New Zealand Dollar / Japanese YenEducation
K.I.S.S or Keep it simple stupid
In the markets, traders and investors frequently search for the optimal software tool that will produce reliable profits over the long term. Many traders believe that in order to get the best and most reliable signals they need to, find the perfect tool would need to include as many indications as feasible. The truth, however, is far different. let's explore this subject in more detail.
More is not better
Technical analysis is not a magical science that can provide traders with precise entry and exit signals with immediate gains. Trading is not an easy industry. Being a continuously effective trader needs persistence, fortitude, and frequently the capacity to endure times when things are not going well. It is just unavoidable for traders to avoid loses, and even a long-term lucrative approach cannot shield them from these situations. There is no such thing as trading with zero losses, as any seasoned trader is aware. Despite this, a lot of traders are still searching for the one simple answer that will, in their opinion, guarantee the most transactions that are successful while decreasing the number of trades that are losses.
Some people fear losses like the devil and would stop at nothing to prevent them. They believe that adding additional indicators and other tools with the primary objective of eliminating losing trades is the best course of action rather than starting from the beginning and attempting to comprehend what is really happening in the markets.
The individual indicators themselves are not problematic, but if traders begin mixing an excessive number of them with various lines and curves, things can quickly spiral out of control and produce a disorienting jumble.
Why traders do this ?
The desire to discover some "holy grail" solution, which will invariably result in winning trades with little to no losses (preferably none), is, of course the most popular motivation. Another factor could be the variety of seminars and training sessions available, or the current craze for social media videos. And after a few losses, novice traders start adding more and more indicators that should "improve" the original strategy but ends up leading to more loses down the line
The concept is that the more market indicators that support an entry signal, the more probable it is that the trade will be profitable is completely false.
Understand that the only "holy grail" that can assist a trader get greater results is to become adept at the psychological, fundamental and technical aspects of trading and to approach these activities as uncomplicatedly as possible. Inexperienced traders are typically duped by a variety of indicators and oscillators, which are meant to give the appearance that they are sophisticated tools made for experienced traders. They might function, but only to a certain extent. The price itself, which represents what is taking place in the market, should serve as the basis for a trader's decisions. As a trader you are better off keeping it simple(KISS)using robust and proven methodologies
More is not better
Technical analysis is not a magical science that can provide traders with precise entry and exit signals with immediate gains. Trading is not an easy industry. Being a continuously effective trader needs persistence, fortitude, and frequently the capacity to endure times when things are not going well. It is just unavoidable for traders to avoid loses, and even a long-term lucrative approach cannot shield them from these situations. There is no such thing as trading with zero losses, as any seasoned trader is aware. Despite this, a lot of traders are still searching for the one simple answer that will, in their opinion, guarantee the most transactions that are successful while decreasing the number of trades that are losses.
Some people fear losses like the devil and would stop at nothing to prevent them. They believe that adding additional indicators and other tools with the primary objective of eliminating losing trades is the best course of action rather than starting from the beginning and attempting to comprehend what is really happening in the markets.
The individual indicators themselves are not problematic, but if traders begin mixing an excessive number of them with various lines and curves, things can quickly spiral out of control and produce a disorienting jumble.
Why traders do this ?
The desire to discover some "holy grail" solution, which will invariably result in winning trades with little to no losses (preferably none), is, of course the most popular motivation. Another factor could be the variety of seminars and training sessions available, or the current craze for social media videos. And after a few losses, novice traders start adding more and more indicators that should "improve" the original strategy but ends up leading to more loses down the line
The concept is that the more market indicators that support an entry signal, the more probable it is that the trade will be profitable is completely false.
Understand that the only "holy grail" that can assist a trader get greater results is to become adept at the psychological, fundamental and technical aspects of trading and to approach these activities as uncomplicatedly as possible. Inexperienced traders are typically duped by a variety of indicators and oscillators, which are meant to give the appearance that they are sophisticated tools made for experienced traders. They might function, but only to a certain extent. The price itself, which represents what is taking place in the market, should serve as the basis for a trader's decisions. As a trader you are better off keeping it simple(KISS)using robust and proven methodologies
C Nicholas Downie
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