Why Simple is better in trading and Complex is not | Page 11 | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Trading is this Simple? Finally Explained simple and clearly! 46 replies

Better momentum and better Sine wave indicator 0 replies

Why both too simple & too complex methods fail? 0 replies

Designing of algorithms and creation of complex indicators and advisers for MT4 0 replies

Overly Complex Coding and Trading Systems. 32 replies

Attachments: Why Simple is better in trading and Complex is not
Exit Attachments

Why Simple is better in trading and Complex is not

  • #201
  • Nov 23, 2013 12:22pm Nov 23, 2013 12:22pm
Quoting TEB63
{quote} lol well I would say they do indicate things - I see many pro trades have them on there charts. and just to have some fun I would say candles are tools right - they show hi low open close I do not use any tools when I am trading other then candles. but I have in the past and I did ok I see you use candles - you have a 50MA on your charts so you use two tools lol
the 50ema is the only thing I use, even then it's just there as a guide if I used oscillators or moving averages to make my entrys, ignoring the way I trade now by using the opening price of certain candles, I wouldn't be able to sell as high or buy as low as I do
  • #202
  • Nov 23, 2013 12:26pm Nov 23, 2013 12:26pm
I think for especially newbies indicators can help in their decision making process. I started with over lapping indicators to help me with trend, momentum, cycle, support and resistance. As a matter of fact I used so many indicators that I had them setup in templates. Today I use 4 indicators and not really cause I need them but they confirm the parts that I consider a high probability trade. IMHO I think you should use as many or little that you need to make a good decision. I hope newbies will take from this thread that there is more than one way to trade and that nothing works 100% of the time
Nobody ever went broke closing a trade in profit
  • #203
  • Nov 23, 2013 12:34pm Nov 23, 2013 12:34pm
Quoting gp00053
I think for especially newbies indicators can help in their decision making process. I started with over lapping indicators to help me with trend, momentum, cycle, support and resistance. As a matter of fact I used so many indicators that I had them setup in templates. Today I use 4 indicators and not really cause I need them but they confirm the parts that I consider a high probability trade. IMHO I think you should use as many or little that you need to make a good decision. I hope newbies will take from this thread that there is more than one...

I agree with you ... each one does his own thing
but one thing I will add
if you have too many tools its hard to trade as analysis of paralysis sets in

if you want a stoch and a ICC no real issue or a 50MA and a Macd no issues

cheers
  • #204
  • Nov 23, 2013 12:38pm Nov 23, 2013 12:38pm
Quoting GDR3k
{quote} the 50ema is the only thing I use, even then it's just there as a guide if I used oscillators or moving averages to make my entrys, ignoring the way I trade now by using the opening price of certain candles, I wouldn't be able to sell as high or buy as low as I do
maybe - maybe not
But S/D is great but not as good as it is in real markets like futures or stock
- we get a lot of Spikes"


I like hard stops rather then fast entries. but again to each his own

I am really enjoying hearing what everyone does

THANKS YOU ALL !!!!
  • #205
  • Nov 23, 2013 12:56pm Nov 23, 2013 12:56pm
Quoting GDR3k
I've always said the candlesticks tell you everything you need to know, especially where the large orders are. Not when x crosses y or any of that {image}
So you use opening prices of doji, inside bars and pinbars to set limit orders?
Build good relationships with others.
  • #206
  • Nov 23, 2013 1:00pm Nov 23, 2013 1:00pm
Quoting shellsnail
{quote} So you use opening prices of doji, inside bars and pinbars to set limit orders?
Yeah, a few pips above or below the opening price depending if it's a buy or sell usually does the trick.
  • #207
  • Nov 23, 2013 1:15pm Nov 23, 2013 1:15pm
Quoting GDR3k
{quote} Yeah, a few pips above or below the opening price depending if it's a buy or sell usually does the trick.

lol ... someone is going to get a hurting lol

The issue of what you do, you have to explain -
The candles are the trigger - and they are great ones I believe also !
But the trick is being able to find (fresh) zone of Supply and Demand to trade

Just putting on a trade with a pin bar is a dangerous thing unless you have a reason
is this what you would say or am I wrong?
  • #208
  • Nov 23, 2013 1:21pm Nov 23, 2013 1:21pm
Quoting TEB63
{quote} lol ... someone is going to get a hurting lol The issue of what you do, you have to explain - The candles are the trigger - and they are great one I believe also ! But the trick is being able to find (fresh) zone of Supply and Demand to trade just putting on a trade with a pin bar is a dangerous thing unless you have a reason am I right in this
The best way I can explain it is, as the market moves it leaves behind clues of where IF the market returns to that particular area, it will bounce away from, so for example, say we are looking at the 1 hour charts and there is a large bullish move, the market stalls and bearish spinner appears at the top of the bullish move, right after that bearish spinner the market continues with it's bullish move, so onwards and upwards, that bearish spinner is where IF the market returns to, it will most likely bounce away from.

