Vskills certification is a program for candidates seeking a career in technical analysis. The study focuses on understanding the market actions and analyzing the changes that occur over a period of time. The certification intends to build skills required to assess the overall situation concerning stocks by analyzing technical indicators, such as breadth of market data, market sentiment, momentum, and other indicatorsand thereby perform security analysis used for forecasting the direction of prices. http://www.vskills.in/certification/accounting-banking-and-finance/Certified-Technical-Analyst

1. Certified Technical Analyst
VS-1009

2. Certified Technical Analyst
www.vskills.in
CCCCertifiedertifiedertifiedertified Technical AnalystTechnical AnalystTechnical AnalystTechnical Analyst
Certification CodeCertification CodeCertification CodeCertification Code VS-1009
VskillsVskillsVskillsVskills certification is a program for candidates seeking a career in technical analysis. The
study focuses on understanding the market actions and analyzing the changes that occur
over a period of time. The certification intends to build skills required to assess the overall
situation concerning stocks by analyzing technical indicators, such as breadth of market
data, market sentiment, momentum, and other indicators and thereby perform security
analysis used for forecasting the direction of prices.
Why should one take this certification?Why should one take this certification?Why should one take this certification?Why should one take this certification?
The Course is intended for professionals and graduates wanting to excel in their chosen
areas. It is also well suited for those who are already working and would like to take
certification for further career progression. Earning Vskills Technical Analyst Certification
can help candidate differentiate in today's competitive job market, broaden their
employment opportunities by displaying their advanced skills, and result in higher earning
potential.
Who will benefit from taking this certification?Who will benefit from taking this certification?Who will benefit from taking this certification?Who will benefit from taking this certification?
Job seekers looking to find employment in the field of financial services, banking,
investment, insurance or stock broking can benefit from this certification program.
Students generally wanting to improve their skill set and make their CV stronger and
existing employees looking for a better role can prove their employers the value of their
skills through this certification
Test DetailsTest DetailsTest DetailsTest Details
DurationDurationDurationDuration:::: 60 minutes
No. of questions:No. of questions:No. of questions:No. of questions: 50
Maximum marks:Maximum marks:Maximum marks:Maximum marks: 50, Passing marks: 25 (50%)
There is no negative marking in this module.
Fee StructureFee StructureFee StructureFee Structure
Rs. 4,500/-

3. Certified Technical Analyst
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Table of Contents
1. Market1. Market1. Market1. Market BBBBasicsasicsasicsasics
1.1 Stock Market Terminology
1.2 Price Movements
1.3 Share Price Chart
2. Trendlines2. Trendlines2. Trendlines2. Trendlines
2.1 Meaning of Trend Lines
3. Dow Theory3. Dow Theory3. Dow Theory3. Dow Theory
3.1 First Tenet
3.2 Second Tenet
3.3 Third Tenet
3.4 Fourth Tenet
3.5 Fifth Tenet
3.6 Sixth Tenet
4. Volume4. Volume4. Volume4. Volume
4.1 Importance of Volume
4.2 Volume and Chart Patterns
4.3 Price Trends and Volume
5555. Price Charts. Price Charts. Price Charts. Price Charts
5.1 Types of Charts
5.2 Other Price Charts
5.3 Support
5.4 Resistance
6. Candlestick Chart Patterns6. Candlestick Chart Patterns6. Candlestick Chart Patterns6. Candlestick Chart Patterns
6.1 History
6.2 Formation
6.3 Basic Chart Patterns
7. The Elliott Wave Principle7. The Elliott Wave Principle7. The Elliott Wave Principle7. The Elliott Wave Principle
7.1 Wave Degrees
7.2 Basic Sequence
7.3 Fractal Nature

