Traders around the world fought their way to day trade . The trading price of shares or price action trading as it is called is not in charge of the following indicators on a chart. What could be better? What works? What makes the most profit ? Let's compare the price action methods and the trading price of shares and reach a conclusion trading style comes first.
Price action as explained and teaches win Day Trade is a trading method where price action is used as the main tool to determine the risk and benefits in real time. In terms of on line day trading , price action is the movement of the price you see on the table , and nothing more. The price shown and depicted in the graph in real time can provide investors with everything you need .
All that is required is an understanding of the market, and a set of rules for interaction with the price action and the ability to identify the behavior of price action strategy . It seems pretty simple, right ? Well, not so fast.
There are indicators that focus on the price action for most, except those offered to share exclusive deals sites . This exception is a stretch , as the indicator of Atlas software on line is really a price action guide ; indicating what type of business to take (long or short ) if the price action confirms . For an indicator to be considered compatible with the price action , the indicator should :
- Operate and produce signals in real time and not after the fact.
- Be consistent with the price action as you go on the map
- Produce Whipsaw not contradictory signals operator -
- Indicators to look pretty and have many colors. The question is whether or not they actually
An indicator of price negotiations must first make a move up or down. Once this process is done the indicator is what happened and track point - line - bar - drawing on the map . The indicator is defined as the delay in providing information to an operator in the upward or downward movement in the market that has already occurred.
Indicators also have another big problem that merchants can not reach. The fit is good for the market to be exchanged ? What worked in the past is most likely not work in the future. If the indicator in question has been optimized with historical data , and then how the story relates to the potential performance when traded? This becomes the topic at hand .
For now , it seems the price action has the advantage with the comparisons . It's " Round 1" and ends with the following articles provide more information , but for now try to understand what each participant represents and what each brings to the table .
Price action trading :
- Free - a trader does not need any additional software. Candles, slashes, dots or any other symbol price will provide a lot of information for traders price action .
- It can be used in any market at any time, in any environment (E - Mini S & P , exchange , equities and other commodities, futures and currencies ) .
- It's quick - Price difference is not relevant , the old data will not obstruct the negotiation.
The negotiation on the basis of indicators:
- It's not free - most indicators are commercial in nature .
- Delays price - based on past data is unlikely to be helpful for the present and the future in a changing market. So the data can be instantly transferred to any distance , it will be an even result .
- Often produced in conflict and doubt when the signals and how to practice a profession .
- Compatibility depends on the programming of the indicator ; only certain markets and / or trading software can be supported.
- Easy to use and follow. Are required , nothing to think about signals and following obvious.
Although the action of the market prices may be free, it may take some time trader practice (and some losses ) to determine what works. The next logical step in preventing losses is an education of the day. Indicators are a dime a dozen and most are focused on monitoring the hearing.
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