"He doesn't need to "post" his trades you idiot". WOW. Gotta resort to namecalling? Does that make you feel better now? I just read about one of Buffetts trades, he cut a position cause he lost around $900 million trading the dollar. Maybe he should have looked at a chart??? Jim Rogers says TA is useless and never uses it, but in his book he talks about looking at a chart before putting on a trade. I may be wrong, but I thought that was TA. George Soros used TA many times. Its just another one of his tools. My intention in making my post is that every few days there is another group attacking TA. They claim it does not work, its bullshit, etc. I use TA as a major part of my trading. Not the only part, but a big part. It works great if you know what your doing. The problem is its such a huge field and people try a couple of things and fail and then bash it. If its so bad, I just want to know what they are using now? If not using TA is so great, how come they won't post their trades? This wasn't meant as an attack. There are just so many here that bash TA, I would like to know how they trade? I invite them to post trades real time and give a little information on the reasons for the trades. I come here to try to learn, not to attack. Its like mining for gold here, you have to throw out tons of useless dirt to find the one little nuggget.
Dave, before you question TA you might want to learn a little bit about it: http://elitetrader.com/vb/showthread.php?s=&threadid=56736&perpage=6&pagenumber=5 Its what I used (above) to tell me that we were due shortly for a bounce. I have no idea what you were using (?) Gann, neo-Gann, astrology mixed with pixie dust, etc... Good luck.
Good post. TA can work because information asymmetries go away slowely, and also perhaps because liquidity traders use common methods. Any others?
Thanks, wolfe. what's the source of the research? this is getting closer to what i am looking for. surfer
I will speak up .. but only because I don't use charts or a chart for trading analysis. I use a predictive model which uses figures in tables. Of course I look at a live chart as a visual aid to watch the moving price. I can also understand price configurations on a chart .. but bottom line, I don't use charts to base or construct my trading model.
"I use a predictive model which uses figures in tables", sounds kinda technical to me, Maybe you could elaborate? I am not saying that TA is the end all, be all. I am saying it is a tool that definitely works, and works well. I just think its pretty funny that it gets attacked here regularly. It is painfully obvious that many people cannot master TA as a tool. Its also funny that people get so defensive about it. How can you not laugh? In my opinion using a predictive model that uses figures in tables, even though its not figures on charts, still sounds like TA to me. Theres more than one way to skin a cat. I love the fact that there are thousands of ways to pull money out of the market. That means no matter how things change, I can adapt and continue to pull out money.
Yes, someone else mentioned that Warren fellow. I am a huge fan of his. I have also read about some spectacular amounts of money he has lost. My point is that even if old Warren is a 100% fundamentalist, he still has loses. Maybe if he did some technical analysis he could avoid some of those loses?