There are successful option traders that rely exclusively on position (e.g. condor) management from open to closing, rolling legs based only on current greeks' values.
Hi, one of the little peeps here. No matter what anyone does, it will show on the price chart. The hard right edge, some call it. Without the past, there is no way to determine benchmarks for the future. They are selling pounds and buying dollars right now. I don't know who "they" are, nor do I need to.
The word "mathematical" in the title inherently suggests a technical component. If you use data, it can be placed into a graph, and that graph is TA.
If the man with a mil moves the price, it will be seen on a chart. If he moves it past a previous high on that chart, some would consider that a "breakout". Some might use a range to verify that the breakout has legs, and some will act on that until they have a reason not to.
Want help, put up a price chart. Look at it. Price will move, pull back, move, and pull back. If it moves, and pulls back before it penetrates the last peak, see if it does the same thing in the other direction, if so, that is consolidation. It not, it is direction. Act on it as you see fit.
Id like to learn how to trade profitably - been studying for a few months and demo trading ; I guess most people use TA to trade, and most people lose. However, I do think some people make money from trading from charts, but they are few and far between. I can understand trading based on fundamentals, but does that mean that you have to be a long term/swing type trader? You cant daytrade using fundementals, can you>?? I get the impression that those making money are using something that I haven't even heard of or been introduced too. I think those that make money daytrading are making their own markets from what I gather and 'earning the spread' - something I wish I understood better. Do you need to be a marketmaker to earn the spread? Whats the risk in trading in such a way? how do you do it? Is it easy? Is it like, if the spread of a stock is 88.50 / 88.56, you put a limit order in to buy at 88.51 and a limit order in to sell at 88.55?? Is that earning the spread?? This newbie would like to see a video of someone 'earning the spread'.