But also mark the start and end of an impulse! And the impulse is the gravy of Forex trading. Impulses are great because Forex trader reaches their profits and their take profit targets quickly without too much hassle and sideways chop. And because impulses are more easily identified and caught in trends than in ranges, Forex traders usually focus primarily on trading trends.

And that makes sense. Trends have many price action areas with impulses. That is why trading with the trend is so important to Forex traders. But in fact trading with the impulse is the real name of the games.

We can use chart patterns for various reasons: a To identify consolidation zones or corrective price action. b To predict future movements. c Most importantly to spot great Forex trading opportunities. Chart patterns help us with identifying corrective periods. That is why trading breakouts are such a great, if not the best, method for trading using no indicators.

There are tons of different chart patterns. Here is a list: a Bear flag: bear flag break is a high likelihood upside continuation trade. b Bull flag: bull flag break is a high likelihood upside continuation trade. c Contracting wedge: space is getting smaller between 2 trend lines, continuation trade in the same direction of the trend.

d Expanding Wedge: space is getting wider between 2 trend lines. e Descending Wedge: space is getting smaller between trendline and horizontal line, continuation trade to downside likely. f Ascending Wedge: space is getting smaller between trendline and horizontal line, continuation trade to upside likely. g Triangle: space is getting smaller between 2 trend lines, continuation trade in the same direction of the trend. h Pennant: space is getting smaller between 2 trend lines, continuation trade in the same direction of the trend.

i Head and shoulders: reversal pattern. The uptrend is weakening, a potential downside. j Inverse head and shoulders: reversal pattern.

The downtrend is weakening, potential upside. k Rectangles: continuation trade in the same direction of the trend is likely. l Flats, ranges, sideways zones: continuation trade in the same direction of the trend is likely.

As you can see, there are tons of them. You just need to learn the language 🙂 and you will see tons of opportunities. On any time frame. As you see in these charts, a Forex trader can accomplish a ton of analysis with just simple chart pattern recognition.

Simple as that. A triangle usually breaks in the same direction as the impulse prior to the triangle. So downside and then a triangle is usually followed by a continuation lower. Of course, it does take a trained eye to capitalize on them. That is why paper trading and backtesting will always remain vital elements for the trader. We must practice, practice, practice… and then practice even more.

A Forex tool that you definitely want at your disposal is the ability to capitalize on Forex chart patterns. They happen so often and so regularly that you really want to make sure you are well equipped for that.

In the Live Trading Room of Winners Edge Trading, we are always on the lookout for breakout trades! In our room, we do use a couple of indicators , like Fibs. And you will see how we are able to identify breakouts, and how we filter out bad setups. I am going to give you some homework!

Boys and girls, we must practice becoming excellent traders 🙂 Please take this exercise seriously. See it this way: if you take this small step, then you have just proven that you are willing to do the work needed to become a Forex trader. I look forward to your posts! Learn Our Best Trend Trading Strategy. We specialize in teaching traders of all skill levels how to trade stocks, options, forex, cryptocurrencies, commodities, and more.

Our mission is to address the lack of good information for market traders and to simplify trading education by giving readers a detailed plan with step-by-step rules to follow.

Good to see. I am big fan of naked of trading. I exclusively use trend channels and consolidation breakout with my strategy, along with major support or resistance which caused trend reversals in the past. Indicators are fine, but to be used effectively a trader really needs to understand the math behind it and how the indicator is made. If they don't, they may not understand what type of false signals, or false positives the indicator can give.

Therefore, using indicators can actually be more work! Once again, nothing against indicators, but being able to trade naked just off the charts is a skill I think every trader should develop 🙂. Hello Dave! Thank you for your comment! Much appreciated. I can imagine - many resources have been mentioned indeed. The Winners Edge Trading website just has a ton of great resources to learn from. Glad you liked that post and wish you success with all the reading 🙂 Please dont hesitate if you have any questions!

This step-by-step guide will show you an easy way to trade with the MACD indicator. Get the free guide by entering your email now! Please log in again. The login page will open in a new tab. After logging in you can close it and return to this page.

