re: 50 Unfortunate truths about investing

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complete and utter BS. it has worked for me just fine. as well as others. as a matter of fact i have taken a loss before at times when all i used was FUNDAMENTALS. chew on that.

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I think one reason people bitch about technicals so much is that they tend to over-rely on technical indicators and lose their arse when things don't work out. For instance they buy/sell at a support/resistance level, only to see the asset prices continue to fall/rise. Or they convince themselves that an obvious head and shoulders is forming, only to have the security rally instead of plummeting.

Investors need to realize that technical indicators should be used as part of a much more exhaustive investment strategy. If you see WTI crude reaching a resistance level, you shouldn't sell if there is news stating that Canada has decided to cut off oil exports to the US; you'd get smashed by the influx of buy orders coming in at increasingly higher prices.

And once again, since so many professional traders use technicals, that means they exist and should be taken into account when trading. It doesn't matter whether or not they're self-fulfilling prophecies.