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In this morning's New York Times, there is an article about the advice people are getting from stock analysts. That advice can be summed up in one word: "Buy." Even in the worst market, literally, in history. Stock market analysts continue to issue way more buy recommendations than anything else. From the article:
This shouldn't really come as a surprise to anyone who's been paying attention. Analysts were issuing "Buy" recommendations on Enron for months after that stock had collapsed. There are numerous other examples and yet people continue to trust the "unbiased" financial advice that they get from Wall Street.
In its raw form, Technical Analysis is empowering, accurate and real. It is, by definition, unbiased. Numbers don't lie. Price and volume are, at the end of the day, all that matter. Yes - someone else's opinion of what the numbers mean can be misleading but if you - yes, YOU - take the time to examine the charts and really think about what they are telling you, you will become a much better investor.
Entrusting your financial decisions to people with a built in bias to "buy" has always been very risky - unfortunately, that only becomes obvious in down markets. Empower yourself - learn Technical Analysis.
