Let's abandon techno-centrism and uphold fundamentalism.
Technical superiority cannot respond to market fluctuations
or rather, it cannot cope with volatility
In the first place
you can't honestly admit the losses from curve fitting
because you are a technical supremacist
you can't acknowledge market accidents or one-way market trends
the market environment itself is
the essence of the market
as a technical supremacist
the chart shapes become a given
put simply
you want to visualize everything, convert everything into diagrams
but that way of thinking is something you’ve been told and taught over and over, which is why it’s like this
that’s why it’s poor in quality
the people who taught it didn’t actually increase (amount)
and in the end, to keep increasing capital you have to become a fundamentalist
well, to be precise
something like technical 3: fundamental 7
I think the ratio is like that
Sure, technical analysis is necessary
but that is just an expression that vaguely represents Dow Theory or support/resistance in a trading outlook
the essence is ambiguity
because you don’t know when a trend will appear
or when it will revert
situations like that will continue, you know
then after all, you should lean toward fundamentals
and at the same time, you must elevate technicals with less bias
no matter how you restrict trend-following entry points
the win rate may change, but the profit doesn’t
that is only because the market conditions forced it to be so
in other words, delaying or accelerating the appearance of trend-following signals “doesn’t change”
rather, it often results in a lower profit margin
the actual trend market arises in
one week after, two weeks after, three weeks after, four weeks after, or two months later
that is how it is
in other words, if you trade assuming the actual trend market exists,
you end up trading on the 4-hour or 1-hour chart
so that’s why the 4-hour chart reversal logic
can actually increase your gains relatively stably, you know, like MA cross
ultimately every logic
has the problem that
“faster signals lead to more losses”
“slower signals lower the profit rate”
considering all that
technical supremacism would be inferior to 4-hour logic
therefore you need to adapt to fundamentals
the 4-hour logic signals are late
the 15-minute logic signals are early
and yet
even the 4-hour logic can suffer drawdowns
if the so-called trend market really doesn’t come
the 15-minute logic will generate more signals, but
it will also not yield profits
(here, you could choose to aim for 3x profit with 1:3,
but continuing 1:3 will eventually dilute by capital increases
profits will shrink relative to losses)
From these observations
a technically supremacist approach has greater drawbacks
that’s why the idea is to adopt more fundamentalism
I believe that is why Dow Theory and support/resistance exist
Fundamentally, most technical analysis
is meaningless when viewed through this lens
because it’s only about whether you display signals late or early
both late and early display can lead to negative chains of profitability or other harms
With that in mind, it’s a discussion about needing to observe market movements from a fundamental perspective
※ For those who want to keep earning from FX, see below
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