One day I decided that I should start applying myself seriously and give TA a shot. I think I was tired of hearing ACCICB tell me how only TA matters and FA is just plain useless in trading. I wanted to figure out for myself which way is the best way everyday in every market. Plus I figured this would help me make better decisions without going through him and I was curious how good or bad I can be at TA.
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I started by learning about Candlesticks as it seemed pretty important and I believed that it would give an added dimension to decision making. To make myself realize how important this was, I took down notes in my old company notebook...kinda like a reminder of what was behind me and where I am now.
I literally stopped all buying decisions and concentrated on selling the remaining positions in my books. I guess I was just so absorbed in applying candlesticks as well as the other indicators along the way that I wanted to be absolutely sure before I start to buy again. This also meant that I had to stop FA on new companies since there are only so many hours in a day.
To my surprise, I found two companies that were a buy on the first day of my candlesticks studies. I didn't buy them though as I wanted to test myself to see how right or wrong I was. The next day proved that I was right on one of them whereas the other continued moving sideways. It's because the other indicators like bollinger bands, volume etc didn't quite agree on the buy signal.
After about a week of studies, I was still not buying anything but along the way I was sharing with ACCICB what I learnt and he learnt quite a few things from me about candlesticks! It seemed that there was a whole lot he didn't knew which now made him look at the patterns in a different light. Now whatever he told me in the past was making sense and I think he was happy that I'm finally learning TA.
The best part was that he managed to apply what I told him and made some $$$ out of it! I think that's the end game for us...making $$$ and I guess TA suits me rather well...as it is also an art form, very much like FA. I would never have thought that ACCICB would ever start asking me of what I think about charts...maybe that was why I never want to learn them...so that I am absolved of all responsibility and influence?
But with TA, I find myself having to adjust my decision making and I think what I have is a mixture of both FA, TA, price trend and history, absolute and relative measures...which sounds kinda complicated but works well for me.
The learning never stops and being a naturally curious person, I always love to learn new things which is why I think my current path is indeed like this quote in a movie..."Sometimes you need to make wrong choices to reach the right place in life."
