Why Is The Obvious Not So Obvious?

The majority of mainstream TA is of no real value..especially the lagging indicators such as MA, MACD, Stochs. etc..also..the use of FIBS and Pivots..while are used by many institutional traders..can also be a bad idea to use if you want consistency with your trading results.

Chart reading in itself is TA..so the basics of interpreting price using bars, candles or line charts..does have real value..and..as with everything that has value..there are some ways that can have more value than others.

What I say is really "obvious"..anyone who can not understand it should really question if trading/investing is really for them.

Fundamental analysis is of course also very important..why would you want to hold a position in a company that shows no prospects of making money..or improving on their current profitability..again..all common sense stuff!!

Just remember that..the simplest way is always the easiest way..the more complicated you make things the more chances of you complicating things

To make money..all you need do is BLASH..SHABL..BHASH and SLABL..simple easy chart reading..which works best with a bar chart..can identify low risk areas to enter a trade..and high risk areas..to exit a trade.

All one needs to do..once the simplicity is seen and understood..is to do it..and keep doing it..which of course is the very hard bit

 

I don't think that is correct. The hard bit is to "see and understand."

If the hard bit is actually 'doing it,' either it helps make money or it doesn't. PERIOD. If it does, then doing it shouldn't be hard. If it doesn't, then of course it would be hard to do... in which case then why do it in the first place.

Simple question, where would you be if you weren't shown what you need to see?

If this is a two step process, 1)Knowing what to do, 2)Doing it repeatedly...

It is obvious that nobody even gets beyond step 1. So how can you say that the second part is the difficult bit?

 

Reader-------notice how there is no trade called here in real time.

 

I am afraid you are making a BIG mistake..for..knowing in itself is of no real value..unless one is able to use it..in other words..knowledge in itself does nothing..it is the application of knowledge that yields results..and obviously..some knowledge is better than other knowledge..and that is where correct analysis comes in!

For instance..look at the last post by Mr buy1sell2..the nick that he picked even shows what little he knows about trading..then..to make himself even look more stupid than he already is..he keeps harping on about calling live trades..when..any person who has half a brain..and can "read"..knows only too well that only fools call live trades..as trading has nothing to do with prediction..but everything to do with reaction!

As I keep saying..some things will indeed never change..which is why History always repeats itself..over and over and over and over and over

 

Update for those with half a brain

 

---and the obfuscation continues. ---

 

So what came first, the chicken or the egg?

You say knowing is of no real value unless you can use it. That may be true, but I can guarantee you, if you don't know even know what you don't know, you can't even use it.

The application of knowledge does yield results, but if you don't even HAVE the knowledge, you wont be doing much of anything.

Not everyone can paint a house, or knows how to go about positioning themselves to cover all of the surfaces. But if you don't even know WHAT paint is, or that you need the substance of PAINT to cover the surface.... well, then good luck painting a house.

These metaphors I am putting down are "gold Jerry!!!" How are they not proving my point?!?!?

 

Simple really..firstly..someone with below average intelligence should no even consider trading or investing..as it requires a good deal of skill and ability to learn quickly..the learning also includes the ability to "sort the wheat from the chaff"!

So..that covers your house painting

To continue..we will "assume" that those who try are of average intelligence..have some form of "adequate education" (that can be debated, but not right now..as our education system is not great for helping people learn the best ways to do things).

We now have access to all the information on the internet..books..tv..etc..etc.

You don't have be a genius to know that there is more money made by those in the "education" side of trading and investing..than by the retailers who try. That tells us that most of what we have access to is not of any real value.

So..what we need to do..is..find a way to filter out the rubbish..and spend some time on investigating other ways that will show us what we need to try..how we can try it..and then see what difference it makes to our bottom line.

For instance..here is standard TA..a bar chart of GILD for the 1 min..and I have done one simple thing..well..2 simple things actually..and..well..let's just see what happens next..and I don't mean price

 

This doesn't have anything to do with my analogy.

My analogy, was to point out that, painting a house is a task that someone does. Mainly applying paint to the surfaces to cover it with PAINT.

BUT... if an individual doesn't even KNOW what PAINT is in the first place, that person will have a hard time painting a house. In fact, TO THAT PERSON, not knowing what paint is, is that persons main problem.

The reason I use this analogy, is that you said the hardest part is DOING what is required to trade. My guess is that, that is NOT THE HARD PART!

The HARD PART is first KNOWING what needs to be done.

What I said with regards to the house painting, "if you don't even know WHAT paint is, or that you need the substance of PAINT to cover the surface.... well, then good luck painting a house."


In the same vein, what I am saying in regards to trading, "If you don't even know what you need to do to trade successfully, well then good luck trying to make money trading."

 

You are barking up the wrong tree..whether you believe it or not is up to you!

You can make money trading by just tossing a coin to go long or short..providing..you have strict money management rules and "stick to it". If you do not believe me..then try it out..only way..forget about what anyone says..go and prove it to yourself!!!!

Now..once you prove it to yourself..or disprove it..come back and we will analyze your tosses and risk taken..all will be revealed in relation to how well you carried out the tasks.

In case you want to try it..as most will not..that I am certain of..here are the rules.

1. Divide your capital into at least 10 pieces..I would divide it into at least 50 for swing trades..into 100 for daytrades..but that is me..the choice is yours..but as the key is proper risk management then you must have a meaningful sample of trades to analyze.

2. Decide what you want to use for stop loss amount and profit target amount..or if you will use the charts to take your loss or profit based on your chart reading skills..remember..once you start you will be always in the market..either long or short..so..after your first entry..when your get stopped out..or win..you will toss the coin again and re-enter immediately..heads for long..tails for short.

3. Do it for as long as the money lasts..or until you have made an adequate number of trades for sampling..then the results can be looked at.

Note:as the key is both dividing your capital (the correct portions based on what style you pick..as in position..swing or daytrading)..and you stop loss and take profit criteria..spend some time on these..you do not have to worry one little bit about direction..as that is covered by the coin toss.

I will be very surprised if one person actually does it..but I am often wrong