Tuesday, January 13, 2015
An example of spoooky TA
Wanna see something spoooky?
Here's a chart of XIV with a lot of stuff taken out:
The Bollinger mean is the dotted blue line between the two solid blue lines.
I find it very spoooky that XIV didn't manage to break above the Bollinger mean on five different days in December, and that it also turned back from the Bollinger mean last week.
That's the thing about TA: you see spoooky stuff happen quite a lot.
Who knows, maybe there was an algo programmed to short XIV at the Bollinger mean?