Forex Questions and Answers - FXAnswer

As a technical strategiest even though I primarily trade AB=CD, Gartley patterns, Butterfly patterns, I am always aware of whats price doing now, whether its analyzing the candlesticks to confirm my reversal. Or using a trend line to know where the earliest support is so I could take profit.
So, 1. Always using price action to confirm my analysis.
2. Having my support and resistance to know my range, and where price could price stall before and while I have entered in a position.

*Money management is something to be considered by any trader at all times, without it no strategy is complete.

1) money management. 2) trade in the direction of major trend. 3) follow your trading plan.

Support and resistance lines, price patterns

The 2 major things as a Technical analyst should consider on a trade are:

1. What is the current price?
2. What is the history of the price movement?

The price is the end result of the battle between the forces of supply and demand for the company's stock. The objective of analysis is to forecast the direction of the future price. By focusing on price and only price, technical analysis represents a direct approach. Fundamentalists are concerned with why the price is what it is. For technicians, the why portion of the equation is too broad and many times the fundamental reasons given are highly suspect. Technicians believe it is best to concentrate on what and never mind why. Why did the price go up? It is simple, more buyers (demand) than sellers (supply). After all, the value of any asset is only what someone is willing to pay for it.

Source(s):

http://stockcharts.com/school/doku.php? id=chart_school:overview:technical_analysis

Technicians seek to forecast price movements such that large gains from successful trades exceed more numerous but smaller losing trades, producing positive returns in the long run through proper risk control and money management.