Our bodies tend to grow as we age. Our minds and skills also tend to grow as we age. Some skills however, never grow.
A child may draw a line. It can be squiggly, but still, a line. It doesn't change much as we age though. An analyst can pretend to be a pro, just by drawing a single line. Crazy right?
Two lines, one straight, one curvy. Both lead us to the same conclusions. That markets are high.
An evolution of the simple line could be a pair of parallel lines.
Analysts, being human, always revert to such naive assumptions as to how markets work.
Hand-drawn, subjective channels are now science for some reason. At times, such assumptions have led to the most massive of traps.
With a single stroke, we have managed to trap ourselves two times, and in a massive way. It is us who may set the traps and/or fall in them.
Quote of the day:
Channels don't spawn naturally, only candles do.
You don't have to look that far back to see traps like these.
NVDA a few years ago, broke out of a bearish channel.
IXIC as well. Selling back there you would have missed the .com bubble.
We have become like CJ and The Truth, where we see patterns everywhere, and we trust what we drew ourselves. The definition of insanity?
An arbitrary trendline may mislead you.
Suddenly, another line has showed up.
An analyst must be careful, as to whose signals they trust.
Let nature and science do the talking. You just have to stop talking, and start listening.
Charts are mute. An analyst must avoid using charts to convince. This is trap-setting.
A chart must be left alone, in quiet, to pass on its message.
Tread lightly, for this is hallowed ground.
-Father Grigori.
A child may draw a line. It can be squiggly, but still, a line. It doesn't change much as we age though. An analyst can pretend to be a pro, just by drawing a single line. Crazy right?
An evolution of the simple line could be a pair of parallel lines.
Analysts, being human, always revert to such naive assumptions as to how markets work.
Hand-drawn, subjective channels are now science for some reason. At times, such assumptions have led to the most massive of traps.
Quote of the day:
Channels don't spawn naturally, only candles do.
You don't have to look that far back to see traps like these.
We have become like CJ and The Truth, where we see patterns everywhere, and we trust what we drew ourselves. The definition of insanity?
An arbitrary trendline may mislead you.
Let nature and science do the talking. You just have to stop talking, and start listening.
Charts are mute. An analyst must avoid using charts to convince. This is trap-setting.
A chart must be left alone, in quiet, to pass on its message.
Tread lightly, for this is hallowed ground.
-Father Grigori.
Comment:
Mixed up some IXIC charts above, oh well. You get the idea...