In the forex world, we are currently living in a time wen trader are getting constantly bombarded with new indicator-driven trading systems. It’s hard to fall into the trap. But for those that have gotten tired of all the hoopla, these traders have to be curious if they can become rich by trading without indicators?

Well, to answer that question, all you have to do is look at the history of the most successful traders of all time.

Look at famous traders like Jesse Livermore. Livermore became a multi millionaire trading the stock market at the turn of the century. He was just be at the market floor trading shares just based on price action.

Not to bad for somebody who didn’t even use a simple chart to help him trade. The only thing that mattered to Livermore was what the other floor traders were doing doing to the price of the stocks, and made his trading decisions based on that.

If a trader at the beginning of the 2th century can become rich trading without any indicators, or even a chart, what excuse do you have?

If you think about it, is there any other way for you to truly understand what the market is doing besides trading just the price action. Think of all the indicators most people plaster all over the charts. Can you really explain what 3 moving averages crossing each other actually means? The truth is nobody can. It’s the same case for any of these popular indicators. They may know the rules of how to trade them, but they don’t have a clue what it actually means.

When you clear out your charts of these indicators, you finally get a chance to understand the underlying reasons why the market moves the way it does. You finally get to see it as a form of energy and as a living, breathing thing.

Once you see the market this way, its very hard to go back to moving averages.

Tags: currency trading
Filed under: currency trading