Why TA does not work
- Thread starter JMN459
- Start date
the world is not linear
the market reality is not modellable
TA makes thing simpler with linear thinking/modeling, but twist the market reality. that is why computer is never a match to human brain.
if the market can be modelled, then let the computer do it.
why I do not use stop loss?
reason one, the market is not crisp, wrong/right is not math add/substract. market has lots of phases, each phases take time. bottom is a process, top is a process, consolidation is a process. what I concern most is whether I judge the phase correctly and apply proper strategy to trade.
the market reality is not modellable
TA makes thing simpler with linear thinking/modeling, but twist the market reality. that is why computer is never a match to human brain.
if the market can be modelled, then let the computer do it.
why I do not use stop loss?
reason one, the market is not crisp, wrong/right is not math add/substract. market has lots of phases, each phases take time. bottom is a process, top is a process, consolidation is a process. what I concern most is whether I judge the phase correctly and apply proper strategy to trade.
Hmm, seems we have confusion again on what TA "is". 
For me it's not simple modelling, it's trading based on practical observations made, which spot recurring behavior patterns of the market. And stop-loss is integral part of this approach, because when you observe the pattern, you also notice where is the point of pattern more likely not being valid anymore and use it as your stop-loss level.
For me it's not simple modelling, it's trading based on practical observations made, which spot recurring behavior patterns of the market. And stop-loss is integral part of this approach, because when you observe the pattern, you also notice where is the point of pattern more likely not being valid anymore and use it as your stop-loss level.
another reason is: trading is a business. in business, any legal way you can be applied. if someone is cheating, if legally, you can not catch him or take him to court.
not eveyone is playing in rules. rules make you think in the box, trap you. you can not think out of the box, there are lots of outliers outside TA. those outliers are the most profitable.
that is why each day we received lots of spam email about stock buying.
not eveyone is playing in rules. rules make you think in the box, trap you. you can not think out of the box, there are lots of outliers outside TA. those outliers are the most profitable.
that is why each day we received lots of spam email about stock buying.
These fuckin idiots failed on live accounts , and are selling their losing methods to noobs.
http://connection.ebscohost.com/c/articles/3725780/richard-dennis-closes-shop-again
And the noobs need to be told , it all works.