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Actually, those who know me well know that I also scoff at technical analysis—isn't it just overfitting, astrology, pure fortune-telling?
But the problem is:
1) Right now I'm in the hospital, and there's nothing else I can do.
2) After Friday's crash, SNDK's chart suddenly turned into a textbook technical formation—maybe thanks to the bots.
For example, we mentioned Tuesday's intraday deep V, and $1,500 indeed became the bottom of this week;
Wednesday's solid bullish candlestick that filled the gap is basically the favorite textbook pattern for bulls;
As for why, after Thursday's big rally today, it stopped right below the 20MA instead of charging straight to $2,000—after reading my afternoon post, you should already have an idea.
Based on this logic, I managed to do two things myself:
1) I did bottom-fish at $1,500 on Tuesday, buying SNXX.
2) I cleared SNXX halfway through Thursday's rally, exiting with 25% profit; and I didn't chase high today.
For technical analysis to achieve this level is enough for me.
Of course, technical analysis cannot predict the future—everything in stocks is probability. For instance, I don't know if Friday will see a big breakout above $2,000 or a drop back to $1,730 to fill the gap.
But understanding the market from such obvious technical signals and finding a high-probability strategy that works for oneself—
Isn't that the homework and effort that everyone, including myself, should be doing?
Do you need someone to spoon-feed you? Even if you pay me $599 a month, I can't do that.
What do you think?
Why are there so many entitled babies in our Chinese comment section? Is it the credit of the nine-year compulsory education system? Or the legacy of paternalistic politics?
Thanks, everyone.