Why Technical Analysis is Unreliable

Technical analysis is a useful tool for traders, but we must consider its limitations. Technical analysis is basically based on assumptions about past market statistics and data without considering other external factors. Therefore, traders should not rely 100% on technical analysis, but use it together with other analysis methods.

Some of its limitations include:

1. It is based on assumptions about past market trends obtained from past market price and volume data;

2. It is a lagging tool and is affected by the interpretation of different traders;

3. Technical analysis does not provide the full details of the market, i.e. taking economic and global events into account,

Therefore traders should consider all these factors before using technical analysis to make investment decisions. #美联储何时降息？ #美国大选如何影响加密产业？ #美国6月非农数据高于预期 #技术分析参考