There has to be tons of people out there, who are trying to find the best way to trade forex. Well, here is my old-school opinion on the subject: Stop paying extra money for all the bells and whistles.
I'm sure you know what I am talking about. I'm talking about those magical indicators that put "up" arrows and "down" arrows on charts, supposedly telling you when to buy and sell, as if they had any idea where the price was headed. I'm talking about not spending $500 on an automated forex system, that will supposedly make you a millionaire while you're out shopping for groceries.
Think Less Is More
From my perspective, (and I learned this the hard way) the best way to trade forex is to simply take the time to understand it. Trust me, I wish it was as simple as just pushing a button, and everything is done for you. But that's just not reality.
You want to learn how to trade, YOU have to do it. This means wiping clean of every single indicator that's on your charts, and learning how to trade just based on market movement. There is no indicator in the world that can give you as much information than a simple bar chart.
The "Bare Bones" Way Of Trading
I know what some of you maybe saying" "But I need my indicators!?!?!" No you don't. I felt the same exact way when I first started trading. But later on, it just dawned on me that this wasn't helping me in any way. I was just using these indicators as a crutch, even though I could already walk.
Think about how long, technical traders have been successful in the markets without using any kind of indicators. The used pure and simple price action. The concept is as old as the stock market itself, and the amazing thing, is that its more relevant today, than it ever was.
Learn What Real Support And Resistance Area
To give you an example of what I'm talking about, have you ever seen those generic S&R indicators that people put on there charts? They are just basically a formula that's supposedly works during all market conditions.
Folks, that's just not how support and resistance works. Support and resistance is completely dependent on market conditions. Depending on whether it is ranging market or a trending market, support and resistance will vary greatly. A formula just isn't going to cut it.
Think old-school and learn the best way to trade forex without all the fancy bells and whistles.
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