This is the video where I try to piss off every single active Forex. trader alive want me luck. and here it is the Dirty Dozen video I’ve been talking about it for some time. and folks have been asking about it so here it’s now on this video I’m going. to take 12 technical instruments 12 very fashionable technical tools I can almost. assure one no much less than one of which you would possibly be using proper now and I’m going to. let you know to cease utilizing it eternally and on this explicit video I’m just gonna go. over why very quickly however every certainly one of these over time is going to get its personal. video as a end result of it’s gonna take lots of convincing particularly this is something. you’ve used lots or even when you’ve used a few of those you’re utilizing them in. combination you need to be talked out of it as a result of this is how people and I can. just about guess when you’re out looking for Forex movies you are one.
Of these people you may be in that 99% I throw this number around so much too and. it’s it’s most likely larger than 99% of spot forex merchants who usually are not at a. position where they wish to be as far as their overall success price month after. month year after 12 months now make no mistake a lot of those individuals are losing. money a vast majority of these ninety nine % individuals are shedding badly and we. need to take steps to fix that too but let’s discuss why that quantity is so. high I mean value both goes up or down it’s a 50/50 proposition how will you finish. up with a fail price that’s that prime first off unhealthy cash administration there are. individuals who can actually make pretty good entries most of the time however money. management will always take them down and this channel goes to have an. entire playlist dedicated to fixing that as a outcome of it’s not that onerous to fix you.
Just should have a construction in place and no person’s ever really provided that to. you for some reason that is very seldom talked about online trading psychology. is another thing to where you presumably can have nice entries you’ll have the ability to have really good. cash administration however as merchants we’ve this distinctive capability to selfsabotage and. there are many ways you are in a position to do that and this channel is also gonna have a. playlist dedicated to that too we’re gonna cowl every thing however way too often. the game is over earlier than even starts since you are utilizing horrible outdated. technical tools in your chart I don’t understand how this even began somehow a. bunch of individuals received together and said ok we’re gonna open up spot foreign exchange we’re. gonna give individuals charting platforms and we’re gonna have them use these instruments. and indicators despite the actual fact that they have not been developed for forex although some.
Of them are very old although lots of them don’t work very nicely or they’re. based on ideas that you only discover in buying and selling equities and gold and things. like that we’re gonna use them for foreign exchange each. professional out there might be going to be using them too and so every thing a model new trader. sees goes to make them assume that these are the only instruments obtainable and. this is what they’re stuck with and that is not the case I need to get you off of. these things first so there are movies in place that may clarify why I really feel. the way I feel and these are my core concept videos that I recommend each. single Forex trader regardless of how long you’ve been doing this should watch the. huge banks video is the only most essential video I have ever accomplished the massive. banks are the individuals who transfer value up and down how can you sit there and be a.
Forex trader and name your self a foreign exchange dealer if you do not even know who these. persons are and why they do what they do it is that important however that’s okay you. get to go watch that video and you may know exactly how they function also I. inform you to not commerce reversals which is a very unpopular video as a result of most. people do but if I can get you off of this because in foreign exchange there is no such. thing as overbought oversold anybody who’s using this terminology in forex has. no thought what they’re speaking about because currencies can go as high or as. low as the big banks want them to go before some type of government has to. step in and maybe make a change however value can move hundreds and hundreds. of pips earlier than that happens there are such a lot of. reversal traders on the market and massive banks just eat them up and there are things.
That that is sort of where this video goes it’s really kind of the theme. there are things you have to eliminate out of your buying and selling eternally earlier than I even. begin telling you what to do as a substitute because I may give you I may give. away my very own algorithm I use to trade professionally you’ll. nonetheless mess it up if your psychology is not proper if your cash administration. is not right or you haven’t eradicated all the things which are holding you down. all proper that is what the elimination video covers and I’ve put all these in a. playlist and I’ve linked all of them down beneath so you’ll have the ability to go see them at some. point as a result of that alone when you simply spend I assume just a bit over an hour. on all three of these movies you will in a very very short amount of time turn out to be. a much better Forex trader simply based on what you’ve discovered in these movies.
