Is beliving in TA a sign of mental illness? You put lines on a chart and think you can predict the future...

Is beliving in TA a sign of mental illness? You put lines on a chart and think you can predict the future. It's like financial astrology right?

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On uniswap shitcoins it is a mental illness yes

Understanding the utility and relevance of TA is another one of those 100 > IQ > 130 things.

Dimwits naturally understand how to read a chart. Midwits think they're too clever for it and seethe endlessly while others profit reliably, insisting it's all a random walk (big lol).

Big brains understand it both intuitively and mechanistically.

Interesting how there are so many things like this in life.

TA is momentum trading, the more/bigger green candles, the more bullish the TA you do becomes, and vise versa for red candles.
Every time the candle goes higher than it will be breaking some EMA/MA, which in turn translate into a bullish "read".

There are hardly any "reversal signs" in TA when the candles are green.

Yes for both questions.
TA is pseudo-science at best.

>he doesn't include volume analysis
oh no no no
based

fellow /biztard here is correct. I suggest u run back tests to find trading strats. read books like quantitative finance by Ernest Chang and Evidence Backed Technical Analysis by some guy who I can't remember.

the most successful hedge fund in the world has yielded 80%+ returns every year since the 1980's (after fees and comissions) and they are a purely quantitative firm

if more people buy than sell, price goes up. if more people sell than buy, price goes down.

tell me how the fuck meme lines on a chart of past price action will ever predict that occurring?

bcos efficient market hypothesis is bullshit. it assumes that all agents in the market are rational lmao. clearly haven't heard of /biz or r/wsb

behavioural finance for the win

I think for macro scale stuff it works really well, people who do TA on 15min charts and stuff is basically just gambler's fallacy though.

>more people buy than sell
EOS or ARDR

>more people sell than buy,
SXP or NKN
Check out their charts. You are welcome.

Its jim simmons hedge fund. And yes it ended up being 100% quant. Nowadays people do not use TA anymore. It can work because some traders believe it does. It kind of validates its own existence that way.

I make shit tons in the 15m charts just using basic shit like flags and cups ands handles. 60% of the time, it works every time

retards, 60% of the time it works every time?????
Do you realize how stupid you appear typing shit like that?

There really are people who think price movements are entirely random, aren't there. Holy shit, lmao. These people exist and some.of them actually attempt to invest.

Fucking lol.

the true red pill is that whales control the price at all times

lol..

Humans evolved partly because of an effective pattern recognition heuristic. Unfortunately the downside is that this frequently results in failures for various reasons, not least of which being the misinterpretation of some spurious data or noise as patterns. As already pointed out in this thread:
>it’s completely infallible 60% of the time

Here's an example that your sub-80 IQ may be able to faintly comprehend.
We know what causes people to have different heights. Genetics, nutrition, etc. Well studied and well understood.
But when we look at heights as a population? There's so much well understood data there that our monkey brains (especially those like yours) are unable to comprehend, and modelling it as a random variable works as a decent model.
That's what the stock market is, an aggregate of so many understandable variables that it becomes functioning random even if the fundamental underlying trades are themselves strictly deterministic.

It’s pseudo-random, midwit. I’ll let you look that up

based and checked

What a waste of digits.

TA is for wannabes, chads look at the orderbook.

Ah, so you're a pajeet that can vomit back his Programming 101 coursework at IIT. Explains a lot.
No, go look up the central mean theorem. I'm sure they have it in Hindi Wikipedia.

I can just spoof the shit out of them if I want to...
Now your HFT algo will get killed by my adversarial HFT.

>what are otc trades

all of science is putting lines on graphs

This is crypto you fucking retard. Besides for anything not pre IPO OTC trades volume is too low to have any big effect.

this is like saying you cant cash out btc kek
stay poor

TA is dumb as shit it's literally like reading tarot cards and I will shit on it any chance I am given.

That being said because so many people may look at a graph and except the same outcome it is also not bullshit on some occasions. Which is why it's like reading tarot cards.

they use markov chains not TA
TA works only when daily traders follow the same imposed meme rules
>this x condition happens
and everybody buy
>this y condition happens
and everybody sell
but TA it’s fundamentally a self imposed bullshit that ends up being true because every retard think that a pattern will repeat so they keep doing the same actions again and again all together, bots included