Technical analysis can't be it

[The Leopard]

When you miss the news...then you violated your own trading strategy.

Not me. I wouldn't give the crust on my balls for the news.

The only news I'm interested in is stuff like this:

Kelly Brook shows off incredible physique as she sunbathes alone in emerald bikini | Mail Online

 

[scose-no-doubt]

I was going to make this point. The training that a lot of bank traders get involves how to charge people for providing a service.

But put their wanger on the anvil when the hammers are flying about? Most of them wouldn't have a scooby, and why would they? Let some other chump slap the tiger in the face with his dangleberries, you sit on the right side of the safety glass and take a cut for letting the guy in the cage.

Post of the year?

 

[D70]

Hello T2W,

I'm a 21 year old medical student and because I have summer holidays(3months) I wanted to devote a little more time to trading and the surrounding topics. I don't think I will be trading soon as I think I'm far too inexperienced and stupid to do it and it would rather result to gambling than trading anyway. That would result in failure eventually. I used to be a blackjack freak but not a gambler or addict. Everything i was doing was relying on probability and card counting to minimise house advantage. I emotionally detached from wins and loses and decisions were purely based on rationality and probability. I have made some good money with it but I knew that one day house would win, so I stopped before it would happen. I believe trading is similar to blackjack. Its a game of interpreting probability and events. Anyway, I have read a few articles and stickies and I wanted to pick on two points people have made clear.

1) succesful trading is NOT based on luck
2) succesful trading is NOT based on opinions.

These two points make perfectly sense to me. However, I have made some conclusions:
If luck is not part of succesful trading then succesful trading must purely be SKILL and KNOWLEDGE based. Especially when opinions do not matter in trading. Skills and knowledge can be learned by anyone but good resources are rather difficult to find. Similiar to blackjack, you learn card counting and with experience your skill becomes better. However, you google card counting techniques and in about 5 minutes you know how to do it. Trading is completely opposite and informstion harder to find. Anyway, Banks teach this to graduates and they become professionals. They will always have the superior knowledge and software than we have. They have crazy algorithms and better technical analysis. So, how is it possible for our technical analysis to give us the better edge? IMO, a computer can all do that what we try to do without emotions and opinions. It's like we try to compete with a calculator. Sure, 20 years ago would have been different but Now?

I'm just confused about how technical analysis without human opinion and luck can result to succesful trading alone.

I was going to post about bank traders but I see everyone else has taken care of that bit.

Suggest you read the 'market wizards' series. Most (all) of them are real traders and the type you should be looking to emulate.

 

[kimo'sabby]

I'm just confused about how technical analysis without human opinion and luck can result to succesful trading alone.

Profitable chart trading revolves around a structured approach.

Price Action: Market frequency - volatility. (No shapes, patterns or indicators)

 

[rathcoole_exile]

2) Speculating is entirely based on opinions.

I disagree.
Draw a horizontal line away from current price.
Decide in advance what you will do if/when price hits your line.
Set stop/limit orders accordingly and walk away.