Because nearly no person is speaking about them I’m actually stunned how they spend. a lot time on the nonsense and so little time on what actually issues now a. quick programming notice before we get into the twelve here you may need seen. me listing the Dirty Dozen before and fundamental evaluation was on there I’m. taking it off as a outcome of do not get me mistaken I do not use. basic basic analysis hardly at all and I do not assume you need to. either but it will get its personal video. however basic evaluation is actually kind of the opposite of technical evaluation. and this Dirty Dozen from right here ahead it’s simply going to talk about technical. tools just so you realize that you might need seen this listing earlier than you’re gonna. in all probability marvel why basic analysis is no longer on there I’ve just taken it. out and I have changed it with another indicator I could actually make this a.
Dirty fifteen or a dirty 16 however these are the twelve that I suppose are the. worst offenders as a outcome of I suppose they’re additionally essentially the most broadly used perceive. earlier than we start and I promise you I’m getting into this however we have not been. in a position to do that complete spot forex trading very long it just began up in 1996 for. the retail market all of us bear in mind the Backstreet Boys it was not that long ago. really and you’re gonna notice a theme right here that some of these instruments and. indicators have been invented a very lengthy time in the past so we can fairly assume they had been. not made for the market that we trade but here we’re considering they’re the. solely choices out there and that’s just what we use and we marvel why we fail as. usually as we do there are I I’m in all probability underneath capturing at 10,000 totally different. indicators and tools that you can put on a chart at any given time and we’re.
Stuck using the same 12 13 14 15 if I have been to give you something that was. really made for Forex and programmed you know six months in the past. it is in all probability going to be a better option than something that was made for. stocks you realize back in the Seventies if I were to provide you a choice and stated okay. I need you to get something done here is the Zack Morris brick phone here is a. modernday smartphone which one do you think would work better you would you. may be in a position to get it carried out on the older cellphone but your likelihood is means method. better with the good cellphone so in buying and selling as a end result of that is your cash make. it so right here likelihood is as excessive as attainable and you cannot do this with. these instruments so with out further ado let’s get into it number 12 this is the. indicator that I really have substituted in when I took basic analysis out it.
Is the ADX indicator average directional index inbuilt 1978 and it has two. features to it most individuals use it to measure quantity which is good if you’re a. trend dealer you kind of must know when there’s sufficient volume so that you just can. commerce because if not you’re going to get killed however the quantity meter on it is. simply way too gradual and if you try to pace it up it becomes wildly inaccurate. it simply it will get you into the market way later than it should and there is also a. part I guess kind of under it it’s two indicators in one it’s too dangerous. indicators in one it is known as the DI directional index I guess and that tells. you if the market is or no matter forex pair you’re trading is bullish. or bearish and it lags I imply it lags heavier then even issues like stochastics. do I mean it’s very very late if you would like discuss an indicator that will get.
You into everything means too late this is it it had to make the listing at some point. in order that’s gonna be number twelve number eleven development traces. okay so perceive this is not I’m not ranking these I’m simply listing these however. if I was ranking these pattern strains might very simply be the worst. pattern lines are awful first off nobody ever draws them the proper method there might be. really no one way to draw them right all people draws them in a different way and. therein lies the issue you know do you join the very tops do you connect. where value closed if value has broken the pattern line do you retain it on there. everybody has a unique idea what trendline is supposed to be and it’s. really messy there isn’t any one uniform method to do it that’s an enormous problem and on top. of that there is simply way too many choices if you have been to show me any chart.
Right now on any timeframe I could most likely draw 5 or 6 completely different. trend traces you understand which one do you suppose the markets are going to respect. well the answer is probably none of them as a outcome of for one when you discover. there’s even a pattern in place it’s sometimes over that ever occurred to you. you’ve price has I’m doing air quotes hit three points on the trendline and. then you use it and unexpectedly worth no longer cares in regards to the. trendline that is because there’s actually no such thing as diagonal assist or. resistance we’re gonna talk about regular support and resistance in just a. little bit however should you actually suppose the financial institution’s really care in any respect about. support and resistance that goes diagonally you’re crazy. there’s the video and this is gonna be nice because I could talk about pattern.
