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Strategies & Market Trends : Technical Analysis - Beginners

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To: Mel Long who wrote (8726)9/29/1998 8:34:00 PM
From: Michael Quarne  Read Replies (2) of 12039
 
HI Mel,

It sounds as if your using funnymentals for analysis on this one rather than TA which is what most on this thread use in making selections. From a TA point of view your entry is out of time, and could be days, months, before the issue will move ahead. This results in funds with no gain in value, (even bank interest accrual,) and the potential for loss.

TA, when correctly applied, will tell us when the issue has support from the investing community. This will be done through three indicators, Price, Volume, and Trend.

Will TA get you in later? Yes if the issue does move.
Will your moneys be tied up with no gain? Perhaps but most likely not. Chance of being correct is greater with TA, but always subject to the herd reaction.

I'm not saying that funnymentals don't have there place. TA improves that place to a greater percentage of wins.

Arctic Mike
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