"...trash the indicators...thats kinda like driving not having any gauges!"
Well, you can shift gears by "feel", and also use your eyes to look at the other cars and the road, right?
All of the indicators that I have seen are taken off the price anyway. Most of them only use the close and apply some equation to build a line. In mathematics, I am told that the indicator is then "homomorphic", meaning that is a similar form as the price, so why not just read the price bar, which actually gives you much more information, such as open/high/low/close, and the bars' relationship with each other.
The only indicators that I want to use are ones that can measure how strong a trend is. Most of the popular indicators are oscillators - they do well in a trading range, but they are ineffective in a trending market.
This is why I use only a moving average and the ADX. Otherwise, I just look at the bars and the swing charts and they tell the whole story.
Teresa |
