Following the release of Friday's unemployment data, supporters of the apocalyptic development of events in the market were already happily rubbing their hands, anticipating, that now, for sure, everything will fall into the abyss, but it didn't work out. Markets took the news negatively, but then they recovered quickly enough. I said that, the picture on the chart would be aesthetically ugly, harmony is inherent in nature, proportions.
When I was studying to be an architect, US, within the course, gave a three-dimensional composition. Something like this sounded: “Boys, here we often suffer, draw a bunch of sketches on tracing paper – does not work, ugly, not that… And finally, here he is, masterpiece. Now take it and draw it in proportion.. What happened?”. Idea, I think, understandable. We often spend incredible efforts., instead of, to act rationally. It's easier to go with the flow, than row against. Harmony is already inherent in us by nature. Many ancient buildings were built according to the laws of the golden section. The spiral of the Ionic capital is built in accordance with the series of Fibonacci numbers. Russian architect Zholtovsky was a big fan of finding proportions in nature., and as a consequence, all “Stalin's neoclassics” based on these principles.
From the lips of technical analysis detractors you can often hear, what is TA – chimera, placebo, no accurate statistics, mathematical justification, all this is very subjective and unscientific. May be. But all our assessment of the surrounding reality comes from our subjective perception.. Here's a favorite example. Foreign tourist on, say, La Rambla in Barcelona. Beautiful architecture, sun, warmly, the sea is splashing nearby, a lot of money on plastic, which can be spent on all sorts of pleasures. And the bum, sitting in a nearby alley. Objectively, these two people are in the same place. Subjectively, everyone will draw their own picture of the world. People, by perception, are divided into four categories. Majority, about 80%, visuals. Obviously, there are a lot of such among traders. Graphical analysis gives a very clear picture, visually reflecting the general market sentiment, efficient, easy to use, and does not require powerful economic knowledge. No need to be smart, enough observation and discipline. That, that the majority of market participants trade in TA, only strengthens his position. look, for example, how clearly the eurodollar has moved between fib levels over the past couple of weeks, is this not a reflection of natural perfection?! Most financial analysts, in my opinion, belong to people with a mathematical mindset. They perceive reality through the prism of complex formulas and calculations., and enjoy it. This does not mean, that their point of view is wrong. It just may differ from the point of view of the majority., and in the market you should not stand against the movement of the crowd, trampled. Lose money, mostly, because of emotions, illiterate money management, desires to catch the end of the movement, or, against, following the trend on his breath. In conclusion, I will schedule on S&P500. Objectives, indicated in this post http://maxim-pr.livejournal.com/70157.html wrote about them in many trading blogs. Everything is clear, by Murphy. How could you not make money on this?? :) Now, in a week, possible formation of the right shoulder. If pattern implemented, and a breakdown of the neck line will take place, correction awaits us, with a view to 950-960. And further up!
I do not believe in a global apocalypse, at least, economic. It's just that it will affect absolutely everyone., including, the mighty, but they are unlikely to be interested in this. Output options are available, and tested since ancient times, remember Solon's reforms. Believers in big n…h, can continue to buy carcass and cartridges. We are on the same street, but we play different roles. Personally, I prefer the role of a wealthy foreigner :)