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8. Technical Indicators8. Technical Indicators8. Technical Indicators8. Technical Indicators
8.1 Simple Moving Average (SMA) Model
8.2 The Exponential Moving Average (EMA) Model
8.3 Moving Average Convergence Divergence (MACD)
8.4 Oscillators
8.5 Bollinger bands
8.6 Average Directional Index (ADX)
8.7 Parabolic SAR
9. Fi9. Fi9. Fi9. Fibonacci Studybonacci Studybonacci Studybonacci Study
9.1 Overview
9.2 Arcs
9.3 Fans
9.4 Retracements
9.5 Time Zones
10. Trading Psychology10. Trading Psychology10. Trading Psychology10. Trading Psychology
10.1 Over Confidence
10.2 Anchoring
10.3 Confirmation
10.4 Loss Aversion
11. Charting Softwares11. Charting Softwares11. Charting Softwares11. Charting Softwares
11.1 Common Features
12. Trading Rules with Technical A12. Trading Rules with Technical A12. Trading Rules with Technical A12. Trading Rules with Technical Analysisnalysisnalysisnalysis
12.1 Map the Trends
12.2 Spot the Trend and Go With It
12.3 Find the Low and High of It
12.5 Draw the Line
12.6 Follow that Average
12.7 Learn the Turns
12.8 Know the Warning Signs
12.9 Trend or Not a Trend
12.10 Know the Confirming Signs

5. Certified Technical Analyst
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Course Outline
1. Market1. Market1. Market1. Market BBBBasicsasicsasicsasics
Discusses the important terminologies used in the stock market such as meaning of
bull, bear, closing price, circuit breaker, intraday trading, stop-loss etc.
Illustrates the various reasons that might cause movement in price such as falling
share price, changing market conditions, etc.
Explains the functioning of share price chart and illustrates various situations such as
gaps, dead cat bounce etc.
2. Trendlines2. Trendlines2. Trendlines2. Trendlines
Explains the basics of trendlines such as the procedure of drawing a trendline,
meaning of intersecting trendlines, drawing trendlines on long-term charts etc
Describes the different types of trendlines with examples – Upward and Downward
trendlines
3. Dow Theory3. Dow Theory3. Dow Theory3. Dow Theory
Describes the various types of trends in the first tenet of Dow Theory such as up-
trends, down-trends and corrections.
Illustrates the three phases in the second tenet of Dow Theory such as accumulation
phase, public participation phase and excess phase.
Describes the functioning of the price of an asset in the third tenet of Dow Theory
and how the markets discounts all news
Explains the concepts of stock market averages used in the fourth tenet of Dow
Theory
Explains the role of volume in identification of price trend in the fifth tenet of Dow
Theory
The sixth and the final tenet of Dow Theory states that the trends exist until definitive
signals prove that they have ended.
4. Volume4. Volume4. Volume4. Volume
Explains the meaning and importance of volume in technical analysis in terms of
trend confirmation and chart patterns
Explains the relation of volume and chart patterns and the implication when volume
precedes price and the concept of breakouts
Explains the relation between price trends and volume, analysis of trend volume and
the meaning of volume spikes
5. Price Charts5. Price Charts5. Price Charts5. Price Charts
Explains the purpose of price charts and the usage of time frames by traders as per
their trading style
Describes the various types of charts such as line chart, bar chart and candlestick
charts.

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Describes the other price charts being used in the process of analysis such as Kagi
charts, Heiken Ashi candles and Renko charts.
Explains the concept of “support”, its treatment and implications.
Explains the concept of resistance, its functioning and the charts showing support and
trend in a range market and trending market
6. Candlestick Chart Patterns6. Candlestick Chart Patterns6. Candlestick Chart Patterns6. Candlestick Chart Patterns
Explains the history and evolution of candlestick charts
Explains the concepts of candlestick formation such as long versus short bodies,
Morubozu, long versus short shadows, spinning tops, doji, hammer, inverted
hammer, hanging man.
Explains the basic chart patterns to identify support and resistance such as double
tops and bottoms, head and shoulder patterns, bullish and bearish engulfing,
morning, evening and shooting stars, falling and rising wedge, flags and pennants etc.
7. The Elliott Wave Principle7. The Elliott Wave Principle7. The Elliott Wave Principle7. The Elliott Wave Principle
Explains the discovery of Elliot Wave principle and the various price patterns
emerging in the overall path of market development.
Explains the notations and implications of different degrees of wave
Explains the basic sequence of the impulse and corrective wave and their respective
movements
Explains the fractal nature of Elliot wave, the three rules applied to 5-wave impulse
sequence and the important guidelines pertaining to Elliot wave
8. Technical Indicators8. Technical Indicators8. Technical Indicators8. Technical Indicators
Explains the importance and usage of technical indicators
Describes the categories of technical indicators – leading and Lagging indicators
Illustrates the Simple Moving Average (SMA) Model with example and charts
Illustrate the Exponential Moving Average (EMA) Model, its numerical and graphical
representation
Comparative analysis between SMA and EMA
Explains the concept of Moving Average Convergence Divergence (MACD), its
graphical representation and various types of MACD lines
Explain the leading technical indicator – ‘Oscillators’, relative strength index and
stochastic oscillators
Explains the practice of Bollinger bands and ways in which it is used
Explains the Average Directional Index (ADX)
Explains the concept of Parabolic SAR
9. Fibonacci Study9. Fibonacci Study9. Fibonacci Study9. Fibonacci Study
Discusses the evolution of Fabonacci and the associated studies
Explains the meaning and interpretation of Fabonacci Arcs
Explains the meaning and interpretation of Fabonacci Fan Lines
Explains the concept of Fabonacci Retracements
Explains the interpretation of Fibonacci Time Zones

