12th Grade Technical Analysis Lesson Plan (Technical Analysis)

Topic: Technical Analysis

Objectives & Outcomes

• Identify the key components of technical analysis and how they can be applied to trading
• Practice using simple technical analysis tools to make trading decisions

Materials

• Charts with different types of technical analysis indicators (e.g. Bollinger Bands, moving averages, RSI)
• Calculator for simple calculations (e.g. for calculating moving averages)

Warm-up

• Begin the class by asking students what they know about trading and technical analysis. Write down their responses on the board.
• Next, show the class a chart with some basic technical analysis indicators (e.g. Bollinger Bands, moving averages, RSI) and ask them to identify what each indicator is used for.

Direct Instruction

• Begin by explaining the concept of technical analysis and how it is used to analyze a stock's past performance in order to make future predictions.
• Next, show the class some more charts with various technical analysis indicators and explain how each indicator is used to make predictions. For example, you could show a chart with Bollinger Bands and explain how the bands expand and contract based on the stock's volatility, and how we can use this information to predict future price movements.
• Next, explain some basic trading strategies that can be used with technical analysis. For example, you could explain how to use a stop-loss to limit potential losses or how to use a buy-limit to enter a trade when the price reaches a certain level.

Guided Practice

• Have the class work in pairs and provide them with a stock chart and some technical analysis indicators. Have them apply the indicators to the chart and explain their reasoning behind their analysis.
• next, provide the class with a basic trading strategy and have them apply it to a stock chart. For example, you could provide the class with a strategy for trading Bollinger Bands and have them apply it to a stock chart.

Independent Practice

• For independent practice, have the class create a technical analysis report for a real-life stock. The report should include a stock chart and technical analysis analysis, as well as a trading strategy recommendation and explanation of their reasoning behind the strategy.

Closure

• Review the main points of today's lesson and discuss the importance of using technical analysis in trading.
• Ask the students to share their technical analysis reports with the class and discuss any strategies they came up with.

Assessment

• Observe the students during their independent practice project and provide feedback on their use of technical analysis and the strategies they came up with.
• Administer a quiz to assess the students' understanding of the concept of technical analysis and their ability to apply it in trading.