Technical analysis as a tool to rationalize investment decision in equities: an application study on the Abu Dhabi Stock Exchange

This study aimed to identify the importance of technical analysis as a tool to rationalize the investment decision of shares in the Abu Dhabi Stock Exchange by identifying the importance of technical analysis and its applications in the process of rationalizing the decision to invest in shares and the opinion of the technical analyst for the investor in rationalizing his investment decision, and identifying the most prominent economic sectors in which he invests based on technical indicators, and to achieve the objectives of the study the researcher used the descriptive analytical approach, and the study community consisted of all . it were selected in a comprehensive inventory method of 120 investors, and in its intention a sample of the community estimated at (90) investors was taken, and to collect the data and information needed for the study, a questionnaire was built as a study tool, Its sincerity and stability have been confirmed, After the data collection, statistical analysis of the data was carried out using the Social Sciences Statistical Packages Program (SPSS). In light of this, the study found a set of results, the most important of which are: The study sample members agreed on "The importance of technical analysis and the opinion of the technical analyst for the investor in rationalizing its investment decision" and "the most prominent economic sectors in which he invests based on technical indicators on the Abu Dhabi Stock Exchange" where they all received a high degree from their point of view. In the light of previous results, the research reached a set of recommendations and proposals.

___

  • 1- Ahmed, Ahmed Mohammed Lotfi, (2008), Stock Exchange Transactions between Positive Systems and Shariah Provisions, University Thought House, Egypt.
  • 2- Andros, Atef William, (2006), stock markets between the necessities of economic transformation and financial liberalization and the requirements for their development, University Thought House, Alexandria, Egypt.
  • 3- Badawi, Mohammed Fathi, (2007), Capital Markets Stock Exchanges and Investment Funds Analytical Study, Academic Office, First Edition, Cairo, Egypt.
  • 4- Bassiouni, Abdullah Abedin, (2007), the principle of free trading of shares in joint stock companies, University Thought House, Egypt.
  • 5- Tamimi, Arshad Moaz, (2010), Financial Markets within the framework of regulation and evaluation of tools, Al Bazouri Scientific Publishing and Distribution House, Amman, Jordan.
  • 6- Tamimi, Arshad; Osama Salam, (2004), Securities Investment Analysis and Management, Al-Serrah Publishing, Distribution and Printing House, Amman, Jordan.
  • 7- Camel, Jamal Houydan, (2002), Financial and Monetary Markets, Dar Al Safaa, Publishing and Distribution, Amman, Jordan.
  • 8- Al-Hamdani, Muwaffaq (2006), Scientific Research Curriculum, Al-Warraq Publishing Foundation, Amman, Jordan.
  • 9- Al-Hanawi, Mohammed Saleh (2005), Stock and Bond Analysis and Evaluation, Second Edition, University House, Alexandria, Egypt.
  • 10- Al-Hanawi, Mohammed Saleh, et al., (2007), Stock and Bond Valuation - Financial Engineering Portal, Modern Arab Office, Alexandria, Egypt.
  • 11- Hanafi, Abdul Ghaffar, (2003), Stock Exchange, New University Publishing House, Alexandria, Egypt.
  • 12- Chamoun, Chamoun, (1998), Bourse, Homa Printing, Publishing and Distribution House, Algeria.
  • 13- Abdul Jawad, Mohammed; Al-Shidifat, Ali (2006), Investment in the Stock Exchange ( Shares - Bonds - Securities), House and Library of the University Publishing and Distribution, Amman, Jordan.
  • 14- Mutawa, Saad, (2005), Department of Markets and Financial Institutions, Cairo, Egypt.
  • 15- Al-Muhalami, Abdul Majeed, (2006), Technical Analysis of the Financial Markets, Al-Balagh for Printing, Publishing and Distribution, Fifth Edition, Amman, Jordan.18- Henedy, Mounir
  • 16- Abul-Taif, Nahed, (2011), The Impact of Technical Analysis on the Decision of Investors in the Palestine Stock Exchange, unpublished MA thesis, Islamic University, Gaza, Palestine.
  • 17- Baljablia, Somaya, (2009), the impact of inflation on stock returns, an applied study of the shares of a group of companies quoted in the Amman Stock Exchange for the period (1996-2006), an unpublished master's thesis, Mentouri University, Constantine, Algeria.
  • 18- Sharabi, Imad El-Din, (2010), Decision to invest in stocks based on technical analysis, an applied study on 20 institutions listed in (CACAO), an unpublished master’s thesis, Mentouri University, Constantine, Algeria.
  • 19- Nassar, Khaled Muhammad, (2009), the mechanisms of activating the stock market in the light of financial engineering products, an applied study on investors in the Gaza Strip, an unpublished master's thesis, the Islamic University, Gaza, Palestine.
  • 20- Hussein, Hussein Walid; Ibtihal Khudair, (2013), Investment Decisions and Factors Affecting Their Rationalization in Stock Markets for Small Investors, Journal of Accounting and Financial Studies, University of Baghdad, Volume VIII, Issue 22, Iraq, pp. 226-236.
  • 21- Al-Shakraji, Bashar, and others, (2010), technical analysis and a course in making the investment decision in securities, an analytical study in a sample of Gulf markets, Tikrit Journal for Administrative and Economic Sciences, issue (17), volume (6), issue (17), Iraq pp. 34-53.
  • 22- Chen, James, (2010): Essentials of Technical Analysis for Financial Markets Hoboken: John Wiley & Son. 23- Edwards, Robert D.& Magee, John, (2007). Technical Analysis OF Stock Trends, Ninth Edition, United States of America: Taylor &Francis Group ,UK.
  • 24- Kahn, Michael N. (2006): Technical Analysis Plain and Simple, Charting The Markets in your Language, First printing, second Edition ,new jersey ,United States of America ,Pearson education
  • 25- Murphy ,john j,(1999),Technical Analysis of the Financial Markets ,A comprehensive Guide to Trading Methods and Applications, United States of America: New York Institute of Finance.
  • 26- Patrick, Perham , (1997), Analyses Technique Approach Pragmatiquen, economic, Paris, French.
  • 27- Henidi, Munir Ibrahim, (2008), Investment Fundamentals and Securities Analysis (Equities-Bonds), Knowledge Facility, Egypt