Seriously, do forex systems have to be so complex?

This is the post that I've been wanting to write for a few weeks but haven't because I can't (and still can't) quite figure out the best way to phrase it. What I would like to ask is this:

Does forex trading really have to be complex?

Please note, I'm not saying does it have to be hard or challenging or anything else that implies having to think, but does it have to involve multiple timeframes and indicators based on some currencies but not others during certain days of the week or times of the day, etc, etc, etc?

Here's where I'm coming from: I've been trading US stocks and stock options for almost exactly 10 years. In that time, I looked at every system I could. There are some very very easy systems and some overly difficult complex systems. In my 10 years of trading I've learned that, for the most part, easy mechanical systems are the best. In stocks, we call them "screens" and they are amazing (I know a few 5 stock monthly screens that have been back-tested to '89 or longer that average 35% a year (ouch! I typed "month" in my original post! sorry!) with no losing years (my favorite of the bunch returned 144% from 2000-2002 when the S&P lost almost 37%). Anyone buying LEAPs on some of the better annual stock screens can even double those returns.

But I'm here at FF because I think I can get even better gains than with stocks and options. Or at least that's what all the late-night informercials tell me! But seriously, I'm excited about the world of forex but its so overwhelming because every system seems so complex. Is there some really really really simple system that can be used as a base? One that lets you make small gains (or causes small losses) while you learn about the more complex stuff that you can then use to build upon? After all, I started trading covered calls without knowing anything about the greeks. It was only after I started selling naked puts and setting up straddles that I (sorta) needed to know the advanced stuff about options.

Maybe there's some simple (maybe trend) system that traders don't use or talk about because they're simply not content averaging daily profits of half of 1% of their account equity? But I am, at least while I learn. And in case it matters, I love the idea of trend trading (aka momentum trading in the stock market - I have no use for the fundamentals).

If you have any thoughts on this at all, as I think there may be lots of other beginners with these questions, please post. I honestly appreciate it. Seriously.

TrunkMusic6

I believe the perfect system will be complex in concept and theory, but simple in design.

No, it doesn't have to be complex.

Exactly.

It's not at all about the simplicity or complexity of a system that makes a winner a winner in trading.It has more to do with a trader's attitude towards the market. Some will say the market is Irrational! Random! When seen from a winner's perspective one begins to understand that the "market does what the market does." It is neither Irrational or Random. It is nothing. Saying that, the market apart from it's ebb and flow, has a profound function. It is a Master educator in the sense that it explores and unveils the depth of the human psyche. By doing this it brings to the fore human weaknesses and strengths. Trading then is more about self-discovery.It through this process that we can rely on strengths and develop weaknesses into strengths. This one enduring fact is the "make or break" aspect of every trader.
Having full respect, and allowing the market to teach, and acting as a good and obedient student who from time to time will pay tuition fees (loses), enhances the real prospect that success is only around the corner.
You may or may not have heard:"give a poor trader the best system-they will fail, but give a poor system to a good trader - they will succeed."

4 hr chart - less whipsaws
2 ema cross - trend direction
Slow Stochastic - Momentum

To date was not able to find anything less complicated and its making me pips.

Seems that a lot of traders are outsmarting themselves. 10 indicators on a single chart makes me uncomfortable.

See this:

http://www.forex-tsd.com/94610-post1972.html

How can you honestly think that you can predict the future with a bunch of fancy overlays?

Personally the only TA I use is RSI for overbought and oversold. It keep me out of some trades. The rest of my trading philosophy is based on raw price action. I compare the size of one candle to the preceding ones to get an entry signal.

There are "expert" traders here that think everything is a geometric science. I suppose some people have success with that, but more often than not I read posts saying "I was humbled by the market again."

No they shouldnt be,...u can use pure MACD sys on any time frame, the same thing u get if u use 3 others in 1 chart PARs, stohastics and RSI...
only trading Pin bars might do better...if u dont get the sys, then its not good to trade it,...so i aint gona even try the eliot wawe, and others...maybe u can check the tread, usefull and educational links,...its very easy

Nice one and welcome

There's a old saying 'less is more'.

Since I moved to daily charts, read up on Jim's Price action and kept myself to one core indi, life has become much simpler.

I'm still evaluating and looking for small refinements to improve entries and, more importantly, exits so this might not be my Holy Grail, but at least I don't get the yips before deciding to hit the trade button.

With all the previous experience you have I assume you don't need lessons on Money Management, but I'm sure the experienced guys here will say keep a strict control on this while getting your head around FX.

Good trading

I agree to the point that I believe simple in design is better. But perfect? Perfect system? Perfect means different things to different people of course. Still, very nicely put.

How about 1 time chart with 1 indicator? That's got to be about as simple as anyone can get. Any reliable systems there? Anyone?

And how does the slow stochastic indicator work?

I agree with aiccia. Complex concept, simple in design.

I'm fortunate that I met a seasoned trader who taught me his technique. It's a simple 2 ema cross system applied in daily and weekly charts. He's been doing great for 20+ years just like that. Keep the system simple and let your winning/losing experience be a part of your filters.