What indicator you use for scalping?

Mar 25, 2015 at 15:11
Przeglądane 7,425
105 Replies
Uczestnik z Feb 22, 2011   4862 postów
Sep 01, 2015 at 11:08
Its nonsense to use indicator for scalping. You need to use EA to keep pace with very fast trading requirements.
Uczestnik z Sep 12, 2015   1948 postów
Sep 13, 2015 at 05:57
phil09 posted:
I'm newbie here, and I would to know what indicator you use for manual trading (scalping).

Better not to use an indicator for scalping,besides most are lagging,get use to reading the chart candles.
"They mistook leverage with genius".
Uczestnik z Jul 23, 2015   2 postów
Sep 14, 2015 at 08:54
BenNathanFX posted:
No indicators needed, just knowledge....

To make my point....

Can an indicator tell you that the AUD is strong today following the fact that RBA kept rates on hold when the markets expected a cut...?
and that the USD is weak because last weeks poor data and bad NFP figures have now caused the market to expect the FED to keep rates on hold a lot longer than expected, and that therefore the AUDUSD is a great pair to scalp up?

Nope.....

Fundamentals are what drives the market - use those as your indicator and the pips will flow.....

Trading without a basic fundamental outlook is basically gambling on chance - ie hoping that a pattern will win more than it loses, but trading based on fundamentals.... thats investing... you just need a technical way to consistently enter the markets based on the background fundamentals.... this is something EAs and Indicators cant provide.


Technical analysis incorporates fundamentals, a chart will never tell you to go long if the price is headed the other way. It will give you a stop out at the time of entry. If you want to be ignorant and think charts just point bullish then i guess you would never have mastered the art of technical analysis. No point bothering with arguments.
Also even if negative fundamental news was offered, however a certain large bank or institution was on the long side for genuine buy orders the price would not fall.
 
Uczestnik z Sep 12, 2015   1948 postów
Sep 15, 2015 at 09:48
You wont have much time for looking at any indicator if your scalping,youll see the candles moving fast and strong,comes with experience,if you cant read what the chart is telling you without indicators you shouldn't be scalping or trading.Fundamentals are not what drives the market ,i wish it were true,if that were true everything would be at fair value,stocks are overpriced especially in the US.By the time fundamentals hit the market its already baked in.Its very easy to draw lines after the event.
"They mistook leverage with genius".
Uczestnik z Oct 14, 2015   13 postów
Nov 02, 2015 at 09:07
I use MA in 1m-15m time frame. For scalping itself, you have to focus yourself on those candles for minutes (it depends on your scalping target).
Uczestnik z Sep 12, 2015   1948 postów
Nov 03, 2015 at 07:05
togr posted:
Its nonsense to use indicator for scalping. You need to use EA to keep pace with very fast trading requirements.

A mix is better for traders new to scalping ,human intervention and EA ,but I scalp without EA because I'm experienced at it.Depends on your discipline.
"They mistook leverage with genius".
Uczestnik z Feb 22, 2011   4862 postów
Nov 03, 2015 at 09:10
snapdragon1970 posted:
togr posted:
Its nonsense to use indicator for scalping. You need to use EA to keep pace with very fast trading requirements.

A mix is better for traders new to scalping ,human intervention and EA ,but I scalp without EA because I'm experienced at it.Depends on your discipline.

If you can scalp manually you can define the rules and program EA.
Uczestnik z Oct 30, 2015   10 postów
Nov 09, 2015 at 07:26
I use daily SMA in 1m-15m time frame. And just like what Apip said, you gotta focus yourself watching those charts for a while. You may want to use EA for scalping but I've never done that before...
Uczestnik z Dec 29, 2015   10 postów
Jan 05, 2016 at 08:13
Hello people,i wanted to know more information about indicators in manual trading if anyone here is an experienced trader i would like to know more about this,thank you for your time
Uczestnik z Jun 14, 2013   130 postów
Jan 05, 2016 at 08:54
JenalAripin posted:
I use daily SMA in 1m-15m time frame. And just like what Apip said, you gotta focus yourself watching those charts for a while. You may want to use EA for scalping but I've never done that before...

Hi Anatonis, we meet again :)

Well that question is quite a broad one. You get various type of technical indicators.

