Revealed: the best Forex indicator in the world?
Dear Trading Tips reader,
"Which is the best technical indicator I can use when trading Forex?"
This is a question, I get asked at least once a month!
There is a deluge of different technical indicators to choose from, which can help you towards your Forex trading success.
You get traders that recommend indicators like the Stochastic, The MACD, Bollinger Bands, the ADX, blah blah!
Don't worry about any of these jargon terms, because you don't need them to make money in the Forex market!
Many traders try to incorporate over three or four of the above indicators and try to develop the perfect strategy, and I have a HUGE problem with this!
Let me explain…
Amateur Forex traders are trying to find a sure-fire indicator that will always win!
Most Forex traders start-off by learning how to use these indicators.
But what they don’t do is take the necessary time to learn the meaning of each.
They all try to find that indicator which will bring them only winning trades with 100% success rate.
Well let me tell you this.
In a $5.3 trillion a day industry, I can promise you now, NO ONE can ever predict the market with exact certainty, especially with the Forex market.
Every “killer” indicator is history…
This is probably the most important factor you must consider, when you choose to develop a Forex strategy.
No matter what “killer” indicator you choose, they are all based on historical data.
I honestly cannot think of one indicator in this world that has any form of predictive qualities.
How on earth, can we ever predict where the EUR/USD will be going when millions of traders are buying and selling the currency pair at any one time?
Not only that, but there are countless economic, political and socio factors you have to consider, with any one currency pair.
Let’s say, that we had a miraculous computer that takes in every factor that causes the currency pair to move.
Well even with every factor and strip of data your computer has assimilated, it’s still based on historical data!
So if you can’t predict the Forex market with an indicator, what can you do to make money?
When I make any Forex trading decision, I solely depend on one thing…
Click here to find out what it is…
“Wisdom yields Wealth”
Note: 5 of 2 votes