I’ve had people ask me why I don’t trade the smart way, using price-action instead of indicators, like all the competent traders do.
The reason I don’t trade the smart way is because I’m not smart.
Duh!
Don’t get me wrong. I have a degree in physics. I spent 40 years writing programs for industrial automation, creating proprietary protocol stacks, and making factory robots more productive.
But price-action and I just do not get along.
Example: I think I spot a reversal pattern, like a bearish smoketastic fractal Fibosnatchi burndazzle barnstormer. But when I look further back, I see that previous areas of support instead suggest it’s a bullish frambalous armanator spiderblaze rocket-sprocket. But then when I squint one eye, it looks instead like it’s heading into a comatose replenerational sidewinding springified contra-continuation. And by the time I’ve figured out which one it is, it’s too late to get in the trade. Or worse, I’ve made a stab at making a guess and have gone the wrong way.
I think my brain is just too dang powerful and can’t stop endlessly processing data and considering all the possibilities when it comes to price action.
Either that, or I’m just a big dummy.
Either way, I’m quite happy to do objective day-trading using indicators to tell me what to do, especially if I’m using indicators I’ve developed myself. (See my programming resume above.) It’s worked out well for me, and so far, it gets better with every insight the market gives me. (Remember: Past performance is no guarantee of future returns. But you already know that.)
So if you’re like me and just don’t seem to take to price-action methods of trading–if you’ve been told that if you can’t do price-action trading, then you’re not doing it right and will never be successful–then welcome. In this blog, we’ll discuss how to use objective trading principles and indicators judiciously and effectively. I’m here to tell you that objective trading can work. Yeah, it still takes discipline and hard work, and a lack of either will rob you of your capital. But that’s true of price-action trading as well.
But remember: As with all things having to do with day-trading, you’re proceeding at your own risk. Day-trading isn’t for everyone, and everyone would do well to consider whether it’s not for them. If you think you’ve got what it takes, then take a look at some of my Daily Trades blog posts to get a taste of what I mean. If that looks good to you, and if you can handle and manage the risk, then join me in my journey.