Lines eternally and why they’re horrible but when there’s one thing if I do one. thing on this entire video please now and eternally. take trend lines off your charts and by no means convey them again number 10. stochastic s1950s sure you are utilizing an indicator from the Fifties as if. nothing has ever evolved since then and it’s primarily based on overbought and oversold. which already especially if you watch that reversal video you may have understood. by now that that’s not even actually a factor in forex. so I might simply actually stop right here and that might be purpose enough so that you just can. never use this again but it it doesn’t even do an excellent job of exhibiting overbought. and oversold I know inventory merchants that hate this indicator as a outcome of there it. gives so many false signals even when value is rangebound but then on prime of. that when it worth actually tendencies traders get abliterated because.
Reversal merchants are at all times on the lookout for reversals they usually’re gonna do this when. worth is trending and if value just keeps trending stochastics goes to. give you so many bad indicators that any cash you might have made during the. rangebound interval you will lose in the course of the trending interval after which some. and yes when you search for right here there’s a quick and a sluggish model of stochastics. and there is a bunch of in between versions you have to use too depend upon where you. put your settings I actually have used all of them I have examined all of them they are all. horrible on to quantity nine price ranges so this is not one thing that truly. it isn’t an actual program tool that goes in your charts but we know what. worth levels are right if you have a round number say just like the euro dollar at. a one dollar thirty cents even that’s considered a price stage and people.
Think that is an precise time limit that you should give a shit about not. the case as a outcome of in addition they say the same thing when worth ends in 50 or 20 or 80. there’s simply method too many options on the market that people inform you to use they. wait for something to truly occur after which in hindsight they say hey look. price had rebounded off the fifty stage or the twenty stage method too many choices. and so they’re probably not psychological ranges folks like to name them this. that’s not what it’s where ever heavy quantities of trading are. occurring that’s what the big banks see and if they simply so happen to happen at. one of these levels the big banks are gonna see it and they will react. accordingly however here is the thing you don’t have any idea at what value that is going. to happen the price of the euro dollar could skyrocket previous a dollar thirty.
Past a dollar thirty one after which finally bounce off one thirty two for a. little bit and all people goes nuts say hey look it bounced off this. psychological stage that does not help you. why didn’t react to a dollar thirty why didn’t it react to a greenback thirty one. you realize this would have been actually useful to know beforehand however you do not. value levels usually are not useful and so they solely look good in hindsight number eight. the CCI indicator commodity channel index is something individuals use for tendencies. and reversals it was inbuilt 1980 and it’s simply it’s simply too jerky it will get. you into everything method too fast which isn’t a good thing in this market being. too early isn’t any good being too late snow good either and it is simply method too. overreactive regardless of how a lot you attempt to clean it out it simply would not work.
It’s virtually like you know all of us have that friend or that coworker that simply. flips out over every little thing to simply utterly overreact to every. factor that most individuals would just type of write off you would not give that. individual your cash to invest he would not trust them to make good decisions and. that person is the CCI indicator and people for some purpose when he’s. reversals and use it for trends they think they discovered a means nevertheless it’s it simply. strikes means too quick and should you attempt to smooth it out you fully. Fritz out the mechanics of the indicator itself it’s I really obtained excited this. one when I first found it I thought I had some some ways to make it work I. tried every little thing and it just failed each single time. number seven help and resistance lines okay this may simply be the most. in style one of the entire 12 and it’s gonna take plenty of convincing to get.
You to take these off your chart but hear me out on this there’s simply too. many potentialities on this one there’s too many lines that could be drawn on a. chart support and resistance sensible on any given time folks use all kinds of. different timeframes even within let’s just say the daily timeframe there’s. three or 4 strains which are very easy to draw and they’re very straightforward to see. this isn’t like trend strains the place everyone attracts them completely different fairly. much if a support line goes here that is the place it goes and each single dealer. can see them way too easily now what occurs when all people can see them. everyone needs to use them and also you abruptly have turn into extremely popular you. have created a scorching spot on a chart with a lot of buying and selling motion and guess who. sees that the big banks they usually absolutely feast off of it they’re gonna.
Find what path most of those orders and most of those trays are going to go. they’re gonna trip these orders and they’re gonna take worth the opposite method. until they have knocked out each single stoploss they will this is one of the. greatest contributors to that 99 p.c quantity as a result of so many people use them. number six Japanese candlesticks 18th century what. are you doing utilizing these things they’re really easy to spot when they work so. for example a Japanese candlestick sample be like a hammer for instance but. you’re not slick you’re not the only person who saw the hammer everyone saw. it and what happens is every whenever you see. them everyone reacts to them and then the large banks go proper after you you. would possibly see a hammer that works rather well as a end result of price reversed and that’s a. very easy thing to see on a chart but you in all probability got lazy and also you missed the.
