Forty-five years of trading based on charts have convinced me two things:
- It is impossible to pick bottoms and tops on a consistent basis. Even catching prices within 10% to 15% of a swing top or bottom is a magnificent accomplishment. I have known traders who have made millions of dollars by catching markets within 20% of swing tops and bottoms.
- The vast overwhelming proportion of time a market defies understanding from a charting perspective. Truly clarifyingchart bars (candlestick or H/L/C bars) occur ten or less times per year in a typical market.
Regarding point #2 above, this is why...
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