/biz/ - Business & Finance

>>12427921
>Go and derive concepts suited, i.e. statistically relevant properties of parts of the time series in certain ways for the forecasting (not only) of prices, but also volume, volatility and many more properties. You have to see how different TA is: TA (DOW theory + the various indicators) does not do that. By simply drawing a horizontal line in a chart...how, statistically, mathematically, how do you justify that this WILL BE a relevant support or resistance in price action IN THE FUTURE? You merely claim it to be...

Technical Analysis which is carried out on a single Time Frame (or time series) is NOT done correctly.

Charts aren't constructed of Single Time Frame. And so, if an assumption is made that Trends occur in markets, it must be assumed that they occur on ALL Time Frames, and so, Higher Time Frame Trends impact Lower Time Frame Movements.

Markets are NOT random, they Trend and Range. And this takes place on Multiple Time Frames.

A proper testing of an aspect of TA, such as Moving Averages, must incorporate analysis of its impact on ALL Time Frames.

Academics, frankly, don't know how to trade with TA (and I'm not claiming to be a fucking master, but I realize that there's more to it than just "drawing lines"). And these are the people who come up with the literature/opinions.