Why do traders use so many indicators?

Draw 0. Target 199. RR 199. Probability now 99.9%.

@Jetrader..........
Now, why is this important. If you go back through the thread, you will see at least one Trader here who said that EURAUD was more than likely headed Short and that he thought it was better to be on the side of the market. He also said that, he would not be trading EURAUD because it offered no clear path to a trade.

Just wondering who said it was heading short. Would like to compare analysis.

Someone in this thread said that they would rather be on the "right side of the market" after giving their Short sided market analysis near price level 6125. The record is what the record is.

The real relevant part of all this is that the same individual said that they would not be trading EURAUD because it was aimless, essentially.

I'm merely showing the relevant connection between using Indicators to trade in what appears to be the "fog" of confusion of others. This proves that with the correct set of Indicators, one can see things that others don't see and cannot relate to. That's all this does. This is a single proof for: "Why do traders use so many indicators?"

I'll be doing many more such proofs in my live stream trading channel on YouTube, later. Those trades will be different than what you see here, but the point will be pretty much the same - using good Indicators (in my case a System of Indicators) works when you get to know them, their behavior and the language they speak about Market Behavior.

No prob's, thought you were ref to my post 99.. short would have been the last thing on my mind, but still have no interest to trade it.

No worries. Quality trades to you!

Whenever I decide to come here and post on FF, I always do so for the New Trader. I don't need to be here. I do it because I remember what it was like being a New Trader. The global online trading community was nowhere near as saturated with bullshit back then as it is today. So, I know that New Traders are having to wade through a ton of nonsense dressed up as actual Trading.

What I try to do when I come to FF every few years or so, is inspire the New Trade to start Thinking Outside The Box of Convention. I've said that a billion times over the years because that is one very good way to develop your own unique Edge in this business. Outside The Box.

When I see people trolling my threads, or trolling my posts, or making comments about a trading system they don't know anything about, I know that I'm dealing with a neophyte who has not yet learned the valuable lessons. Lesson 1 - is that there is ALWAYS more than one way to skin the cat. This means that as a New Trader, you should study conventional wisdom, but you should ALSO take the time to explore your own New Ideas about how to trade.

My advice to the New Trader is to stop listening to people who tell you that this does not work or that does not work - primarily because they have not studied all there is to study about the Financial Markets! Think about it. It is not rocket science. In order for somebody to tell you that this or that does not and cannot work, it would mean that they would have needed to exhaust all avenues of Research into that particular subject area. And, who the hell has done that! Nobody!!! Nobody on earth has done that, because my idea could be far different than your idea. And, there is no way in hell that you would know anything about my idea, must like there would be no way in hell that I could possibly know much about your brand new idea.

So, please all you New Traders out there. Do yourselves a favor and Get Outside The Box Of Convention and start LEARNING how to build your own Indicators and your own Trading Methods around them. This requires a commitment to Core Research of Raw Market Data and the development of a Creative Mindset. The rest of drive, motivation, ambition and relentless focus on problem solving. That's for the New Guys! You guys have a shit-load of crap and debris to wade through in the online trading community in order to locate the real nuggets. There was not nearly as much crap online back when I got my start.

I actually feel sorry for the New Guys given the load of horse shit they are now faced with online - especially on YouTube. Oh, my gawd! Some of the YouTube channels should be banned they are so misleading for New Traders. This is one of the reasons why I will be coming to YouTube with a live stream. Not Marketing Videos, but live trading. There will be no chat rooms to buy "for just $1." There will be no DVD "Training Course." There will be no "Grid Trading EA" to make you rich in 30 days. There will be no "How I traded $500 to a audited $5,000,000 in just 90 days." None of that shit will exist in my channel. Just everyday Trades. The Grind. The real business of Trading.

There, the New Trader will learn the reason WHY using quality designed Indicators may make sense for them. Indicators are not for everybody, because not everybody is willing to take the time to study the Mathematical Mechanics of the Indicators they use. That's the bottom line truth. If people understood what the Indicator was doing Mathematically and Mechanically, then they would be in a much better position to know how and when to use it and what its natural limitations look like. Every single Indicator has natural limitations and the New Trader who used them needs to understand what those limitations look like in the real market.

New Trades, you need to be in a positive uplifting psychological environment. You need to approach Trading in a completely different mindset than what's offered in most Trading Forums. You need to be exposed to real-time trading that pulls no punches and makes no excuses. You need to witness what a real Trader does on a routine daily basis. Motivation comes from the positive experience of witnessing what's possible and then carving out your own path for getting there.

We all need help along the way. Every successful Trader can look back and find a point in their career where they got some help from somewhere. That hep can take on many forms. My help to you, will be to show you precisely what I do, when I do it and how I do it - using the exact same Trading System you've seen here.

