What do you do if you want to use technical analysis to predict market behavior and identify patterns?

To identify a trend you want to look at the big picture. So focusing on large time frames. It is also possible to find trends in trends. You can find mini trends smaller time frames but alway pay attention to the larger trend. Don't force an outcome that doesn't exist

Develop a systematic approach to analyzing price movements, volume, and momentum indicators to spot trends and potential reversal points. Continuously monitor market data and apply analytical tools to identify recurring patterns and anomalies. Keep abreast of market news and economic indicators that may influence price movements. Experiment with different time frames and trading strategies to refine your skills and adapt to changing market conditions. Additionally, consider leveraging technology and automation tools to streamline analysis and improve efficiency. Continuously refine your approach based on feedback and market observations, maintaining a disciplined and patient mindset.

When I say "choose your market and time frame," I mean that you should select the specific financial market you want to analyze and the time period you want to focus on. For example, if you're interested in commodity trading, you would choose the asset pair like XU. As for the time frame, it refers to the duration of the price data you're analyzing, such as daily, weekly, or even intraday charts. Different markets and time frames can exhibit different patterns and behaviors, so it's important to pick the ones that align with your trading style and goals.

Determine the market you want to analyse (e.g., stocks, forex, commodities) and the time frame you'll focus on (e.g., daily, weekly, intraday). Different markets and time frames may exhibit unique patterns and behaviors, so it's essential to select ones that align with your trading goals and preferences.

Statistical analysis and technical analysis are best friends. You can never be 100% right but with a good risk to reward ratio being 50 or 60% right is enough to make good money. Look at the stats of how correct your calls are. Even with indicators your strategies can be statistically significant. Just don't expect to be right all the time.

There are plenty of indicators out there when conducting Technical Analysis. Take one of them as an example, probably one of the most basic to know, would be Relative Strength Index or commonly known as RSI. RSI is a momentum oscillator that can be used to measure the speed & change of price movements. It is useful to understand the market behaviour whether already overbought (usually >70) or oversold (usually <30) based on measurement from 0-100. Change in market behaviour may be seen at these two main points when people start selling the instruments once RSI reaches the overbought region, vice versa. This is just one of the examples, out of thousands out there.

Decide which technical analysis tools and indicators you'll use to analyse the market. These may include moving averages, trendlines, support and resistance levels, oscillators (e.g., RSI, MACD), and chart patterns (e.g., head and shoulders, triangles). Choose tools that complement your trading strategy and provide actionable insights.

Try to avoid too many indicators. Price action is the only leading tool we have so if price action agrees, go with it. MAs are great for supporting trend and Pivots, I use for targets.

When I say "identify trends and patterns," I mean that you should look for recurring movements or behaviors in the market. Trends can be upward (bullish), downward (bearish), or sideways (consolidation). By analyzing historical price data, you can spot patterns like support and resistance levels, chart formations like triangles or head and shoulders, and indicators that provide signals for potential market direction. These trends and patterns can help you make more informed decisions about when to enter or exit trades. It's important to remember that trends and patterns are not guaranteed to repeat, but they can provide valuable insights for your analysis.

Analyse price movements to identify trends (e.g., uptrend, downtrend, sideways) and patterns (e.g., double top/bottom, flags, pennants). Trends help you determine the overall direction of the market, while patterns provide insights into potential future price movements. Look for confirmations from multiple indicators to increase the reliability of your analysis.

Likewise the indicators, there are also plenty of trends and patterns out there. Understanding the candlestick patterns may be very helpful when conducting Technical Analysis. Candlestick patterns generally show the market behaviour especially in determining whether there are selling or buying pressure in the market at the moment. Take some of our time to understand the basic patterns of candlesticks especially to just identify whether people are selling hard or vice versa for a particular instrument that we are trading.

Two main basic risk management in trading that I find very useful would be: to establish a trading plan and position sizing. A simple trading plan includes the Entry Price level (EP), Cut/Stop Loss level (CL) and Take Profit level (TP). These three can be decided via Fundamental Study and Technical Analysis. Once a trading plan is established, Position Sizing may take place in order for traders to couple the volume to be taken with the trading plan and also the capital available.

When I say "applying risk management and trading rules," I mean that it's important to have a set of guidelines and strategies in place to protect your capital and make disciplined trading decisions. Risk management involves determining the amount of capital you're willing to risk on each trade and setting stop-loss orders to limit potential losses. Trading rules can include entry and exit criteria, position sizing, and profit targets. By following these rules, you can maintain consistency in your trading approach and minimize the impact of emotional decision-making. It's crucial to develop a risk management plan that aligns with your risk tolerance and trading goals.

Implement risk management strategies to protect your capital and minimize losses. Set stop-loss orders to limit potential downside, and establish profit targets to lock in gains. Adhere to trading rules such as position sizing, entry and exit criteria, and trade execution guidelines. Consistency and discipline are key to successful trading.

Identifying market behaviour is very critical. Only if one can predict the future market trends & be the ultimate opportunist, shall make him/her a good trader. Combining technical indicators & not using them in isolation can yield better returns. 1 single technical indicators may prove to be false. For example, a combination of RSI with volume. Further using them with pivot can enhance results. Analysing candle stick patters with volume & trading bars can be a good one. Historical moving averages can help in valuation & assist fundamental analyst as well.

You only need 1 repeatable pattern. In the same way you only need to trade 1 market on 1 time frame. The idea is to become a specialist. It helps build a feel for current market conditions.

If you want to use technical analysis to predict market behavior and identify patterns, you can start by studying different chart patterns, indicators, and trends. It's important to analyze historical price data and use various tools to identify potential entry and exit points. Additionally, staying updated with market news and understanding market psychology can also be helpful. Remember, technical analysis is just one approach, and it's always good to combine it with other forms of analysis for a more well-rounded perspective.

You will be terribly wrong if you think drawing lines and connecting dots, you can predict pricing. A kindergarten kid will be able to do the same.