There Is A Sucker Born Every Second (Not Minute)

P.T. Barnum is famously attributed the phrase: “There’s a sucker born every minute.”

That got me thinking. Let’s talk ‘algos’ (short for algorithms). As a term it has become the soup du jour of jargon used by hustlers trying to promote prediction, cycles, oscillations, etc. You know the types–they have the PERFECT entry that leads to incredible ACCURACY which of course leads to EASY riches.

Examples of such:

Discover ways to perfectly clarify ongoing movement of price within all markets & all time frames.

And:

Learn to precisely read immediate price direction, strength, trend & consolidation of any chart in real time.

And:

There exists perfect, consistent oscillations on charts every day, every week, every month and every moment.

Nonsense.

A trend trader either enters or not (and of course entry comes in overall importance of trend following trading system success after portfolio selection, money management, and exit criteria). Any entry approach needs to be robust, and straightforward. Many technical indicators will do the job.

Arcane/complicated formulas/algos imply that all types of fancy processes and elaborate number crunching takes place and when complete a trader knows precisely whether to enter or exit. This idea is worthy of P.T. Barnum’s most famous “line”–except maybe it’s not every minute that one is born these days, but every second, or millisecond.