to begin — with  

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timeless advice from Warren Buffett 
on staying rational and sticking to  

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your circle of competence. In trading, as in life, 
emotional stability is one of your greatest edges.

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Today, we’re diving into a core chapter of 
our course Technical Analysis for Day Traders:  

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From Basics to Advanced. This isn’t just another  

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video — it’s the true starting 
point of your trading journey.

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We’ll unpack what technical analysis really 
is, how it differs from fundamental analysis,  

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and why it’s such a powerful tool for day 
traders — those who need to make fast,  

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confident decisions within a single trading day.

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You’ll also get a brief history 
of technical analysis, learning  

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from legends like Charles Dow and Munehisa 
Homma, whose ideas laid the groundwork for  

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everything we use today — from price 
action to modern chart strategies.

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And as we go, we’ll cover key 
concepts like market sentiment,  

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price trends, and the importance 
of keeping your approach simple  

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and objective. Because in fast-moving 
markets, clarity is your best edge.

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So get ready — because after this quick message,  

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we’re jumping into the details that will 
shape how you trade from here on out.

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If you’re serious about improving your skills, 
give this video a like, subscribe to the channel,  

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and hit the notification bell so 
you never miss the next lesson.

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Before we dive into the first concept of 
technical analysis, let’s take a moment to  

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hear from Charlie Munger — someone who built his 
entire investment philosophy around the idea of  

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playing where you have the edge. This mindset is 
just as relevant in trading as it is in business.

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I want to think about things where I have an 
advantage over other people. I don’t want to  

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play a game where other people have an advantage 
over me. So, if you have a pharmaceutical company  

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and you’re trying to guess what new drug 
is going to be an advantage, I’ve got no  

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advantage. Other people are better than I am.
I don’t play in a game where other people are  

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wise and I’m stupid. I look for a place where 
I’m wise and they’re stupid. And believe me,  

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it works better. God bless our 
stupid competitors—they make us rich.

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If there’s one mindset that separates 
great traders from the rest, it’s this:  

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knowing where you have an edge — 
and focusing all your energy there.  

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That’s what technical analysis is all 
about — building strategies that suit  

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your strengths and avoiding the noise of 
what’s outside your circle of competence.

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Now, let’s get started. Let’s begin with our 
topic: Introduction to Technical Analysis.

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So, what is technical analysis?

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Technical analysis is the study of past market 
data — primarily price and volume — to forecast  

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future price movements. Unlike fundamental 
analysis, which evaluates the intrinsic value  

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of an asset based on financial statements, 
earnings, and economic factors, technical  

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analysis is rooted in the idea that all relevant 
information is already reflected in the price.

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This method focuses on identifying patterns, 
trends, and signals in the price charts that  

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can indicate future movements. It's like 
learning to read the market's language,  

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interpreting its signals to make informed trading 
decisions. In essence, technical analysis is about  

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understanding the psychology of the market as 
represented by the collective behavior of traders.

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By analyzing charts, identifying patterns, 
and using technical indicators, traders can  

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predict where the market is likely to 
go next. This approach is especially  

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powerful for day traders who need to make quick 
decisions based on the immediate price action.

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Mastering this concept is fundamental 
to your success as a day trader.

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Before we dive into the modern 
tools of technical analysis,  

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let's take a quick look at how it all began.

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The origins of technical analysis can be traced 
back to the late 19th and early 20th centuries,  

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primarily through the work of Charles Dow — a 
journalist and co-founder of the Wall Street  

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Journal. Charles Dow was a pivotal figure 
in the development of technical analysis,  

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as he sought to create a systematic approach to 
understanding market behavior. His work culminated  

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in what is now known as the Dow Theory, 
which laid the groundwork for many of  

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the principles that technical 
analysis still relies on today.

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Dow observed that market movements could 
be categorized into primary, secondary,  

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and minor trends, and that these trends 
often reflected the overall health of  

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the economy. Dow didn't necessarily invent 
technical analysis as a standalone concept,  

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but rather established the framework that 
would evolve into the complex discipline  

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we know today. His goal was to provide a tool 
for investors to understand market trends and  

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make informed decisions based on 
patterns observed in the market data.

