Are you sick of technical analysis? I am...

[iuykcif]

Quote from retaildaytrader:


...
I have made more money by simply dumbing down then with all these complex things.

I have seen around different understanding of what TA is. Do not know if there is a really authoritative definition.

Some people tend to define it so amply that it embraces practically all is not FA.

I have some doubt on this approach. I do base my algorithms on PA, but if someone told me I am using TA, I would be quite upset.


____________________
Tom
My <a href="http://www.datatime.eu/public/gbot/2009Oct19/default.htm" target="_blank">auto trading</a> journal

 

[PAPA ROACH]

TA used to work MUCH better than it does now, and this is a function of electronic algo trading. I'm not talking about small black box day traders, I am talking about very large (Goldman, etc) algo's. These algo's likely exploit common TA used by many traders to rape them. Back before the HFT electronic trading world came to mature, charts ruled the roost.

 

[saliva]

Quote from retaildaytrader:

For the last 2-3 months, I have been bombarded by charts written by people who think they know the market. Not only charts, but complex analysis such as the Elliott Wave theory and a heavy topping of indicators and bands. I have seen time and time again their charts and signals simply wrong and wrong some more.

I was using them at first, but then figured out quickly that none of it works. I am of the opinion now that only simple analysis of just looking at the chart and making an observation of whether its going up or down works...nothing else.

My thinking is the majority of people who post these complex charts and analysis are just bored at work, but are not really professional traders.

I have made more money by simply dumbing down then with all these complex things.

Yay! It's called "price action", which is considered part of technical analysis only in part because you incorporate patterns like Double-Top and Head-and-Shoulders. However, none of the squiggly gibberish. You know, things like stochastics and VWAP.

 

[saliva]

Quote from asiaprop:

I never get why anybody would behave in candle chart patterns in the first place. Its a completely stupid pursuit. Depending on what time you start the bar/candle and what frequency you look at you get completely chart patterns, sometimes opposing patterns. I dont see the point at all...

Well, one day you too might get lucky and become wiser in return. Keep searching.

 

[flipper me]

Quote from retaildaytrader:

I have made more money by simply dumbing down then with all these complex things.

You can dumb down technical analysis and make it work.

 

[ambienCR]

Quote from PAPA ROACH:

TA used to work MUCH better than it does now, and this is a function of electronic algo trading. I'm not talking about small black box day traders, I am talking about very large (Goldman, etc) algo's. These algo's likely exploit common TA used by many traders to rape them. Back before the HFT electronic trading world came to mature, charts ruled the roost.

is this why TA departments of large banks are considered part of the marketing division?

 

[iuykcif]

Quote from retaildaytrader:

The above diagram looks nice and is probably correct from a technical perspective, but my challenge to anyone here is to trade an actual account and make money with it. Many of these chartists can't make money with their own charts.

Honestly, can you make money with the above chart?

Correct imho. Being profitable has nothing to do with the capability of computing several indicators and plot them on a bitmap.

There is nothing wrong liking and exercising in those charts and indicators. It's actually a nice and useful programming exercise.

The problem resides in the belief that such activity can be useful somehow for trading.

In other words, it's often the implicit assumption that a "prevision" or a decision can be made based on those, that yields most problems.


Tom

 

[flatron]

It seems that there is a secret method of trading without charts that always works, but the answer is never given away in the threads. There's was a similar one over on forexfactory too. only a few members of the thousands registered ever seem to know and agree with each other but never let on what they are all talking about. I can only imagine that they're talking about some super powered algorhythms or something?

http://www.trade2win.com/boards/forex-discussion/72058-trading-without-charts.html

 

[R. Raskolnikov]

Again, I IMPLORE you to tell me what the analysis is called if the term "TA" makes you that uncomfortable.

My whole point was that TA is what you make of it and isn't so rigid as you describe.

Like I said in another thread, as of now there is TA and FA. If you want to get the ball rolling to add a "new" category then go right ahead.

Quote from ambienCR:

the true believers will twist anything to fit their paradigm of what is and what isnt TA in an ill fated effort to keep their dying faith alive.

basically, these pretty charts appeal to the visual trader who needs the crutch of seeing the past, one who can not hold the number patterns in their own heads---- its a left brain right brain thing the artist vs the practical logical mind. the artist doesn't stand a chance, but still points toward the charts showing would of could of should of despite the mountains of evidence that is simply does not work.

this person in particular has been running from thread to thread with his "wide net" defense of his god. like a religious nutcase on the street corner screaming about salvations damnations.

totally messed up!

 

[retaildaytrader]

There are no secrets in trading. Everything has been explained and written about in books and discussed at length. There are no secret strategies.

Its just like baseball. There are no secrets on how baseball is played. Everything about baseball is known and the games are palyed in front of millions of people. However, not everyone can be a baseball player.

There are some people out there who if we placed in a 6 month training camp with the best trainers in the world...they might come out better at baseball then when they entered, but they might never make it to the Yankees.

It just comes down to "can you do it". Some people can do it, some people cannot.

Quote from flatron:

It seems that there is a secret method of trading without charts that always works, but the answer is never given away in the threads. There's was a similar one over on forexfactory too. only a few members of the thousands registered ever seem to know and agree with each other but never let on what they are all talking about. I can only imagine that they're talking about some super powered algorhythms or something?

http://www.trade2win.com/boards/forex-discussion/72058-trading-without-charts.html