how can TA make sense when the very premise that price is the reflection of mass behavior be wrong? winner take all by william gallacher is a good primer on these ideas for those who still DO NOT GET IT, like B raskohnikov TA is feel good touchy feely crap--- look at the lines, predict the future. action reaction physics applied to price???? this is absolute NONSENSE not to mention the mass behavior claims. Elite is a bunch of parrots stating the party line.
"Look at the lines" as you put it works for me, most of the time (yes, system net profitable for years now). I can only speak for myself but there is nothing "touchy feely" about my trading, its all concrete rules and discretion is only applied where the fixed rules cannot be (easily) applied. I'm actually quite curious why some FA (including news types) people are easily irritated when it comes to anything TA, enlighten me. "no. price action is knowing the playas and what they usually do." And this does not reflect in charts somehow?
It's all in the charts. If it ain't going up don't buy it. If it ain't going down don't sell it. Pardon the obvious bias. I'm kinda wired negative. Said another way. If it's going up you can consider buying it. If it's going down you can consider selling it. The next step is the result of your past experiences both good and bad. IMHO
"price action" as explained in investopedia.com http://www.investopedia.com/terms/p/price-action.asp and as explained in tradeology.com but a lil more indepth http://www.tradeology.com/priceaction.html Note: including volume into price action would morph it into whats called "volume weighted price action"
the depth on the dom is fake or at least a bunch of head fakes, its useful when the bid ask are 1000 (es) up or more, this is where supp res are tested, there is no clear definition for price action, its just watching several instruments react to each other and whether they are in harmony or disagreement, trending or chopping or reversing, many add in indicators, or watch indicators only
all you need is to trade around sup and res. I'm having my best year trading stuff like this AU chart shows on Friday (i'm a subscriber) http://highchartpatterns.blogspot.com/2009/11/how-to-daytrade-support.html I missed this trade since I was already shut down but trades like that happen every day. There is always opps in the market around support and resistance. You just have to know where to look. The more complicated technical analysis gets the more irrelevant it becomes. Just stick to basic support and resistance, that's all I do and it's been enough to earn enough to support my family year after year.
And Elliott wave I think is the most useless of all. You draw enough lines and you're bound to be right finally.
So true. Again, complexity does NOT rhyme with sucess in trading. Somehow it reminds me of Scientist who used to post on this site.
i bet if you really break it down, your success is simple money management and INTUITION not the science you have fooled yourself into believing it is. yes, it is EVENTUALLY shown in the charts, but by then its too late, the move has already taken place. you peeps are thick, profitable or not.