Let's see, s/r lines drawn at random on a chart show that random s/r lines appear to show randomness. Just like using a computer to generate random series shows that there are random patterns in randomness. So what? Traders trade their beliefs about the market, not the market. There is no market without them. So a price has to have significance to be tradeable. What's a significant price? You might be able to pick it up using only a price chart, but there are other tools. Remember too that you have traders operating in multiple time frames. And ultimately markets respond to underlying economics of demand. I think there's a saying that there's no support in a bear market, and vice versa. Bigger money can push an otherwise balanced market very quickly and forcefully through old numbers. I think that's information one could use to trade.
If the market did not have fakeouts, it would cease to function as a market. The markets exist to facilitate trade. And give lonely guys something to write about.