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Soultrader

K.I.S.S. Keep It Simple Stupid!

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  sudha78 said:
trader273

 

Please tell me what are those two MA's and how you use them. I am a newbie here and I couldn't use MA's effectively.

 

 

Now I don't want to take away all the fun of finding things out for yourself!! I'm just joking around. I could tell you exactly what i use, how I use them, and we would both get different results. The thing is to just experiment for yourself ( that is what I did). But the trick is to find something that appeals to you and stick with it. Don't continuously change the length of the ma's to fit the current day's trading action.

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  Robert2617 said:
Being reletively new to trading and absolutely new to TradeStation, I have been on a hunt for the past 2 months for the best trade indicators that suit my planned style of trading. That being said, I now have a huge collection of TS indicators of all types and fashions with all types of bells and whistles.

 

The point that I would like to make is that after seeing with my own eyes, all these indicators in action, I have come to the conclusion that while some are pretty good, it appears to me that it is easy to confuse yourself with indecision by using too many at a time. You have this one saying "Buy", this one saying "Wait" and another saying "Sell".

 

And to top it all off, none of the indicators I have seen to date are more accurate than the good old MA's. To show what I mean I have attached an image from yesterday. On this picture I have PaintBars, 3 MA's, Auto Channel Lines, Auto Pivots, and a Swing HiLo indicator. To me, this is all you need (maybe a little too much for some) to get a clear picture of what the market is doing and what I need to do to make a good trade.

 

The plan is when red crosses white, make the trade. Blue is there to show the trend and keep you in or out in the bumpy times.

 

 

Robert : I personally like your chart... is there any chance you can share that "$NT swing hi & lo" indicator eld ? I would love to have it , it looks very clean... thanks cheers Walter.

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  Robert2617 said:
Sure...

 

You can get a whole slew of them at this site This is some free Tradestation software

 

Warning: Don't trust the "Cycle Identifier" indicator. The indications will change on you!

 

Thanks Robert ¡¡¡ they are quite a few ¡¡ question: in the case of this "swing hi lo" do they change on you or are they what you see... thanks Robert cheers Walter.

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I'm afraid it does change. It is only good to see the history, after the fact. The big dots don't appear until a few bars back. All it is good for is to help you see how the price has been moving. Maybe help you see a setup coming. I wouldn't use it for a trade signal.

 

So there is no confusion, I didn't create these. I only found them. In the video, the guy shows how he thinks they should be used and in what combinations to get signals.

 

I think these are Roy Kelly knock offs.

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Robert : Must admit it is a very nice indicators pack... not all indicators from this pack are that usefull, but I find pretty interesting the "OBV 2", the "trend Friend" and the "market trend 2" they are very nice indeed... I know this thread is about KISS.... I must admit on my experience and being an indicator trader. that if an indicator its correctly used and not considered 100% king it can help you KISS.... cheers Walter. and Robert thanks again for this collaboration...

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I think we could all benefit from KISS which i believe is rooted in a well established theroy "Occam's Razor".

 

Those unfamiliar with this concept it simply states that "when you have two competing theories which make exactly the same predictions, the one that is simpler is the better".

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There are so many strategies in forex that anyone gets confused which to leave and which to apply. As a beginner, simple forex strategy would be appropriate. Simple trading systems are good for beginners, but will not suit traders that are more experienced.

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  Jene said:
There are so many strategies in forex that anyone gets confused which to leave and which to apply. As a beginner, simple forex strategy would be appropriate. Simple trading systems are good for beginners, but will not suit traders that are more experienced.

 

Why would simple systems not suit more experienced traders? Most experienced traders I have talked with and know have very simple systems. I have found myself that the simpler I have made my method, the better it worked.

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Even if there was that one indicator that was right 95% of the time, their are people that would still try to use other indicators to try to improve that. It has been said that 70% of trading is mental. Most systems will make you money if you follow the rules and use good money management. I for one use to spend more time looking for and trying new indicators and systems than actually using them. I bounced and bounced. Wasted much time. :crap:.

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  Soultrader said:
The day my trading turned around was when I took all indicators off my charts. Now I trade with a candlestick chart only. No moving averages, no indicators, and no volume. I read volume through the tape and I use a market profile chart as well as market internals to trade.

 

Price action is king. But it takes hours and hours of staring at price to fully understand price action.

 

There the key to the kingdom was just given to any aspiring career traders. The above advice is exactly what I do and have done to make my living since 1996. I only wish that I could get back the wasted time, money and years of my life trying to find out what really works. I wish someone had told me the truth and saved me all the heartache. The information quoted above is golden.

 

I will tell you this also, in all of my years in trading for a living, I have never met a single soul who makes a living trading forex or options. They may be out there somewhere, just like lottery winners, two headed cats, and albino squirrels.

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  Anonymous said:
Keep It Simple Stupid.-- that is what it stands for. Not any particular system but a way of approaching the markets in general.

 

Most traders fail in real time processing of information and execution , hence the need for simple trading .

 

Is it really that simple?

 

Consider the trading rules that work: 1) follow the trend; 2) let your profits run; 3) cut your losses short; and 4) manage your money so you can stay in the game. If you design something around following those rules, you'll make a lot of money.

 

People also have a bias in that we tend to imagine that what we see or expect to see is typical of what can and will occur. Thus, if you observe a pattern in the market, you expect it to occur. If you develop some concept about the market, you will look for data to support that concept in the market-and you will probably find it whether it exists or not.

 

Add to those another bias called the conservatism bias. This means that once we find a pattern or causal relationship, we tend to ignore contradictory evidence no matter how pervasive it is. There are many more biases. Hopefully, you get the picture. We tend to create a reality that's much more complex than what really works-we try to add complexity rather than employ sound money management.

 

no links allowed

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