Times are tough

JoSent

Why doesn’t technical analysis work in the current market conditions? I think that the technical analysis simply is revealed now. Support and resistance levels are found everywhere you look. In a quiet market with smoothly rolling charts, technical analysis gives a false impression of credibility.

Xbigman

You might as well study chicken livers in this market. TA is sometimes usefull in a normal market, but this ain't a normal market and won't be for years.




X

le_loup

JoSent wrote: »

Why doesn’t technical analysis work in the current market conditions?

Because technical analysis is voodoo analysis. Try a pin.

Linton

As with anything that claims to predict the market TA works if enough people believe it. So if many people believe a "head and shoulders" predicts a fall in price they will sell the share concerned and you get a fall as predicted.

Ever since the credit crunch the real and potential events have been much more significant and worrying than claimed patterns on a graph and so these drive the markets.