You can't talk about indicators without talking about the risk management that goes with it. I rely on one indicator even though I know it's only right about half the time. How to do this successfully? When I'm right I make about 1.6x then when I'm wrong. Pretty simple really.
Best trading book ever WINNER TAKE ALL William R Gallacher isbn: 0-7863-1191-6 Pure Technical Analysis traders rubbish this book, but they never get super rich. Find a trend with powerful fundamentals, and use technical analysis as a tool to get in a very long trend.
Good post overall but here in lies the fly in the ointment. These area's are constantly changing because value is nothing but perception. Your right, you don't NEED to know were the market is going to make $ but to use an analogy of sports, Tiger woods doesn't NEED to have the right club (he could probably beat me with a hockey stick) but it sure helps alot to have the right club in the right circumstance. Indicators don't fly the plane but they sure make it easier.
âTrading is just a probability game based on pattern recognitionâ If every potential trade is a probability game, the job for a trader/scalper is not forecast the future but to minimize risk using every available tool to find the best available scenario. jjrvat
Excellent It always amazes me that people want to work so hard when they don't have too. If we both need to hammer in a nail and you have a old fashioned hammer and I have one of those new air powered nail guns, who's the wiser? Let technology work for you and these days our business is getting better and better because of all the new tools
'They should be analyzing areas where those buyers and sellers do and dont want the product. Where's the demand? Where's the supply? Where isn't there going to be supply or where isn't there going to be demand? These factors all move price and velocity of price. ' This is what is known as SUPPORT AND RESISTANCE. Plain and simple
So you can read minds ? At any given moment in time this can change due to several factors that are completely outside of your awareness. History does repeat itself BUT it's always different each time.
Uncertainty is the key word here. Yes uncertainty. Thats why exits are extremely important. Probability is not prediction, probability is what could occur, and its measured on its likelyhood of occuring.