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
Kiss
EURUSD, another breakout aheadAfter offering multiple SELL opportunities over the last year, the EURUSD pair is consolidating once again on the daily timeframe.
Similarly, the RSI Exhaustion at the bottom is consolidating.
Both these consolidations mean that the pressure is increasing and ultimately the pair will break either to the upside (trend reversal) or to the downside (trend continuation).
Remember to stay patient and always look for confirmation from the indicators!
EURCHF - Consolidation opportunityAfter a significant downtrend from 1.20 down to below 1.00, the EURCHF pair is now consolidating on the daily timeframe.
Similarly, the Sentiment Index at the bottom is consolidating.
Both these consolidations mean that the pressure is increasing and ultimately the pair will break either to the upside (trend reversal) or to the downside (trend continuation).
The opportunity now is to trade the pair within the consolidation considering it's very large and clearly identifiable.
Remember to stay patient and always look for confirmation from the indicators!
Breakout ahead on USDCAD After offering a great buy opportunity earlier this month the USDCAD pair is consolidating on the 60m timeframe.
Similarly, the RSI Exhaustion at the bottom is consolidating.
Both these consolidations mean that the pressure is increasing and ultimately the pair will break either to the upside (trend continuation) or to the downside (trend reversal).
Remember to stay patient and always look for confirmation from the indicators!
Breakout coming on on BTCUSDAfter offering multiple sell opportunities, the BTCUSD pair is now consolidating on the 60m timeframe.
Similarly, the RSI Exhaustion at the bottom is consolidating as well.
Both these consolidations mean that the pressure is increasing and ultimately the pair will break either to the upside (trend reversal) or to the downside (trend continuation).
Remember to stay patient and always look for confirmation from the indicators!
KISS BTC 😘K eep I t S imple S tupid - also in Bitcoin.
I've drawn a triangle over the chart in D1 and a bigger triangle in W1. Using only the daily resp. weekly closing prices. And this triangle looks valid to me.
I've seen people drawing wedges or flags in the charts but the triangle is a more reliable chart pattern. So it may take a few days in the daily chart or 1-2 weeks in the weekly chart until this formation gets resolved but it will get resolved finally. ;)
And yes, it's more likely that symmetric triangles get broken to the upside. I think then we see 75k as the next stop.
Bitcoin deciding its futureAfter the big selloff from the all-time highs, BTCUSD is now consolidating in the 30k – 40k area.
In particular, the pair is trading within a channel (blue lines) that typically signals and trend continuation.
The bearish outlook is backed by the major resistance displayed by the Levels and Zones indicator, and which sits at around 40k.
Should the price drop, it can move quite rapidly as low as 12k to complete an H&S pattern.
To contrast this view, the price could continue to move sideways until it eventually breaks above the current consolidation channel. To support this upward move, though, the Sentiment Index indicator at the bottom of the chart must spike to the upside and continue to stay positive for a prolonged period of time.
Remember to be patient and never trade impulsively. Always check confirmation from the indicators.
SNDL; the 200 EMA kissWe are about to "kiss" the daily 200 EMA line again with a familiar pattern leading into it as well.
Sellers have had a very successful run BUT still have not made a "lower-low" after SNDL's quick surge to ~$5
This may be the time for bears to finally make a new low, or it could mean it's to time take a page out SNDL's history book and blast off once more.
Let's see what happens!
Bitcoin Price Action.With Bitcoin price action moving higher I thought that I can share with you my view on a Daily chart with some simple market geometry and some fib measurements which contain some critical levels including the golden zone fight that we keep on seeing since 2019.
What caught my attention is the second break of the white trendline but not with as much significant volume as the first attempt. In my eyes, this next move is exactly what we need if we want to see that 2019 high challenged. It has all the ingredients for a plunge to the 14k pivot where we faced a very big resistance last year and the algorithm participation was incredibly precise. Bitcoin has 2 more significant pivots to break (14k, 20k) until we will be again in a no man's land and the FOMO will kick in. Stay close, manage your asset classes accordingly. Don't risk more than you are willing to lose!
I wish you guys a wonderful week!
USDJPY - also waiting for kissPair dropped out of rectangle, expecting retrace to its lower bound.
Daily ATR is 60, drawn stop loss is set based on this and for scenario where Entry 2 will get filled in. If only Entry 1 will get filled in, stop loss will be set lower. Also targets depend on entries, but T1 and T2 will be good for start.
Disclaimer: this idea is solely for my own purposes, to satisfy the ego, if it will work out ;)
The Kiss of Life or Death?Even when BTC/USD has dropped in the last hours, currently I would consider it on consolidation period as long as it remains above 200 EMA. (8730 level). 200 EMA and 20 EMA are about to kiss and 100 EMA is approching them. This would be a very important point as a croosover is about to happen.