On the Analogy between Scientific Study of Technical Analysis and Ethnopharmacology

Abstract

The paper describes an analogy between two fields of study inspired by 'folk science' in distant scientific disciplines: financial economics and pharmacology. As the methodology of ethnopharmacology is much more developed than the methodology of scientific investigation of technical analysis, the former could serve as a kind of reference point for the latter. Conducting study of technical analysis according to strict scientific standards should contribute to the development of financial economics, especially important from the perspective of the current debate between neoclassical and behavioral paradigm. Thus, the paper tries to apply analogical reasoning with the aims of proposing a systematic research program and formulate hints regarding it.

JEL Classification: A0, A12, B0, B4, G0, G1