Those who perform technical analysis try to predict future movements of a security based on factors such as price movements, trends, and trading volume. Unlike fundamental analysis, technical analysis does not attempt to determine the intrinsic value of a company. Instead, it uses charts and other tools to forecast the future price of its stock. Technical analysts believe that historical performance of stocks and markets are indicative of future performance.
Technical analysts use a variety of indicators to estimate the future movement of stock prices. These indicators include moving averages, moving average convergence/divergence (MACD) indicators, historical trading volume, and more.