Technical vs Fundamental

Originally Posted by Canadian_MAF
Much like the other users I have to commend you on the quality of your report, and thank-you for sharing it. However, myself being a mostly fundamental trader I find it hard to appreciate these systems. I am a firm beleiver that it's the news which shapes the markets, not charting trends/patterns.I went both ways in my trading path of almost 10 years. First fundamental and then technical. What I find was that there are some sort of a link between the two. People act upon information and most definitely on their interpretation of that information. It is not so much the info as the interpretation thereof that brings action according to the interpretation. I found that certain technical indicators are actually based upon this interpretation of info. Moving averages are just smoothing out the actions or movements based upon the interpretation of the information. The shorter the period the most resent info are carrying the weight and the longer the period the more and broader info are involved. That is why I don't trade crossovers of moving averages but rather studied the movement around(support and resistance) this moving averages. To me I don't see the price or value of a currency but to me it is the actions of people based upon their interpretation of information they have. Thats why one are bying and one are celling at he same time. Different strategies also play a roll. To study fundamentals surely does have its place but for me I don't have the time nor the resources to do it. And then I will have to predetermine how are the people going to interpret it to try and predict the price movement and when will I enter en where will I exit a trade.I will rather watch the severity of the fundamentals reflected in the currency movements(actions of the people based upon their interpretation of the info) and base my involvement on that through a tested strategy. I am using two short term moving averages, one medium term and one long term moving average as guides as to the direction of movement. Along this different paths of actions I make my decisions. It is not only the MACD that I amwatching. That only tells me to pull the trigger. The support and resistance levels tells me what people are expecting and what people are willing to pay for the information they have. Humans have the tendency to react the same under certain conditions and that is what support and resistance is telling me.Good luck to you as fundamentals surely is very good as to longer term expectancy and accumilation and adding to positions.