Why Technical Indicators Dose Not Work ?

Mr.G

Well-Known Member
#21
He confuses me man! He has no specific system like a trader, neither does he conform to any sort of TA. He confuses me alot. Thats why I asked. Its tough for any trader or investor to do that stuff!
 

jahan

Well-Known Member
#22
He confuses me man! He has no specific system like a trader, neither does he conform to any sort of TA. He confuses me alot. Thats why I asked. Its tough for any trader or investor to do that stuff!
Hello,

Yes ur right ......Don't go deep man.... need to devolop ur own process for generating money copying ones idea never works in this business...see he has a huge follow up and he involved in politics also...he will get whatever information he want....can u able to do the same .....No.... Then why are u interested in him.

Regards,
 

oilman5

Well-Known Member
#23
An excellent thread to read!!!!!!!!!!!.Mr Soros is a strategic big pocket trader.
................................................................................................................
Who says TA dont work? Answer is given ...........for novices it may not. FOR pro its a handy tool.
But u must have first hand experience to utilize . Just like sniffer dog for bomb detection.......ordinary dont /cannot.............so SKILL is key word.

The problem is context.............without naming others(most trend traders lost on Friday as by standard upbias they expect Friday............where as Reversal players like me shorted & earned( i use 4lot nifty Oct 5900put )..............Since reversal zone of Nifty .........and i use confirmation of William%R for that purpose.
MA tool -good to study continuation............but i use 2MA ..........to get trend continuation............divergence .............to reverse .
So momentum tool to be seen @ the context of strength..........AROON.also ROC/RSI
Volume thrust ...........std acceleration may be used at break out/
ATR ........for day zone/target
SAR for STOP
TYPICAL Candle bar............for reversal trade.
Imp PIVOT.............to see how price behaves to understand continuity.
..............................................................................................................
A simple idea BAND..........may be used to trade break out as well as reversal.So context ,personal preference,price behavior will plan to join or sit sideline.
For learners............pl use any standard software( not trade feed freely offered by broker)............so while data studying ur psychology is free from fear/greed/hope......still it takes some year to learn
(tape reading is different skill NOT ta)
hope it helps
 

Mr.G

Well-Known Member
#24
An excellent thread to read!!!!!!!!!!!.Mr Soros is a strategic big pocket trader.
................................................................................................................
Who says TA dont work? Answer is given ...........for novices it may not. FOR pro its a handy tool.
But u must have first hand experience to utilize . Just like sniffer dog for bomb detection.......ordinary dont /cannot.............so SKILL is key word.

The problem is context.............without naming others(most trend traders lost on Friday as by standard upbias they expect Friday............where as Reversal players like me shorted & earned( i use 4lot nifty Oct 5900put )..............Since reversal zone of Nifty .........and i use confirmation of William%R for that purpose.
MA tool -good to study continuation............but i use 2MA ..........to get trend continuation............divergence .............to reverse .
So momentum tool to be seen @ the context of strength..........AROON.also ROC/RSI
Volume thrust ...........std acceleration may be used at break out/
ATR ........for day zone/target
SAR for STOP
TYPICAL Candle bar............for reversal trade.
Imp PIVOT.............to see how price behaves to understand continuity.
..............................................................................................................
A simple idea BAND..........may be used to trade break out as well as reversal.So context ,personal preference,price behavior will plan to join or sit sideline.
For learners............pl use any standard software( not trade feed freely offered by broker)............so while data studying ur psychology is free from fear/greed/hope......still it takes some year to learn
(tape reading is different skill NOT ta)
hope it helps
I keep a tab on your thread from time to time, your a born teacher! I thought tape reading was not possible on indian exchanges as they dont supply the tape? I am a successful FA investor but I am looking for some SOLID motivation so that I can make a leap of faith, Any help guys?
 
#25
Friends,
All seniors and other members,
I am very happy and thank you very much to all for participation in this thread,

I am with this great forum "Traderji" since last three years..

The heading of this thread " WHY TECHNICAL INDICATORS DOSE NOT WORK ? " I have chosen becoz we all are working around this area...

I want to discuss what I have learned from the forum,from various web site,from reading some books,and from my thinking.......of course for making money from the market..!!

Now come to the point...

The total game is about REALITY & ILLUSION,
The Technical Indicator is the ILLUSION, It is not the REALITY,
So Price makes the Indicator - Indicator can not make the Price

The true basis of profit is:Buy at areas where others buy after you and Sell at areas where others sell after you..!!

& It is not possible with ILLUSION,It is possible only after we know the REALITY,

=> Moving Average Crossover (Bullish or Bearish) it is not the REALITY, It is the effect - ILLUSION of Price Movement...
We have to know the REALITY,why this crossover occurred ? what is the cause behind it ?

=> Overbought or Oversold of STOCH,RSI,WILLIAM % and others oscillators..it is not the REALITY, It is the effect - ILLUSION of Price Movement...
We have to know the REALITY,why this Oversold or Overbought condition occurred ? what is the cause behind it ?

