People who want to make money or aiming to sell their ideas, like to make things look more difficult or complicated, than they actually are. It is for them to benefit by selling you their idea to make it look more complicated. So, please don't worry. But trading is not a complex thing. You can analyze them and divide them into simple logical steps, that you can follow easily. You can take each step, analyze again to make them better. This video explains you a forex strategy by dividing them into 4 steps.
- Create a system.
- Identify a trend.
- Identify momentum.
- Identify the volatility, support and resistance levels.
Either you can use no indicators or and add in one or more indicators. Let us assume, we have identified a downtrend. We take a short position. We want to follow steps 1 to 3. Until our exit condition is met, we want to be holding on to this short position. To exit this trade, we need to look at our technical indicators that signal an exit. So, we exit this trade, and go long and do the opposite. To progress, by looking at each step individually and ask ourselves the following questions.
- Is it possible to get a better trend indicator?
- Where can we find a better volatility indicator?
- Are the support and resistance levels identified correctly?
Trading is not at all complicated, but simple. You just need to think clever and break the complex ones into simpler steps. You can go through these steps and follow your system to trade successfully.