What are the best 3 indicators?

[bearprofits]

We hear the news "always" after the fact.....like an indicator....... the best positions are made before the news breaks,...... the news only drives price to it's target.

It is usually already figured or discounted into price

just a poor bear's thoughts.

[TRADE]

Originally Posted by bearprofits

We hear the news "always" after the fact.....like an indicator....... the best positions are made before the news breaks,...... the news only drives price to it's target.

It is usually already figured or discounted into price

just a poor bear's thoughts.

part of what you are saying is correct, but i personally wouldnt recommend having an open position just before a major news announcement, you may have determined the correct direction but still get stopped from volatility.

my 3 favourite indicators which i couldn't do without are:

Price, support & resistance zones and 'time', volume is another but its accuracy to the fx market is a different story.

[TRADE]

Originally Posted by foamgod

I can't imagine myself without indicators -- imagine looking at a graph just as it. One would be more than half-blind!

For me, I will read the news after I have scanned the charts and initiated positions where applicable. News are... entertainment for me.

trading naked (no indicators) is the way forward, it allows you to focus on the 3 indicators which i have mentioned above.

in my opinion indicators make you lazy and limit your thinking, i found that when my charts where full of indicators i spent most of my time observing and fixated on these thus restricting my thought process to these rigid mathematical formulas derived from a dynamic market.

getting ride of everything was the best thing i did to improve my trading, all you will see now is a few lines and maybe a moving average.

trading is simple, yes but you still have to think as opposed to waiting for indicators to fire (probably all at the same time signaling what the other is doing in its own respective language).

ultimately choose the indicators which best suits your style and method

kind regards

[Trader01]

Originally Posted by CajunFX

Hello All,


If you could only use 3 indicators, what 3 would you use and why?


CajunFX

Ground zero: My bank balance.

First choice: Price, Support/Resistance & Trendlines.

Second choice: Which way is the herd going?

Third choice: Macd, Rsi & Adx.

[Pipmaster]

Originally Posted by Trader01

Ground zero: My bank balance.

First choice: Price, Support/Resistance & Trendlines.

Second choice: Which way is the herd going?

Third choice: Macd, Rsi & Adx.

What is so important about which why the herd is going ?

[ash71]

Support and resistance is the key. I also use Fib retracements to locate pivot points and areas of support/resistance. I like slow stochastics and RSI as a third confirmation of overbough/oversold levels. Also, time is elemental around the levels of S/R. Relying on indicators as primary signal generators is unwise, but they can act as confirmation tools.

[Pipmaster]

IMO price action is the most important along with trend lines ... Indicators are useless in FX .... KISS KISS KISS

[Trader01]

Originally Posted by Pipmaster

What is so important about which way the herd is going ?

Because I don't want to be associated with them! They are strictly for one's dining pleasure.


On a more serious note:


You've stumbled into possibly the best, the baddest, the most artistic Indicator of them ALL. But it takes skill, judgement & patience to use it wisely and therefore, profitably. There is nothing automatic about it. It is also known by its more common name, Sentiment!


At important turns the herd is almost always wrong.

The louder and more vociferous their certainty, the more your profits will exponentialize by doing the opposite.

In Forex where can the habits of the herd be observed?

There is one excellent place to observe them grazing unmolested and untrammeled in their frenetic haste to lose money -- ????

But an alternative dwelling is right here at MoneyTec; just go to the real-time forum, pick your instrument (Eur/Usd or whichever) and do a quick calculation of the directional calls. What you're looking for is "where is the overwhelming majority going and how emotional are they in their exuberance?"

It takes work, observation, judgement & patience and above all, timing -- precisely the reasons why most will not take the time to get good at it.