# Fooled by Technical Analysis



## lftrader (7 September 2015)

Good book but delivery method is not best. There is not an e-book available and it is readbale via website only. Basically the book blasts several TA assumptions and methods. 

Best chapter is #6. Interesting details are aldo given in chapter 8 about alternatives to TA. Chart analysis is attacked in chapter 5. Most interesting read is about expectancy in chapter 2 where the usefulness of this is blasted.


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## tech/a (7 September 2015)

lftrader said:


> Good book but delivery method is not best. There is not an e-book available and it is readbale via website only. Basically the book blasts several TA assumptions and methods.
> 
> Best chapter is #6. Interesting details are aldo given in chapter 8 about alternatives to TA. Chart analysis is attacked in chapter 5. Most interesting read is about expectancy in chapter 2 where the usefulness of this is blasted.




Easy fix

Just buy their software.









So chart patterns and indicators are un profitable
Yet here is ours software to help you find them?

Seems not all are un profitable---


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## CanOz (7 September 2015)

This stuff is just entertainment, plug in a few desired outcomes, click the mouse and get the CPU crunching and data mining, finding that optimum combination....

Trying testing it on OOS data or worse, walking forward. It's a train wreck....entertaining though.

CanOz


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## wayneL (7 September 2015)

We have the secret.... For a price


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## skc (7 September 2015)

tech/a said:


> So chart patterns and indicators are un profitable
> Yet here is ours software to help you find them?
> 
> Seems not all are un profitable---




The software doesn't say it is used to find chart pattern. It seems to suggest it is finding "trading pattern" which is quite different.



CanOz said:


> This stuff is just entertainment, plug in a few desired outcomes, click the mouse and get the CPU crunching and data mining, finding that optimum combination....
> 
> Trying testing it on OOS data or worse, walking forward. It's a train wreck....entertaining though.
> 
> CanOz




I am unsure how you arrive at this conclusion...   It looks a TOOL to finding quantitative patterns and it's a White Box. It doesn't sound that different to something I would do by exporting data to Excel and running some analyses... only perhaps more efficiently.

P.S. I have only spent 3 minutes on its website so my comments are by no means a result of thorough investigation.


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## CanOz (7 September 2015)

skc said:


> The software doesn't say it is used to find chart pattern. It seems to suggest it is finding "trading pattern" which is quite different.
> 
> 
> 
> ...




I had thier competition on trial for nearly two months, ran literally hundreds of tests on a mountain of data....useless when tested on OOS.


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## tech/a (7 September 2015)

CanOz said:


> I had thier competition on trial for nearly two months, ran literally hundreds of tests on a mountain of data....useless when tested on OOS.




Perhaps " Fooled By Technical Analysis"

If you get my drift CanOz


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## skc (7 September 2015)

CanOz said:


> I had thier competition on trial for nearly two months, ran literally hundreds of tests on a mountain of data....useless when tested on OOS.




I see. Well you are a lot more informed than I am then. I thought on first glance it looked like a potentially useful tool. Not something that you can just buy and start printing money... but something more like a trading-tailored Excel.

What is the competition software, out of curiosity?


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## CanOz (7 September 2015)

skc said:


> I see. Well you are a lot more informed than I am then. I thought on first glance it looked like a potentially useful tool. Not something that you can just buy and start printing money... but something more like a trading-tailored Excel.
> 
> What is the competition software, out of curiosity?




Adaptrade Builder


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## CanOz (7 September 2015)

tech/a said:


> Perhaps " Fooled By Technical Analysis"
> 
> If you get my drift CanOz




Well I pity the fools that pay for crap like that!


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## lftrader (20 September 2015)

CanOz said:


> Well I pity the fools that pay for crap like that!




I think it would be best to read the book. I wish I could pass you my access code but it is not legal. It is the best book on TA I have ever read save the delivery method. You will learn staff you do not find in other books. In comparison, Aronson's book is many levels below this one. For example, Harris tells you to avoid doing many backtests if not for a good new idea and that hypothesis and MC methods are not very useful. He completely dismisses out of sample tests. He offers a set of rules for going about trading system development that concentrate on efforts to deny the validity of a system. This is expert staff.


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## Gringotts Bank (20 September 2015)

skc said:


> I see. Well you are a lot more informed than I am then. I thought on first glance it looked like a potentially useful tool. Not something that you can just buy and start printing money... but something more like a trading-tailored Excel.
> 
> What is the competition software, out of curiosity?




Reasonable competition would be something like Chaos Hunter by Neuroshell.

CH spits out a readable equation at least, (not a black box) and they go to some lengths to avoid overfitting.  They claim to be able to find equations which remain profitable on unseen data, but the whole thing seems a bit unlikely to me.

From memory, Price Action Lab is priced at 5k or more.  I think that New Zealand managed futs co. used it, didn't they?  Strategic Capital?


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## Triathlete (20 September 2015)

tech/a said:


> Easy fix
> 
> Just buy their software.
> 
> ...




Seems to me that the person who wrote this book is just pushing his own agenda as most usually do.

*I use chart patterns *and have no problem with being profitable....

I would even go as far and say that someone who really understands Technical analysis and is a medium term position trader would be profitable by just having a set of updated weekly and monthly bar charts of say the top 200 stocks ,pencil, ruler, calculator and still be profitable without any software program.
Based on my own T/A experiences.


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## hhse (20 September 2015)

Triathlete said:


> Seems to me that the person who wrote this book is just pushing his own agenda as most usually do.
> 
> *I use chart patterns *and have no problem with being profitable....
> 
> ...




Bull market. Just saying.


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## tech/a (20 September 2015)

hhse said:


> Bull market. Just saying.




Bull market when? Now?

There are a few here trading patterns live and out performing the market.

Don't get me wrong I love stuff that challenges commonly held theory.


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