Other patterns give early warning of a trend reversal . Seasonal Charts - Seasonal price charts reflect futures or cash price patterns that recur year after year. Charts that reflect seasonal price patterns may be explainable by repeating annual market forces . However, a trader does not have to know the reason for a seasonal pattern to be able to trade it. Futures usually follow the same seasonal pattern as the cash market, but sometimes anticipate the cash pattern.
All futures prices tend to move at the same time.
That is, as cash prices rise, all futures contract prices tend to follow along. When cash prices drop off, all trading futures prices tend to fall too. Technical analysis can make your hedge plans more flexible, and may result in more profit per trade. This section is merely an introduction to technical analysis. Interested traders should consult their broker for more detailed sources.