Been searching for a profitable system and a strategics for a very long time and I came across one thing that I would like to share among all newbies and I do hope it would help. I might be awfully wrong, but this is purely based on my opinion and observance.
I been trying all kind of system and ideas, from grid trading, simple cross, gmma etc etc
I realise none of them really work for me consistently, something is lacking awfully. It could be people are hiding and keeping certain trade secret but its very often due to my ignorant to price action. All kind of systems that simply based on indicators doesnt seem to work well, at all. It took me alittle while, but I realise it.
Not too sure about others, but I jumped into usage of indicators when I am not even fluent at setting up resistance/support levels, trend levels as well as a good reading of candlesticks. Understanding the theory behind of all these price action is easy, but doing it is a whole complete different thing. Then i decided to take a good time studying back the basic, completely ignoring all the indicators in the initial phase, getting used to the naked chart planting lines etc etc Slowly I re-introduced in different methods I learnt and receive from the members of here as well as other various forums and website at the same time applying the very basic fundamentals. Yeah its beginning to work better, I am able to filter out lots of junk signals.
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I came to realise the important of the most basic fundamental skills, the price action[/B]
Not too sure how well it will works on others, perhaps its only me but ever since the beginning, I am looking at indicators so much that i neglected the basics.
Now that’s a sign of a trader that’s turning the corner, it’s quite amazing how newbies just don’t listen that indicators are a waste of time and price action is the de facto trading strategy, I did it myself.
Just to note though, price action is quit a loosely coined term, but still it does encompass the kind of approach that should be taken.
Certainly seems quite true to me, I spent a while playing with mcads, averages, etc without good results. Though I wouldn’t write all indicators off totally, it just depends how you interperate them and don’t become too reliant on using them to buy and sell.
All my best trading has been done from s/r and trends. Indicators are additional tools which have some use, but they are far from holy grail systems.
I agree. In most cases, it’s not an indicator, it’s the trader and how they use them. It’s amazing to me for example when someone blames a trend indicator, when the trader who is trying to use it doesn’t know what a trend is or how and why you need to consider it in a trade. Same with momentum, support and resistance.