RANDOM CHART GENERATOR

Enter any number in the yellow field to generate a random chart. You will see "support" and "resistance" levels, and "fib lines" and "heads and shoulders" and every possible "setup" all over the place. But remember, this is not market data, this is a random chart. Past data has no relevance to more recent or current data. Any "technical analysis" is senseless. The lines you see mean nothing.

Markets are, most of the time, also random. Windows of opportunity (where price movement is less than random) are scarce and taken advantage of quickly. This means chances are most of the lines you perceive to see on a real chart are also random, therefore mean nothing. That's just the way it is.

So next time you see an "obvious" support or resistance line on a real chart, remember there are two possibilities: sure, it may be a real support/resistance level offering a trading opportunity. Or it is nothing, a random occurance. We never know for sure.

Manage your risk accordingly. See why having an edge in trading is crucial. And why you can’t trust your eye.