Do chart patterns have an edge?

[Guest EA-trader]

Chart patterns are like price action candles, they are historic data, these have no bearing on the outcome of the chart pattern.75% of chart patterns are likely to fizzle out within ranging markets, 25 % of them will work in trending markets, this is because market ranges 80% of the time.A chart pattern has to be useful, if price moves in the future, in the direction of the pattern.Unfortunately price moves (trends) only 20% of the time, so chart patterns in a ranging market have no edge,

 

On this chart, one can see as many failed ascending triangles, as successful ones.Within ranges there is no higher probability of success.

 

The people who know nowt will argue, the chart patterns work 80% of the time.

 

[Guest EA-trader]

Here a chart pattern made 400 points on ftse, it was an ascending triangle.In the rectangle box they can fail a lot.Hindsight is everything.

 

[Guest EA-trader]

Failure of chart patters.One ascending triangle failed already, will the next one fail?

 

Here come the quacks saying all chart patterns work.

 

[Guest EA-trader]

Every chart pattern quack guru opinions, can also be back tested, by automated software.These fake gurus be can be proven wrong about chart patterns.They are historic like  price action candles.

 

https://community.ig.com/t5/General-Trading-Strategy/EAS-robots-to-test-probabilities-and-eliminate-charlatan-trading/m-p/26279#M1935

[Guest EA-trader]

There evidence 80% of chart patterns fail