Technical analysis is the discipline of analyzing price charts, volume data, and quantitative indicators derived from market activity to identify investment opportunities and make trading decisions. It contrasts with fundamental analysis, which focuses on business earnings, balance sheets, and economic conditions rather than price patterns and market structure.

See the primary definition at Technical Analysis for a comprehensive treatment of this discipline, including its core principles, major tools and indicators, and the distinction between discretionary and systematic technical approaches.

From an asymmetric investment perspective, the most evidence-supported applications of technical analysis are those that can be systematically codified and tested: trend-following signals based on moving averages and price momentum, breadth indicators like the advance-decline line, and volatility-based indicators that adapt position sizing to current market conditions. These systematic technical tools form an important component of the rules-based, evidence-driven investment process that drives superior long-term risk-adjusted returns.