Trend indicators are the most popular, i.e. Moving Averages, Stochastic Oscillator, MACD or the RSI. These basically give you two types of information, A) the TREND direction of the market (is the market going up - Bullish; or is the market going down - Bearish; or is market moving sideways - Neutral) and B) the momentum of the market (how fast of slow the market is moving in that direction).

Another popular type of indicator is Volume/Volatility indicator, i.e. ATR and Bollinger Bands. These indicators show you the participation rate of traders in a particular market at a particular time. For example during a US Non-farm Payroll event the market will be highly volatile and make fast, wild swings in both directions. The Bollinger Band is used to determine optimal entry after such an event.

The one thing you must remember about any technical indicator, is that ALL indicators are lagging indicators. This means that your trading software calculates an indicator's values using a certain amount of previous candles/bars. For this reason a technical indicator by itself is not of much use to a trader. You have to use them in combination with other tools like Support and Resistance levels, Fibonacci levels and Candlestick formations. For example, if the market is near an important historical Swing-High or Swing Low, which is also near an important Fib level (like the 62% or 38% retracement levels) and you see an Engulfing Candlestick pattern, then your RSI or Bollinger Band indicator is used to confirm your entry or exit of your position.

To sum up, technical indicators are nice to use, look pretty on your charts and give you some degree of confidence in your trading, but if used and applied incorrectly it can result in a disaster. So you have to understand how and when to use them for them to be effective in your trading strategy.

If you really want to learn more about how to use technical indicators correctly, then let me know, and I will send you a few PDF's of manuals I wrote myself, and use in my FX Training business teaching new traders in my local area. From your previous posts here you seem quite excited and willing to learn. Perhaps you will find some of the info quite useful. I must warn you, there is ALOT of info to go through, so be prepared to sit and read for a few weeks... :)

Cheers

Jaco Ferreira
Keep it simple, be disciplined, get rich slowly and above all protect your equity!
Uczestnik z Dec 29, 2015   10 postów
Jan 05, 2016 at 09:17
JacoAF posted:
JenalAripin posted:
I use daily SMA in 1m-15m time frame. And just like what Apip said, you gotta focus yourself watching those charts for a while. You may want to use EA for scalping but I've never done that before...

Hi Anatonis, we meet again :)

Well that question is quite a broad one. You get various type of technical indicators.

Trend indicators are the most popular, i.e. Moving Averages, Stochastic Oscillator, MACD or the RSI. These basically give you two types of information, A) the TREND direction of the market (is the market going up - Bullish; or is the market going down - Bearish; or is market moving sideways - Neutral) and B) the momentum of the market (how fast of slow the market is moving in that direction).

Another popular type of indicator is Volume/Volatility indicator, i.e. ATR and Bollinger Bands. These indicators show you the participation rate of traders in a particular market at a particular time. For example during a US Non-farm Payroll event the market will be highly volatile and make fast, wild swings in both directions. The Bollinger Band is used to determine optimal entry after such an event.

The one thing you must remember about any technical indicator, is that ALL indicators are lagging indicators. This means that your trading software calculates an indicator's values using a certain amount of previous candles/bars. For this reason a technical indicator by itself is not of much use to a trader. You have to use them in combination with other tools like Support and Resistance levels, Fibonacci levels and Candlestick formations. For example, if the market is near an important historical Swing-High or Swing Low, which is also near an important Fib level (like the 62% or 38% retracement levels) and you see an Engulfing Candlestick pattern, then your RSI or Bollinger Band indicator is used to confirm your entry or exit of your position.

To sum up, technical indicators are nice to use, look pretty on your charts and give you some degree of confidence in your trading, but if used and applied incorrectly it can result in a disaster. So you have to understand how and when to use them for them to be effective in your trading strategy.

