Best trading indicators?

Discussion in 'Forex' started by Elison0, Nov 19, 2023.

  1. Elison0

    Elison0

    Which are the best indicators in technical analysis?
     
    murray t turtle likes this.
  2. tzachi

    tzachi

    Price
     
    ThaddeusFinch and KCalhoun like this.
  3. Price(s from other markets), then volume
     
    MarkBrown likes this.
  4. BKR88

    BKR88

    Every trader is going to have something that works for THEM.
    Will their method work for you? Maybe ...... maybe not.
    Many say indicators don't work but the best day-trader I've come across uses moving averages so are indicators useless? Not to him.
    Another successful day-trader I've seen uses moving averages + MACD.
    The "best" is whatever works for YOU.
     
    AlexYang and murray t turtle like this.
  5. heispark

    heispark

    PA and MA
     
  6. Handle123

    Handle123

    You watch charts and price long enough, you can pick up like a song, in beginning have dozen indicators, then rid them as not needed, same with chart patterns. You watch the price ladder, study it, call out prices and notice time between prices, support, resistance bounces. Eventually, can trade by someone calling price. Trading comes in all forms
     
    birdman, zghorner and MarkBrown like this.
  7. Sergio123

    Sergio123

    I like having a volatility indicator + a directional indicator + momentum indicator.

    Standard Deviation Channels or Keltner Channel or Bollinger Bands + MACD or ROC is fine.

    You can use them out of the box, or script modify them to tailor fit your trading style.
     
    Slope Trader likes this.
  8. padutrader

    padutrader

    what is an indicator?

    it is something which is a measuring tool.

    it measures by comparing something to some thing at different times.

    like a ruler to measure inches, but a experienced carpenter does not need a ruler; he can approximate inches with his eyes by using his judgment honed by experience.

    so it is with indicators.

    you can just use your eyes to estimate since you do not need exact measurements. approximate will do in trading.
     
    Last edited: Nov 19, 2023
  9. zghorner

    zghorner

    I know different things work for everyone...so just IMO:

    Moving averages: almost no predictive value. They do not tell you anything more about future movement than Price + trend/wedge/channel lines. SMA, EMA, HMA, etc. I could never find a way to derive even minor odds (let alone significant odds). Crossover Gap is extremely deceptive how it appears clear as day in hindsight but very wonky when live.

    Never got a lick of use out of MACD...Zero predictive value, very inconsistent signaling. Every time I saw any type of confirmation It was during very gentle trades and signals were displayed somewhere else more clearly (and consistently). Not to mention Often when live > humongous moves will go against you while MACD is steady chilling.

    RSI: pretty much same as above. no predictive value for continuation or reversal. looks great in hindsight, worthless live.

    ATR: maybe value for some systems but I like keltner channel better. Thought it had some ability to predict chop but not so so much when live...price shows it faster.

    VWAP: maybe some value with price behavior on touch/break. also standard deviation data may be useful.

    Volume: not really needed after you identify average liquidity times (for intraday)...which is Same conclusion I had with ATR. Thought I had some predictive edge with volume average behavior but nah not really.

    Fib retracement levels: I've known people who supposedly do really well with these combined with some simple patterns but its not for me. See: Pesavento
     
    murray t turtle likes this.
  10. Sergio123

    Sergio123

    They are called indicators not predicticators. They aren't advertised to predict.

    The only predicticator is inside your brain.

    They are tools to make decisions. For me, most trades are done between cash, shares, and options.
     
    Last edited: Nov 19, 2023
    #10     Nov 19, 2023
    murray t turtle likes this.