Technical analysis, also known as statistical analysis, is the practice of using current and past data for validating existing data and for predicting future data. Although there is a high dispute on the effectiveness of technical analysis and tools, most experts agrees on the fact that knowing technical analysis tools, past market trends and price changes, and knowledge of different patters & formations can greatly enhance a traders profiting chances and reduces market risk.

Experts say technical analysis works better with forex market than with stock or futures market. The top reasons for this are the continuity of forex market reducing the over-night open position risk (or the trading gaps), predictability of currency prices at certain levels because of the intervention by central banks to keep that so and the vast growth and popularity of the market demanding more sophisticated tools, inventions and modifications.

Now retail traders from across the world, especially from UAE and middle-east, can enjoy the high-end forex technical analysis tools offered by leading online forex trading brokers. More over, most of these systems are web-based, available from anywhere there is internet. Many of these systems supports complex and simple forex trading strategies and are loaded with sophisticated algorithms and patterns to identify and utilize different trend formations, patterns, scenarios, and opportunities. They make the trading more automated and easy. Technical analysis tools works best when they are used together with fundamental tools and news.