ABSTRACT
To the contrary, the technical trader, using daily charts, should have a large portfolio of issues. Since he is primarily interested in the technical chart patterns, he will not try to make an exhaustive study of the background of each company. In fact, the characteristics of the stocks themselves, as they act in the market, are more important to him than what these companies make or what they are earning. This is because, although the stocks represent ownership in the company, the capital structure, “leverage,” and floating supply of the stock may (and very often does) mean fluctuations in the stock price that are not directly in proportion to changes in the affairs of the business.
