Michael Ballanger, a precious metals expert, says he believes technical charts were created by bullion bank traders to lull the “chartists” into a false sense of security.
by Michael J. Ballanger
The Gold Report
I often include charts in my weekly missives for a number of reasons, but the truth of the matter is that they add a little color to what would normally be a pretty drab bombardment of opinion delivered via text. By adding charts, it creates the illusion that I actually understand technical analysis (which I don’t other than what I gleaned during a two week training program in 1977 while in the employ of McLeod Young and Weir) and that it is useful in the forecasting of price trends in gold and silver over the long term. Well, I have a secret to tell you—”T.A.” (as it is called by the “in crowd”) is USELESS. “Cup and handles,” “hanging Chinamen, “engulfing knickers,” “tombstone dojis”—you can fire them all in the waste bin because that is precisely where they belong.