Do large banks and institutions use TA to profit?

Discussion in 'Technical Analysis' started by londonkid, Sep 22, 2015.

  1. Yeah, that is a risky one. I entered as a gamble-- no shame here.

    surf
     
    #381     Nov 20, 2015
  2. EPrado

    EPrado

    Penny stocks Surf.......ugh.
     
    #382     Nov 20, 2015
  3. Yeah, i hear u. I see those ships everyday---
     
    #383     Nov 20, 2015
  4. kut2k2

    kut2k2

    So you're a gambler, not a trader. Duly noted. No wonder you think successful TA traders are just "lucky". Being lucky is clearly your only game plan. :D
     
    #384     Nov 20, 2015
    learner2007 and samuel11 like this.
  5. Buy1Sell2

    Buy1Sell2

    What most banks and institutions will look at first is where price is relative to the Bollinger Bands indicator and it's the highest priority. Is it at the top or bottom? Is it outside? How far? Are we oversold or ovebought or neutral? Even the automated programs look at the calculation of standard deviation in the Bollinger Bands. It is now and has been for quite some time, the foremost analytical tool of banks and institutions.
     
    #385     Dec 3, 2015
  6. londonkid

    londonkid

    well lets clear this up shall we? I have sent an email to contact@goldmansachs.com. I will copy you in on their email reply when they get back.
     
    #386     Dec 3, 2015
  7. Buy1Sell2

    Buy1Sell2

    Yesterday and today, you had large institutional and bank traders heavily monitoring and analyzing the position of price outside the bollinger bands and also the oversold indicator RSI. Buying wil typically be attempted outside the bollinger bands and thus you have seen that the last couple of days. We are nowhere near oversold yet, so at the moment this is being used for short term trades. The automated trading platforms are set up this way as well and prudent risk management is in vogue.
     
    #387     Jan 8, 2016
  8. I don't know what banks and institutions do nor do I care. TA works for me and that's all that matters. Besides, TA is used to determine whether buyers or sellers are in control of the markets and that may very well be the banks and institutions at any given time. The job of the technician is to piggyback onto the moves of the larger interests. So, when thought of in that way, why would the institutions use TA when it is them who everyone is trying to follow?
     
    #388     Jan 8, 2016
  9. Buy1Sell2

    Buy1Sell2

    As can be seen the move outside the lower Bollinger Band was seen by big players as a trading opportunity to buy and move the market back inside the lower Bollinger Band.
     
    #389     Jan 13, 2016
  10. Turveyd

    Turveyd

    Didn't realise your a BB player, moved to that style myself, it's surprisingly valid!!
     
    #390     Jan 13, 2016
    Buy1Sell2 likes this.