How Do You Audit a Market Chart Before You Trust It?
Ask whether the base was built from primary observation or other reports, whether the method is stated or only the conclusion, and whether it reflects ground conditions or only a curve.
A polished market chart from a well-known research house carries a lot of authority. Before a strategy rests on one, it is worth knowing how these charts are typically built.
Why Are Broad-Coverage Charts Not Built for This Market?
Broad-coverage charts are produced at scale. Often one analyst, a shared template, a growth assumption, and a market they have never physically visited. The output looks authoritative because it is well-designed. Design and accuracy are not the same property.
What Three Questions Should You Ask of Any Market Chart?
Ask three questions of any market chart. Was the base built from primary observation or from other reports? Is the method stated, or only the conclusion? Does anything in it reflect conditions on the ground, or only a curve? If the honest answers are secondary, no, and no, you are looking at a tidy artefact, not a measurement.
The value of a ground-built view is that it can survive exactly this kind of scrutiny. The report is written to.
Ask three questions: was the base built from primary observation or other reports, is the method stated or only the conclusion, and does it reflect ground conditions or only a curve.
They are often produced by one analyst using a shared template, a growth assumption, and a market they have never physically visited. The output looks authoritative because it is well-designed, which is not the same as accurate.
If the honest answers to the three audit questions are secondary, no, and no, the chart is a tidy artefact, not a measurement.
It can survive exactly this kind of scrutiny, which is what this report is written to do.
This post gives you the argument. The full method, the figures, and the confidence ratings behind them are in the report. Read a free sample chapter, then decide.
Read the free sample →