Technical Analysis = CRAP

[marketsurfer]

Quote from Fireplace:

Marketsurfer, why not just admit that TA works well for some and doesn't work well or at all for others?

Sure, I'll admit that there may be some savants who can subjectively make it work. Just like arch Crawford stock market astrologer had the most accurate of all financial newsletters for years based on planetary movements.

The key word is subjective. I don't believe TA can be objective with set entry rules like the various gurus teach.

Surf

 

[Fireplace]

Ok, so you disagree with the thread title then. Nice.

Quote from marketsurfer:

Sure, I'll admit that there may be some savants who can subjectively make it work. Just like arch Crawford stock market astrologer had the most accurate of all financial newsletters for years based on planetary movements.

The key word is subjective. I don't believe TA can be objective with set entry rules like the various gurus teach.

Surf

 

[marketsurfer]

Quote from Fireplace:

Ok, so you disagree with the thread title then. Nice.

Yes, I disagree with the title. I even use TA to illustrate Market action, it's the best tool for this. I was even a MTA member years ago. I just dont believe charts are wise to use for real time decisions for most but the most intuitive savants.

 

[marketsurfer]

Quote from Neenisti:

They won't be hedged, will be executed in real time, will be stated as either a buy, sell, exit (i.e. Buy Lt. Sw. Crude now at market [9:08 am EST]) & will be posted to twitter immediately upon execution (exactly how you post your trades). He said the software sends an alert to twitter within 1 second of trade execution so you will get the twitter alert very quickly unless you are using a Blackberry. He said he would try to find a 5th grader to write the twitter alerts to be programmed so as long as you are smarter than a 5th grader you shouldn't have a problem with the content of the

Sounds good. I look forward to it. It will be interesting to see if your Objective system can produce results any better than can be expected randomly.

SurF

 

[Neenisti]

Quote from marketsurfer:

Sounds good. I look forward to it. It will be interesting to see if your Objective system can produce results any better than can be expected randomly.

SurF

Can I put in a side wager on this deal?

 

[Neenisti]

Quote from danedegenhart:

Fireplace is one of those moronic Jack Hershey followers that is too scared to trade, try to ignore his childish chatter.. he wants to play with the big boys but sadly he took the easy way out and let an old fraud do his thinking for him.

You need to stick to posting pictures of naked women. Anything more complicated than that and your head might explode.

 

[Neenisti]

Quote from danedegenhart:

Aaaahahaha.. another Hershey devotee.. or as they are more commonly referred to.. fodder for the marke

And you probably need to have your eyes tested if you think they are naked.. or is that what middle aged white America thinks a vagina looks like?

A chocolate bar? What, you are a teenager right?

Sorry, not middle aged, not white, will always be far more intelligent than you are and I know that when you sit down you sit on your vagina.

 

[piezoe]

Quote from Frits:

...
Whenever you enter the market you have a 50% that it goes up and a 50% chance that it goes down. The trick is to limit your losses and ALWAYS let your profits run....


Frits Altenburg
P.s. this advice was for free

If the first sentence is true, then the second sentence must be false; there can be no way to make money over time, limit losses and let profits run, and all traders will lose at the minimum their trading costs if they persist long enough.

Let me just make a wild guess. Are you perhaps a student of economics, an economist, or a professor of economics?

This topic has been debated here many times. It should no longer be of much interest to those who realize that the idea of a symmetrical 50/50 distribution at every point is part of a model that is none too good at describing real markets.

 

[failed_trad3r]

Quote from Fireplace:

You're not trying hard enough, otherwise you would have found an application of TA that works most of the time.

I recently discovered an incredible edge so I don't need to. It is not TA.

I am not talking opinion, I am talking fact. TA doesn't work because in order for it to work, daytrading needs to be not a zero-sum game. In a zero-sum game, your TA needs to be better than the TA of another participant. This leads to one TA being superior to the other. This TA will be a money maker as long as it's better than the other. But in the end, the TA will be discovered by the other, so when there is no counter party with lesser TA it stops working.

Ergo: TA doesn't work.

 

[Frits]

Quote from piezoe:

If the first sentence is true, then the second sentence must be false; there can be no way to make money over time, limit losses and let profits run, and all traders will lose at the minimum their trading costs if they persist long enough.

Let me just make a wild guess. Are you perhaps a student of economics, an economist, or a professor of economics?

This topic has been debated here many times. It should no longer be of much interest to those who realize that the idea of a symmetrical 50/50 distribution at every point is part of a model that is none too good at describing real markets.

Your statement is correct piezoe. I guess it was my mistake to think that you would come up with the solution yourself. Letting profits run e.g. when long means always leave the way up open. Don't close it off with a profit target. In other words you manage your exit with your stop loss. You let that stop loss trail your profits in a way you are comfortable with. I wouldn't recommend a fixed number when trailing because that leaves out volatility.

So for example when you are up $437.5 your stop loss is already in the money and your profits are secured. And of course there will be trades during which you are up 650,- and end up with a profit of 300,- But if you had exited that trade at a profit of 612.50 you have missed the opportunity of reaching a profit of 2125.- per contract. Simple calculation tells me I have no problem with missing out on a profit of 312.50 (612.50 - 300) when that same trade has the potential of getting me 1512.50 extra profit (2125 - 612.50).

The market doesn't look at degrees. So what my degree is or if I have one is of no importance.

Shaka ,

Frits