Is technical analysis the easy option?

gooseman · Aug 20, 2010, 10:03am

Quote:

Originally Posted by GammaJammer

I was laughing at how long winded and arcane the definition was, and, once one delves deeper, how arbitary some of the parameters are, not to mention the fact that they were calculated (backtested!!!!!!!!) so long ago I wasn't even alive (and I'm OLD, man).

How can I laugh at people who take the bible, written 2000 years ago, literally, holding up it's every word as fresh and relevant in today's digital world, and NOT laugh at this stuff?

I try so hard not to be a hypocrite. I would wholeheartedly endorse the old adage that hell's fires burn hottest for such people if I weren't an atheist (as that, in and of itself would make me one right?). Hey, wait, that means there's no hell, so I can be a hypocrite, so I can endosrse something that talks about hell and, er, is, er, anti hypocrite.

I'll shut up now.

1.The daily number of NYSE new 52 Week Highs and the daily number of new 52 Week Lows are both greater than 2.2 percent of total NYSE issues traded that day. Based on approximately 3100 NYSE issues, the 2.2% threshold is 69.

My favourite number and completely arbitrary. I still can't help but chuckle when this number comes up in a day. Ah to be 14 again :-)

Scotty2Cues · Aug 20, 2010, 5:04pm

Isnt one of the arguments for TA that all the fundamentals are in the charts?

Think you can make TA or fundies as complicated or simple as you like. The simpler the better....

Green arrows are an obv buy

deslerr · Aug 21, 2010, 11:49am

Hello,
Yes i think Technical analysis is the easy option.analysts believe that the historical performance of stocks and markets are indications of future performance.

In a shopping mall, a fundamental analyst would go to each store, study the product that was being sold, and then decide whether to buy it or not. By contrast, a technical analyst would sit on a bench in the mall and watch people go into the stores. Disregarding the intrinsic value of the products in the store, the technical analyst's decision would be based on the patterns or activity of people going into each store.

thanks!!

tomorton · Aug 21, 2010, 6:23pm

Shopping mall is a fair analogy. Why research 100 different products when you can just watch 1000 people who have done the research and see what they buy?

Of course, I don't know why it's a good product but who cares as long as it's a good price, I'm going to sell it on anyway, not marry it.

Vicorka · Oct 23, 2012, 7:22pm

TA is not an easy. it takes time to learn and high discipline to trade. Before making a choice between TA and FA you have to ask what time-frame you trade.

As an example, if you trade intraday 1-minute bars FA will not help you at all and the only way to g is TA.

FA may help you on higher time-frames when you you are betting on the longer-term trend.

Both TA and FA will not help you on longer-term time frames if you apply the to a single stock and do not analyse the whole market. You should see when the stock market crashes and when it is pumped as it is affect your stock.

Aug 20, 2010, 5:04pm	#50
Scotty2Cues Veteran Member Member Since Mar 2010 737 Posts	Re: Is technical analysis the easy option? Isnt one of the arguments for TA that all the fundamentals are in the charts? Think you can make TA or fundies as complicated or simple as you like. The simpler the better.... Green arrows are an obv buy Attached Thumbnails __________________ "The most powerful force in the universe is compound interest" Albert Einstein Golden: http://www.youtube.com/watch?v=63rcdLeXiU8 http://www.youtube.com/watch?v=_VotwwEtDx8 My Journal: http://www.trade2win.com/boards/trad...ive-trade.html

Aug 21, 2010, 11:49am	#51
deslerr Banned Member Since Jul 2010 6 Posts	Re: Is technical analysis the easy option? Hello, Yes i think Technical analysis is the easy option.analysts believe that the historical performance of stocks and markets are indications of future performance. In a shopping mall, a fundamental analyst would go to each store, study the product that was being sold, and then decide whether to buy it or not. By contrast, a technical analyst would sit on a bench in the mall and watch people go into the stores. Disregarding the intrinsic value of the products in the store, the technical analyst's decision would be based on the patterns or activity of people going into each store. thanks!! Last edited by barjon; Sep 15, 2010 at 2:16pm. Reason: removed ad link

Aug 21, 2010, 6:23pm	#52
tomorton Legendary Member Member Since Feb 2002 3,629 Posts	Re: Is technical analysis the easy option? Shopping mall is a fair analogy. Why research 100 different products when you can just watch 1000 people who have done the research and see what they buy? Of course, I don't know why it's a good product but who cares as long as it's a good price, I'm going to sell it on anyway, not marry it.

Oct 23, 2012, 7:22pm	#53
Vicorka Senior Member Member Since Oct 2012 182 Posts	Re: Is technical analysis the easy option? TA is not an easy. it takes time to learn and high discipline to trade. Before making a choice between TA and FA you have to ask what time-frame you trade. As an example, if you trade intraday 1-minute bars FA will not help you at all and the only way to g is TA. FA may help you on higher time-frames when you you are betting on the longer-term trend. Both TA and FA will not help you on longer-term time frames if you apply the to a single stock and do not analyse the whole market. You should see when the stock market crashes and when it is pumped as it is affect your stock.

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