Hey Guys, just starting my forex journey and had a couple of questions.
Do i use the same indicators in all the charts? for example if i am going to look at 1 day, 4 hr and 30 min charts would i use the same indicators for all or do the indicators change based on the time frame?
Also how many indicators are too many? i know this is a completely subjective question but i just wanna know how much is too many? Right now i am looking at EMA, RSI, MCAD and pivot points. what do you guys think about this combination? they redundant?
Needless to say this site is awesome, i have already learned so much. Great job guys.
Many, including myself, dont use any indicators. Many more only use perhaps just 1.
Stick with the school and reading the threads before testing some on demo for yourself
Carlos Ray is right to recommend caution. Indicators can end up tieing you in mental knots and not help decision-making in your trades, its price movement that’s important.
I use 2 EMAs to help confirm trend and a third shorter EMA to help define entry and exit points. Additional off-chart indicators are not needed.
Beyond that, if you must any indicator, standardise. This allows you to compare charts of uncorrelated instruments for comparative strength of opportunity or risk. I had a friend a few years back (a very clever aerospace engineer by the way) who believed there was one single optimum EMA that should be used to define trend for each individual stock. Needless to say this didn’t work. What he was effectively doing was asking 100 random people whether it was time to buy a stock, and the one who said yes most strongly, say the 83rd guy, that was the one he went to next week on the same stock and he ignored the other 99. Not scientific method at all, introducing all sorts of randomness and bias.
Much is made of the “best” EMA period to use, say for visualising a short-term trend, or the best RSI or stochastic parameters. Its not really important which criteria you choose as long as you stick to it.
Hello everyone! Im newbie here, and im still looking for good strategies to start… After of couple of months of unsuccesful trading with news based strategies and end of day ones, i found the one that fit me well. This is how i feel it, tell me if im wrong… It’s based on extremely simple 60 minute trading strategy using so called “Indestructible” indicator. The trading strategy utilizes following the trend which is always a big plus when trading binary options. when the Indestructible trendwinner is green, i only look for calls and when it’s red i look for puts. As an additional confirmation, im trying to utilize an ADX indicator and only trade when it is above the 19 level. I, however, believe this additional confirmation is unnecessary.
The setup is two consecutive one hour candles/bars the same color as the indicator line followed by an exact entry is the beginning of the third bar/candle. The expiry is 60 minutes but the strategy can be used on higher time frames also; if using 4 hour candles for your entry, the expiry will be 4 hours too. The two bars must be in “slope” or trending somewhat strongly before make the trade, to see price moving up strongly for a call and vice versa for a put. And don’t enter if price is just stalling or moving in a range. This strategy works for me, but only in a trend. What do you think about it? I can attach an example of a few winning trades utilizing this strategy.
I also have some questions about some good “role model” traders. Did some one heard about John Foster guy, this one i guess pamm-trade.org. This strategies, it’s legit? Cause for me, some of this advices work well enough… Thanks everyone and sorry for bothering!
I trade without indicators, and in general they only cover a picture of the normal graphics and prevent to take the right decision in the moment. I’m against indicators. May be after some recent time I’ll start use them again, but as of right now - I’m not.
Hello grozny13,
With my personal experience, I use the same indicators in all the charts and timeframes. If you are using lot of indicators you may get confused. The ideal is to learn how the indicators react in every price movement. I use 3 SMAs (50-SMA, 100-SMA, 200-SMA) and the RSI indicator. Basically, It is important to learn when an indicator is endorsing the bullish or bearish scenario of the price. Don’t forget that the price is the King.
Hey everyone, thanks for the replies they are really helpful. I am gonna scale back on the indicators that i am using and try to read up more on the ones i decide to keep.
Indicators are not bad if used properly. But, yea I’m completely agree that they can overshadow the whole picture. Try with naked charts, then put one indicator and learn how it works, then another. After some time you will build your own trading system. Good luck.
If you bothered reading my posts before opening your big trap, you would know that I started in fx years ago and am going thru the school just to reacquaint myself.
Suggest you get back to your ‘interesting’ thread and give it a dusting
nice try but carlos Aka pointless , its fact once i call you are sharp , but you far away from giving away advice tips or anything like this
i know you get excited abit i feel for you but put your energy take comments from experienced members read and hear what they have to say
and mind waht you contents maybe you havent done yet
Ive yet to read anything posted by your good self to suggest your opinion is of any value, just a few barbed comments at other members. Have you nothing constructive to say?
By the way, I stand by my original post that many traders use few, if any indicators
Yeah, I use same trading indicator in various time frames! Basically, my profitable trading strategy works on all kind of major trading pairs! This is way, I use this strategy for almost eight major pairs! On the other hand, I use my fundamental knowledge during high voltage news sessions! Basically, I have made my profitable trading strategy by doing one year analysis on trading systems!
Indicators are nice trading instruments. But using an indicator when you don’t understand it is useless. It is safer to stick to bare price action if that is what you understand.
I think it might work for you, what I usually do in such circumstance is to use the system of three screens to project the future. Setting on M15, H4, and DAILY. You can use indicators for the first two screens and maybe no indicator for the last!