looking for an intraday system

I'm a forex begginer. Im' just starting to build my trading plan.

I'm tryin to keep it as simple as possible for the beggining and try not to get caught clueless in the those huge amount of good and bad signals that many indicators give. Maybee later I'll build a more complex system. But the more I learn, I'm getting the idea that simplicity that works for YOU is the key.

For medium lasting positions I decided to trade simpy with 8, 20, 50 EMA and Parabolic SAR on H1 chart. Maybee I'll add one more indicator in the process.

I still haven't find a good intraday system. Bollinger seems a good choice but it's clear sqeezeing signals are rather rare. Maybee add another indicator with it? What system do you use for intraday? Are 1-5 min charts any good?

Thank you for any advice,

Roko

The first thing I think you should do is step back and ask yourself why am I using these indicators? Find out what they actually indicate and then you will understand how to build a system. I use one indicator for trending, one for momentum (it's not the momentum indicator), and one for breakouts. Complete understanding of what the indicators actually do is required before you can go forward and design a system.

Also, why do you want an intraday system? I don't know anyone who trades successfully off of the 1min charts. I am partial to longer timeframes, though; that's what I trade.

Best of luck,
andersenws

Thanks for your reply Andersen.

Well. I have read a couple of times how do actually main indicators work and how to use them. You're right, I haven't understood them 100% yet but it's mainly due to the fact that I haven't used them all enough times..
The problem in my head is, that there is quite a number of indicators (many are rather simmiliar) and it makes no sense to use all of them couse they would never give same signals. I think this is a bit more art then math. Am I wrong?

What to do? Use a big number of indicators for a long time and then learn which suits me best? Or try a couple of them in a reccomended combination. Get confident with them for the beggining, maybe making a profitable demo account ad a bonus. And, of course, test other indicators&systems along the way with the idea to incorporate them to maybee in your system. Kind of controled evolution.

When I opened a demo account 10 days ago, I just looked at the charts and sometimes used one combo of indicators sometimes another. It wasn't bad at all, but I was never sure about entering trade. I decided to make a more strict aproach.

Why intraday? I think that intraday trades are more sutiable for begginers&smaller accounts, less risk. Also I guess begginers have problems with psychology and long positions require a steady, experienced and selfconfident mind.

These are all my thinkings. I'm probably wrong at some things. That's why I'm here in the first place.

Hey, we all have to find what suits us. I like the longer timeframe because I like to be able to sit back and let the trade do its work. If I traded shorter timeframes, it would drive me nuts and I would probably spend every waking moment in front of the computer.

I would suggest picking two or three indicators and look through charts to try to find out what happens to price when the indicators do whatever they do. There are definitely patterns. I use RSI, Williams %R, and the good ole moving averages. I am especially interested in %R; I think there is a lot of potential in it.

Also, if you haven't yet, read up on some price action in James16's chart thread. It is one of the best threads on this forum, and it will get you back to the basics, like price action and pin bars.

Bottom line is: Find a timeframe you are comfortable with, have your money management in order, be self-disciplined, and most of all, keep it simple. If your indicators take up more space than the actual price, you are probably using too many.


Best of luck,
andersenws

Indicators are definately confusing when you are not familiar with them,
but they are also very important tools to use if you want to become a successful trader.
The key is.....and you said it already.....is to find what indicators suit you.
Start with the basics, learn about them, apply them and watch how they work and then move on to some other ones and do the same thing.
Too often beginner traders just don't want to take the time to learn how to properly trade, so they jump right in thinking they can duplicate what they've done in a demo account. That rarely happens......so be careful and understand that the more time you put into learning how to trade BEFORE you trade, the longer you'll be trading, as you will be less likely to lose your money as quickly!!!!!

Step away from 1 minute time frames, and probably the 5 mins too. For intraday trading, you can perfectly do it off 1H and 15mins charts. Research a little bit about the London Open Breakout strategy.

You might want to hit up the TEB systems and the Spudfyre threads. Also, James16 thread for price action.
And always go with the flow......Let it come to you.