ItsJustMe

More on Technical Analysis

Felix, I loved your Cramer video and I greatly admire Warren Buffett. However, Buffett and Lynch are long-term investors. They have to be because they manage billions and you can't trade short-term with billions. Technical analysis is of little use to them.

I would never put my 401k with a short-term trader. Give me Buffett. However, I have a smaller percentage of my investments that I trade short-term because unlike Buffett and Lynch, I like playing the market a lot more than "buy and forget." It's just my personality.

For years, I knew nothing about technical analysis and thought it was bullshit too. And to answer your question on who are the "under-performing traders," I was for about 4 years. I lost a LOT of money following the crowd.

But then I discovered that there were technical analysts who were reasonably good at predicting which way the crowd was about to go before they went there. Not precisely, mind you and they're occasionally wrong, but they're right enough that I now make a LOT of money investing in ETFs and index funds for a couple of months following my own "crowd indicators" as well as theirs.

Most of the technical analysts I follow advised their clients to go short between the middle of May and the first week of June (I went short May 15th) and they're still advising short but a potential turn is coming this week or next.

That was awesome advice Felix and it flies in the face of yours. How did they do that? How did they know to advise me to go long the day after Bear Stearns? I asked myself that same question 5 years ago and it's been a very profitable revelation...