<s>
In	O
Asia	O
,	O
technical	O
analysis	O
is	O
said	O
to	O
be	O
a	O
method	O
developed	O
by	O
Homma	O
Munehisa	O
during	O
the	O
early	O
18th	O
century	O
which	O
evolved	O
into	O
the	O
use	O
of	O
candlestick	B-Application
techniques	I-Application
,	O
and	O
is	O
today	O
a	O
technical	O
analysis	O
charting	O
tool	O
.	O
</s>
<s>
Charles	O
Dow	O
reportedly	O
originated	O
a	O
form	O
of	O
point	B-Application
and	I-Application
figure	I-Application
chart	I-Application
analysis	O
.	O
</s>
<s>
Technical	B-Application
analysis	I-Application
software	I-Application
automates	O
the	O
charting	O
,	O
analysis	O
and	O
reporting	O
functions	O
that	O
support	O
technical	O
analysts	O
in	O
their	O
review	O
and	O
prediction	O
of	O
financial	O
markets	O
(	O
e.g.	O
</s>
<s>
In	O
addition	O
to	O
installable	O
desktop-based	O
software	O
packages	O
in	O
the	O
traditional	O
sense	O
,	O
the	O
industry	O
has	O
seen	O
an	O
emergence	O
of	O
cloud-based	O
applications	O
and	O
application	O
programming	O
interfaces	O
(	O
APIs	O
)	O
that	O
deliver	O
technical	O
indicators	O
(	O
e.g.	O
,	O
MACD	O
,	O
Bollinger	O
Bands	O
)	O
via	O
RESTful	B-Protocol
HTTP	O
or	O
intranet	O
protocols	O
.	O
</s>
<s>
Modern	O
technical	B-Application
analysis	I-Application
software	I-Application
is	O
often	O
available	O
as	O
a	O
web	O
or	O
a	O
smartphone	O
application	O
,	O
without	O
the	O
need	O
to	O
download	O
and	O
install	O
a	O
software	O
package	O
.	O
</s>
<s>
Since	O
the	O
early	O
1990s	O
when	O
the	O
first	O
practically	O
usable	O
types	O
emerged	O
,	O
artificial	B-Architecture
neural	I-Architecture
networks	I-Architecture
(	O
ANNs	O
)	O
have	O
rapidly	O
grown	O
in	O
popularity	O
.	O
</s>
<s>
They	O
are	O
artificial	B-Application
intelligence	I-Application
adaptive	O
software	O
systems	O
that	O
have	O
been	O
inspired	O
by	O
how	O
biological	O
neural	B-Architecture
networks	I-Architecture
work	O
.	O
</s>
<s>
In	O
various	O
studies	O
,	O
authors	O
have	O
claimed	O
that	O
neural	B-Architecture
networks	I-Architecture
used	O
for	O
generating	O
trading	O
signals	O
given	O
various	O
technical	O
and	O
fundamental	O
inputs	O
have	O
significantly	O
outperformed	O
buy-hold	O
strategies	O
as	O
well	O
as	O
traditional	O
linear	O
technical	O
analysis	O
methods	O
when	O
combined	O
with	O
rule-based	O
expert	O
systems	O
.	O
</s>
<s>
While	O
the	O
advanced	O
mathematical	O
nature	O
of	O
such	O
adaptive	O
systems	O
has	O
kept	O
neural	B-Architecture
networks	I-Architecture
for	O
financial	O
analysis	O
mostly	O
within	O
academic	O
research	O
circles	O
,	O
in	O
recent	O
years	O
more	O
user	O
friendly	O
neural	B-Algorithm
network	I-Algorithm
software	I-Algorithm
has	O
made	O
the	O
technology	O
more	O
accessible	O
to	O
traders	O
.	O
</s>
<s>
For	O
example	O
,	O
neural	B-Architecture
networks	I-Architecture
may	O
be	O
used	O
to	O
help	O
identify	O
intermarket	O
relationships	O
.	O
</s>
<s>
Of	O
95	O
modern	O
studies	O
,	O
56	O
concluded	O
that	O
technical	O
analysis	O
had	O
positive	O
results	O
,	O
although	O
data-snooping	B-Algorithm
bias	I-Algorithm
and	O
other	O
problems	O
make	O
the	O
analysis	O
difficult	O
.	O
</s>
<s>
Nonlinear	O
prediction	O
using	O
neural	B-Architecture
networks	I-Architecture
occasionally	O
produces	O
statistically	B-General_Concept
significant	I-General_Concept
prediction	O
results	O
.	O
</s>
<s>
which	O
appeared	O
to	O
find	O
support	O
for	O
technical	O
trading	O
rules	O