I am not a Swing Trader, normally. I did that here, simply because I can. I can Scalp, Day Trade, Swing Trade or do long range Position Trading. My production trading approach is the classic Day Trade. I have a normal work schedule that starts between 4am and 6am my time and I work until I have met the revenue goals for that day. The New Trader needs to know that there are no shortcuts. You take it one day at a time - the good with the bad - the wins with the losses - then you move on persistently and consistently.

Ok, that's it. It ain't impossible, New Traders. I know it looks that way much of the time. There is a different side to Trading called Consistency and that's a side that you need to witness with your own eyes. From there, you do what comes naturally to you. Develop your own approach. Increase your skill, knowledge and expertise. Over time, you will become expert at Retaining Capital. Capital retention is the first practical step in getting to the other side of Trading, where Growing Capital comes naturally for you.

To do that, you must first learn HOW to Mitigate Risk as best you can. It is not about making money at first. First, you have to learn how NOT to lose money on a routine basis. That's the first and most important step.

Anyways, enough lecture. I'll see you on YouTube!

Expect to commit a few years of your life doing this research work. It's simply hard work.

This means the trader has to do research about the natural limitations of each indicator when they are useful and when they are useless, and to use them correctly for which purpose they were built.

These are mentor(s) who helped us along the way covering the many aspects of trading. Without them it's impossible to be here today.

HOW to mitigate risk - it's always about how the trader mitigate risk for his trades rather than how many pips or $$$ the trader makes from his trades. If your trading philosophy is the latter(true for most retail traders) you are a gambler, the former is the foundation philosophy of a trader. Always focus on how much you can potentially lose from a trade instead of fantasize about how much you may profit.

Lastly, the larger the traders knowledge the lesser the gambling element, the lesser the knowledge the more the gamble.

Tip - the next time you look at members chart posted on forum, look at the content that's related to risk mitigation.(most of the time there's none)

Good post again JetTrader.

A few years at the very least before real competence sets in, William. At the very least. Competence first, then comes consistency. A great deal of this is also internal to the individual as well. Some people just don't have the internal fortitude to make it. Those who have a short attention span, or those who quit, or those who give up just before reaching the finish line - these are typically the Traders who lose faith, get frustrated and then blame somebody else for their lack of follow through. They will blame the broker, blame a family member, blame a friend, blame a partner, blame, blame, blame - never realizing that their success is a direct response to their ability to finish the job right.

If it happens, it is because the Trader made it happen. If it did not happen, it is because the Trader failed to make it happen. Show me somebody who is determined to never quit and I'll show you somebody who can be taught how to Trade with competence. Show me somebody who quits, gives up or fades and I'll show you somebody who will quit, give up and fade their Trades - exactly the same way. That kind of individual will rarely see the light of Competence as a Trader. But, the one who does not quite, does not give up and does not fade - has all the qualities they need. The only thing they need after that are proper Tools and the knowledge to know how to configure and use them. The rest is experience which will come in due time.

The one quality that guarantees long term failure as a Trader is penchant for quitting. Winners win not because they are the brightest in the room, but because they never quit. There is no such thing as a winner who quits. New Traders can learn a lot from old Traders who quit. The lesson is: Persist. No matter what, simply Persist.

That was one lesson that I was fortunate to learn very early on in my trading career. Without persistence it is very difficult to become a successful Trader long term. It is certainly highly improbable to say the least without persistence and follow through until the breakthrough happens.

I used think that anyone could learn to trade successfully. I don't anymore. I honestly believe that you either have to be born for this, or you have to be willing to be remade for this - reshaped into the image of a Trader. I mean literally and physically reshaping and reprogramming the Brain for Trading. That will enable the creative nature to come out which leads to the development of the Edge. Then one can start working on Consistency.

You are right - this ain't easy. But, one can make it a lot easier with determination, hard work and a never quit attitude. One can take a break, that's fine. But, don't ever quit. That's just unacceptable and very Un-Trader-like. All quitting gets you is bitter memories of "almost" and "not quite."

The Trader needs to be fierce and unrelenting in their desire to want to succeed. The Trader has to want to succeed as bad as they want to breathe air. The Trader cannot be mentally and emotionally challenged (weak) and expect to succeed long term. The Trader has to be strong in their conviction that they can get the job of reaching Competence done right. Else, the individual needs to get out of the business and go do something else that inspires.

Love this business to get good at it or leave it alone. That's always been my motto and counsel. Get competent or die trying. I just don't see a different attitude or demeanor that will work long term. The Trader must will themselves to succeed and accept nothing less in return. Once the individual sincerely crosses that line in their Mind, Heart and Gut, that's the moment they become a Trader.

One becomes the Trader (inwardly(, before they become the Trader (outwardly).

Be the Trader. Not that other guy who quits. Fuck quitting. Excuse my French, but I'm just trying to keep it real.

Update:



Draw 0. Unrealized +50. Target 199. RR 199. Probability 99.9%.