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This was revolutionary because it shifted the 
focus from the intrinsic value of assets to the  

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analysis of price movements, thus allowing 
traders to anticipate future price changes.

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In addition to Dow's contributions, another 
crucial development in technical analysis  

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was the introduction of candlestick charting, 
which originated in Japan in the 18th century.

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The candlestick method was developed by a 
Japanese rice trader named Munehisa Homma, who  

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is often credited as the father of candlestick 
charting. His method involved creating charts  

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that visually represented price movements 
over time, with each candlestick showing  

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the opening, closing, high, and 
low prices for a specific period.

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Candlestick charts became a powerful tool 
for traders because they not only provided  

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a clear visual representation of price 
movements but also allowed traders to  

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identify patterns that could predict future 
price action. These charts eventually made  

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their way to the Western world and became 
an integral part of technical analysis.

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While we'll briefly touch on candlestick 
patterns here, it's important to note that  

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we have an entire chapter dedicated to 
exploring candlesticks in detail later  

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in the course. Understanding the history 
and development of these tools is crucial,  

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as it helps to appreciate their value 
in modern-day trading strategies.

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Let’s take a step back for a moment 
with Warren Buffett, who brilliantly  

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explains what it means to protect your 
edge in any competitive environment.

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The nature of capitalism is that people want 
to come in and take your castle. It’s perfectly  

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understandable. I mean, if I’m selling television 
sets or something, there’s going to be ten other  

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people who try to sell a better television 
set. If I have a restaurant here in Omaha,  

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people are going to try and copy my menu, 
get more parking, take my chef, and so on. 

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So, capitalism is all about somebody 
coming and trying to take the castle. Now,  

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what you need is a castle that has some 
durable competitive advantage—some castle  

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that has a moat around it. And 
that moat—one of the best moats,  

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in many respects—is to be a low-cost producer. But 
sometimes, the moat is just having more talent. 

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I mean, if you’re the heavyweight champion of 
the world and you keep knocking out people,  

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you’ve got a competitive advantage. And if 
you can keep doing it, it’s very profitable  

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if you’re the one who happens to be able to do it. 
If you can turn out great motion pictures—I mean,  

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you know, Steven Spielberg—he’s a fellow to 
bet on, and that has enormous economic value.

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That’s the essence of edge — and 
technical analysis is how we build  

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our own moat as traders. By reading 
the market, understanding trends,  

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and recognizing repeating patterns, we develop a 
strategy that keeps us ahead of the competition.

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Now that we've explored the origins,  

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let's dive into the core principles that 
form the foundation of technical analysis.  

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Understanding these will give you a solid 
base to build your trading strategies upon.

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First and foremost, we have the principle that 
the market discounts everything. This idea is  

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fundamental to technical analysis and asserts that 
all available information — whether it's economic  

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data, political events, or even market sentiment 
— is already factored into the market price.

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What does this mean for us as traders? 
It means that rather than getting lost  

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in the endless stream of news and data, we can 
focus on the price itself. The price action,  

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in essence, tells the full story. By trusting 
that all factors are reflected in the price,  

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we can zero in on the charts 
to find trading opportunities.

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This is where the beauty of technical 
analysis lies — it simplifies the  

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vast amount of information into 
what really matters: the price.

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Moving on, the next principle to consider is 
that price moves in trends. Trends are the  

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heartbeat of the market, and identifying them is 
key to successful trading. Whether the market is  

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moving up, down, or sideways, trends provide 
a roadmap that guides our trading decisions.

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The idea here is simple: 
once a trend is established,  

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it's likely to continue until something 
significant shifts the market's direction.

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As traders, our goal is to recognize 
these trends early and ride them for  

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as long as they last. By doing so, we align 
ourselves with the market's momentum rather  

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than fighting against it — which is 
a critical aspect of trading success.

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Finally, let's discuss the principle that 
history repeats itself. This concept is based  

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on the observation that human behavior tends 
to be consistent over time. Because of this,  

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patterns that appeared in the past are 
likely to emerge again in the future.