See below, the current price action on GBPJPY, it's ready to rock and roll next week. Each one of those arrows provides a long opportunity with a r:r of 1:1, with the stop just under the particular candle. I shall be taking full advantage on going long if it pulls back to any of them
Attached Image (click to enlarge)
Click to Enlarge Name: bBxnn.png Size: 38 KB
  • #209
  • Nov 23, 2013 1:45pm Nov 23, 2013 1:45pm
Quoting GDR3k
{quote} The best way I can explain it is, as the market moves it leaves behind clues of where IF the market returns to that particular area, it will bounce away from, so for example, say we are looking at the 1 hour charts and there is a large bullish move, the market stalls and bearish spinner appears at the top of the bullish move, right after that bearish spinner the market continues with it's bullish move, so onwards and upwards, that bearish spinner is where IF the market returns to, it will most likely bounce away from. See below, the current...

I like It !!

you do only 1 to 1 RRR

what do you find is your win rate
  • #210
  • Nov 23, 2013 1:52pm Nov 23, 2013 1:52pm
Quoting TEB63
{quote} I like It !! you do only 1 to 1 RRR what do you find is your win rate
I don't always go for 1:1, I only do that if I'm scalping those areas, I tend to go for 1:2 or 1:3+.

Regarding win rate, according to myfxbook, I made 18 trades last week, 14 wins, 4 losses.
  • #211
  • Nov 23, 2013 1:52pm Nov 23, 2013 1:52pm
if you had done 1 to 4 RRR you would have made a lot of money
Attached Image (click to enlarge)
Click to Enlarge Name: 3 to 1.PNG Size: 64 KB
  • #212
  • Nov 23, 2013 1:53pm Nov 23, 2013 1:53pm
Quoting GDR3k
{quote} I don't always go for 1:1, I only do that if I'm scalping those areas, I tend to go for 1:2 or 1:3+. Regarding win rate, according to myfxbook, I made 18 trades last week, 14 wins, 4 losses.

good stuff!!
  • #213
  • Nov 23, 2013 1:56pm Nov 23, 2013 1:56pm
Quoting TEB63
if you had done 1 to 4 RRR you would have made a lot of money {image}
That one with the X by it, I would not have of gone long there, as that particular area had already been hit once already. But should the market drop to that area, it would be an ideal to scalp it @ 1:1.
  • #214
  • Nov 23, 2013 1:57pm Nov 23, 2013 1:57pm
I agree on the simplicity and on setting a protective stop loss, but I do not agree taking only trades with the trend and setting a target profit.

Only me..
Wherever you go, there you are.
  • #215
  • Nov 23, 2013 1:57pm Nov 23, 2013 1:57pm
Quoting GDR3k
{quote} That one with the X by it, I would not have of gone long there, as that particular area had already been hit once already.

the X was the Stop loss. ( I know you would not enter there )

from the 1st trade
  • #216
  • Nov 23, 2013 1:58pm Nov 23, 2013 1:58pm
Quoting milam
I agree on the simplicity and on setting a protective stop loss, but I do not agree taking only trades with the trend and setting a target profit. Only me..

ok what do you do ?
  • #217
  • Nov 23, 2013 2:02pm Nov 23, 2013 2:02pm
Quoting GDR3k
{quote} The best way I can explain it is, as the market moves it leaves behind clues of where IF the market returns to that particular area, it will bounce away from, {image}
I just couldn't help overlaying fibo on your chart... your turning points (blue lines) are the same as fibo levels.
If the PA climbs up and turns around at 165.7, it would be pretty uncanny....

Interesting stuff, no?
Attached Image (click to enlarge)
Click to Enlarge Name: gbpjpyh1.png Size: 82 KB
  • #218
  • Nov 23, 2013 2:04pm Nov 23, 2013 2:04pm
Quoting TEB63
{quote} ok what do you do ?
I am an advocate that all TA and FA is BS, things of the past, nowadays the mind has a great deal in making the difference…..

What do I do? I try to see where many go trapped….I will set my orders with my SL and get out by time…..
Wherever you go, there you are.
  • #219
  • Nov 23, 2013 2:06pm Nov 23, 2013 2:06pm
Quoting milam
{quote} I am an advocate that all TA and FA is BS, things of the past, nowadays the mind has a great deal in making the difference….. What do I do? I try to see where many go trapped….I will set my orders with my SL and get out by time…..
TA and FA mean?

how do you set your orders
  • #220
  • Nov 23, 2013 2:06pm Nov 23, 2013 2:06pm
Quoting Forexgogo
{quote} I just couldn't help overlaying fibo on your chart... your turning points (blue lines) are the same as fibo levels. If the PA climbs up and turn around at 165.7, it would be pretty uncanny.... Interesting stuff, no? {image}
Interesting indeed, will have to see how it plays out The turning points often line up with fib levels from what I've noticed.
0 traders viewing now