was	O
tested	O
for	O
data	B-Algorithm
snooping	I-Algorithm
and	O
other	O
problems	O
in	O
1999	O
;	O
the	O
sample	O
covered	O
by	O
Brock	O
et	O
al	O
.	O
</s>
<s>
was	O
robust	O
to	O
data	B-Algorithm
snooping	I-Algorithm
.	O
</s>
<s>
Moreover	O
,	O
for	O
sufficiently	O
high	O
transaction	O
costs	O
it	O
is	O
found	O
,	O
by	O
estimating	O
CAPMs	O
,	O
that	O
technical	O
trading	O
shows	O
no	O
statistically	B-General_Concept
significant	I-General_Concept
risk-corrected	O
out-of-sample	O
forecasting	O
power	O
for	O
almost	O
all	O
of	O
the	O
stock	O
market	O
indices.	O
"	O
</s>
<s>
They	O
argue	O
that	O
feature	O
transformations	O
used	O
for	O
the	O
description	O
of	O
audio	O
and	O
biosignals	B-Algorithm
can	O
also	O
be	O
used	O
to	O
predict	O
stock	O
market	O
prices	O
successfully	O
which	O
would	O
contradict	O
the	O
random	O
walk	O
hypothesis	O
.	O
</s>
<s>
The	O
random	O
walk	O
index	O
(	O
RWI	O
)	O
is	O
a	O
technical	O
indicator	O
that	O
attempts	O
to	O
determine	O
if	O
a	O
stock	O
's	O
price	O
movement	O
is	O
random	O
in	O
nature	O
or	O
a	O
result	O
of	O
a	O
statistically	B-General_Concept
significant	I-General_Concept
trend	O
.	O
</s>
<s>
Japanese	B-Application
candlestick	I-Application
patterns	O
involve	O
patterns	O
of	O
a	O
few	O
days	O
that	O
are	O
within	O
an	O
uptrend	O
or	O
downtrend	O
.	O
</s>
<s>
Using	O
a	O
renormalisation	O
group	O
approach	O
,	O
the	O
probabilistic	O
based	O
scenario	O
approach	O
exhibits	O
statistically	B-General_Concept
significant	I-General_Concept
predictive	O
power	O
in	O
essentially	O
all	O
tested	O
market	O
phases	O
.	O
</s>
<s>
The	O
effects	O
of	O
volume	O
and	O
volatility	O
,	O
which	O
are	O
smaller	O
,	O
are	O
also	O
evident	O
and	O
statistically	B-General_Concept
significant	I-General_Concept
.	O
</s>
<s>
Another	O
form	O
of	O
technical	O
analysis	O
used	O
so	O
far	O
was	O
via	O
interpretation	O
of	O
stock	O
market	O
data	O
contained	O
in	O
quotation	O
boards	O
,	O
that	O
in	O
the	O
times	O
before	O
electronic	B-Device
screens	I-Device
,	O
were	O
huge	O
chalkboards	B-General_Concept
located	O
in	O
the	O
stock	O
exchanges	O
,	O
with	O
data	O
of	O
the	O
main	O
financial	O
assets	O
listed	O
on	O
exchanges	O
for	O
analysis	O
of	O
their	O
movements	O
.	O
</s>
<s>
via	O
the	O
aforementioned	O
tape	O
,	O
telegraph	O
,	O
telephone	O
and	O
later	O
telex	B-Application
.	O
</s>
<s>
Candlestick	O
chartOf	O
Japanese	O
origin	O
and	O
similar	O
to	O
OHLC	B-Application
,	O
candlesticks	O
widen	O
and	O
fill	O
the	O
interval	O
between	O
the	O
open	O
and	O
close	O
prices	O
to	O
emphasize	O
the	O
open/close	O
relationship	O
.	O
</s>
<s>
Line	O
chartConnects	O
the	O
closing	B-Application
price	I-Application
values	O
with	O
line	O
segments	O
.	O
</s>
<s>
You	O
can	O
also	O
choose	O
to	O
draw	O
the	O
line	B-Application
chart	I-Application
using	O
open	O
,	O
high	O
or	O
low	O
price	O
.	O
</s>
<s>
Open-high-low-close	O
chartOHLC	O
charts	O
,	O
also	O
known	O
as	O
bar	O
charts	O
,	O
plot	O
the	O
span	O
between	O
the	O
high	O
and	O
low	O
prices	O
of	O
a	O
trading	O
period	O
as	O
a	O
vertical	O
line	O
segment	O
at	O
the	O
trading	O
time	O
,	O
and	O
the	O
open	O
and	O
close	O
prices	O
with	O
horizontal	O
tick	O
marks	O
on	O
the	O
range	O
line	O
,	O
usually	O
a	O
tick	O
to	O
the	O
left	O
for	O
the	O
open	O
price	O
and	O
a	O
tick	O
to	O
the	O
right	O
for	O
the	O
closing	B-Application
price	I-Application
.	O
</s>