Trading With No Indicators - Naked Forex Trading by TradingStrategyGuides Last updated Nov 10, All Strategies , Forex Strategies , Indicator Strategies , Indicators 4 comments. Welcome Traders! I mean the charts. The Crucial Trick of Naked Forex Trading First of all, a question for YOU: do you use indicators?

The crucial trick is plain and simple price action and chart patterns. Forex trading is not an easy endeavor but it can be straightforward. You can even use other tools as well. How to Become a Trader To summarize a plan of action I recommend doing this: start to observe the price action.

Banks, market makers, brokers, algorithms and tens of thousands of self-taught hobby traders all boast the same tool kit. Instead of using indicators like moving averages and Bollinger bands, price action traders focus their attention on candlestick patterns and interpret different shapes and formations.

This is as real-time as it gets. Or is it? On most trading platforms probably all of them , the smallest time frame on a candlestick chart is 1-minute. Suppose you are trading a price action strategy, that means your observing data that can be up to seconds old.

There are a plethora of trading indicators that operate on real-time data and show very actionable information that can support the decisions made by a short term price action trader.

By having access to the order book of the market, your trading can give you valuable insight into the depth of the market. The order book shows resting limit orders from other participants and updates, and new limit orders are added and matched with market orders or other limit orders.

The formation of the DoM shows how the price is moving on a more granular level. This indicator even gives you a snapshot into the future. Unlike typical order books, our indicator includes a separate area where open positions are shown separately from pending orders. If you want to know more about how you can use an indicator to see into the future, check our Order book indicator for MT4.

A lot of traders use indicators and price action to try and predict what the market is going to do before it happens. What if you could know what other traders actually are doing? If you want to see what other traders are thinking right now, check out our Current ratio indicator for MT4. Knowing whether traders are long or short is one thing, but what if you could know how committed traders are? With this sentiment indicator, you can see how long and how short the market is and know the weight behind the sentiment.

Check out our Open interest MT4 indicator to see where your trading peers are putting their money. It is absolutely possible to trade Forex without technical analysis indicators successfully. How you interpret and apply the information from your trading platform is unique to you. Other people should not dictate their trading setups, and you should not listen to them. The objective is to pin down a system that works for you.

There is a large variety of price and sentiment indicators that can assist price action trading strategies and other methods focused on reading the current price behavior, not past prices.

One of the areas where we specialize is in consuming real-time data from various sources to build different indicators that can be plugged into your MT4 trading platform and effectively complement your Price Action trading strategy.

by TradingStrategyGuides Last updated Nov 10, All Strategies , Forex Strategies , Indicator Strategies , Indicators 4 comments. This means that the charts will have no indicators on them whatsoever! You can trade forex without indicators. We also have training for the ADX Indicator. No indicators? As in zero? Yes 0. We will show you how to trade with no indicators using naked forex trading.

Make sure to print out this article and be ready any time! We are sure you can find this simple forex trading strategy with no indicators. First of all, a question for YOU: do you use indicators? And if so which ones? And if not, tell us why? Please leave a note down below in the comment section!

Taking off the indicators and actually analyzing price action and chart patterns makes the trading process, Forex analysis, and Forex trading a lot simpler. Also, read The Benefits and Danger of Online Forex Trading. Mind you that some indicators do have added value. But, of course, only if you have sufficient experience with that particular tool.

What often happens to many newer traders is that they solely rely or try to rely on one or two indicators or two dozens of them. The problem with that is — in a way — the attitude: the hunt for the holy grail or the magic trade that will make all the correct decisions at the right time. Forget that utopia. NO, I am not saying that you cannot use any Fibs, YES, of course, you can. Fibs are great. As we discussed last week in the article named the Ultimate Fibonacci Trading Strategy. I would not want to trade without them.

But what I am saying is this: learn to read patterns and actually see the charts. Learn to read price action signals. If one focuses only on indicators, you will never see the obvious. Practice this art and you will see that Forex trading using no indicators works just as well.

Or you will at least be able to reduce it to the basics such as Fibs, divergence, and a moving average. Here is another article on the most used indicators in forex trading. Then look at the market. See its breath. Hear it talk. Feel it move.

