Would you apply TA to anything but financial markets?
- Thread starter cornix
- Start date
The problem with real estate is that each house is different. With stocks or futures, each share or contract is exactly the same. When I made my post, I assumed that each cell phone is the same since we are only talking about one model and that it doesn't matter who you buy it from, with price being the only factor. But in real estate, there are too many variables. Even if you want to say houses vs. condos, then you still got neighborhoods to consider, and different floors have different values, as do the different view from each side of the building. So when you talk about what someone is willing to pay for something, you can't aggregate all properties into one group as they are all different, unless stocks and futures which are all the same.
That consideration however..., would be inaccurate when applied to the mkt / trading
In the normal world - absolutely
In our world - nope
RN
Can you elaborate on how supply/demand doesn't apply in the real world market?
Few examples Sir
hedging
stop runs / head fakes (FBOs)
bot trading (scalping)
pairs trading
Non of these are concerned with supply or demand - they are trades for purposes other than supply or demand - but all move price to various degrees (cent's / tics / pips / whatever)
**And..., there are more - but who am I to ruin the quest (fun is in the journey)
(figure out the **and - you will be surprised
)=================
Supply / demand is one of those useless terms used in this business
It makes folks appear knowledgeable - when in fact they are idiots
It serves no useful purpose when trading
It only known after the fact
RN
Excellent, thank-you. One could argue that during a stop run / FBO there is no demand to support price and hence it falls right through a perceived support level, so the support wasn't in fact where you thought it might be, but a few points lower. But I do admit that support and demand is too loose of a term to have practical application on its own.Few examples Sir
hedging
stop runs / head fakes (FBOs)
bot trading (scalping)
pairs trading
Non of these are concerned with supply or demand - they are trades for purposes other than supply or demand - but all move price to various degrees (cent's / tics / pips / whatever)
**And..., there are more - but who am I to ruin the quest (fun is in the journey)
(figure out the **and - you will be surprised
=================
Supply / demand is one of those useless terms used in this business
It makes folks appear knowledgeable - when in fact they are idiots
It serves no useful purpose when trading
It only known after the fact
RN
One could also argue that hedging, where you're only buying something as insurance against something else is still a form of demand. If everyone after all demands insurance, then this demand will be apparent in the price. Likewise, traders getting out of short positions does create demand, and if lots of shorts want/need to cover, then temporary demand will be there, and can often cause the price to rally, even if the general down trend has not yet finished.
Perhaps its important to not focus too much on the "why", but just rather formulating a way to categorize if demand is actually there which is sufficient enough to initiate a long position or not. Of course though, thinking in terms of demand and supply now switches only to is there enough of a bounce here to initiate a long position.
At any rate, its a shame you cannot share some more examples. You've mentioned the easy ones, but I suspect most could guess these. The fun part is actually when you get to learn something you didn't already know.
Not that I can't - it's that I won't
It there for all to see / figure out
=====================
Yup
RN
I promise not to trade FB if you tell me!
All kidding aside, thanks for your contribution RN.
use a hybrid (or open-minded) approach -- you get into trouble when you use one way or method only. 
I promise not to trade FB if you tell me!
All kidding aside, thanks for your contribution RN.
You Very Are Welcome Sir
RN