Often technical analysis is criticized by researchers for its inadequacy towards validation scientifically and statistically. Technical analysts, in response often argued that this method is a pragmatic approach but has its major interest in what is able to work in comparison to present theory. The fact still remains however that various methods in technical research have higher subjectivity and researchers claim often that patterns for price and indicators utilized by technical analysis practitioners is more in the perspective and beholder’s eye. However, vividly, practitioners continue portraying the technical analysis utility and how famous it is ever since the past decade. Most notably this is seen through the perspective that most main newspapers now are posting advice from stocks depending upon technical method as analysis and some firm brokerage. Research over technical analysis profitability, furthermore, has increased in terms of volume and statistical significance during the last decade itself. Park et al (2007), in a research paper review submitted by them tried to analyse the profits potential generation through technical based analysis. They searched that studies in the modern world depict that technical method as analysis consistently helps in generating profitability returns in several markets speculated.
Technical analysis however seems to be the most valuable approach for automating with a PC as prices of stock are available readily. As many indicators, furthermore, within technical analysis involve uncertainty and they have problem in interpreting pure methods of analytical nature. This seems like a domain which is properly suited for AI (Artificial intelligence) and learning through machinery. Although, the study will be limited to technical analysis methods, other techniques for stock analysis are also essential from the future work perspective.