Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

Does technical analysis work on small stock exchanges?
Assuming that you accept the premise that technical analysis is legitimate and useful, it makes sense that it might not work for a small market, or at the very least that it wouldn't be the same for a small market as it is for a large market.  The reason for this is that a large stock market like the U.S. stock market is as close to a perfect market as you will find: Compare this to a small market in a small country. Market information is harder to get, because there are not as many media outlets covering the news. There aren't as many participants. And possibly it might be more expensive to participate in, and there might be more regulatory intervention than with the large market.  All of these things can affect the prices. The closer you get to a perfect market, the closer you get to a point where the prices of the stocks reflect the "true value" of the companies, without external forces affecting prices.