The market is not random, but TA does not work

[startraitor]

Timeframe and context and range? There is always a bit of randomness to the events that trump ta.

 

[ProfLogic]

Quote from shark:

A chart in my opinion is the simplest practical way to plot a market's movement, beyond the point of one's own memory. Support and resistance coincide with economic news, as what we are really trying to predict are the actions of other people. But my main point is that simplicity is key, and it is is best to avoid the obscure indicators that just make objective economic thought possible.

Support & Resistance are a result of price action which is a product of simple supply & demand.

Successful trading is not "predicting" per se but reading the immediate direction and strength of any occuring oscillation, based on the increment you are trading in; Intraday, Swing or Position.

Objective thought and action is possible but only if you create an environment of non-variables to trade inside.

Sorry for the late response to an early comment but it sticks in my side like a knife when young traders make such comments. Please give yourself 5 to 7 years of personal research before you venture out with statements like this. If you have an open mind you will prove to yourself that the markets are random but readable.

 

[crgarcia]

Quote from nokomisjeff:

Will TA be hold up to the rigors of scientific testing?

Let's take oversold for instance.

What it means, it will reverse into overbought or will get more more oversold?

You get almost a 50/50 chance.
Statistics don't lie.

 

[crgarcia]

Quote from The Swordsman:

Price action IS a form of TA.

What is price action....?

It's the new way to market TA so it can never be proved wrong.

Because it's subjetive, it will never be the fault of PA, it's your fault; you still have to learn it well (and pay for courses, seminars, books, etc.).

The new dogma.

 

[jem]

Quote from crgarcia:

Let's take oversold for instance.

What it means, it will reverse into overbought or will get more more oversold?

You get almost a 50/50 chance.
Statistics don't lie.

could be - but the real question is - is it likely one directions will make you more more more quickly. Will one tell you are wrong sooner.

Will that resistance give you enough information to make a good trade. that is all you really need to know. for instance if I get long in front of that resistance - will I make a buck if I am right and lose 10 cents if I am wrong.

Is this the morning session or the afternoon. Do we have good volume or weak. Is the the first time up after an extended run or the third time up and the start of the afternoon session.

Only traders who have not watched the market say that technical analysis is not useful.

 

[crgarcia]

Quote from intradaybill:

Surprisingly enough, these are the times that 90% of technical traders decide TA is useless.

Try to figure that out.

TA works a little during trending markets.
During choppy markets, TA works WORSE than flipping a coin.

 

[NihabaAshi]

Quote from GGallin:

actually it does matter, it matters tremendously.

profitable for how long?? in what market conditions are you profitable? if yor going to continue, in your verbose way, to say the same thing over and over, so be it-- but your not saying anything.

It matters to you and there's nothing wrong with that.

However, it does not matter to me if TA is science or art for some that prefer that debate...

Subjective or objective for others that prefers that debate.

Thus, worry about yourself...your profit level.

That's what matters.

I'll do the same.

Therefore, my market experience, my markets and my profit level is none of your business.

Simply, find someone else to compare penis sizes.

Le difficile n'est pas de monter, mais, en montant, de rester soi.

Bonne nuit

Mark

 

[ammo]

good post jem

 

[SWhiting]

Quote from GGallin:

actually it does matter, it matters tremendously.

profitable for how long?? in what market conditions are you profitable? if yor going to continue, in your verbose way, to say the same thing over and over, so be it-- but your not saying anything.

It's 'you're'.

 

[ProfLogic]

Quote from crgarcia:

Statistics don't lie.

That's all they do is lie . . . any great statistician will tell you that. Stats can be skewed to show anything the statistician chooses.