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It doesn't sound like you've thought this through. Technical analysis isn't typically based on patterns. Banks trade using TA (see Lehman Bros Forex trading ha

by luxpir 8y ago

It doesn't sound like you've thought this through. Technical analysis isn't typically based on patterns. Banks trade using TA (see Lehman Bros Forex trading handbook - available online) - it's not strange or unusual to trade a mean reversion strategy at HFT or retail trading levels. Nor a momentum strategy, or even trend following. Nobody serious trades the candlestick patterns you're referring to in algo trading. There is enough data to train all forex pairs - tick data going back decades, for free, via Dukascopy and other sources. You're spreading FUD, and while there is definitely a need for people to be cautious, your warnings are not based in reality. Better to warn them about the 70-90% losing rate of all retail traders (reported officially by all UK brokers), or the perils of overleveraging, or the risk of gapping/illiquidity in crypto... I could go on. But not what you mention - that's a strawman.

throwawaykyok 8y ago
> Nobody serious trades the candlestick patterns you're referring to in algo trading. You are correct. My definition of TA was these candlestick patterns, like the ones ("bullish engulfing") shown on the landing page. Mean reversion, momentum, etc are fundamental concepts that have solid mathematical foundations. I have absolutely nothing against these ;)
- rohitgoyal 8y ago
  That's a screenshot you are referring to. It just shows how to connect different blocks. Like see the first gif that shows the kind of blocks we have with an example of indicator block (RSI/MACD etc). In no way there is a sign that it will make you profit. In fact it encourage you to test your strategies on past data and live data. Will try to make it clearer.
- luxpir 8y ago
  OK, OK, misunderstood your point - apologies. Yeah if they're selling those as potential profitable avenues... red flags are up. That's not selling shovels to miners, that's selling spoons.

by luxpir 8y ago

throwawaykyok 8y ago

> Nobody serious trades the candlestick patterns you're referring to in algo trading. You are correct. My definition of TA was these candlestick patterns, like the ones ("bullish engulfing") shown on the landing page. Mean reversion, momentum, etc are fundamental concepts that have solid mathematical foundations. I have absolutely nothing against these ;)

rohitgoyal 8y ago
That's a screenshot you are referring to. It just shows how to connect different blocks. Like see the first gif that shows the kind of blocks we have with an example of indicator block (RSI/MACD etc). In no way there is a sign that it will make you profit. In fact it encourage you to test your strategies on past data and live data. Will try to make it clearer.
luxpir 8y ago
OK, OK, misunderstood your point - apologies. Yeah if they're selling those as potential profitable avenues... red flags are up. That's not selling shovels to miners, that's selling spoons.