Does technical analysis works in non-trending markets?
- Thread starter crgarcia
- Start date
You make the incorrect assumption that technical indicators = technical analysis.
The best TA I know of is of the personal experience nature from watching the markets over years of time. Over time, you develop an instinct based on what you are seeing that allows you to understanding the differences between price action that is trending, vrs ranging and also corresponding volitility. This doesnt need to involve anything other than price and for some, volume.
People get all wrapped up in fancy indicator packages because their software has them but really most people will end up finding out that had they just watched the markets and paid attention to what was happening they'd be better off than had they fiddled with indicators.
The best TA I know of is of the personal experience nature from watching the markets over years of time. Over time, you develop an instinct based on what you are seeing that allows you to understanding the differences between price action that is trending, vrs ranging and also corresponding volitility. This doesnt need to involve anything other than price and for some, volume.
People get all wrapped up in fancy indicator packages because their software has them but really most people will end up finding out that had they just watched the markets and paid attention to what was happening they'd be better off than had they fiddled with indicators.
all markets trend
Hiya guys
markets are trending all the time
if they didnt we might as well just find a better paid job
long experience watching the markets is pretty important
if you are using TA and the markets are not trending much atleast you are not loosing much either unless you are changing your mind all the time.
Regards
Baldur
markets are trending all the time
if they didnt we might as well just find a better paid job
long experience watching the markets is pretty important
if you are using TA and the markets are not trending much atleast you are not loosing much either unless you are changing your mind all the time.
Regards
Baldur
Then what's the trend in Sugar?
Price leads, indicators lag. If you'd rather commit your time and energy to using stuff that is lagging the mkt rather than learning to read and understand what is leading then be my guest.
I'm not saying indicators dont work, however one must learn HOW to use a particular indicator and that takes time in itself, by observing the markets and seeing how and what an indicator is doing and also relating it to making successful reads of the market. If you are going to go through all that trouble, you might as well just learn price (and volume too)
I'm not saying indicators dont work, however one must learn HOW to use a particular indicator and that takes time in itself, by observing the markets and seeing how and what an indicator is doing and also relating it to making successful reads of the market. If you are going to go through all that trouble, you might as well just learn price (and volume too)