First significant level of resistance to this trade looks like it will be 6265. Second level of significant resistance looks like 6346. Third level of significant resistance appears to be 6394. Closest System based target shows as 6295. Most extended System target shows as 6343. All of these levels produce a Density Target of: 6328. That's revised down from 6364, but I've got plenty of time to adjust it later. I'll wait to see of the System revises upward beyond 6328 later this week before making a final decision about target adjustments.

If the System begins generating persistent early stage reversal bias, that would be enough for me to manually terminate the trade immediately and take whatever the market has given at that point. However, I don't see any early stage reversal bias or warnings coming from the System at this stage.

As I said three days ago, the structure of this trade was very good from the start. Right now, three days later, the System shows that structure to be intact so far. The only thing stopping this now is a Black Swan.

This will have some rotation to the downside in about 5 pips from here, by the way. So, expect more turbulence from the perspective of a Long Swing Trade. Wise Scalpers should be able to have some fun with this on a contrarian basis, but I'd very careful doing Short sided scalps at this early stage.

It is hard to believe that this kind of stuff is true, but it is:



That was Retail Traders getting it dead wrong again. I don't know what's wrong with these people, but the kind of trading they do is really insane. But, hey - it keeps the liquidity flowing, so I won't complain too much.

New Trader Lesson: If you don't yet know how to use or have not yet been properly introduced to FX Market Sentiment, it would be very beneficial to you to study it.

everyone can access here, lots of information


free registration by mail
you already have everything, even order book

I think using many indicators is a necessary phase for any trader. Some ditch them completely after some time, while some keep the best ones around and build their own system using these indicators.

How about a trade explorer showing that growth buddy! I might be interested in buying your stuff

I glanced at that on their website last night. Interesting "Indicator." Thanks for posting, Kette.

Sorry, I don't sell and I have no incentive or reason to do a T&E. Though they are cute. They can also be faked. How do you know I am not an employee of FF, or one of the many Bucket Shops that FF is used to market the services of a Bucket Shop.

I am working on getting a YouTube live stream channel set-up. You are more than welcome to visit that live stream once its ready to go. You can then follow live trades in real-time without filtering.

I have a thread the Moderators here at FF tossed in the "Trade Journal" section alerting the live streaming to come. The Mods apparently did not want that thread in the Trade Discussion section of the forum.

IMO, there should be a Live Streaming section of the Forum, for those Traders who truly have nothing to hide and nothing to sell. I'll keep people posted as to my progress in setting it up in that thread (not here).

Update:



Right on cue, the market now sequences itself to merging with the topside of the H4 GMMA structure. It merged with the bottom of the H4 GMMA structure to initiate the Market Phase transition and now merges from the top of that same structure to finalize it. In-line with H4 GMMA transitional activity, the market now returns to the weekly RPD POC, or area of W1 rotation.

Panel has rotated downward reflecting the pullback and showing more red. One particularly interesting note goes back to my previous comments about H4 above. The H4 GMMA Density Magnitude (D-Mag) is now Short 46%. Recall, that was once Short 100% and its Slope was once all Neg-. Now, its Slope is rotating to the Pos+ side. Also, note the H4 GMMA Stack Height has now begun its Compression Phase. It was in the mid 40s and is now down to 22. For the H4 Time Frame, Stack Height compression down into the 20s or below 15 is indicative of a larger move looming on the horizon. Backing all this up is the D1 Time Frame GMMA which also has upside rotational characteristics (though it moves much slower than the H4).

Still a comfortable place to be in this trade as the controlling H4 Time Frame does its thing.

Trade saw a unrealized +61 pips (MFE), unrealized -72 pips (MAE). Current sits at Draw -22. Target 199. RR 9. Probability now 88.9.

Different RPD Profile View:



This is the same trade just showing the current Weekly RPD Profile View. It shows that the POC in the current W1 profile is pretty much in alignment with many of the lower time frames. That's also indicative of a region of support very near the center of mass of the H4 GMMA. TCDi7 and DistinctVega also confirm in their dynamic Pi values that continuance to the downside is becoming less influential over time. Notice also the TripleStoch Signal output. Many of the smaller time frames showing activity in lower levels (near or below 20). This is indicative of TripleStoch staging (preparing) a new "event" to the upside.

So, essentially, as stated previously, H4 remains the dominant Time Frame for now and it is rotating upside.

And, finally, the developing H4 storyboard:



So, again, the theme here is lower time frames with rising RPD Profile structures. This is the RPD Profile in Multi-Profile mode showing an H4 Profile for each structure seen. Notice how it synchronizes with the GH4 GMMA structure fairly nicely.

By the way, if you were a Short scalper from that 5 pip warning I gave last night - then congratulations! You did very well. However, just like I said last night, I'd be keen on taking profits on those Short scalps from last night before the market returns to the top of this current H4 RPD Profile. The VAH on the current H4 RPD Profile you see (last profile on the right of the chart) is now 72 pips away from current price and the market now sits near the bottom of that profile - indicating it is getting close to time for getting Long again.

the consolidation is not over

that was my trade

there was nothing more in it, in terms of purchase volume