Posts filed under “Technical Analysis”

Technical Tools That Work

Yesterday, Gary B. Smith made reference to my Delphi comments on Wednesday (thanks for the kind words, G-man).

My key takeaway in this discussion — one that is easy to overlook — is the simple fact that technical analysis is a tool. Whether you choose to avail yourself of it or not is up to you. But I do not understand the insistence by some that it is of absolutely no utility whatsoever to anyone anywhere for anything.

That is simply a false statement. It may have little utility for Cody’s model, and that’s fine, but that does not invalidate it. 

I’ll let you in on a little secret: Jim Cramer is a closet Technician (he doesn’t even know it). Cramer is very aware of breakouts and break downs, talks of stocks trading "heavy," intuits relative strength or weakness; He also is quite conscious of trends.

These are all tools of the Technician.

Like other tools, there are craftsmen who do astonishing things with them. I may use a knife to spread butter on toast, while others use similar intruments to carve ice or perform open heart surgery. 

If you find any particular form of analysis (technical, fundamental, quantitative) that provides you with a way to improve your performance, that’s terrific. But I find it hard to understand why people are so dismissive of a tool that so many bright people have demonstrated a personal skillset with — one that makes them money.

Category: Financial Press, Technical Analysis

Walk It Off

Category: Investing, Markets, Psychology, Technical Analysis

Keeping Tabs on the Market

Category: Investing, Markets, Technical Analysis

Technical Analysis from A to Z

Category: Books, Technical Analysis

Prudential kills its Technical Analysis Group

Category: Technical Analysis

Market Technicals Clarify Q4 Action

Category: Economy, Investing, Psychology, Technical Analysis, Trading

Chart of the Week: NASDAQ 100 Net 52 Week Highs/ 30 Day Highs

Category: Technical Analysis

Chart of the Week: Net NYSE Up Thrust Days v Down Thrust Days

Category: Investing, Technical Analysis

Finding A Floor?

Category: Technical Analysis

Presidential Cycles

This weeks Barron’s has an interesting chart from Sy Harding. If you are unfamiliar with Harding’s work, have a look at his prescient 1999 book, “Riding the Bear: How to Prosper in the Coming Bear Market.” (Spend the $1.49 on used copy — its well worth it). Harding suggests that: “UNLESS I’M LOOKING AT the…Read More

Category: Markets, Technical Analysis