Can anyone provide any idea about technical analysis fallacy?

<p>The thing is</p><ul><li>You cannot time the market. The power spectrum of your portfolio-value fluctuations shows peaks at certain holding periods. Those peaks show when your average annual returns maximize. Hence, these peaks tell you how long you should hold on to your stocks to maximize the autocorrelations in your portfolio-value fluctuations.</li><li>The safest investments track the market. During the past 60 years, Wall Street experienced maximum drawdowns in excess of -50%. Do you consider it a safe investment to lose more than, say, -30% at times that you cannot predict?</li><li>Breaking news determines Wall Street’s price fluctuations. That would imply that investors and traders always rationalize their decisions in the same way. That is not true.</li><li>Past performance doesn’t warrant future performance. Past performance is your best predictor of success. RenTech has shown that with a hit-rate of 50.75%, you can make billions.</li></ul>

<p id="isPasted">The "technical analysis fallacy" refers to the belief that historical price patterns and market data can reliably predict future market movements with high certainty, or that they offer a guaranteed path to profit. Critics, often citing the efficient-market hypothesis (EMH), argue that this approach has significant limitations and potential pitfalls.&nbsp;</p><p><br></p>