Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

Can you provide sources that back up your claim with studies of inefficiency of technical analysis?

I'm not busting your balls, I actually agree with you but I haven't seen it really proven.



> Can you provide sources that back up your claim with studies of inefficiency of technical analysis?

Not the original guy but I just want to point out that Warren Buffett, Peter Lynch do not believe in technical analysis.


Well they are obviously fundamental type of investors, and I have no doubts this type of investment is superior to pattern matching and chart gazing. But I see all those guys doing their pretty technical analysis charts in stocks and bitcoins and even though I think it's all BS, I wonder, is it? I mean, can you get a small edge? why would they be at it all day if it wasn't making them money?


> I mean, can you get a small edge? why would they be at it all day if it wasn't making them money?

It's gambling, they win randomly and falsely attribute the wins to tech analysis and dismiss all the losses as them "reading" it wrong. The random wins attribute to an addiction and superstition but they'd win just as much flipping a coin to decide whether to buy or sell. These people are very bad at math, if they were any good they'd be doing quantitative analysis and looking for actual patterns in the data that stand up to real scientific inquiry. Technical analysis is to quantitative analysis what alternative medicine is to actual medicine.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: