A chartist can decide to go with a technical analysis course or they can learn by their own studying . Many a chartist goes with the idea “follow the other guy…he may know more than I do about the basics.” Most chartists follow the tenet is “the trend continues until it stops.” Many chartists try predicting a move in the trends. Chartists are well known for making huge profits in a week and enormous losses the next . The chartist is always concerned with his ability to realize when a trend reversal or a congestion area is starting . As trends go on, chartists stay happy . In figuring out whether a trend is going to reverse , or there is a problem with a trend or the congestion area , then the chartist gets upset .
The chartist is quite a species . Those wiggle waggles really get chartists off. Usually what happens to chartists is that he/she does not see the forest but for the trees . And they never overfill their tool bag until that final moment when the noise of the information and systems clogs the channel of clear cogitation .
He looks on unreceptively and blankly for hours on end at the chart , without realizing what the chart has to say. His major fault here is that he/she looks towards the charts to tell him what prices are doing , instead of telling his requirements to the charts.
A suggestion to use: After the chartist gets out of their state of fogginess, they need to take time and write down the request from their chart . Charts are like computers with information and facts, and as with a computer , one must punch in what one wishes the computer to start to tell him , and the criteria that is by , and, they can only do this with a trading plan that is preprogrammed . The very first requirement a chartist has is that he has a plan for trading and that he gets from his chart the criteria that works with his plan . Deciding to invest in a good technical analysis course is excellent advice.
Chartists that become a success are
* a) unlikely to take a long position
* b) they are more likely to close out positions before receiving a margin call .
* c) less likely to put up additional margin if they do receive a margin call
* d) are more likely to pyramid profits and trade various commodities .
A Chartist that is unsuccessful
* a) tends to cut profits short and allow losses to run
* b) will usually be long rather than short
* c) often sell on days prices rise and purchase on days when prices decline. Price level traders is what this action shows these chartists to be.
Track records aren’t possible on general chartists, but a track record is certainly feasible on the performance of any particular chartist . Unless chartists allow track records to be done on them, taking their claims seriously is impossible . Few chart readers would have doubted the existence of the “head and shoulder” formation . Yet , the reversal signal of one will flag another to go on . Usually , if a chartist is correct usually the decisions he made in the market were merely luck . The trader is more painfully aware that technical analysis course competence does not insure competent trading . Chartists who lose money do so not always because of bad analysis but due to the fact they weren’t able to turn this into practice that was sound. In order to bridge the gap that is between analysis and taking action means getting over the threat of fear, greed, and hope . This means they need to keep impatience controlled and they must control the desire to go on to something new from a sound method , especially during time of temporary adversity .
