Hello everyone. I�m new to this trading and lately a serious question is emerging: does all that technical analysis stuff really work or is it just a story to sell courses? I�ve seen thousands of lines, figures, candles, and half the time it seems to only serve to justify what�s already happened. Does anyone else think this is pure smoke?
Today it was my turn to see how an expert trader on YouTube drew trend lines after the movement. So who doesn�t? If the technical analysis was so magical, we would all be lined up. I�m starting to think that the only way to win here is to understand market manipulation, not Japanese candles.
Don't get me wrong, I don't come with a negative attitude. I really want to understand if there's a way to use technical analysis usefully. But so far I only see confusion, subjectivity and a lot of people losing money while swearing that "the pattern was very clear." Where's the objectivity here?
Technical analysis is not magic, nor is it intended to be. It is another tool, not an oracle. The problem is when novices use it as a perfect predictive system. If you combine it with risk management and experience, it can be very useful. But don�t expect a support line to save you from your mismanagement of money.
Let's see if it's clear: technical analysis doesn't predict the future, it helps to understand the past and find areas of probability. But if you expect the RSI or an ascending triangle to tell you what the market is going to do tomorrow, you better go to the casino, which at least give you free drink there.
The funniest thing is when you see traders arguing whether it's shoulder head shoulder or double roof. They don't even agree with each other! And those are the ones who sell "consistency" courses.
In my case, I have used basic patterns like supports and resistances and they have helped me a lot, but only when I have patience. What I did learn quickly is that you should not operate just because �the pattern is there.� The key is context and confluence.
I think the technical analysis works, but not for everyone. You have to have a certain ability to interpret it correctly. If you�re one of those who sees a figure on each chart, you�re probably fooling yourself. Not every triangle means breakout.
What about fundamental analysis? Wouldn�t it be better to learn about macroeconomics, interest rates and geopolitics? All that does move the real market. Candles only show what�s already happened.
Technical analysis? Yes it does, but only after years of practice and when you combine it with emotional management. People want results in two weeks. So you can�t. If you don�t stand to lose, the technical analysis won�t save you.
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