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As technical analysts, we study these historical 
patterns to predict future market behavior. This  

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is why chart patterns and technical indicators 
are so valuable — they help us identify when  

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a familiar scenario is unfolding in the 
market. By recognizing these patterns,  

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we can anticipate how the market might react, 
giving us an edge in our trading decisions.

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So, to summarize the principles of technical 
analysis: believing that the market discounts  

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everything, understanding that prices move 
in trends, and recognizing that history  

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tends to repeat itself are the pillars that 
support this approach. These principles not  

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only guide our analysis but also shape the way 
we think about and interact with the market.

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Before we move on, let’s hear a 
powerful reminder from Brian Chesky,  

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co-founder of Airbnb, as he shares a piece of 
advice Warren Buffett once gave to Jeff Bezos.  

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This insight touches directly on one of the 
biggest traps traders fall into — the desire to  

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get rich fast. It’s a mindset we must actively 
resist if we want to succeed in the long run.

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And I have the opportunity to have lunch 
with Warren Buffett and Jeff Bezos,  

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and that was like, first of all, thrill 
of a lifetime—like, unbelievable—like,  

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two of the greatest minds. And I asked Jeff 
Bezos a question... About Warren Buffett. I said,  

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“Jeff,” in front of Warren, “what’s the best 
advice that Warren Buffett ever gave you?” 

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And he said they’d been friends for like 
ten years. And he tells me the story,  

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and he says, “One day, I call Warren 
Buffett and I say, ‘Warren, like,  

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you’re like the second richest guy in the world, 
and you, like...”—think they’re talking—”...and  

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he’s like, ‘Your investment thesis is so simple. 
Like, why isn’t everyone just copying you?’” 

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And Warren Buffett replies, he goes, “Because 
no one wants to get rich slow.” And I think  

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there’s something to that as well—like, everyone 
wants to grow fast. No one wants to grow slow.

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That hits home — because in trading, 
just like in business and investing,  

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it’s tempting to chase shortcuts. But the 
truth is, lasting success is built slowly,  

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with consistency, discipline, and simplicity.

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Let's shift our focus to a crucial yet often 
overlooked aspect of technical analysis:  

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simplicity. In a world where information is 
abundant and complexity can easily overwhelm,  

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simplicity becomes not just 
a preference but a necessity.

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First, let's talk about the importance of 
avoiding information overload. One of the  

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biggest mistakes many traders make is allowing 
this overload of information to influence their  

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trading style negatively. It's understandable 
why this happens — each market influencer often  

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promotes their own strategy as the best, 
which can lead to constant second-guessing.

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When faced with a losing trade or a missed 
opportunity, it's tempting to switch strategies,  

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thinking that the next one might be 
the perfect solution. This constant  

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shift not only disrupts discipline but also 
undermines the effectiveness of your trade.

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What many influencers often overlook is a 
fundamental truth: technical analysis isn't  

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about precision — it's about probabilities. 
No strategy can guarantee perfect outcomes,  

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because markets are, by nature, unpredictable. The 
real edge comes from consistency, not perfection.

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That’s why your focus should be on finding 
a trading setup that fits your style,  

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defining at least three clear entry rules, 
and then rigorously backtesting each one.

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Through backtesting, you gain insight 
into how your strategies perform over  

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time — without risking real capital. 
This process not only sharpens your  

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approach but also builds the confidence and 
discipline needed to succeed in the long run.

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So, as you progress through this course, 
keep in mind that simplicity is your ally.  

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By focusing on what really matters 
and avoiding unnecessary complexity,  

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you'll be better positioned to navigate 
the markets with confidence and clarity.

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Now that we've covered the foundational 
principles of technical analysis,  

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it's time to explore the essential tools that 
will help you put these principles into practice.  

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As a beginner, having the right tools at 
your disposal is crucial to your success.

