Stock market is all about uncertainty. First, accurate stock valuation is difficult, as business is hard to evaluate per se. Second, even if accurate business valuation is available,stock price can deviate from it, and sometimes heavily so.
Given the aforementioned insurmountable uncertainty, it is hard to imagine that one can rely on a stock chart to predict its future. Yes, the chart is 2-dimentional, but the extra "information" provided on the 2D chart offers no benefit.
Therefore, I propose that stock price be viewed as a 1-dimentional variable. That is, its movement on time axis should be ignored. There is essentially only one thing that matters--the reading on the price axis.
To further ponder on the topic, even 1-D stock price is unreliable. Stock price can move up and down, and supposedly will hit a boundary when it gets extreme valuation, either extremely high or extremely low. But in fact, extremely high valuation is very common everywhere in stock market. There is no guaranteed uppper limit on a stock price at all!
What's left is a 0.5-dimentional stock price. In short, stock price can have a bottom, but doesn't need to have a peak. Investor can only rely on the 0.5D information.
Conclusions:
* Because time axis is removed, options should not be used.
* Because stock price has no upper limit, "shorting" should not be used.
* Stocks can only be bought at fairly low valuation.
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