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Strategies & Market Trends : Technical Analysis - Beginners -- Ignore unavailable to you. Want to Upgrade?

To: MechanicalMethod who wrote (11045)	1/28/2001 9:08:34 PM
From: TechTrader42	Read Replies (2) \| Respond to of 12039

Percentage turnover in float and average true range, MechanicalMethod -- that's what PTATR dealt with. But percentage turnover in float was found in back tests to have little bearing on the future performance of stocks. (This is all between you and me, by the way, because it's a sensitive subject, and bound to rile those who created the scan. I've found that they can be a volatile bunch, funnily enough. Volatility seeks out volatility, I suppose. I refer you to studies on the cardinal humours of technical analysts. You'll no doubt see how volatile the clan members can be before long. They're just starting to drift in, and already they're frothing at the mouths. They're on long chains, though, and could be called back at any time. It's my understanding that they're told by their leader when they can speak out, and when not. No one was supposed to be having any communication with the unsubscribed. I think a list edict is being violated, though I'm no longer in a position to bring this up with the steering committee, regrettably.) Anyway (pardon the digression), the faithful persisted in leaving that PT stuff in the scan, maybe for the same reason that they persisted in looking at cardinal numbers and the like (superstition), or maybe because an ATR scan wouldn't be the big deal that the PTATR scan was made out to be. Or maybe just because they were told to leave it in. Who knows why people use things that don't work. (I'm in danger of another digression here, but I'll resist the impulse.) As for cardinal numbers, they're the trompe l'oeill of TA. You've no doubt found that TA's closet is cluttered with all sorts of claptrap. Trompe l'oeill says it all: It "creates such a strong illusion of reality that the viewer may not at first be sure whether the thing depicted is real or an illusion." I'd always get lambasted on the list for suggesting that the "magnetic attraction" of stocks to cardinal numbers was an optical illusion. Certain truths were held to be self-evident. (Liberty and happiness weren't among them, but cardinal numbers were.) Note how all the oscillators in scans created by the group have Fib numbers, too. The subject of oscillators packed with Fib numbers gets back to the topic of things that don't work. But you can direct questions on this to Gonzongo, who's done lots of studies on StochRSI and the like. You can get a thorough introduction to a lot of TA claptrap by joining the ta-list. And there's another inner list, the ta-friends-list, for those who are trusted.