“Trading Made Simpler”
An Attempt to Understand the Traders Dynamic Index Indicator and Develop a Trading Method
simpler, comparative of sim•ple (Adjective)
1. Easily understood or done; presenting no difficulty.
2. Plain, basic, or uncomplicated in form, nature, or design; without much decoration or ornamentation.
Trading Forex Risk Disclaimer:
Trading FOREX (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
TheSnowman expressly disclaims all liability for the use or interpretation by others of information contained in this forum thread. Decisions based on information contained herein are the sole responsibility of the visitor, and in exchange for using the information contained in this website the visitor agrees to hold TheSnowman and www.forexfactory.com against any claims for direct, or indirect, damages for decisions made by the visitor based fully or partially on such information.
Whatever is the trading strategy, you decide to employ, don't forget to test it first in demo. Also be aware that past performance is no guarantee of future results.
Foreword:
The inspiration to start this thread primarily comes about because I was following the thread “Trading Made Simple”, and now I am unable to post there any longer (see below) even though I have answers for the questions posted there. It commenced as a 4-Hour method, using the well known indicator - Traders Dynamic Index (TDI) - but has now collapsed into scalpers’ paradise, using short time frame charts, with the usual plethora of additional indicators, without any regard to applying useful technical analysis to achieve their goal. It is not my intention to upset anyone here; I fully support the Traders Dynamic Index method, and will be using. I think it can be greatly enhanced with chart reading skills, therefore making it more than capable to hit home run trades. It is my opinion that the use of the Traders Dynamic Index Indicator is poorly presented and supported in that thread; your opinion may vary. This discussion can be continued later.
Speaking of support, attention new members, rest assured, I will offer support for any questions you may have, and continue to answer them until you understand completely. You will NOT be brushed off and intimidated with the comment “READ THE WHOLE THREAD”. Why should you have to READ THE WHOLE THREAD? If, indeed it is, Trading Made SIMPLE, surely it can be presented in the first 5, 10 or 20 posts (including charts), could it not? Ask yourself, why do I need to read 5,000+ posts of people telling all how good they are because they got 14 pips? I will personally undertake responsibility to post charts to fully demonstrate to you the methodology (and my intended use of it) until you understand, to your satisfaction, any questions of this methodology. In addition, I will update Post #1 as required for future readers; and I will maintain a FAQ list for frequent posting.
Now to explain my inability to post in other threads; for whatever reason, the Forex Factory Moderator(s) have deemed me to be a “Commercial Member” and as such; I can only post in threads of my own making. I assure you that I am not here to sell you anything, or direct you to a website that will sell you something; I am here with an idea, proposing that we work together and be successful. You can form your own opinion of the situation by reading this thread – Line Trader *EA*
Another reason to commence this thread is to keep myself focused on just one method. In the past I have been jumping from strategy to strategy, changing charts, changing indicators, changing time frames; perhaps you know what I mean? Rather than start a journal that no one may read or follow, I thought I would post here in the systems section.
Lastly, no, I am not trading this live; I am still in the evaluating and learning process. I am not that desperate that I need to jump in and start scalping right now. Many people are following this method in the previously mentioned thread, and others before that, and claiming great success, although not necessarily on the time frames I intend to pursue. However, I do have a demo account and currently experimenting with various entries and exits, to finalize my trading plan. I suggest that anyone interested in this method also practice with a demo account. This way, you can do your own research, reach your own conclusion; and then we can share our results with no loss of capital. It is up to you to examine the chart examples given, question them and the method. Observe the charts day by day; ask questions, do the indicators give accurate results? Do you understand the entry, exit & stop loss levels? These are the things you must do before you decide whether this will work for you or not.
Remember this, whether or not a trade makes money is not the measure of whether or not you should have taken it. Forex currency trading is a zero sum game and those traders with a trading plan and the necessary discipline to stick to it will succeed over those that trade without one. STOP! If you want to be on the positive side of this game, start with your trading plan – it is your most important weapon against your opponents.
Footnote: I prepared the above and was ready for posting in the Trading Systems forum but apparently I can only start threads in this section; perhaps the Moderators may lift my ban one day and move it over there in its rightful place?
