People have been trading since the very beginning this way. You do not need ten indicators for a simple Forex strategy no indicators required. You can easily analyze your charts, or even chart web sites to decipher what is happening in the market with this method.
This method contains a few main points:
- Highs in the market are agreement between buyers and sellers
- This is the same for the lows: agreement between buyers and sellers
- Price action is king in the market.
- Find a pattern of higher highs and higher lows
- Or find a pattern of lower lows and lower highs
- Wait for re tests in the market for entries
Why doesn’t every person teach this simple Forex strategy no indicators required?
Most real traders know of this method, but they can’t make any money off of teaching you how to use highs and lows. They skip teaching you this simple Forex method because they don’t really care about your bottom line. I want to show you this because, as a trader, you need to know all of the tools to be successful. If you can trade with this method, then adding on a few key indicators can massively improve your trading. I believe that you need to know the basic strategies like this before you should start to use indicators used by professionals.
How this strategy works?
The highs and lows method is based off of one key principal. Agreement between buyers and sellers. When the market pushes to a new high, that is significant. The same goes for when the market is pushed to a new low. These points are agreements between buyers and sellers that the market is of a max/min value at this point. At these levels, enough traders came into the market to reverse the trading direction. You can take advantage of these points as significant levels of resistance or support to base your trades.
When to enter a trade?
You wait for the market to approach the levels. There is no room for panic buying/selling when the market is rocketing in one direction. We wait for the market to approach previous levels, and then buy/sell once it bounces off of resistance or support. While this method is incredibly simple, it works extremely well in any market with good volume.
Why only markets with good volume?
Volume is key in this strategy because we need to have as many data points as possible. If you are trading a market that is extremely thin, it can jump through, and around levels of resistance and support. We are counting on traders coming into the market to hold these areas.
How to add to this simple Forex strategy no indicators method?
I focus on giving you ways to trade without indicators, and simply analyzing your charts. Here is a video that can help you by showing you when to expect large spikes in the market.
Bruce Banks