Should a new trader use several methods? | Forex Factory

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Should a new trader use several methods?

  • #1
  • First Post: Jan 9, 2007 2:49pm Jan 9, 2007 2:49pm
Hello,

Fairly new trader here, still on demo and learning. My question is should I be studying several different methods of trading for different market types and time frames?

For example, I'm pretty sure that as I go along I will most likely stick to higher time frames 30" and above (I will however drop down to 1 and 5 minute just to watch and learn price action as in the James 16 thread).

But should I be learning different strategies for say, sideways markets such as Raghee Horner's "Wave", as well as other strategies and methods like Vegas, Mark Mcrae, 5/16/32, etc. Or, should a new trader just stick to one method on one time frame and market type only.

Any suggestions from you more experienced traders out there? How did you start out your learning? Did you stick to one method for one market type, or did you start to build the toolbox right away? Thnx.
  • #2
  • Jan 9, 2007 3:01pm Jan 9, 2007 3:01pm
hang out for a while and read as much as you can... then try to devople a system and give it a go on an acount where maybe ever pip is only 1cent


turbo
  • #3
  • Jan 9, 2007 3:04pm Jan 9, 2007 3:04pm
Despite being warned to the contrary, many beginning traders try to trade too many things at once. What eventually happens is that you chase so many trades that you end up missing the few that really matter. Trading multiple systems as a beginner is just as dangerous. Systems will conflict, one will eventually be right, you'll chase that only to find the other is now performing well. You'll start guessing and in the end, you won't know who to blame for what. You won't know what worked and what didn't and your records will be a mess.

I had a college professor who one told me that researchers learned more and more about less and less until they knew everything about nothing. Trading isn't much different. Narrow your focus and get good at something!
  • #4
  • Jan 9, 2007 3:09pm Jan 9, 2007 3:09pm
But on the other hand Phil, are you still dating your school sweetheart??
Ever alert for the call to action!!
  • #5
  • Jan 9, 2007 3:11pm Jan 9, 2007 3:11pm
Quoting LumoX
But on the other hand Phil, are you still dating your school sweetheart??
Umm, no...that didn't go so well. But, to continue your analogy, you should only date one at a time.
  • #6
  • Jan 9, 2007 3:13pm Jan 9, 2007 3:13pm
Quoting philmcgrew
Umm, no...that didn't go so well. But, to continue your analogy, you should only date one at a time.
LOL i have to agree w/ that other wise thing deff do get a little confusing... what the name your girlfriend oops i mean system....
  • #7
  • Jan 9, 2007 3:18pm Jan 9, 2007 3:18pm
Ever alert for the call to action!!
  • #8
  • Jan 9, 2007 3:18pm Jan 9, 2007 3:18pm
Thanks folks, that's great advice and appreciated.
  • #9
  • Jan 9, 2007 3:20pm Jan 9, 2007 3:20pm
Quoting turbokaos
LOL i have to agree w/ that other wise thing deff do get a little confusing... what the name your girlfriend oops i mean system....
I would give you my highschool sweetheart long before i would give you my system.
  • #10
  • Jan 9, 2007 3:24pm Jan 9, 2007 3:24pm
I guess she feels the same!
Ever alert for the call to action!!
  • #11
  • Jan 9, 2007 10:53pm Jan 9, 2007 10:53pm
Quoting grajo
Hello,

Fairly new trader here, still on demo and learning. My question is should I be studying several different methods of trading for different market types and time frames?

For example, I'm pretty sure that as I go along I will most likely stick to higher time frames 30" and above (I will however drop down to 1 and 5 minute just to watch and learn price action as in the James 16 thread).

But should I be learning different strategies for say, sideways markets such as Raghee Horner's "Wave", as well as other strategies and methods like Vegas, Mark Mcrae, 5/16/32, etc. Or, should a new trader just stick to one method on one time frame and market type only.

Any suggestions from you more experienced traders out there? How did you start out your learning? Did you stick to one method for one market type, or did you start to build the toolbox right away? Thnx.
Using a demo account, trade one system on a few currency pairs for a few weeks. If at this point you feel not satisfied, start looking for another system and compare the two. I ended up with 4 systems at one time before I found the one I liked and traded on a real account years ago.
  • #12
  • Jan 10, 2007 8:31pm Jan 10, 2007 8:31pm
Thanks WHTenn, also a good thought and strategy!
  • #13
  • Jan 10, 2007 9:04pm Jan 10, 2007 9:04pm
Quoting grajo
...should I be learning different strategies ...
Yes.

But not simultaneously.

How many Different systems would you guess are being used by Just FF Members alone on the same Market nevermind the rest of the planet?{which probably totals 2 dozen other Traders :} Do you think they would all generate Buy/Sell signals at the same time? Of course not.

STUDY one system {hopefully a decent one} until you understand it & why it generated a signal. Then move to another and do the same thing. And so on... and so on...

Before you know it, you will be defining Your Own System, and that, my friend, is the Grail.
  • #14
  • Feb 28, 2007 10:12am Feb 28, 2007 10:12am
Use just one GOOD system!But first,try many trading systems until you choose the right one for YOU.
  • #15
  • Feb 28, 2007 10:52am Feb 28, 2007 10:52am
try to learn 1 by 1.you will get confuse when you learn 2 system together.
Eg : When System 1 tell you to go Long but System 2 tell you to go Short.you will in dilemma
  • #16
  • Mar 29, 2007 2:14am Mar 29, 2007 2:14am
eg, buy, if set for future value below present value will be called limit order
and if set higher than present value will be called stop order,, if you decide to pick buy instread sell in one command, it will be called OCO (other cancel other)...........all of that is only do 1 thing,,, buy.

and so, like many system all over the place.

take the way , not the name.
  • #17
  • Last Post: Mar 29, 2007 3:26am Mar 29, 2007 3:26am
i've been trying to learn and develop new methods and ideas...The purpose is to reduce risks when some strategies are not doing well. For instance, a break out strategy may be profitable over the course of a few years, but may be not during some particular year when the volatility is low (e/u in 2002 for example)
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