Recent research has addressed the role of technical analysis in the broader context of financial markets, tracing the linkages among behavioral economics, individual actors in financial markets, and the role of technical analysis in studying the behavior of individual actors. This literature review references a number of those studies and discusses the evolution of technical analysis and how that evolution, in the tradition of other social science disciplines, has addressed many of the criticisms of the field. This review demonstrates that, over time, ideas expressed by Charles Dow at the dawn of the 20th century have been validated in the 21st century.