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First, let's start with the basics: charts 
and indicators. While there are numerous  

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indicators available — such as the RSI, MACD, 
and many others — as a beginner, it's important  

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to focus on a few foundational tools that are 
integral to classic technical analysis. These  

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core tools include candlestick charts, volume, 
and the 20, 50, and 200-period moving averages.

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Candlestick charts provide a wealth of 
information in a visually intuitive format,  

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allowing you to see not only the price 
direction but also the strength of that  

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movement. The candlestick pattern analysis 
is rooted in historical data and has been  

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extensively discussed in classic works like Steve 
Nison's Japanese Candlestick Charting Techniques.  

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Understanding candlesticks is crucial because 
they form the basis of price action analysis,  

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helping traders identify market 
sentiment and potential reversals.

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Volume is another key indicator to focus 
on. Volume measures the number of shares  

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or contracts traded in a security and is used 
to confirm the strength of a price move. A move  

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with high volume is more likely to be sustained 
than one with low volume. This is why authors  

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like Richard Wyckoff emphasize the importance 
of volume in his studies on market behavior.  

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By analyzing volume alongside price action, you 
gain deeper insights into the market's dynamics.

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Moving averages are perhaps the most 
widely used indicators in technical  

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analysis due to their ability to smooth out 
price data and reveal the underlying trend.

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Let's break down the significance of the 
three most critical moving averages — the 20,  

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50, and 200-period moving averages — and how 
each plays a distinct role in your analysis.

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Starting with the 20-period moving average: this 
is your go-to for tracking short-term trends. By  

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smoothing out daily price fluctuations, it 
provides a clearer picture of the immediate  

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trend, helping you to identify potential 
entry and exit points for quicker trades.

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Next, the 50-period moving average comes 
into play for identifying intermediate  

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trends. This moving average is often used 
as a reference point by traders to gauge  

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the overall market direction. When the price 
crosses above or below the 50-period average,  

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it can signal a potential 
shift in market momentum.

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Finally, we have the 200-period moving 
average, which serves as the long-term  

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trend indicator. This is a critical 
tool for both traders and investors,  

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as it often acts as a significant support 
or resistance level. Observing how the price  

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interacts with the 200-period average 
can give you valuable insights into the  

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broader trend direction and whether the 
market is in a bullish or bearish phase.

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These moving averages are not chosen arbitrarily 
— they are staples of classic technical analysis,  

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discussed in detail in books like Technical 
Analysis of the Financial Markets by John  

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Murphy. The 20, 50, and 200-period moving averages 
are preferred because they help traders see the  

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big picture while remaining responsive to 
shorter-term changes in market conditions.

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Focusing on these averages helps you avoid the 
noise of shorter time frames and allows for a more  

00:15:40,760 --> 00:15:45,080
disciplined trading approach. By concentrating 
on these fundamental tools — candlesticks,  

00:15:45,080 --> 00:15:49,480
volume, and the 20, 50, and 200-period 
moving averages — you align yourself with  

00:15:49,480 --> 00:15:54,640
the principles of classic technical analysis and 
set a strong foundation for your trading journey.

00:15:54,640 --> 00:15:59,240
Now, let’s address something critical that 
often gets overlooked: expectations. Charlie  

00:15:59,240 --> 00:16:02,520
Burton shares a reality check 
every new trader needs to hear.

00:16:02,520 --> 00:16:06,120
Most people are undercapitalized. They try to 
move a few hundred pounds or 1,000 pounds in an  

00:16:06,120 --> 00:16:10,760
account. If you’re trying to make even 10% or 5% 
a month on that, it’s boring because it’s such a  

00:16:10,760 --> 00:16:15,200
small amount of cash. And for a lot of people, 
they are undercapitalized. In percentage terms,  

00:16:15,200 --> 00:16:19,160
it’s brilliant. Exactly. And that’s why they 
have to set more realistic expectations. 

00:16:19,160 --> 00:16:22,640
Too many traders out there have unrealistic 
expectations. They think they’re going to turn  

00:16:22,640 --> 00:16:28,160
a 100% a month in. I literally had someone email 
me just a month ago, who had 10,000 pounds in an  

00:16:28,160 --> 00:16:33,000
account. They wanted to be making 10,000 pounds 
a month as an income on that. It’s just crazy.

