[B]So lets look at the result of our better MACD entry![/B]
By tymen1 at 2008-02-26
[B]The next post will show the clear solution to this problem. [/B]
Ok people, here is THE answer :
Indicators should not be traded on their own.
Confirmation is required.
That means more indicators.
Now you will know for SURE which way to trade and where to set your stops!
don’t you just love the simplicity? 
By tymen1 at 2008-03-04
[B]Now I am going to show you something powerful.[/B]
[B]Look at the below chart which displays a MACD and an evening star on the upper Bolinger band. (highlighted in blue).
Point A is where you would enter using the standard MACD.
Point B is where you would enter using the evening star candlestick formation.[/B]
By tymen1 at 2008-03-05
[B]The difference is dramatic - a 30 pip difference.
If you were scalping as I partly do then this indeed makes all the difference. With the MACD you are efectively missing out on one complete candle - and on some trades this might be the only candle that goes down - it could go up from here on.
In other words, the trade could well be all over by the time the MACD says to enter.
With candlestick trading you can be in and out of this trade even before the MACD devotee gets started.
Time delay in indicators is a fact.
Comments/rebukes/correctons invited. [/B]
[B][U]In conclusion[/U][/B]
If you are going to trade with indicators please bear the above in mind.
There is a good reason why the master and veteran traders on this forum such as Rhodytrader, Tess, Jocelyn, JimmyMac, Tonymand and Shakesfx all trade without indicators.
(Maybe I could include myself but brag, brag, boast, boast :o :o :o :rolleyes:)
(Nah! - I have much more to learn).
You need to choose your indicators carefully.
If you are trading a trend then one group of indicators is needed.
If you are trading consolidation (range trading), then a different set of indicators is called for.
Most of the common indicators you see have similar mathematical derivations.
Let me give you some very special indicators here that you are not likely to find easily…
[B]They are in the attachments. [/B]
[I][B]I also have 3 very powerful indicators on file in powerpoint form but I do not know how to post powerpoint files on this forum.[/B][/I]
Thanks for sharing Tymen.
I think there is many ways to skin this cat. I am just a newb so not really qualified to reply, but I would venture to say that indicator types could make the same trade rather easily. Now if the only tool was a macd (commonly known to be a very laggy indicator esp on the short tfs) then maybe not as you pointed out, but with the help of a LRC, Support and Resistance Overlay and a few others it is possible to know with fair certainty what is going to happen. In your example it would’ve easily been possible to see what was going to happen with the price before the highlighted pattern had formed, I do believe. Unfortunately the other side of the coin, so to speak, in this conversation has been banned (which prob. warms your heart…). MP could’ve given good insight to what a professional indicator trader could’ve done with this.
PA is a great way to trade, but indicator traders know what is going to happen, and the good ones can pick a timeframe, look at their “leading” lines and thingies, figure where the price is going to go set their tp and walk away.
Again 2 VALID ways to successfully trade. IMO
Finally, for those of you who are considering indicators…
Have a good read of the following hyperlink…
[B]Wow!![/B] :eek:
Good for you if you can do that!!
I certainly cannot!! :o
but with the help of a LRC, Support and Resistance Overlay and a few others it is possible to know with fair certainty what is going to happen.
OK then!!
But how many indicators do you need?
I count at least 4 there!
I just saw only one candle and added nothing extra to my chart!! 
MP could’ve given good insight to what a professional indicator trader could’ve done with this.
I am sorry but mp6140 has made far too many mathematical errors, including the one I had to correct above, for me to hold him in any credibility.
I recently discovered some awful information (not to be discussed here because mp6140 cannot defend himself) and I firmly believe that the administration’s decision to ban him was the correct thing to do.
Finally, I can give you some really hot indicators if you can tell me how to put a Microsoft powerpoint presentation on this forum.
I’m definitely not piping up stir the pot so to speak. I think i’ve stated before that your thread is one of the first threads i ever read concerning fx and helped me realize it was possible to win at this game. So a sincere thank you.
My only point in posting is to point out what has already been said many times in many ways even in this thread. There are excellent profitable traders who are PA and there are excellent profitable traders who are indicator types and I do believe BOTH types could’ve handled the above scenario just fine. One might make a few more pips on the bearish run than the other but who really cares anyway. Like most things in life, both systems have some plusses and some minuses and in fact the best system prob falls somewhere inbetween.
cheery regards
No problem here with the content of your post whatsoever.
Re : mp6140 being banned.
I have been in much correspondence with the other veteran traders behind the scenes on this forum.
We know a lot more stuff but I am keeping silent.
All I ask is that everyone trust the administration.
I have had quite a bit of correspondence with them, and I can tell you that they know what they are doing.
hi all,
ok tymen, will you add one more favor by sharing some resources to study candle sticks trading?
No problem!!.. 
Here are some hyperlinks…
Japanese Candlestick Charting Explained
http://forums.babypips.com/analyst-arena/12562-using-multiple-lot-positions-improve-trading-fx.html
Hello, Tymen,
I’ve been reading — with great interest — your posts on trading without indicators. Basically, you have outlined the method that I developed for myself, through trial and error.
Although I have been trading forex for almost four years, I’m new to this forum (in fact, this is my first post). So, I have a lot of reading to do, in order to catch up with all the conversations taking place here. I’m going to start with the many links you have provided on the subject of Japanese Candlestick Chart analysis. You are clearly a more advanced student of candlesticks than I am, and I hope to learn from you.
As for indicators, I discovered intuitively what you have described mathematically: that there are no indicators which are not backward-looking. In an attempt to find an indicator which would reflect real-time market conditions, I went so far as to use tick-charts, with 40-tick and 25-tick EMA’s, in a standard moving-average crossover. Fast as that indicator was, the best it could do was to show me what I had already seen on my candlestick chart several seconds earlier.
So, the system I have settled on is essentially this: Candlesticks + Support and Resistance Levels + Trend Lines + Fibonacci Retracement Levels. I’m not touting this method — it’s still a work in progress. But, I’m gaining confidence in it.
Since my method is home-grown, and something I haven’t shared with anyone else, you can imagine my amazement when I read your posts, and discovered that your method is so similar to mine. Thanks for sharing.
Best regards,
Clint
[B]The most important indicator in Forex is the price, particularly if you’re trading on the short term. On the long term basics take an important role as well. Money management is the most important part of trading, even if you consider yourself good quality at money management, keep in intellect you can always get better. So if you don’t want to use indicators, you don’t have to use them.[/B]
[B]Happy Trading:):)[/B]
Excellent post all round Sam111
Thank you for your very kind post Clint.
I have produced 2 threads on this forum.
You may be interested in them.
The 1st one is last years work - 170 pages long.
The 2nd one is this years work and is still in the making.
Your contributions would be most welcome.
The threads…
http://forums.babypips.com/newbie-island/10812-joy-candlestick-trading-learning-experience.html
http://forums.babypips.com/newbie-island/19339-joy-candlestick-trading-part-2-a.html