Saturday, December 25, 2021

Chart projection - The Challenges

Last update I mentioned about the scenarios when one put forth a projection which can either exceed ... under achieve or right on dot.

In real scenario, the projection shall remain unchanged PROVIDED the trend remains unchanged.

Many a times whenever someone solicit information or opinion about projection from a chart analyst practitioner,  the one who solicits and the one who provides fails to understand or ask the key question 

UNDER WHAT SITUATION THE PROJECTION WILL NOT MATERIALIZE?

Very conveniently, when a projection is given, one will walk away with the projection and treat it like something cast in stone.

If the financial projection can be changed as the economic condition develops, why the chart projection cannot be changed as the trend progress?

IF the actual EXCEEDS the chart projections, no one will blame the chart approach. BUT if the actual fails to reach the projection, than the chart approach will be label as inaccurate or not reliable.

The are inherent bias against the charting methodology without really understanding the intent of charts.

Unfortunately, there are more people on EGO trip when discussing the analysis approach methods getting into arguments. To me is unnecessary because the market will decide the outcome. NOT anyone else. 

We can agree or disagree over matters, but bear in mind ... WE DO NOT DECIDE THE OUTCOME. THE MARKET WILL DECIDE FOR US and DELIVER THE VERDICT

Just agree we have different opinions or views and wait for the verdict        


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