And why? Because technical analysis works because other people are doing it, therefore high liquidity pairs? What do you think?
Proper "Price TA" works in all markets and all time frames... which is why it's so damned valuable to learn and understand! If liquidity is low and volatility is high, Price TA still works as usual... it's just that execution is more difficult as prices are more "jumpy".
Just backtest it and/or simulate trade via technical analysis. You'll easily get your own answers. wrbtrader
My experience with classic TA (chart patterns 10-26 weeks) , with symbols that are the least observed I sometimes get into parabolic breakouts that run for months with less whipsaws. The Heisenberg principle – If something is closely observed, the odds are it is going to be altered in the process. The more a price pattern is observed by speculators the more prone you have false signals; the more the market is a product of non-speculative activity, the greater the significance of technical breakout.” – Bruce Kovner
Do you mean with low liquidity, low market cap or do you have some other measure of them being observed?