Session 11 (of 42): Technical Analysis

In this session, we look at charts and technical indicators as predictors of stock prices. Rather than provide a laundry list of technical indicators, we classify them into five groups, based upon the “behavioral” component that each tries to exploit. In the first group we include “contrarian” indicators, which try to measure what a group of investors (small individual investors, mutual funds, financial newsletter writers) think about the market with the intent of doing the opposite. In the second, we look at indicators that try to get ahead of shifts in demand and supply that will affect prices. In the third, we exploit slow learning in markets by using momentum indicators, hoping to generate profits as the markets adjust to good or bad news slowly. In the fourth, we identify experts or investors who are more knowledgeable than we are and try to follow their actions. In the fifth, we include long term (and mystical) indicators that are built on the presumption that there are long-term waves (that are both predictable and unstoppable) that drive market movements.
Playlist for class (Intro + 42 sessions): https://youtube.com/playlist?list=PLUkh9m2BorqnZGADa8cTzeJblmrZY_SqP&si=zI2pk17pJeld4nWR
Slides: https://www.stern.nyu.edu/~adamodar/pdfiles/invphilslides25/session11.pdf
Post-class test: https://www.stern.nyu.edu/~adamodar/pdfiles/invphilcertificate/postclass/session11test.pdf
Post-class solution: https://www.stern.nyu.edu/~adamodar/pdfiles/invphilcertificate/postclass/session11soln.pdf

Видео Session 11 (of 42): Technical Analysis канала Aswath Damodaran