What are the assumptions of Technical Analysis?

Technical Analysis is based on certain assumptions. These are as follows :
(1) The price of security is-related to demand and supply factors operating in the market.
(2) There are rational as well as irrational factors which affect the supply and demand
factors of a security.
(3) The prices of securities behave in a manner that their movement is continuous in a
particular direction for some length of time.
(4) Trends in the price of securities have been seen to change when there is a shift in
the demand and supply factors.
(5) Whenever there are shifts in demand and supply, they can be detected through
charts prepared specially to show the action of the market.