An Attempt to Understand the Traders Dynamic Index Indicator and Develop a Trading Method
simpler, comparative of sim•ple (Adjective)
1. Easily understood or done; presenting no difficulty.
2. Plain, basic, or uncomplicated in form, nature, or design; without much decoration or ornamentation.
Trading Forex Risk Disclaimer:
Trading FOREX (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
TheSnowman expressly disclaims all liability for the use or interpretation by others of information contained in this forum thread. Decisions based on information contained herein are the sole responsibility of the visitor, and in exchange for using the information contained in this website the visitor agrees to hold TheSnowman and www.forexfactory.com against any claims for direct, or indirect, damages for decisions made by the visitor based fully or partially on such information.
Whatever is the trading strategy, you decide to employ, don't forget to test it first in demo. Also be aware that past performance is no guarantee of future results.
Foreword:
The inspiration to start this thread primarily comes about because I was following the thread “Trading Made Simple”, and now I am unable to post there any longer (see below) even though I have answers for the questions posted there. It commenced as a 4-Hour method, using the well known indicator - Traders Dynamic Index (TDI) - but has now collapsed into scalpers’ paradise, using short time frame charts, with the usual plethora of additional indicators, without any regard to applying useful technical analysis to achieve their goal. It is not my intention to upset anyone here; I fully support the Traders Dynamic Index method, and will be using. I think it can be greatly enhanced with chart reading skills, therefore making it more than capable to hit home run trades. It is my opinion that the use of the Traders Dynamic Index Indicator is poorly presented and supported in that thread; your opinion may vary. This discussion can be continued later.
Speaking of support, attention new members, rest assured, I will offer support for any questions you may have, and continue to answer them until you understand completely. You will NOT be brushed off and intimidated with the comment “READ THE WHOLE THREAD”. Why should you have to READ THE WHOLE THREAD? If, indeed it is, Trading Made SIMPLE, surely it can be presented in the first 5, 10 or 20 posts (including charts), could it not? Ask yourself, why do I need to read 5,000+ posts of people telling all how good they are because they got 14 pips? I will personally undertake responsibility to post charts to fully demonstrate to you the methodology (and my intended use of it) until you understand, to your satisfaction, any questions of this methodology. In addition, I will update Post #1 as required for future readers; and I will maintain a FAQ list for frequent posting.
Now to explain my inability to post in other threads; for whatever reason, the Forex Factory Moderator(s) have deemed me to be a “Commercial Member” and as such; I can only post in threads of my own making. I assure you that I am not here to sell you anything, or direct you to a website that will sell you something; I am here with an idea, proposing that we work together and be successful. You can form your own opinion of the situation by reading this thread – Line Trader *EA*
Another reason to commence this thread is to keep myself focused on just one method. In the past I have been jumping from strategy to strategy, changing charts, changing indicators, changing time frames; perhaps you know what I mean? Rather than start a journal that no one may read or follow, I thought I would post here in the systems section.
Lastly, no, I am not trading this live; I am still in the evaluating and learning process. I am not that desperate that I need to jump in and start scalping right now. Many people are following this method in the previously mentioned thread, and others before that, and claiming great success, although not necessarily on the time frames I intend to pursue. However, I do have a demo account and currently experimenting with various entries and exits, to finalize my trading plan. I suggest that anyone interested in this method also practice with a demo account. This way, you can do your own research, reach your own conclusion; and then we can share our results with no loss of capital. It is up to you to examine the chart examples given, question them and the method. Observe the charts day by day; ask questions, do the indicators give accurate results? Do you understand the entry, exit & stop loss levels? These are the things you must do before you decide whether this will work for you or not.
Remember this, whether or not a trade makes money is not the measure of whether or not you should have taken it. Forex currency trading is a zero sum game and those traders with a trading plan and the necessary discipline to stick to it will succeed over those that trade without one. STOP! If you want to be on the positive side of this game, start with your trading plan – it is your most important weapon against your opponents.
Footnote: I prepared the above and was ready for posting in the Trading Systems forum but apparently I can only start threads in this section; perhaps the Moderators may lift my ban one day and move it over there in its rightful place?
Canadian by birth Australian by choice