The ability to trade forex using price action

If you are really interested in learning about how to trade the forex markets, you're going to have a hard time doing so, by using all of those forex lagging indicators.

If anybody uses an MACD indicator on their chart, can they really claim to have a stronger understanding of the markets, by doing so?

I?m sure many of us understand the rules on how to trade the MACD, but does anybody know what the indicator means to the overall scheme of the markets? Probably not.

While these kind of indicators may seem like a fast way to learn the markets, the truth is you're not really learning anything about the market. You're just using an indicator as a translator. The translator is the indicator interpreting the market and reading it back to you. This may seem like a great thing, but it is doing you a great disservice.

You're the one that has to be the translator, though. The market shouldn't be interpreted by some indicator. For example, if you moved to a foreign country for a year, aren't you going to at least try to learn the language. Sure, you can probably find people to translate for you, but do you really think you're going to enjoy living there if you do that? Well, it's the same exact principle in forex, except the language is price action.

The first thing you need to do to learn this new language is get rid of all your indicators that you use to trade with. Don't leave a single one. You're only cheating yourself. Then, pick a currency and just watch it for the day.

Pessimists probably think that doing this will not lead to anything, but if you take the time to do this , you'll start to notice that price patterns can be repeated and forecasted. This is the real holy grail.

If you don't really think its possible to do this, then research the name Jesse Livermore. Livermore became rich in the early 20th century by just trading on the market floor. All he used was the price action from the other traders on the floor to base his trading decisions off of.

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Interested in finding out about price action? Then start finding out to trade forex without indicators.

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