This subject introduces students to the key concepts in technical analysis and develops skills in the construction, interpretation and application of charts to a variety of markets. Practical examples are used with traditional bar chart analysis and trend following and momentum indicators.
This subject assists students to:
- Demonstrate technical knowledge through analysis, evaluation and application of relevant financial concepts, theories and techniques to a range of situations
- Demonstrate creative and skilful approaches to solving complex problems in professional contexts.
This subject contributes to the financial analysis and financial markets majors.
At the completion of this subject students should be able to:
- Examine the discipline of technical analysis.
- Explain the key principles of Dow Theory.
- Apply the important tools and concepts of technical analysis within price trends and turning points.
- Examine non-price data indicators of investor participation and attitude to trend strength and price movements.
- Apply chart patterns, trading volumes and price objectives within price trends.
- Apply the common indicators used in technical analysis to add value to basic chart analysis.
- Formulate trading strategies.
Topic Title Topic 1 Background to technical analysis Topic 2 Dow Theory Topic 3 Short-term bar chart analysis Topic 4 Long-term bar chart analysis Topic 5 Non-price data analysis Topic 6 Chart patterns Topic 7 Introduction to indicators Topic 8 Trend following indicators Topic 9 Momentum indicators Topic 10 Other trend and momentum indicators Topic 11 Formulating trading strategies
Assessment Type Assessed Weighting Assignment Week 6 40% Examination Week 12 60%
Students enrolling in a Masters level elective subject are assumed to have the pre-requisite knowledge in the three core subjects (FIN101, FIN102, FIN103 and FIN114 (for students enrolled before 2014)).
Course transition subject equivalence
Students who transition from a SIA/Finsia course and have completed the following subject within the course completion time frame may not also complete the subject:
- E114 Technical Analysis
There are no prescribed texts for this subject.
Details of any required and further readings for this subject are provided in the subject room. Purchase of any text other than a prescribed text is not required.