It's only reasonable that the majority of traders are looking for the best forex trading systems. But you need to think about that word "system". I think traders would be better off getting an education in forex instead of a "system".
The word system sounds very mechanical to me. The term instantly makes me think of a chart that is piled with one indicator on top of another, and the trader could only buy and sell when all the indicators are lined up. To give you an example, you could only sell when the MACD indicator shows bearish price divergence, moving averages cross each other downwardly, stochastics are overbought, etc.....
You need to ask yourself, "what in the world does this have to do with trading?" Everything is so random and arbitrary.
I suppose this is what bothers me the most about the concept of forex trading systems. It's kind of like shutting your brain off, and just follow the indicators blindly as if a robot was trading. You have to understand that the forex market cannot be looked in such a mechanical manner. If that was the case, everybody who traded the market would be rich. The only thing traders would have to do would be pull up a few generic indicators, and all of a sudden the money would start rolling in.
Obviously this is just not realistic, especially when you consider how many newbie traders approach the markets with that kind of mindset. You have to accept the fact that if you are going to trade the forex market, you have to use discretion.
The word system sounds very mechanical to me. The term instantly makes me think of a chart that is piled with one indicator on top of another, and the trader could only buy and sell when all the indicators are lined up. To give you an example, you could only sell when the MACD indicator shows bearish price divergence, moving averages cross each other downwardly, stochastics are overbought, etc.....
You need to ask yourself, "what in the world does this have to do with trading?" Everything is so random and arbitrary.
I suppose this is what bothers me the most about the concept of forex trading systems. It's kind of like shutting your brain off, and just follow the indicators blindly as if a robot was trading. You have to understand that the forex market cannot be looked in such a mechanical manner. If that was the case, everybody who traded the market would be rich. The only thing traders would have to do would be pull up a few generic indicators, and all of a sudden the money would start rolling in.
Obviously this is just not realistic, especially when you consider how many newbie traders approach the markets with that kind of mindset. You have to accept the fact that if you are going to trade the forex market, you have to use discretion.
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