Is this TA?

marketsurfer said:
I don't hate TA at all. Ii just understand what it is and what it is not.

I use it everyday in my journalism business to describe what happened in the markets.

The problem with yoyr argument is it is built on false pretenses-- patterns don't repeat in such a way that they can be consistently exploited.

With that I'll qoute one of the true geniuses of the market-- in fact -- i became friends with his brother from posting on here--

"
A price chart is an attempt to model relevant aspects of price change. Price change is not linear displacement, whether vertical, horizontal or oblique. Nonetheless, price change can be represented as vertical displacement and time elapsed as horizontal displacement. Such a model, however, invariably supports relationships that does not correspond to anything in the original process.The angular inclination of a trend on a price chart is a visually striking feature of this representation. Such angles have no intrinsic meaning for the price series, but this is one of the many factors (along with our facility for pattern recognition and wishful thinking) that contributes to our interpreting more from price charts than rigorous testing reveals is there."

- William Eckhardt

Game, set, match. Any questions true believers? If any of you still have the faith---

surf
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Eckhardt is also the guy who lost his bet with Dennis Richard, so he is not infallible. Your penchant for argumentum ad authoritatum is incredible. Any so-called expert who says something you even mildly agree with and it's "Game! Set! Match!" Here's the diff between you and me: I think for myself and I question everybody, especially the so-called experts, double especially the so-called experts in a field as iffy as trading. If all it takes is a PhD in finance or math or whatever to be a successful trader, why aren't they all rich? That's the type of question you never ask but I've been asking it from the first day I got interested in trading many years ago.

So by all means, continue with your worship of "experts", I much prefer to become my own true expert.

Read an article about Eckhardt titled The Man Who Launched 1000 Systems. The title was meant to be awe-inspiring or some such nonsense but all that went through my mind was "Geez, if you need a 1000 systems to figure out how to beat the markets, you are doing it majorly wrong."
 
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marketsurfer said:
Clearly its another representation of past price. Looks like point /figure turned on its side.
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In another thread, you stated "market internals reveals massive bearish sentiment". A contrarian might believe otherwise... Some might say that your "market internals" are subject to interpretation. So, in the mind of Surf, how is that different than "descriptive TA"? I'm curious...
 
nth said:
In another thread, you stated "market internals reveals massive bearish sentiment". A contrarian might believe otherwise... Some might say that your "market internals" are subject to interpretation. So, in the mind of Surf, how is that different than "descriptive TA"? I'm curious...
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It is a form of TA but we don't use it to make decisions-- it was an observation of current conditions. Yes, you are right, it can be interpreted both ways.

surf
 
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This is a typical TA chart.

T25ZAUj.png




:)
 
londonkid said:
A discussion in another thread provoked to me to think about whether all use of charts is TA. Lets take the example attached. The chart shows a H1 candlestick chart of crude oil.

My hypothesis is that price will very likely at some point return to the blue line. The reason for this is not based on a historical pattern or indicators etc. My reasoning is that during the red bar traders large enough to stop and reverse price got short looking for lower prices. As you can see from the price action since the red bar oil initially went lower and then rallied to put those that didn't bank underwater. I believe that the traders who can move price will likely now push the price down to the blue line to allow them to buy and net out the position. In the process they will likely bank some profit from selling higher up.

Is this sort of analysis TA?

View attachment 156913
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Price retracing after an obvious break in a common play to screw the texbook players. That, along with the opportunity to reverse long, suggested selling to push it lower. Yes you are right. But it isn't a given that it will happen.

It's all useful speculation but I wouldn't call it TA. It is “meta” TA; it is a reasoning underlying a behavior. The behavior could find its framing within TA.
 
OTM-Options said:
This is a typical TA chart.

T25ZAUj.png




:)
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I like technical analysis/charts, whatever you chose to call it...
But people should not just look at them blindly, and solely and religiously and in hindsight only.

People should also be keenly aware of the social/human and reasoning element of the markets. That way you won't be necessarily swept by surprise if the market moves swiftly up or down...since more or less...you are expecting it. You kind of have your support and resistant levels in mind.

Don't just view yourself, the trader, as an emotionless scientists working on a formula.
This kind of reminds me of: The Midas Formula: Trillion Dollar Bet (2000) documentary. I've literally seen watched/listened to this documentary like 20+ times...it's one of my favorites on youtube.
 
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