00:16:33,000 --> 00:16:37,960
That’s the harsh truth: many traders come in with 
unrealistic expectations, and when the results  

00:16:37,960 --> 00:16:43,160
don’t match the dream, they break the strategy 
— not the belief. But the reality is, it’s not  

00:16:43,160 --> 00:16:48,440
about making a fortune overnight. It’s about 
building consistent habits with the right tools.

00:16:48,440 --> 00:16:52,640
Next, let's talk about where to find 
and how to use these essential tools.

00:16:52,640 --> 00:16:57,240
While there are numerous platforms available for 
technical analysis, one stands out for both its  

00:16:57,240 --> 00:17:02,120
accessibility and popularity: TradingView. 
TradingView is widely regarded as the best  

00:17:02,120 --> 00:17:07,000
platform for beginners — and for good reason. It 
offers a user-friendly interface combined with  

00:17:07,000 --> 00:17:11,640
powerful charting tools and indicators 
that cater to traders of all levels.

00:17:11,640 --> 00:17:16,400
One of the key advantages of TradingView is its 
accessibility. You can start using it for free,  

00:17:16,400 --> 00:17:20,480
which includes access to basic features 
that are more than sufficient for beginners.  

00:17:20,480 --> 00:17:25,120
This makes it an excellent starting point 
without requiring any upfront investment.

00:17:25,120 --> 00:17:29,160
Additionally, TradingView allows you to 
create custom charts, share your ideas  

00:17:29,160 --> 00:17:32,440
with a community of traders, and 
even backtest your strategies using  

00:17:32,440 --> 00:17:35,920
historical data — all within the same platform.

00:17:35,920 --> 00:17:39,440
However, it's essential to not only 
choose the right platform but also  

00:17:39,440 --> 00:17:44,000
to truly understand how to use it effectively. 
Think of it like getting your driver's license:  

00:17:44,000 --> 00:17:47,560
knowing how to drive is crucial, but 
if you don't understand how your car  

00:17:47,560 --> 00:17:52,680
works — the car you'll be driving every day 
— you'll run into problems sooner or later.

00:17:52,680 --> 00:17:58,080
Similarly, in trading, it's not enough to know the 
basics of technical analysis. You need to be fully  

00:17:58,080 --> 00:18:02,360
familiar with the platform you choose to operate 
on. This knowledge will allow you to execute  

00:18:02,360 --> 00:18:07,600
trades efficiently, make quick adjustments, 
and fully leverage the tools at your disposal.

00:18:07,600 --> 00:18:12,080
While there are other platforms out there, 
TradingView's combination of ease of use,  

00:18:12,080 --> 00:18:16,960
comprehensive features, and a free tier make it 
the ideal choice for those just starting their  

00:18:16,960 --> 00:18:22,080
journey into technical analysis. By familiarizing 
yourself with TradingView, you'll be well equipped  

00:18:22,080 --> 00:18:27,120
to begin analyzing the markets effectively 
and developing your trading strategies.

00:18:27,120 --> 00:18:31,320
Remember, the key is to start simple — 
focusing on mastering a few tools within  

00:18:31,320 --> 00:18:36,120
TradingView before gradually expanding 
your toolkit as you gain experience.

00:18:36,120 --> 00:18:40,640
Now that we've covered the foundational aspects 
of technical analysis, it's important to shift our  

00:18:40,640 --> 00:18:45,920
focus to how these principles apply specifically 
to day traders. Day trading is a fast-paced,  

00:18:45,920 --> 00:18:51,120
high-intensity style of trading That demands 
quick decision-making and precise execution.

00:18:51,120 --> 00:18:56,000
Let's explore why these skills are critical 
and how they shape the approach of day traders.