7. Certified Technical Analyst
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10. Trading Psychology10. Trading Psychology10. Trading Psychology10. Trading Psychology
Explains the various psychological biases that may affects while trading such as over
confidence, anchoring, confirmation, loss aversion
11. Charting Softwares11. Charting Softwares11. Charting Softwares11. Charting Softwares
Explains the common features of charting softwares such as charting, back testing,
optimization, scanner, alters, data feeds, custom indicators, platforms etc
12. Trading Rules with Technical Analysis12. Trading Rules with Technical Analysis12. Trading Rules with Technical Analysis12. Trading Rules with Technical Analysis
Explains the important rules that should be used in technical analysis such as – Map
the trends, Spot the trend, find the low and high of it, draw the line, follow that
average, learn the turns, know the warning signs, trend or not a trend and know the
confirming signs

8. Certified Technical Analyst
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Sample Questions
1. One of the most popular tools used by technical analysts is ___________.
A. P/E ratio
B. book-to-market-value ratio
C. moving averages
D. growth rate of dividends
2. A bar chart is used to illustrate ___________.
A. high, low and closing stock prices on a daily basis
B. reversal in the direction of stock prices without consideration of time
C. high, low, opening and closing prices on a daily basis
D. advances and declines of stock prices
3. According to the Dow Theory, daily fluctuations and secondary movements in the stock
market are used to identify the ___________.
A. intermediate trend
B. seasonal pattern
C. short-term trend
D. primary trend
4. Which of the following indicates a sell signal to technical analysts?
A. The advance-decline line is rising in a falling market.
B. The amount of short selling done by specialists is high.
C. The resistance level is broken.
D. The majority of stock market newsletters are bearish.
5. Which of the following indicates a buy signal to technical analysts?
A. Both the Dow Jones Industrial Average and the Dow Jones Transportation Average
are moving down.
B. Odd-lot buying exceeds odd-lot selling.
C. The advance-decline line is falling in a rising market.
D. The stock breaks through the moving average line from below.
6. Which of the following highlights traders' opinions about the market?
A. Sentiment indicators
B. Leading indicators
C. Moving averages
D. Breadth indicators

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7. When odd-lot selling exceeds odd-lot buying, this is considered a ___________.
A. neutral signal
B. signal to switch from stocks to bonds
C. bullish signal
D. bearish signal
8. When technical analysts say a stock has good relative strength, they mean the
___________.
A. ratio of the price of the stock to a market index has trended upwards
B. recent trading volume in the stock has exceeded the normal trading volume
C. total return on the stock has exceeded the total return on other stocks in the same
industry
D. stock has performed well compared to other stocks in the same industry
9. A basic assumption of technical analysis in contrast to fundamental analysis is that
___________.
A. financial statements provide information crucial in valuing a stock
B. a technical analyst would evaluate the amount of short selling, the volume of
trading, and the P/E ratio of a stock
C. the stock market is inefficient
D. security prices move in patterns, which repeat over long periods
10. A resistance level is the price range at which technical analysts would expect the
___________.
A. demand of a stock to decrease substantially
B. demand of a stock to increase substantially
C. supply of a stock to increase substantially
D. supply of a stock to decrease substantially
Answers:Answers:Answers:Answers: 1 – C, 2 – A, 3 – D, 4 – B, 5 – D, 6 – B, 7 – C, 8 – A, 9 – B, 10 – A

10. Certified Technical Analyst
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