Question about RSI, Stochastic

HI
I am trading on a demo account with 30 minute duration. As a strict student of Babypip school, I am checking suitable strategy for me with demo account. So while trading in minutes can I use RSI, MACD and Stochastic in 30 duration?

I am asking because, one of my friends told to me that though we are dealing with 30 minute trade, we have to check RSI, Stochastic in minimum day duration as the values we get from 30 minute charts are not Valid for RSI and Stochastic.
Is it true?
please help me
Tarun

I am glad to hear you studied the babypips school, thats a great first step. But its just the first. Now you have 3 oscillators that you want to use, MACD RSI and stochastics. All of them roughly do the same thing, and will just cause you confusion. I suggest if you are going to stick to using an oscillator then just pick one, my personal favorite is CCI but again all oscillators do the same thing. Multiple time frame analysis is important and should be part of your overall trading plan. But what price tells you at the higher time frame vs the lower time frame depends on your objective. Are you a scalper or short term trader? Well then maybe the overall daily trend doesn’t mean as much as you can still make money off of the smaller intraday trends, though its always good to have an overall bias. So what are you trying to accomplish with your indicators and how will using multiple time analysis improve your system?? Once you answer that we can delve a bit deeper

I would personally I would stay away from indicators at the beginning, they have their place and can help you. But most newbies look for the holy grail indicator and it just causes more headaches than profits. I would suggest starting with straight up price action on a 1H chart, you can go higher or lower depending. But 1H is a good beginner benchmark starting point. Babypips school has a good section on basic candlesticks and there are a lot of threads here. Nakita’s pure price action for dummies springs to mind. Check those first. Once you can read price action properly then you can decide if you want to add an indicator. Remember price is the only indicator that does not lag, everything else does. I personally trade naked, and have steered completely away from them. But that’s up for you to decide, everyone has their own style.

Just wanted to add that the more important other half is focusing on the money management. There is no magical formula with rsi or macd :wink:

Hey everyone, regarding the Stochastic Oscillator I gotta say it works wonders when integrated with different methods.

All in all I gotta say the basis of any successful method or system is to understand price action and to perfect the art of reading price movements on different time frames and adding an indicator to back up your decision to enter/exit a trade or to add as a point of confluence.

I myself sometimes trade using stochs as an additional tool and it works fine.
But then again to determine entry points you need to know price direction etc.

Just putting my 2 cents in as a supporter of stochastics.

Mind you, its not absolutely necessary but can be added to give weight to you decision enter trades.

Yeah!

What is valid or not is not a question of anybodies opinion or hearsay, but an outcome of a proper test (forward or backward or both) of your trading system.

I can show you a lot of setups which work over some time and still they would lead to loss in the end. Only a reliable test of your system over hundreds of trades and hundreds of days will reveal if it has an edge or no edge and if your edge is sharp enough to outweight trading expenses.