00:18:56,000 --> 00:19:00,840
In day trading, speed is everything. The ability 
to make quick, informed decisions can be the  

00:19:00,840 --> 00:19:05,360
difference between a profitable trade and a missed 
opportunity. This is where technical analysis  

00:19:05,360 --> 00:19:10,320
becomes indispensable. By focusing on price 
action, patterns, and key technical indicators,  

00:19:10,320 --> 00:19:15,000
day traders can react swiftly to market movements. 
The markets can change in an instant, and having  

00:19:15,000 --> 00:19:20,320
a solid grasp of technical analysis allows you 
to make split-second decisions with confidence.

00:19:20,320 --> 00:19:24,040
Whether it's identifying a breakout or 
spotting a reversal, the quicker you  

00:19:24,040 --> 00:19:29,120
can analyze the situation and execute your 
trade, the better your chances of success.

00:19:29,120 --> 00:19:32,840
Unlike swing traders or investors 
who might focus on daily, weekly,  

00:19:32,840 --> 00:19:37,360
or even monthly charts, day traders 
operate on much shorter time frames.  

00:19:37,360 --> 00:19:41,360
The most commonly used time frames in 
day trading are the 1-minute, 5-minute,  

00:19:41,360 --> 00:19:46,680
and 15-minute charts. These shorter time frames 
provide a detailed view of the market's immediate  

00:19:46,680 --> 00:19:52,680
movements, allowing day traders to capitalize 
on small price fluctuations throughout the day.

00:19:52,680 --> 00:19:56,600
This focus on short time frames requires 
a different set of strategies compared  

00:19:56,600 --> 00:20:01,640
to those used in longer-term trading. Day 
traders need to employ targeted strategies  

00:20:01,640 --> 00:20:05,720
that are specifically designed to work in 
these rapid environments. Strategies such  

00:20:05,720 --> 00:20:10,080
as scalping — where traders aim to profit 
from small price changes — or momentum  

00:20:10,080 --> 00:20:15,840
trading — where traders capitalize on strong 
price movements — are popular among day traders.

00:20:15,840 --> 00:20:19,080
These strategies rely heavily on 
the ability to quickly analyze  

00:20:19,080 --> 00:20:22,120
technical indicators and market conditions.

00:20:22,120 --> 00:20:27,440
It's important to understand that day trading is 
not about predicting long-term trends — it's about  

00:20:27,440 --> 00:20:32,200
reacting to what's happening in the market 
right now. The precision and speed required  

00:20:32,200 --> 00:20:37,840
in this style of trading make technical 
analysis not just a tool, but a necessity.

00:20:37,840 --> 00:20:42,080
A common mistake that leads to disastrous 
results and significant financial losses is  

00:20:42,080 --> 00:20:46,400
turning a short-term trade into a long-term 
position. For example, if you're using a  

00:20:46,400 --> 00:20:50,880
60-minute chart to analyze the overall trend 
and a 5-minute chart for your entries, under  

00:20:50,880 --> 00:20:55,720
no circumstances should you change your approach 
because you're unwilling to accept a stop-loss.

00:20:55,720 --> 00:20:58,040
Shifting your analysis to a 4-hour chart and your  

00:20:58,040 --> 00:21:02,200
entries to a 15-minute chart in an 
attempt to avoid a loss is a recipe  

00:21:02,200 --> 00:21:06,960
for disaster. This rule applies to any 
time frame you choose to operate in.

00:21:06,960 --> 00:21:12,640
Another critical and unforgivable mistake is 
attempting to average down on a losing trade,  

00:21:12,640 --> 00:21:18,240
commonly known as doing a cost average. There 
are specific setups designed for cost averaging,  

00:21:18,240 --> 00:21:22,240
and you should study and thoroughly test them 
if you plan to use this strategy. But never,  

00:21:22,240 --> 00:21:26,120
ever change a strategy that isn't based 
on cost averaging into one that is.

00:21:26,120 --> 00:21:29,640
The biggest trap with averaging down is 
that most of the time, you may recover  

00:21:29,640 --> 00:21:32,840
the trade — but without realizing 
it, you're drastically increasing  

00:21:32,840 --> 00:21:37,600
the risk and lowering the reward ratio 
of your trade. A single unexpected event,  

00:21:37,600 --> 00:21:41,680
like a gap or a significant news 
release, can financially devastate you.

