TA (chart analysis) helps us time our positions, it's about...

TA (chart analysis) helps us time our positions, it's about measuring and responding to market sentiment. FA's (fundamental analysts) might not relate to that easily, as TA is a learned set of skills that take a long time to become proficient with, let alone expert, albeit that just simple things like MA's (moving averages) and trend lines can improve our timing of entries and exits, virtually overnight. Just as FA itself is a skill that takes a long time to be proficient with.

This thread however is about reading the charts. The fact that it gets a lot of attention seems to bring in discussion that has nothing to do with the charts, or even some who deride TA, even some who suggest ulterior motives in posting their charts or opinions.

Look, it's simple .... people like their opinions to be heard, even if it means posting opinions on a thread that they have nothing relevant to the thread to contribute. Popular threads do that, it's just the way it is, like a pile of pooh it attracts all flies, not just clever flies that do charts, but all flies that like the smell of pooh.

But we all know now with A2M that a few large brokers have upped their price targets, remember that's a 12 month price target, not so far above where we've already got to in a very short time. We also know that results are due soon. It's good to see all the speculation which if you average out everyones views, many of which have put a lot of effort into their analysis, it's still a bumper result. Add the brokers and if all that pans out, we're in for a very good result and the charts show that confidence right now. The market is forward looking, it 'prices in' anticipated future results. It's doing a great job of it as well.

The chart shows us how that sentiment is playing out, it's definitely very bullish, but toppy right now and I expect it will stay that way until the results, toppy, maybe a few clicks above here but not a blow-off top unless the euphoric late comers get a sniff of this and their FOMO sets in.

Then Jayne will do her thing, 2-3 weeks after the results, she will be selling her performance shares. We already know she will, she said so. Unless she changes her mind, which she hasn't said she will. Other Directors and managment tend to sell as well in the sales window, it's just the way it is with A2M (can't blame them for cashing in their life changing investments, just like us).

But it f*cks up market sentiment, as the chart will show like it did last time. This is where it becomes the Shorts heaven, when a CEO, Directors and management are selling. They'll do what they did last time and leverage the anxiety of the insiders selling, taking the weak hands and the savvy informed sellers out of the market. The chart will tell us when this starts, how deep it's going and when it's bottoming. As it did last time and the chart/TA savvy who were out, reloaded at the lows or the breakouts. They turned X shares into X+n shares, with no additional capital.

Sentiment is b1tch for the FA's, with the charts currently hovering in the overbought, euphoria at the anticipated awesome results, we could go a few pips higher, quite a few pips possibly, then Jayne will do her thing, some other Directors and management will probably do their sell thing as well, the market will get sh1tty about it, the SP will turn over and we'll all have something to talk about for the next 6 months.

The chart helps us pick the point in time when the current euphoric cycle is over and if we're brave and skilled enough, take our money off the table while waiting for the reversal, which will come and buying a shed load more shares with our earnings.

Averaging up our quantity of holdings is a lot more exciting than just scalping profits. It's impossible to do with just FA, you really do need to read sentiment to work the market. The chart is our insight to sentiment. That's what this thread is all about.

gltah