Technical Analysis: Is it voodoo? Or does it work?

[Guest OILFXPRO]

Beauty is in the eye of the beholder .If a trading idiot is using technical anylysis , he will screw up , whereas a professional skilled trader knows how to use technical anylysis correctly.

 

If you do not know how to use t/a , and u are not making money from trading using t/a , your opinion is worth nothing .The opinion is like a football fan commenting inplace of the manager or a teacher without adequate knowledge of the subject teaching a class.

[SunTrader 10]

......

There is only one reason why you want to compare current price with recent price.What is the reason?

To determine if current price is relatively cheap or relatively expensive

.....

Not the only reason.

 

Trend and momentum are two more reasons I can think of when comparing price to a previous price.

[estate1997 10]

I really wasn't trying to be argumentative but you stated your question like it was a physical impossibility for TA to preempt moves on a chart and that just isn't correct.

Logic.

I concur and it is not easy to find the correlation but when you do it is gold.

The market is rigged from my perspective so you need to look at things not like all the other traders.

[SunTrader 10]

Those who believe in manipulation, are.

[HenryFx 10]

I think it is wise to always conduct your homework (doesn't take too much time, weekly) on the overall fundamental picture of the pairs you trade, versus technical. That way, even if you are technically trading, you have a better idea of the overall direction they might be trying to move and why.

 

I am certainly a technical trader. However, I feel a greater understanding of the market can be gained from just a little fundamental analysis. Every little helps!

[tradingwizzard 10]

if it is voodoo then why still looking at charts?

 

TW