00:21:41,680 --> 00:21:45,960
Even worse, if the market continues in 
its trend direction without reversal,  

00:21:45,960 --> 00:21:50,040
it could lead to a loss so severe 
that it becomes irreversible.

00:21:50,040 --> 00:21:54,960
I'll say it again so it sticks: never, ever turn 
a strategy that isn't designed for cost averaging  

00:21:54,960 --> 00:22:00,120
into one that is. Making this mistake could very 
well be the worst error of your financial life.

00:22:00,120 --> 00:22:03,680
To close today’s lesson, let’s hear 
from Dr. Brett Steenbarger — one of  

00:22:03,680 --> 00:22:07,640
the leading voices in trading psychology. 
His work has helped thousands of traders  

00:22:07,640 --> 00:22:12,320
identify and correct emotional patterns that 
silently sabotage performance. In this clip,  

00:22:12,320 --> 00:22:17,160
he breaks down two of the most common behavioral 
traps: under-control and over-control.

00:22:17,160 --> 00:22:26,440
What are the situations that typically set you 
off. In trading, most of the problem behaviors  

00:22:26,440 --> 00:22:33,840
are problems as the result of under control or 
over control. Under controlled behavior would  

00:22:33,840 --> 00:22:40,880
be trading impulsively. I suddenly forget about 
my position limits, and I'm trading much larger  

00:22:40,880 --> 00:22:47,080
size than I should be. I'm suddenly not honoring 
my stops. I know I shouldn't be adding to a losing  

00:22:47,080 --> 00:22:52,080
position, but I keep finding myself doing that.
That's an under controlled behavior. The opposite  

00:22:52,080 --> 00:22:57,120
would be an over controlled behavior. I'm so 
anxious I can't pull the trigger and make the  

00:22:57,120 --> 00:23:02,840
trade. My system told me that I was supposed to 
go long in the morning, and I just sat there and  

00:23:02,840 --> 00:23:08,720
watched the whole damn thing go up and up and 
up and up. That's an over controlled behavior.

00:23:08,720 --> 00:23:13,120
That’s why emotional discipline is just as 
vital as a solid trading strategy. Knowing  

00:23:13,120 --> 00:23:17,760
when to act — and when to hold back — 
is what sets consistent traders apart.

00:23:17,760 --> 00:23:22,360
Today, we covered the core principles of 
technical analysis — timeless ideas that  

00:23:22,360 --> 00:23:25,720
help you avoid common pitfalls 
and trade with greater clarity.

00:23:25,720 --> 00:23:30,120
At its core, technical analysis isn’t 
just about charts or indicators — it’s  

00:23:30,120 --> 00:23:34,160
a mindset. It’s about understanding 
that the market reflects everything,  

00:23:34,160 --> 00:23:37,880
that trends matter, and that 
history often repeats itself.

00:23:37,880 --> 00:23:40,520
Combine that mindset with 
simplicity, the right tools,  

00:23:40,520 --> 00:23:43,680
and discipline — and you have the 
foundation for long-term success.

00:23:43,680 --> 00:23:48,080
Remember: mastery takes time. Stick to 
your edge, trust your process, and stay  

00:23:48,080 --> 00:23:57,885
sharp. With patience and consistency, 
your trading goals are within reach.

00:23:57,885 --> 00:23:57,985
I hope you enjoyed today's video. If you found the 
content useful or fun, please give it a like, as  

00:23:57,985 --> 00:23:58,085
this helps the video reach more traders like you. 
Remember to subscribe to the channel and activate  

00:23:58,085 --> 00:23:58,177
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00:23:58,177 --> 00:23:58,252
Sharing this video with your friends 
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00:23:58,252 --> 00:23:58,343
big difference and helps our community become 
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00:23:58,343 --> 00:23:58,430
bringing high-quality content, helping you 
make more informed decisions in the markets.

00:23:58,430 --> 00:24:31,473
Thank you for watching, and good luck on 
achieving excellent results in your trades.