Is TA broken due to Fed?

[Money Trust]

My technical methods are working just fine. lol

 

[goodgoing]

This is an article that discusses this possibility. I don't agree that it's not working, I think HFT has impacted TA but it still works, you just have to be smarter than in the past when applying it.

Any comments about the head and shoulders in SP500 dismissed in the article?

TA is for gamblers. Article is good. Paper traders look at charts and think TA works but those with skin-in-the-game know that with real money things are different. TA is 50% minus trading cost and ends up a negative-sum game overall. No one would invest multi-millions in equipment to do high frequency market making if TA worked, I mean no one, it would be stupid.

 

[eganon69]

I don't gamble and neither do several others I know using TA exclusively in trading. If it does not work for YOU...state that. But just because YOU can't make it work does not mean others cannot.

 

[Redneck]

Is TA broken due to Fed?

For the last decade TA has been created..., due in large part..., by the FED

Thinking it broke - is falling victim to the human-ness that plagues most traders

mkt should be doing this - but it ain't
makes no sense why the mkt is doing this - I'm going opposite
economy faltering / job growth down / unemployment up - why is mkt going up

Trade it - as what it is..., not what you think / want / expect

I think HFT has impacted TA but it still works, you just have to be smarter than in the past when applying it.

HFT contributes to TA..., just as the FED..., just as BSDs

One important note - they all work in different arenas (not to be confused with TFs)

We.., as independent traders..., can choose which arena we work in..., we can cross an arena anytime we like..., we can work across arenas at our choosing

We can also get stuck and screwed in an arena

It always best to work in a big arena..., unnoticed imho


Admittedly - I doubt what I just said above makes any sense to many

RN

 

[SunTrader]

....

The Fed has not broken TA. The Fed has caused correlations to change and skew. It has been going on for years! Adapt! For the most part, TA employs a limited set of data involving OHLCV. All those data points are alive and well. OHLCV is alive and well.

Agree 100%

 

[Sergio77]

TA may not be broken but in markets that only go up it has limited application.

 

[tiddlywinks]

TA may not be broken but in markets that only go up it has limited application.

So you are saying TA is usable to it's fullest extent ONLY in NON-TRENDING markets. To each their own.

Trade On!