[Sniper]

[ QUOTE ]
"Technical traders, on the other hand, believe there is no reason to analyze a company's fundamentals because these are all accounted for in the stock's price. Technicians believe that all the information they need about a stock can be found in its charts."

Doesn't that argument rely on the assumption that the majority of the market consists of fundamental investors that will discount the effects of news and fundamentals into the price? Hypothetically speaking, if the majority of the market were driven by technical analysis, wouldn't that argument be worthless?

[/ QUOTE ]

No... There is a large difference between "the chart" telling the story and any action taken by a fundamental investor.

A technical trader is concerned with the supply/demand balance in the market at any given time over the timeframe they are looking at and trading in. At its core, a technical trader believes that they can determine (or at least put the odds in their favor) the supply/demand balance (which ultimately determines stock price movement), based on (in its simplest form) current & past changes in price (and volume), regardless of why there are more buyers than sellers or vica versa.