A fact is a fact. If some see it "differently", that's their error.
Is Technical Analysis a joke??
- Thread starter Jdesey
- Start date
A fact is a fact. If some see it "differently", that's their error.
Sorry to disappoint you, but this is wrong. Believing it is a good way to lose all your money; the crash of the past few weeks illustrates this with 100% clarity.
https://en.wikipedia.org/wiki/Gambler's_fallacy
it depends on individual.
Some feels it is a joke. then it is a joke.
unfortunately many people think TA is a holy grail.
They draw thousands of support and resistance lines,
they draw trend lines here and there,
they fibo here and there and everywhere,
they added thousands of oscillators,
they use multiple envelopes ....
Some feels it is a joke. then it is a joke.
unfortunately many people think TA is a holy grail.
They draw thousands of support and resistance lines,
they draw trend lines here and there,
they fibo here and there and everywhere,
they added thousands of oscillators,
they use multiple envelopes ....
Couple things on this. The first is that you are competing with them whether you like it or not. The action on longer timeframes is still just a meta outcome of HFT and algo trading.
Competing against the best quants in the world is the greatest challenge there is.
These guys are not perfect. They make mistakes. The algo's are good but that doesn't mean they can't get caught offside. The treasury market is a great example of this.
No matter what algos and trading machines and HFT they have, nobody is right all the time.
Glad I was wrong and thanks for providing proof. I always appreciate folks that corrected me when I was wrong. Now I have homework to do to reexamine my results.
Have a good day.
As an award-winning #1 rated readers choice columnist for TASC magazine, and former statistician for Ford, here's my .02:
Price action, trading ranges and risk management is more important than any squiggly lines on charts.
The math is far more important than charts, x100 when it comes to making money trading.
Knowing trading ranges/ATR and trading with position sizing is essential.
Using 50 100 200 sma on daily charts is useful to know what the herd is following.
Candle patterns esp hammers work often.
In training thousands during 21 years, where traders screw up is:
You trade choppy narrow range charts that aren't clean, wide range.... charts under $10 are for morons
You undertrade, waiting for a few great looking breakouts or pivots and still lose
Your stops are way too costly, mine are almost always under $70 max
So much more, there's a lot of fixes
Price action, trading ranges and risk management is more important than any squiggly lines on charts.
The math is far more important than charts, x100 when it comes to making money trading.
Knowing trading ranges/ATR and trading with position sizing is essential.
Using 50 100 200 sma on daily charts is useful to know what the herd is following.
Candle patterns esp hammers work often.
In training thousands during 21 years, where traders screw up is:
You trade choppy narrow range charts that aren't clean, wide range.... charts under $10 are for morons
You undertrade, waiting for a few great looking breakouts or pivots and still lose
Your stops are way too costly, mine are almost always under $70 max
So much more, there's a lot of fixes
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Ditto here; it's always been one of my most productive attitudes.
One of the first things I've learned in studying data science is just how many crazy biases we humans have. Our brains are amazing rationalizing mechanisms... note I didn't say "rational", though.
https://www.visualcapitalist.com/every-single-cognitive-bias/