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January 21, 2019

#2101: Technical Analysis explain

Technical Analysis

[A series of red and green box-and-whisker plots form a line that starts in the bottom left corner of the image and wiggles up to the top right corner, with a series of peaks and troughs that resemble a typical stock market diagram. The diagram is annotated with lines, arrows and text.]

[Title in top left corner]

The basics of technical analysis

[A roughly horizontal section with mostly green boxes:]

Allegro

[A horizontal bracket encompasses the next three sections]

Prologue

[Slope becomes slightly negative. Mostly red boxes, bordered with a black line above and below:]

Decline

[A roughly horizontal section with mostly green boxes, bordered with a black line above and below:]

Doldrums

[Line curves upwards with mostly green boxes, with a dashed black line below:]

Spline

[Three green boxes at minor peaks in the line are circled and indicated with arrows:]

[Hmm!]

[A section with slight positive slope and a mixture of red and green boxes, with a solid black line below:]

Lumbar support

[Slope increases. All green boxes, with a black line through the centre:]

Renewal

[A sharp upwards incline, with two large green boxes:]

Hark! The cliffs!

[Two black dots and a dashed black line connect two major peaks:]

These two points define a line! Promising signal

[Inside trough between two major peaks is a roughly drawn black triangle:]

Bathtub

[Slope becomes negative, mostly red boxes with a black line through the centre:]

Declination

[At the lowest point of the trough:]

Inflection

[Slope becomes positive, mostly green boxes with a black line through the centre:]

Uptalk

[Slight negative slope, with large error bars. Mixture of red and green boxes. One red box is marked with an arrow:]

Yikes!

[Negative slope, all red boxes. Gap between two central boxes is circled:]

Wrong!

[Line rises then falls. Mixture of red and green boxes with non-parallel dashed black lines above and below:]

If I add some lines here I can convince myself I’m doing something more than just seeing patterns in a graph of a random walk.

[Positive slope, all green boxes with a black line through the centre:]

Slope!

[One error bar on a green box is circled:]

Could be an omen?

[Arrow indicating peak:]

Red + Green = Christmas!

[Positive slope, all green boxes with a wiggly black arrow through the centre. A separate arrow points off the edge of the page:]

Likely to continue forever