Currency valuation based on technical analysis often stems from chart or trend data. Technical analysis requires the tedious recording of past price and volume.  Unlike fundamental analysis, technical analysis does not take macroeconomic factors such as political risk or inflation, into consideration.  The utility of technical analysis depends upon the analyst's ability to identify price patterns in the market. Chart analysis involves the mapping of recurring price patterns in order to assist traders in making buy/sell decisions within the current market. Chart analysis requires the graphical depiction of price points over a period of time.  Price points are often depicted as red or green hash marks indicating upward (green) or downward (red) price volatility with ‘tails' depicting the high/low calculation of movement within a given period.  These points may represent systematic as well as non-systematic data producing upswings, or downturns in share/currency value.  (Wang) Trend analysis involves the use of various mathematical equations to extrapolate current as well as future fluctuations in currency value.  In chart analysis, systematic downturns and their proceeding upswings create bows and troughs.  Trend lines may be drawn from the vertexes of these price point fluctuations in order to determine general upward or downward trends.  The purpose of mathematical trend analysis is to determine the placement and accuracy of these lines and to predict where future price points may lie. Because fundamental analysis lacks the mathematical accuracy of technical analysis, and technical analysis voids macro-economic factors, a dual approach is most appropriate.  However the quality of a model can only be describe by its tested accuracy.  When technical analysis provides no quarry, outside-of-current-market factors such as black market values, may be involved. (Shapiro) Citation Bedford, Louise. "The trend is your friend." Money (14446219) (Feb. 2005): 28-28. Business Source Premier. EBSCO. Pollack Library, Fullerton, CA.  16 May 2009 Shapiro, Alan C and Atulya Sarin.  Multinational Financial Management. 6 e.d. NJ.  Wiley & Sons Inc:  2009. Shapiro, Alan C and Atulya Sarin.  Multinational Financial Management. 6 e.d. NJ.  Wiley & Sons Inc:  2009. Wang, Chih-Hsuan. "Decision Tree Based Control Chart Pattern Recognition." International Journal of       Production Research 46.17 (2008): 4889. .