Low spreads forex trading
It seems pretty obvious that the more complicated we make trading, the harder it’s low spreads forex trading to be to make real money trading forex. For whatever the reason, people just don’t seem to listen. If all these “magical” indicators and robots worked, why are there so many people crashing their accounts? All these overpriced indicators provide absolutely NO insight to the market!
So, why are people spending their hard earned money on all this garbage? Most traders don’t really have a clue what’s going on in the market. They would much rather just fill their charts with indicators telling them when and how to trade. I don’t mean to come down hard on indicators. Truth be told that’s exactly what I used when I first started trading. To prove it, here is an old chart of mine. This is how I used to trade.
Needless to say, just like the majority of the people who trade forex, I did not have much luck with this. That’s when I started to think this through. Why am I trading something that I don’t understand? The indicators were doing the trading, NOT ME! I just went along for the ride.
Think about that for a second. I was basically just an inanimate object waiting for random lines to cross, telling me that I should open or close a trade. How in the world could I make money trading forex, if I don’t even understand what I am looking at? It was then that I decided to listen to what all the professional traders had to say on the subject. I noticed two words that came out of most of their mouths: PRICE ACTION! It was so obvious, I couldn’t believe it. Do you think that the most successful traders in the world are really worried about what a couple of Stochastic lines are doing?
The whole point is that they don’t need them or any other indicator for that matter. Their own eyes are their best indicator. If you don’t believe me, all you have to do is look at the history of the markets and how traders became successful. There were legendary floor traders at the beginning of the stock market who became millionaires just by following the movement of the price.
They didn’t even have charts, much less indicators! That’s when I dropped everything, completely cleared my charts of all indicators and began to look at my forex charts, as the purists call, naked. There was nothing blocking my view of the price. No Moving Averages, No Stochastics, No MACD, No RSI, NOTHING but a simple bar chart. I would love to tell you that the first day I did this, I instantly saw the holy grail and I was going to be rich by the end of the week. The truth is I didn’t see anything.
I didn’t have some great epiphany. But Rome wasn’t built in a day, so I kept on trying the next day, and the day after that to see if I “could figure” out the markets. By the end of a couple weeks, I began to see the market in a completely brand new light. It was like I could see the market’s energy. For the first time in my miserable trading life I could see the market as a living, breathing thing. It stunned me that throughout all these times I was looking at a chart, this was staring back at me the whole time and I couldn’t see it. All these pesky indicators were blocking my view.
From that day forward I was a completely different trader. No more indicators, No more trading robots, No more chat rooms, No more signal services, No more spending hundreds of dollars on useless software. After a couple of months of tweaking, just to get things perfectly right, I came up with my own price action method, I like to call “Trading in the Buff”. Most Importantly How To Make Money Trading Forex! I show you the exact pattern that we are looking for, and I show you a bunch of examples of how its worked in the past and WHY it works.
I let you know the actual reason why this pattern is so important to traders. I make sure you know which moves are the false ones and which moves are the real ones. After this chapter you’ll be able to spot the pattern over and over again. After the first 2 parts of the book, you’ll understand why. I show you what happens when support and resistance is broken and how it helps us determine and predict the future price of the currency pair. You always hear traders say “trade with the trend”. In this chapter I show you how this pattern tells us exactly where the trend is headed and how we can use it to our advantage.