When a trader looks long enough at the charts, they start to build up intuition. But if you look at the charts often enough, you will see the impulse in the market. You will start to see the energy and momentum in the charts. The best traders observe small little clues that seem meaningless to others but remind the chart watcher of imminent danger and opportunity. Or remind them of previous experiences that help aid the current analysis and decision-making process.

The best traders are in rhythm with the market. The market makes impulses, corrections, then again impulse, correction, impulse, correction, etc. On and on. This is the heartbeat of the market. So if this pattern is the basic mechanism of the market, why not capitalize on it? The answer is: yes we should! Forex trading using chart patterns and price action signals is tremendously powerful. There are a ton of links on price action at the Winners Edge Trading website so we will focus. Patterns are so great simply because they mark the start and end of a correction.

But also mark the start and end of an impulse! And the impulse is the gravy of Forex trading. Impulses are great because Forex trader reaches their profits and their take profit targets quickly without too much hassle and sideways chop. And because impulses are more easily identified and caught in trends than in ranges, Forex traders usually focus primarily on trading trends. And that makes sense. Trends have many price action areas with impulses. That is why trading with the trend is so important to Forex traders.

But in fact trading with the impulse is the real name of the games. We can use chart patterns for various reasons: a To identify consolidation zones or corrective price action. b To predict future movements. c Most importantly to spot great Forex trading opportunities. Chart patterns help us with identifying corrective periods. That is why trading breakouts are such a great, if not the best, method for trading using no indicators.

There are tons of different chart patterns. Here is a list: a Bear flag: bear flag break is a high likelihood upside continuation trade. b Bull flag: bull flag break is a high likelihood upside continuation trade.

c Contracting wedge: space is getting smaller between 2 trend lines, continuation trade in the same direction of the trend. d Expanding Wedge: space is getting wider between 2 trend lines. e Descending Wedge: space is getting smaller between trendline and horizontal line, continuation trade to downside likely. f Ascending Wedge: space is getting smaller between trendline and horizontal line, continuation trade to upside likely.

g Triangle: space is getting smaller between 2 trend lines, continuation trade in the same direction of the trend. h Pennant: space is getting smaller between 2 trend lines, continuation trade in the same direction of the trend.

i Head and shoulders: reversal pattern. The uptrend is weakening, a potential downside. j Inverse head and shoulders: reversal pattern. The downtrend is weakening, potential upside. k Rectangles: continuation trade in the same direction of the trend is likely. l Flats, ranges, sideways zones: continuation trade in the same direction of the trend is likely. As you can see, there are tons of them. You just need to learn the language 🙂 and you will see tons of opportunities. On any time frame.

As you see in these charts, a Forex trader can accomplish a ton of analysis with just simple chart pattern recognition. Simple as that. A triangle usually breaks in the same direction as the impulse prior to the triangle. So downside and then a triangle is usually followed by a continuation lower. Of course, it does take a trained eye to capitalize on them. That is why paper trading and backtesting will always remain vital elements for the trader. We must practice, practice, practice… and then practice even more.

A Forex tool that you definitely want at your disposal is the ability to capitalize on Forex chart patterns. They happen so often and so regularly that you really want to make sure you are well equipped for that. In the Live Trading Room of Winners Edge Trading, we are always on the lookout for breakout trades! In our room, we do use a couple of indicators , like Fibs.

And you will see how we are able to identify breakouts, and how we filter out bad setups. I am going to give you some homework! Boys and girls, we must practice becoming excellent traders 🙂 Please take this exercise seriously. See it this way: if you take this small step, then you have just proven that you are willing to do the work needed to become a Forex trader. I look forward to your posts! Learn Our Best Trend Trading Strategy. We specialize in teaching traders of all skill levels how to trade stocks, options, forex, cryptocurrencies, commodities, and more.

Our mission is to address the lack of good information for market traders and to simplify trading education by giving readers a detailed plan with step-by-step rules to follow.

In our room, we do use a couple of indicators , like Fibs. This trading strategy is known as price action trading and is applied to small timeframe intraday trading. Knowing whether traders are long or short is one thing, but what if you could know how committed traders are? May 10, at pm. c Most importantly to spot great Forex trading opportunities. Learn to read price action signals. This indicator even gives you a snapshot into the future.

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