What's the Best Forex Trading Method?

I can not really speak for most, but the best forex trading method I've ever used was price action. I was just like everyone else who jumped from the latest system that involved stochastics and MACD until I figured out all I needed right right in front of me.

What I came to find out is that all the indicator driven systems rely on lagging indicators. When it comes to lagging indicators you find out you should have bought or sold after the move happened.

Take a look. Back test any of these provided "best" forex trading systems that you see in forex forums. You know, the ones with 20 moving rates on your screen and a few oscillators below it. When you back test it, does not it look absolutely phenomenal? This is basically false advertising.

Do yourself a favor and test it in real time conditions. You'll notice something very interesting. Whenever you see a big move happen, it always takes these indicators a few bars to catch up to the move. So if you are just taking a quick glance at it in hindsight, it looks like an amazing trade. But when traded in real time, you basically missed most of the move.

The great thing about trading price action and why I consider it the best forex trading method, is that it you can forecast with it. It predicts future movement. You can spot patterns that get delayed over and over again. Once you spot them, you'll never believe how many times you miss them. They were happening right under your nose.

Post Comment