But there are simple buying algorithms that are standard industry benchmarks, such as volume weighted average price, time weighted average price and percentage of volume. It’s no big secret, they’re the tools of the trade for investment firms.
If an institutional investor wants Goldman Sachs to buy 500,000 shares of XYZ, they need to know they’re getting filled at a good price. If the range for that period is 560-600, and Goldman Sachs gets them filled at 600, that’s a crap price. However, if they get them filled at just below the volume weighted average price for that day (say 575), they got a good deal. That’s common knowledge.
I’m also not saying it’s a way to ‘beat the market’ or ‘predict the future’, I’m just saying a chart can provide useful information when combined with fundamental analysis. I don’t think that’s outlandish… it’s just a balanced approach.