Many studies have examined the benefits of conducting technical analysis on the stock market, with mixed results. With a view to clarifying the usefulness of technical analysis, this paper examines the capacity of technical analysis rules to predict future prices on the Amman Stock Exchange. As data for this research, a sample of closing prices for the general index on the Amman Stock Exchange was used. Our results show that technical analysis does have the power to predict the movement of the stock price, and to generate profitable buy and sell signals.

This study tried to know the dependency of investors on Amman Stock Exchange Index when making their investment decision in the stock exchange, especially when increasing investment opportunities at a rapid rate where the need is urgent for an accurate indicator that can be relied upon to measure the performance of the stock exchange and its effectiveness, the stocks represented for this indicator a lion's share of stock exchange on different sectors, represented by the stock exchange and therefore of the economy. As well as the study attempted to determine the impact of the Arab bank's stocks on the value of the Stock Exchange Index, to reach this goal, a questionnaire was distributed to a group of investors, using the statistical analysis by the adoption of the Wilcoxon test the questionnaire was analyzed. The results showed that ordinary investors do not rely on the index in the short term, while companies and investment portfolios based upon it in their investment decision, as well as there is a direct impact of the Arab bank's stocks on the value of the index. A set of recommendations was put forward by the researcher hoping to help bring the attention of officials and investors to increase the effectiveness of the index.