Technical Analysis - Forex Forum

Just a quick question, does anyone still follow technical advice and if so whats the success rate??

The forex technical analysis is concerned with what has actually happened in the forex market, rather than what should happen.
A technical analyst will study the price and volume movements and from that data create charts (derived from the actions of the market players) to use as his primary tool. The technical analyst is not much concerned with any of the “bigger picture” factors affecting the market, as is the fundamental analyst, but concentrates on the activity of that instrument’s market.
Technical analysis is based on three underlying principles:
1. Market action discounts everything
2. Prices move in trends
3. History repeats itself
List of categories of the technical analysis theory:
Indicators
Number theory
Waves
Gaps
Trends
Chart formations

I should point that however that even thought the facts stated are generally correct,

technical analysis can and does help professional traders with indication of future movements, this is mostly done (in intra day/ swing trading) thought the MACD being used together with other indicators such as the RSI, etc...

this can aid the tipically lagging indicators give an idea of future direction (hence why they are always quote and used to aid the prediction of future movements - they are not used for the purpose of analysis of past days trades - what would be the point?! )

ps (for VIK) im a qualified abstract mathematician who has come out of academia and is now taking to forex trading, as i have extensive knowledge of mathematics in general, may ask... how does number theory aid market analysis? the field of study is too broad and abstract to aid such concrete number behaviours...

Hello JulianFry its very nice to know that you are qualified mathematician in case of any problem we can ask you well i will tell you the basics of number theory
Number theory
Fibonacci numbers:
The Fibinacci number sequence (1,1,2,3,5,8,13,21,34…..) is constructed by adding the first two numbers to arrive at the third. The ratio of any number to the next larger number is 62%, which is a popular Fibonacci retracement number. The inverse of 62%, which is 38%, is also used as a Fibonacci retracement number. (used with the Elliott wave theory, see hereunder)
Gann numbers:
W.D. Gann was a stock and a commodity trader working in the 50’s who reputedly made over $50Mio in the markets. He made his fortune using methods which he developed for trading instruments based on relationships between price movement and time, known as time/price equivalents. There is no easy explanation for Gann’s methods, but in essence he used angles in charts to determine support and resistance areas and predict the times of future trend changes. He also used lines in charts to predict support and resistance areas.To explain it properly i have taken this image from the other site.