leh

Does Technical Analysis Work?

I'm a believer in TA if only for providing a map of sorts in the bestial wilderness that is the market, but it certainly has its limitations.
For instance, the same Adam Hewison that nailed the move in spot gold also called for a big market reversal to the downside recently simply because his beloved trading triangles told him the rally would fall apart. He ignored the best tell out there, which was the market absorbing the horrendous jobs number and then reversing higher. To his credit, I see he has covered his shorts and admitted he blew the call in IBD.

So TA is just another tool in the box, and ought not to be elevated to some mystical status. Very good for helping with specific trade entries and exits however.