Can forex be traded with only few technical indicators?

I just need to know that can forex be traded with only 3 or 4 indicators like in London session can we trade GBP/USD with only rsi, bb & cci ?

Forex can be traded with NO indicators, wow just think about that for a minute.

Do a search for Support and Resistance and feel the free, fresh wind in your hair.

You do not need indicators. You don't even need charts. Trading started before charts were invented.

What you need is to stop believing the trading "myths".

I agree

Price is the best indicator...

Support and resistance IS an indicator.


To the original poster: I trade with just 2 technical indicators nothing else.

I use 1 (one).

Quoting magnumfreak

Disliked

Support and resistance IS an indicator.

Ignored

Agreed. So is PAST price.

Quoting MaLiBoO

Disliked

I agree

Ignored

This is naught but a cliché. All indicators are simply a creation by and alternative interpretation of price. It is like suggesting that "simple" is the best word because it was the first listed in the Merriam, where "plain", "uncomplicated", "straightforward" and so forth are inferior synonyms. In reality, you could take all the bars 1.3xxx prices away from me in terms of seeing them on a chart and give me just an indicator and its listed value and I could over a period of time recreate the trades I make.

Having said that, why make things complicated?

Couple words about using multiple indicators. If you put an RSI on your chart half of the time it crosses a line here or there or somewhere else it will go in "your" direction.

If you put a BB on half of the time price extends to a certain point or hits a certain point it will return or do whatever you anticipate half of the time.

If you use a CCI, again, half of the time it will do what you think it will.

With all of these... chances are likely you dont win half of the trades due to spread and emotional complications.

So, how does one improve the odds of these working in your favor? Well, it isn't using them together. What occurs is they "confirm" each other only in terms of statistical probability that X out of Y times they will all say the same direction... that is all. Individually they are still at their same 40 - 60% range, just now they overlap and all say go short or go long.

This isn't to discourage use of indicators. I use an MA (singular). I would make similar, but probably not exact trades if I didn't use it just looking at bars. If using just RSI... I would figure it out then too. But one does not need any indicators at all, they do not actually do anything to predict price, nor does price itself, (making that cliché "price is the best indicator" quite odd). Indicators just offer you a new way of reading the market, in my case, giving SL and TP points in a less chaotic way.

Why make the reading of the market more complicated than it has to be? I am sure just using an RSI alone will give you plenty of opportunity. Or, use another indicator you are more comfortable with. Key is to be realistic in your assessment of the markets. Look back at a trend and understand where you would get in, where you would have gotten out and why.

Then... do it. After that... do it again.

The point I was making is that for most of us starting out at the retail level we don't have the depth of knowledge to fully understand why the market works the way it does.

At least a basic understanding of S/R can show where price MAY be about to react. A new trader who simply relies on the turning of an indicator to guide his/her trading is missing another important part of the picture. RSI turning up/down at a major S/R point could be more significant than the same indi flipping over in the middle of nowhere.

Anywho, each to his own and let's hope the OP finds the answer somewhere.

yes it can be traded with pivot points and trendlines no other indicators required

actually u can just trade it with support and resistance levels and be highly profitable, pivots are really not needed and trendline can be a aid to blow accounts....

i agree with the S/R part and also agree tht trendlines can blow your account but positively or also double ur cap

i dont use any, i look at the chart and decide, i guess its 5 yrs watching eur-usd, it just works now

The _only_ thing that is predictive in forex is the Bollinger Bands. When they get narrow, something is going to happen, either a sharp move up or down, you don't know which until it happens, but when the bands are close ... GET READY. $4 trillion in volume creates a lot of pressure, and when that pressure gets held too long by folks staying on the sidelines, it must "spew" sooner or later and price moves when it spews. Check this theory out in history, it works, everytime. When the bands are a normal width, price bounces from the bottom to the top. If I were going to create a "one indicator" trading plan, it would be based on the Bollinger Bands. Since the market ranges much more than it trends, play the bounce off the top and bottom of the Bollinger Bands. Psychologically, it is very hard to so a sell when the price is at the top and a buy when price is at the bottom, and that is why 95% loose money when they try forex, they are buying when price is already high, and selling when price is already low. The best way to make money is ... drum roll ... cliche approaching ... buy low, sell high. Try it, it works unless there is a breakout, in which case you wait a while to let the market start ranging again (it will). To be safe, check the higher time frame trends (H1 / H4) and play the bounces on the lower time frame Bollinger Bands in the direction of the trend.

The data stream you get only has price, volume, and time. I am developing an indicator using price and volumes together to show market sentiment, follow the money so to speak. Working good so far.

Hahahahahaha....are you so sure?

I thought the only predictive thing in forex is that "sometimes you win, sometimes you loose; most of the time you got headache."