the term trigger indicator was just just created by me lol i mean is there any indicator that can help you to enter a position, without observing the market? a friend once said that when the MACD histogram are turning light red and the RSI is showing over selling, you can enter a long position, and when its turning light green and RSI is showing overbuying, you can enter sell, these signals are more than 50% of the time correct, specially on highly volatile markets, do you know any other indicator that does this?
1 Like
This was the old dream in trading - that you could use price action to find your target and then an indicator would simply flash green and you hit the buy button.
Its still a dream.
2 Likes
Lol i guessed so, but try the thing with RSI and MACD, its awesome, specially when there is a divergence on RSI. check it and then tell me ur idea
Well if price rises or falls dramatically, of course RSI and MACD are going to trail it, since both are calculated from price. So very often, entry off the indicator will get you into a price with monentum in the same direction and you’re basically then trend-following without having to take the risk that when the trend started it was a fake-out or a trap.
So what you end up doing is looking for an indicator to remove the responsibility for taking a risk. And it will eventually let you down very badly.
Think of it like driving your car by watching only the brake-lights of the car ahead and not watching the road at all. The road should be the thing which tells you how to drive, not the reaction of some burk who’s in front. Of course most of the time its fine to slow down when he does: until he doesn’t.
2 Likes
I know the importance of risk management but I can not see how risk management is related to your trading settings! I mean if it was about the volume of the trade, or if it was about the R/R, it was related, but I’m talking about the entry trigger and cant see how its related!
what exactly do you mean by “correct”? in terms of entries, targets, stop-losses, trade-management, risk-management, etc.?
even if it’s true (which it might well be, for all i know), it’s a very long way from that being true to constructing a robust, profitable, safe trading system based on it
i’m sure there are loads of indicators (and combinations of indicators) of which it’s true - the mistake to avoid is the assumption that that means you can necessarily develop a robust, profitable, safe trading system based on using such indicator signals as trade entries
it would be absolutely fantastic, wouldn’t it, if only that assumption were a valid one! 
sadly, however, it isn’t 
2 Likes
entry I meant, this just shows you the entry, SL and TP should be determined based on price action.
that could be the way i would be reach lol I mean… find a way to make it work plzzzz 
Every indicator could be a “trigger indicator”, more important problem is how you will use it.
3 Likes
The probability of getting the trade direction and timing right is actually reduced by the use of a technical indicator to generate entry signals. The situation is compounded if the obverse of the same technical indicator signal is also used at the other end of the trade to generate the exit signal.
The indicator therefore increases risk, whereas they are sold to us as risk reduction because they are ostensibly going to take out the human element of subjective judgement. Its a dream solution, but that’s all it is, a dream solution.
You are having a hard time today by our fellow posters, who mean well and are asking the right questions. However, I’ve short cut what I use - and all must be in accord to reach a positive probability of a successful trade.
MACD 3-10-16 histogram bars provides entry signal and strength of trend.
RSI 10 line above 50 shows buy momentum and below sell.
PSAR 0.09 - 0.50 bubbles show price direction changes very accurately, and very useful for showing previous support and resistance zones on my charts, even if limited in numbers.
Focus on T/P in a trend where the price is likely to reach, and where losing traders close their trade or get stopped out, using ATR 10 as a points movement per chart time. Then place P/L accordingly with enough breathing space to resist a smal retracement on the way to success.
This, with my Ichimoku 8-22-44 Three Time frames (Daily, 4Hr 1 hr) with the same trend like ducks in a row provides me with more wins 55% than losses.
Best of luck.
3 Likes
Actually if you check the moving average TMA there is an indicator that, when you put in your risk tolerance it plots entries, s/l, TP whether the entry is a short/long. It actually plots the chart on trading view and updates with price. I think it’s called “the arty.” Then go to ulyoutibe and put in the arty to learn how to use it. Very useful in general. But you need to make a determination as to whether your targets are achievable and adjust your risk to reward ratios per asset. Probably err on the side of securing 85% of the targeted move. To get any more you will have to manage it manually/a la carte. Higher time frames help with the accessibility and reduces the need for you to monitor the charts as much. Of course this is all relative based on your strategy. Hope this helps.
1 Like
My two cents. Personally, I couldn’t say that the RSI itself gives a signal, nor does the MACD or any other oscillator. My mentor taught me to look at the RSI as a confirmation (or not) of a trigger, but of course firstly you must have a trigger (whatever you use as a trigger), then you can look for confirmation with RSI. So, RSI itself is not a trigger: I’d better say that it can help you decide if the trigger you find on the chart is good or not.
I cant agree with that, a lot of indicators (actually all that i know) can only be used for confirmation (if you don’t wanna lose)
if you say so 