If you really want to learn more about how to use technical indicators correctly, then let me know, and I will send you a few PDF's of manuals I wrote myself, and use in my FX Training business teaching new traders in my local area. From your previous posts here you seem quite excited and willing to learn. Perhaps you will find some of the info quite useful. I must warn you, there is ALOT of info to go through, so be prepared to sit and read for a few weeks... :)

Cheers

Jaco Ferreira

thank you Jaco ,firstly thats true im really excited and willing to learn everything a trader should know, what you just sent me its really helpful,i would love if you could send me anything you have in regards trading,again i appreciate your time and help
Uczestnik z Oct 28, 2010   92 postów
Jan 05, 2016 at 09:22
no indicator needed, only price market... so price action.
On entend l'arbre qui tombe mais pas la forêt qui pousse...
Uczestnik z Sep 12, 2015   1948 postów
Jan 05, 2016 at 10:37
I use BB and major support areas,there is no centralised volume in forex,only on your own trading platform provider,it's unreliable information.
"They mistook leverage with genius".
Uczestnik z Oct 28, 2010   92 postów
Jan 05, 2016 at 10:45 (edytowane Jan 05, 2016 at 10:46)
Agree with you Kieran :
Price action confirmed with BB.
The line orange and blue you can see here is a BB ...



You can find my settings available for M30 and H1 and more.





Załączniki:

On entend l'arbre qui tombe mais pas la forêt qui pousse...
Uczestnik z Sep 12, 2015   1948 postów
Jan 05, 2016 at 11:11
There is a useful measure of % long /short on IG ,for example if it showes 80% are short and typically 90% of retail pick the wrong direction,makes for an interesting trade idea in the opposite direction.Of course I look for further evidence of a possible trade but it is worth taking note of.
"They mistook leverage with genius".
Uczestnik z Oct 28, 2010   92 postów
Jan 05, 2016 at 11:26 (edytowane Jan 05, 2016 at 11:36)
snapdragon1970 posted:
There is a useful measure of % long /short on IG ,for example if it showes 80% are short and typically 90% of retail pick the wrong direction,makes for an interesting trade idea in the opposite direction.Of course I look for further evidence of a possible trade but it is worth taking note of.

Using this kind of strategy in demo here :

https://www.myfxbook.com/members/Furax/ut-v102-aquarius-fxpro/1456800

Scalping in action with BB as you sayed before Kieran :



Broker FxPro with some InstaForex indicators...

https://www.myfxbook.com/members/Furax/ut-v102-aquarius-fxpro/1456800

Załączniki:

On entend l'arbre qui tombe mais pas la forêt qui pousse...
Uczestnik z Sep 12, 2015   1948 postów
Jan 05, 2016 at 11:46
I specialise in Eur/Usd only,sometimes I trade the DAX ,what provider is that ?
"They mistook leverage with genius".
Uczestnik z Dec 29, 2015   10 postów
Jan 05, 2016 at 12:05
Furax posted:
no indicator needed, only price market... so price action.

Thank you Furax for your response,so an indicator is not necessary for trading ?i mean its not like an obligation for a trader to use indicators in order for him to gain a profit?thank you
Uczestnik z Jan 19, 2013   251 postów
Jan 05, 2016 at 13:35
Furax posted:
no indicator needed, only price market... so price action.

 I agree with you... If you student of forex, and you study price action, then no indicator could ever trump that. I've seen here that it has been mentioned that BB give guide you very well on entry. I, however, believe that isn't true. Understanding why the market breaks out, and why it 'goes flat' is the start of knowing how to use price action and only price action.
Uczestnik z Jun 14, 2013   130 postów
Jan 05, 2016 at 14:10
BellaVista507 posted:
Furax posted:
no indicator needed, only price market... so price action.

 I agree with you... If you student of forex, and you study price action, then no indicator could ever trump that. I've seen here that it has been mentioned that BB give guide you very well on entry. I, however, believe that isn't true. Understanding why the market breaks out, and why it 'goes flat' is the start of knowing how to use price action and only price action.

What you says makes sense, however, I don't believe that using only price action as a tool will give you the best advantage to find the best high probability trades. If you know how to use the RSI or MACD and combine that with Market Structure (Support and Resistance), Fib Levels and Candlestick Formations you can get higher quality trades that will give you the best Risk/Reward ratio.

I must confess, I am a short term swing trader (manual), so my technique may work best on my style of trading. Scalpers may find using raw price action a more effective alternative. However, I would not advise new traders to attempt scalp trading manually if you don't have plenty of experience analyzing price action. I think the emotional stress alone of the fast paced nature of scalp trading will probably kill new trading accounts quickly.
Keep it simple, be disciplined, get rich slowly and above all protect your equity!
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