Loading ...Bias at charting
Check out these two charts. One bullish another bearish.
But they are exactly the same. Only difference is bias. (no wonder we like to add arrows and targets) 😉
Stolen from here: https://twitter.com/FrankCappelleri/status/1785122551233929271
Good Point Buck
I think we can discount the Bullish one for now…it’s Hopium obviously
The Bearish has more merit …but maybe I’m Biased
🙂
> I think we can discount the Bullish one for now
“sell in May and go away”
> …but maybe I’m Biased
LOL!
As of market moves, I stopped making predictions, market just too many times made a liar of me. Where markets goes next, I have no clue and frankly I don’t care. 🙂 (I managed to rake some loses playing my bias and shorting SPX)
For long term positioning (few years) I try to enter at favorable cycle points, to get help from rising tide that tend to rise all boats. As for little bit of gambling, khm I meant trading, I’m finding that best odds one has, if you are focusing on failed patterns. Those tend to be more reliable.
You focus on well known patterns, H&S, C&H, breakouts, wedges… and wait until patter forms and wait until it completes (now traders are flocking in) and then wait if it fails.
– If it doesn’t fail, good, look for the next one.
– if it fails, well starting to fail, lots of those traders will start running for the exit, making opposite move even stronger more reliable. These opposite moves tends to yield better results for shorter term swing trading. (disclaimer: just wannabe here) 😉
Well if I would have to guess, 😉 general markets go further down from here, then up through the second part of the year into elections…
my take also, roughly.
“from here” is still up in the air for me.
Not meant as a critism but looking at those two charts in my opinion they aren’t the same for this reason. The top one is conjecture on what happens next.(it could turn out to be correct) The bottom chart is more developed and almost completed. Much higher odds of it being a top and heading down, which is my assessment. One could say that makes me biased, but I am just reading the charts and technicals.
Sure. Also, if I want to be technical, for reverse H&S to be a proper setup, this pattern should form after a decline not after an up-move etc… All that is true.
But point of that example is, in my opinion, with few lines and arrows, with a little bit of drawing skills, one can easy add a bias to a chart, one can easy nudge a reader into desired conclusion. 🙂