I do not believe that you completely understand my point. You can only assume that traders and investors make there decisions after rigorous DD. You don't know that because you can't be with each of them 24 hours a day to see the truth of what they are actually doing. Suppose for a moment that all traders and investors made their decision on whether to buy or sell based upon a coin toss. Believe me, some of them actually do. My point is that my chart analysis will tell me truthfully whether or not the majority of trades are being made by aggressive buyers or aggressive sellers regardless of what method they used to make their decision to buy or sell. Technical analysis will always tell you the true direction of the price and what side of the market you want to be on. But first, you must do your due diligents and learn everything you can about technical analysis so that in your analysis you don't over look anything. Even once you have become a competent technical trader you still have to maintain the posture of being alert for the markets are dynamic. Trading is like being in the Marine Corp. You need to be able to improvise, adapt and overcome in order to stay in the game and continue to win on a daily basis. You also have to learn to keep things simple. When the chart I used to make a decision to buy yesterday is telling me to sell today, I need to first verify my analysis, and then take action. I can't allow the days news or or the opinions of people in an investment chat room get in my way. I need to consider only my analysis and if it is sound, I know I will be on the right side of the market. Some months, my trading consists of one or two trades where I take a position and for the rest of that month the price moves in the direction I believed it would with no reason to close the trade. Some months my trading consists of many short-term swing trades because when the coin flippers change their minds I need to be able to react and change with them. In fact, I often need to be able to anticipate what they will do before the do it so that I can get in and out of the market at precise strategic locations on the chart for optimum profits. But, the charts never lie to me. I have on occasion read a press release (usually after the fact) that I knew was totally contrived by the way it was worded in hopes that investors would get excited and begin to aggressively buy the stock. In most cases, news like that receives the exact opposite result. But, the chart is totally oblivious to the news it continues to be accurate in spit of the news because it is always a perfect reflection of the all encompassing truth about collective opinions of the majority of the trades of any given stock. Once you understand that, once you come to believe that, trading becomes quite simple and fairly automatic. Personally, I became a trader to have fun and make money. So, that is what I do. I would caution you about being very careful not to allow the method you choose to trade by to control you. You want to own the method. You never want the method to own you.
AI
