Any Technical Analysts out there? I just got this video and I was shocked. I used to be a Technical Analyst in the stockmarket so this just left me in awe. Technical Analysis is a tool to foretell price fluctuations in stocks etc. by only looking at graphs of that stock. You read that right, no reading of business news, of mergers, of the economy of interest rates.
This is what is written in the webpage of the video
However, this double top on the monthly time frame seems to me that the S&P500 is going under 350 in the next few months. This means the Dow Jones will be under 4,000! This economic crisis we are in is very real and the best way to deal with this, is to understand this collapse is real and that we got more downside room left.
In case you didn’t notice it said “Dow Jones will be under 4,000!”
Technical analysis is a security analysis technique that claims the ability to forecast the future direction of prices through the study of past market data, primarily price and volume. In its purest form, technical analysis considers only the actual price and volume behavior of the market or instrument. Technical analysts, sometimes called “chartists”, may employ models and trading rules based on price and volume transformations, such as therelative strength index, moving averages, regressions, inter-market and intra-market price correlations, cycles or, classically, through recognition of chart patterns.
Technical analysis stands in distinction to fundamental analysis. Technical analysis “ignores” the actual nature of the company, market, currency or commodity and is based solely on “the charts,” that is to say price and volume information, whereas fundamental analysis does look at the actual facts of the company, market, currency or commodity. For example, any large brokerage, trading group, or financial institution will typically have both a technical analysis and fundamental analysis team.