technical analysis

Discussion in 'Trading' started by eleanorK80, Nov 12, 2023.

  1. Zwaen

    Zwaen

    #31     Nov 13, 2023
    M.W. likes this.
  2. %%
    WE will guess , since we dont run all the hedge funds:caution::caution:
    Plenty of profitable companies dont really use TA much . Even WMT used to ad ''always the low price LOL'' Not anymore:D:D
    But TA being the study of price + volume ; so no way would any not use TA.
    Cash metals dealer publishes his prices [on paper]+ makes most his money on like bid ask, cash copper ............+ such. So its different from many hedge funds or mutual funds or insurance co or banks use of price + volume.
     
    #32     Nov 13, 2023
  3. M.W.

    M.W.

    #33     Nov 13, 2023
    Zwaen likes this.
  4. M.W.

    M.W.

    Issue I see is that a lot of individuals here dance around the definition of "TA". TA as agreed in uncountable threads and posts TA is not price or volume. It is the utilization of derivatives of price and/or volume in the form of "indicators" such as MAs, imaginary support and resistence levels as function of where prices of the past set a bottom or top, random numbers that represent wave counts, waves, which are either completely undefined or ill defined. Basically trying to find patterns that one believes repeat themselves. The biggest issue of TA I see is not the mere utilization of such tools but the fact that they will repeat themselves sometimes but often times not or in modified form with timing and frequency that is completely unpredictable, purely random. This is supported by evidence of most at best breaking even but often generating negative returns. If it proved profitable with statistical relevance then the top players would not shell out hundreds of millions for technology and human resources in the quest for other edges. This is an argument that has never been refuted by any logical arguments.

     
    #34     Nov 13, 2023
    murray t turtle likes this.
  5. Price moves in predictable patterns constantly. How do you explain triangles? They occur everyday in some form or another on multiple time frames across stocks, forex, futures, crypto.
     
    #35     Nov 13, 2023
  6. I doubt there are any who use anything but TA.
     
    #36     Nov 13, 2023
  7. Sprout

    Sprout

    Like most disciplines, it has evolved. Edges come from statistical data and advanced data modeling.

    Today’s TA is not like Daddy’s TA nor like Gramps.
     
    #37     Nov 13, 2023
  8. M.W.

    M.W.

    Yes, the entire world is made up of polygons if you are high enough.

     
    #38     Nov 13, 2023
  9. M.W.

    M.W.

    Emphasis on DOUBT, you are clearly not qualified to comment on this, having never seen a hedge fund or bank trading operation from the inside.

     
    #39     Nov 13, 2023
  10. M.W.

    M.W.

    Of course, yet still most here use 50 year old stuff that stopped working 20 years ago...but if it was as easy as feeding price and volume data into an ML or AI model professional shops would not shell out millions to purchase alternative data.

     
    #40     Nov 13, 2023