Price Action Theory and the Candlestick Charts
Technical Analysis has become used as soon as the 17th millennium in Japan while using the Rice Trade and afterwards developed in the West at first of the 20th century by Charles Dow that published several books covering the Technical Analysis Theory that has been focused exclusively upon charts. In the first 90’s Technical Analysis transformed and reshaped further if you use statistical analysis in addition to web-based techniques including the employment of advanced technical investigation calculators.
The Price Action Theory works with the question of “How the value is moving” while Fundamental Analysis works with “Why the price action is moving”. The “How” doesn’t take into account macro-economic affects for the price movement, the underlying asset’s economic health or any other factor besides the connection between the price levels and the Candlestick Chart. This visual representation of the “How the price action is moving” provides us by having an insight to the actual underlying asset’s price tag trend. The indicators that are taken into account are purely mixture of price.