If you've done any daytrading, you've seen these algorithms in action. I know a few folks who could make a small fortune daily just by "fooling" the algorithms by setting extraordinarily high or low order prices, and rarely actually filling one of those orders. There is lots of money to be had (and lost) by mathematicians in the stock market, and there is a lot to be said for technical analysis... but it's a jungle out there.
Sorry that the first 10 seconds are shady japanese yogurt commercials, last time I looked the videos were $300 on ebay reportedly because PTJ had gone around buying up all the tapes (maybe the glasses?)
even though technical analysis may not have any merit, many people do use it in their trading decisions. thus, sometimes it is worth paying attention to.
If you depend solely on technical analysis and you aren't a total pro, then it won't work. For most people it should part of their overall trading strategy.
This spikes my BS mater just a bit. Are any of these people actually doing this? Doing it consistently? Making a fortune? (How small is small, btw).
If there was free money for the taking, someone would be taking it and squashing the opportunity out for the others. It's how markets (and especially the stock market) works.
