Edward O. Thorp on charting

Discussion in 'Technical Analysis' started by truetype, Feb 20, 2017.

  1. I grossly underestimated the competition, and margins for error in this industry when I traded off charts. It wasn't until I started fragmenting the limited amount of ranges, and time, that I realized how hard it is to be consistent month-to-month.

    Personally, I hope discretionary chart pattern trading, and line drawing methods never die. By the time those human eyes catch bias shifts and react to one instrument, my program will have the limit order in queue, or executed with OCO in place, and on multiple instruments.
     
    #211     Mar 27, 2017
    marketsurfer likes this.
  2. themickey

    themickey

    Ya, I would never underestimate the ruthlesness and efficiency of a good auto or semi auto trading system compared to either discretionary or fundamental trading.
     
    #212     Mar 27, 2017
  3. I sense the sarcasm here, but seriously, if you see a properly designed and implemented auto program in action (which you probably haven't) you'd instantly realize how it can dance circles around you.
     
    #213     Mar 27, 2017
  4. lovethetrade

    lovethetrade Guest

    Price action is quite a broad area of trading, what type of price action analysis are you referring to? Price and volume analysis can actually get very, very granular...
     
    #214     Mar 28, 2017
  5. Buy1Sell2

    Buy1Sell2

    All fundamental information is reflected in the price/indicator/chart combo. It's up to the trader to interpret this info. Those that say that chart patterns, or indicators or TA in general don't work, has not figured out how to use them properly.
     
    #215     Mar 28, 2017
    volpri likes this.
  6. Those who can't make astrology work just don't know how to use it. The future is in the stars, man! #SAD

    surf
     
    #216     Mar 28, 2017
  7. line drawing,chart reading price action as espoused on this site by folks like Bye1 Sail2

    While there may be methods I am not aware of, i firmly believe that any type of past price analysis does not provide an edge--other than for comparison and descriptive purposes.
     
    #217     Mar 28, 2017
  8. lovethetrade

    lovethetrade Guest

    Surf, you know what usually happens to me in these type of situations? I end up having show the doubter how it works to prove a point, the doubter receives a million dollar education for free and I end up having all my time wasted with nothing in return.

    There's an edge in past price and volume analysis but not at the bar chart level and not in isolation.
     
    Last edited by a moderator: Mar 28, 2017
    #218     Mar 28, 2017
  9. Buy1Sell2

    Buy1Sell2

    CORRECT
     
    #219     Mar 28, 2017
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    #220     Mar 28, 2017