=> Profit = Others buy after our Long and Others sell after our Short.
It is possible only after understanding the REALITY.....

:cool:
 

jahan

Well-Known Member
#27
Friends,
All seniors and other members,
I am very happy and thank you very much to all for participation in this thread,

I am with this great forum "Traderji" since last three years..

The heading of this thread " WHY TECHNICAL INDICATORS DOSE NOT WORK ? " I have chosen becoz we all are working around this area...

I want to discuss what I have learned from the forum,from various web site,from reading some books,and from my thinking.......of course for making money from the market..!!

Now come to the point...

The total game is about REALITY & ILLUSION,
The Technical Indicator is the ILLUSION, It is not the REALITY,
So Price makes the Indicator - Indicator can not make the Price

The true basis of profit is:Buy at areas where others buy after you and Sell at areas where others sell after you..!!

& It is not possible with ILLUSION,It is possible only after we know the REALITY,

=> Moving Average Crossover (Bullish or Bearish) it is not the REALITY, It is the effect - ILLUSION of Price Movement...
We have to know the REALITY,why this crossover occurred ? what is the cause behind it ?

=> Overbought or Oversold of STOCH,RSI,WILLIAM % and others oscillators..it is not the REALITY, It is the effect - ILLUSION of Price Movement...
We have to know the REALITY,why this Oversold or Overbought condition occurred ? what is the cause behind it ?

=> Profit = Others buy after our Long and Others sell after our Short.
It is possible only after understanding the REALITY.....

:cool:
Hello,

I think u don't know the REALITY of the Indicators......

do u actually know what is Real REALITY Of Markets .....why they behave like that....why there is so much uncertainty.

Can u elaborate Little bit on ur Reality concept.....How the indicators Become Illusion when they Derived from same data which ur looking and Saying is Reality(Price Action, as of now i think ur reality is)....who said u that it is neccesary to market to react when STOCH/RSI/Williams %R reached Overbought/oversold according to indicator.

Can pls tell me What is that Reality ur Talking About.

And how ur Buying before everyone else buying and how ur selling before everyone else is selling.....means what is the basis
are u getting any insider information....to do this as far as i know this is the only way.

means ur buying at low and selling at high.....

from ur above post i can clearly say that ur struggling in trading and can't able to find any edge in ur trading or may be ur in process of knowing the REALITY that ur talking about.

Regards,
 
Last edited:

rkkarnani

Well-Known Member
#28
Friends,
All seniors and other members,
I am very happy and thank you very much to all for participation in this thread,

I am with this great forum "Traderji" since last three years..

The heading of this thread " WHY TECHNICAL INDICATORS DOSE NOT WORK ? " I have chosen becoz we all are working around this area...

I want to discuss what I have learned from the forum,from various web site,from reading some books,and from my thinking.......of course for making money from the market..!!

Now come to the point...

The total game is about REALITY & ILLUSION,
The Technical Indicator is the ILLUSION, It is not the REALITY,
So Price makes the Indicator - Indicator can not make the Price

The true basis of profit is:Buy at areas where others buy after you and Sell at areas where others sell after you..!!

& It is not possible with ILLUSION,It is possible only after we know the REALITY,

=> Moving Average Crossover (Bullish or Bearish) it is not the REALITY, It is the effect - ILLUSION of Price Movement...
We have to know the REALITY,why this crossover occurred ? what is the cause behind it ?

=> Overbought or Oversold of STOCH,RSI,WILLIAM % and others oscillators..it is not the REALITY, It is the effect - ILLUSION of Price Movement...
We have to know the REALITY,why this Oversold or Overbought condition occurred ? what is the cause behind it ?

=> Profit = Others buy after our Long and Others sell after our Short.

It is possible only after understanding the REALITY.....

:cool:
Quiet a few of your questions are answered in the Post above by sibu ! Technical Indicators are mostly a way to understand the Price and volume movement easily, graphically ! Technical indicators are derived from price/vol., so they have to be the 'effect' as you call it but surely not an Illusion !
Dont equate EFFECT=ILLUSION We all know its not correct.

You are trying to say, what I have understood is, that one needs to understand REALITY (Price) 'first' !!! Well Technical Indicators are there to explain in an easy way the Price movement !
 

XRAY27

Well-Known Member
#29
Hi,
indicators are not illusion but they are the reality of price effect... in my earlier days(2007 period)... i have purchased all the ready made afls of amibroker(or so called trading systems for trading )...but they all turned to be illusion....
there after studied technical analysis books and also taken the help of this forum to arrive some trading methods for earning...
now trading in future and options ...so knowing technical terms and real applications have lot of difference...
i completely agree with rkkarnani and jahan sir's
With my trading experience i can say that trading with third party ready made stuff is illusion and designing own system can give real profits
 

avny

Well-Known Member
#30
You are trying to say, what I have understood is, that one needs to understand REALITY (Price) 'first' !!! Well Technical Indicators are there to explain in an easy way the Price movement !
what he is trying to say is , he has read the "ytc price action trader" book by Lance Beggs and quoting from that book

:D:D:D