Paul, have you considered that TA may be self-fulfilling?
I agree that with you that in a pure world, 'it doesnt work', however if enough people think it does, and all follow the same trends, and all decide that a particular stock will move up, they will buy, and guess what happens to the stock price!
Of course, this is short term only.
I would also say that there are some indicators that can be used, short term, to make a better than random guess as to what will happen, for example, volume. But I dont know if that would count as TA.
Best argument I ever heard against TA was this.
I'll give you a stock chart, which I have cut in half. You tell me what happens next. Given that simple example, most people would agree, it cant be done.
Possibly another, real world argument against is, how come all you TA folks arent stinking rich, but stuck in front of a terminal instead?<ggg>
Joe C |
