In This Chapter
• Active traders must be right with information
• Information must be tailored to trading strategy
• Information must be easily digested and acted on
• Information costs cannot be excessive
Active traders, more so than buy-and-hold investors, must have good up-to-date information as a basis for their trades. Data and information are not the same thing. Data is only helpful when it is digested into actionable information that a trader can use. Finding sources of information that distill and digest streams of data into information that can be used in making a decision is not always easy. One of the strengths of technical analysis is that it presents a lot of data in a graphic form that is easy to digest ...