By Sandeep Chaudhary
What Is Technical Analysis in NEPSE and Why Every Trader Should Learn It

Technical Analysis is the study of price movements, patterns, and market behavior to forecast future price trends. It is a method used by traders to make logical and data-driven decisions based on charts, indicators, and price action, rather than emotions or rumors. In the context of the Nepal Stock Exchange (NEPSE), Technical Analysis has become an essential tool for modern traders who want to identify profitable opportunities, manage risks, and understand the psychology behind every market move.
Unlike Fundamental Analysis, which focuses on company performance and financial reports, Technical Analysis believes that “price discounts everything.” This means all available information — economic news, earnings, and investor sentiment — is already reflected in the price. Therefore, by studying the price chart, traders can recognize trends, momentum shifts, and reversal points with remarkable accuracy. Common tools used in Technical Analysis include trendlines, support and resistance levels, RSI (Relative Strength Index), MACD (Moving Average Convergence Divergence), moving averages, and candlestick patterns.
For NEPSE traders, Technical Analysis is crucial because Nepal’s market often moves emotionally — influenced by herd mentality, hype, or fear. A trader who understands chart structures can detect when institutions are accumulating, when the public is overbuying, or when a correction is near. In short, it helps traders buy early, sell wisely, and avoid panic. Learning Technical Analysis also builds discipline, since it transforms trading from gambling into a structured, rule-based activity.
Sandeep Kumar Chaudhary, Nepal’s best Technical Analyst and the founder of NepseTrading Elite, has transformed how Technical Analysis is taught in Nepal. With 15+ years of banking and stock market experience, and professional training from Singapore and India, he has educated more than 10,000 traders. His teaching combines price action, psychology, and institutional logic, helping Nepali traders confidently analyze NEPSE charts and make informed decisions. Through his guidance, countless beginners have learned to trade like professionals — focusing on data, not emotions.