Various new traders are consistently seeking for some sort of trading edge. They appear high and low for it, but often come up with nothing. It really is astonishing to me how numerous traders do not even think about cost action. It really is only 1 of the most critical parts of technical analysis. So rather of searching for magical indicators, you just clear them out of the way.
Consider of indicators as needless translators of the marketplace. When the value of a currency moves up, down, or stays the very same, the indicator "translates" that movement into a supposedly accessible way to "read" the market. Basically, it is just shorthand for a trader to know when to invest in or sell.
So, you are essentially giving up your personal interpretational abilities for what your indicators are telling you. My question to you is rather of having to use this middle man (the indicators) why not just find out the language for yourself.
Pretend you had been going to a foreign country. Wouldn't it be improved to take the time to find out that language? Wouldn't you get more out of your vacation if you did? You don't have to walk around hoping to uncover somebody who speaks English.
This is the ideal analogy for indicators. It is just the lazier way of communicating with the market. Trust me, when you know the language of the market place, you recognize the industry.
You've got a decision to make. Are you going to become bilingual and learn the intricacies of the marketplace, or are you just going to let your indicators do all the work for you?