I am actively trading every day and use fundamental equity research. Among my peer group of traders, analysts, and portfolio managers, technicals are not seen as a serious or useful tool. It’s kind of funny that you guys think hedge funders are just drawing lines and staring at charts. You have earned the right to be scammed lol.
I "think" hedge fund make chart pattern. Using 13F-HR report, one particular manager has about 6000 stocks in its portfolio and most exhibit similar chart pattern. They have enough resources to move price.
Yup amazin' how so many ignorantly lump drawing lines and stares at charts, that us sophisticated folks don't use, with all that encompasses TA. Much of what they do in fact use.
Funny you mention that. Just read this morning:- (Bloomberg) US housing battle In some areas of the US, first-time home buyers and small investors have the upper hand on supposedly sophisticated players that badly misjudged the property market. While big investors that leaned on algorithms — so-called iBuyers — are nursing losses, local flippers sold homes for 20% above their purchase price. They tended to buy distressed properties, though they also generally put more into renovations. The typical Phoenix homeowner is sitting on an additional $100,000 in home equity since the pandemic began, according to real estate data firm Black Knight Inc.
For price improvement, to move large size and for market making. TA can reveal some fairly useful mean-reversion or stat-arb phenomena that can help an institution move more size and thus expand their AUM capacity. TA can also reveal momentum phenomena with decent capacity.