Plenty of regular investors might not pay much attention to technical analysis ("charts," to use the popular word). It's just as likely they might follow "technicians" who do their own analysis and make the charts available online for mass consumption with their interpretation of the technicals.
Proceed with caution.
There's a danger in technical analysis, in that indicators are often viewed in a vacuum. The "if this occurs, then that will happen" mentality often dominates to the point that technicians, and the traders and investors who are following along, get "trapped" in their analysis.
And that can lose you a lot of money.
I'm going to show you how that happens – and, of course, the right way to go…
About the Author
Chris Johnson is a quant - he's obsessed with building and perfecting mathematical models that allow him to predict, with startling accuracy, the direction of the markets, entire sectors, and individual securities. For the last year, he's been researching and building a new system that lets him move swiftly in and out of the hottest stocks in the market for life-changing gains - entirely on his own terms. The results of his newly-minted Night Trader system are nothing short of amazing.
Chris also contributes to Money Morning as the Quant Analysis Specialist.