Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: Jake0302 who wrote (13714)	1/3/1999 11:29:00 PM
From: Gerald Walls	Respond to of 74651

Thanks for your post. To tell you the truth, I don't know much about technical analysis, though I see it mentioned all the time on Internet message groups. I suppose it is stochastics, price channels, etc, etc. Were you referring to my quoting the CNBC bit on "cup and handle?" Is O'Neill's How to Make Money in Stocks considered TA? If so, I see what you mean. I think it boils down to psychology and emotion. In fact, the dependence on numbers and charts and technical analysis is a way to put a scientific face on an essentially human issue, to put numbers to elements of fear and greed. Personally, I think that the CANSLIM philosophy is pretty sound. I believe that TA is, perhaps indirectly, the psychological method of predicting the reaction of the market participants to a price change. The FA used by CANSLIM screens out the weak stocks (and some that should be looked at, but no method eliminates all and only the bad ones). The biggest concern is that the more people that follow the method the less it works.