Technical Analysis Course - On Chartists

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The chartist can either take atechnical analysis course or personal study can be their method of learning. Many chartists have the argument "look at others...they probably have more knowledge on the basics than I do." Most chartists follow the tenet is "the trend continues until it stops." Many chartists try predicting a move in the trends. Chartists are famous for making spectacular profits one week and then they lose big time the next time. The chartist is always concerned with his ability to realize when a trend reversal or a congestion area is starting . As trends go on, chartists stay happy . If it looks like a trend is going to reverse, or there is a problem with a trend or the congestion area , then unhappiness occurs to the chartist.

Chartists are quite the characters . He really gets off on all the wiggle-waggles . Usually what happens to chartists is that he/she does not see the forest but for the trees . And, the chartist's bag of tools is never over-filled until that final moment when the noise of the information and systems clogs the channel of clear cogitation .

He stares in blank, hypnotic, unreceptively for many hours at a chart , not realizing what the chart is saying . The big problem they have is that he/she looks towards the charts to tell him what prices are doing , instead of letting the charts know what he requires .

A suggestion : When chartists come out of the fog , they need to request something from the chart and write it down. The chart is none other than the computer of facts and information , and like you do with a computer, one must punch in what one wishes the computer to start to tell him , and what criteria to use, and, this can only be done by a preprogrammed trading plan . The very first requirement a chartist has is that he has a plan for trading and extrapolates from the chart a criteria which is palatable to his plan . Investing in atechnical analysis courseis sound advice .

Chartists that are successful are

* a) not as likely to take a position that is long
* b) before getting margin calls are more likely to close out their position.
* c) less likely to put up additional margin if they do receive a margin call
* d) more likely to trade in a larger number of commodities and to pyramid their profits .

The unsuccessful chartist

* a) has a clear tendency to cut their profits short while letting their losses run
* b) less likely to be short than long
* c) has a clear tendency to buy on days of price declines and to sell on price rises . This action indicates that these chartists are predominantly price level traders .

Track records aren't possible on general chartists, but a track record is certainly feasible on the performance of any particular chartist . Unless chartists allow track records to be done on them, it is impossible to take their claims seriously . Few chart readers would have doubted the existence of the "head and shoulder" formation . However , the reversal signal of one will flag another to go on . More often than not , if a chartist is vindicated his market decisions were more often than not, a result of luck . The trader is more painfully aware that technical analysis course competence doesn't insure trading that is skilled. Chartists that lose their money do this not always because their analysis was bad but because of the inability to transform their analysis into sound practice . Getting over the gap that is between action and analysis means getting over the threat of fear, greed, and hope . Impatience has to be controlled and they must control the desire to go on to something new from a sound method , especially during time of temporary adversity .