Trading can be simple. Trading profitably does not have to be a complex process. You may learn all you need to know about a market by simply viewing the chart. A naked chart, a chart without indicators. This is my belief. This is how I trade. I have found that trading with few, if any, technical indicators often yields consitent profitable results. The key is to wait for the market to approach an important support/resistance level, and then to wait for the market to tell you what is going to happen next.
But how do you know when the market is telling you what is going to happen next? I believe that there are some instances when the market is telling you what will happen next. Often times you do not know what will happen next, but a few times the market will hint at what will happen next. These are trading opportunities for me. I wait for the perfect trade setup. I wait for the market to approach a support and resistance zone, and then I look for specific catalyst to give me a trade signal.
If you would like to learn more about the catalysts I look for when trading naked, please join me at the next fxstreet.com webinar on January 26, 2001 to learn more, click here to register.