Points on the chart have been three different hammers utterly failed the banks will. give merchants a win each every so often to keep them within the sport it is known as the. blackjack concept I’ve gone over that in my huge financial institution’s video but proper now go to. any foreign money chart you want I guarantee there’s me a bunch of hammers that. did not do what they were supposed to do and also you didn’t even see them but that one. that did work seems super cool and you bought actually excited and also you ended up. setting up your self to fail quantity five and I put this one after Japanese. candlesticks as a outcome of you realize in a way they kind of go collectively however just chart. patterns in general you understand we all have chart patterns proper but they’re actually. a lot better for stock buying and selling because most chart patterns are primarily based on dealer. sentiment and trader sentiment isn’t something we actually use until we’re.
Going in opposition to it however there’s not really an entire lot of how to seek out out you realize. the place the cash goes that is the knowledge that the banks know that we. do not that is the one handicap we have however for that cause actually chart. patterns don’t really work that nicely there’s still too simple to see for the. most half if a triangle is forming on a specific currency pair you actually. do not need someone to inform you that you have two eyes you can see the triangle. is obviously forming however what’s gonna happen is traders will put orders above. and under or simply above or simply beneath however either means choose banks like to. whipsaw here in the event that they love does take those orders set off them take worth the. other way make you panic and then after you’ve exited the commerce at a loss then. they decide the place worth is definitely going to go and so they love doing this.
With chart patterns as a outcome of they’re very easy to see and traders actually like. to commerce them shifting on to number four I forgot when quantity four was oh, Bollinger. bands sure early 80s for these folks love Bollinger Bands so round 198283. one thing like that John Bollinger got here up with these and they’re closely. reliant on the whole thought of overbought and oversold which should you were watch the. reversals video you will understand is not really a factor so from the beginning this. indicator was very defective problem works fairly properly in stock buying and selling. truly you understand there are specific points where shares can get over. stretched but currency isn’t the case and a few individuals do use them to call. tendencies but when it does that it has the tendency to take you out of that trend. too early I’m a pattern dealer I want to get those actually actually lengthy runs give.
Me a ton of pips and Bollinger Bands don’t enable me to strive this because as. soon as price retraces they have an inclination to inform me okay. the pattern is over and you must exit so you must simply know by now if you’re. trading spot forex anything that has to do with a forex being overbought or. oversold or something that is gonna assist you to trade a reversal just does not need. to be in your chart to start with number three Fibonacci that is gonna piss lots. of individuals off so Fibonacci has way too many possibilities to again you would. show me any chart any timeframe I might draw about 5 or 6 Fibonacci. retracements on any chart there’s means too many potentialities and what does. Fibonacci have to it like five six strains relying on the way you set it up that is. gonna end up being a lot of traces on one chart value is gonna in all probability stability.
Off one of those lines however you don’t have any idea which one if there is any indicator. on the market that appears actually really nice in hindsight but by no means works when you do. it it is Fibonacci and it’s essentially flawed from the getgo it is based on. patterns that occur in nature and on planet earth and that just has nothing. to do with the greatest way spot foreign exchange is about up and it again it is too reliant on. overbought oversold very few folks use Fibonacci to trade breakouts or a trade. trends so good before it even goes on your chart there’s so many issues. wrong with it number two is the RSI the relative energy index again in 1978. anyone got here together and put this together for stocks and it didn’t even. work for stocks that means like most stock traders I know hate the RSI so if it. does not even work well for what it was created for it’s not gonna work actually.
Well for Forex both but this is really heavily researched closely used and. there whenever you see all these items in entrance of you there is not a surprise to me. anymore why that 99 p.c is the place it is and again it’s almost used. completely for overbought or oversold I simply hold. saying it on to primary and this would possibly surprise a few you but. as a result of I have not really talked about it but but there is a ray of sunshine to this. one and it’s transferring common crossovers so it is not horrible they have a. tendency to work in sure conditions however it’s simply not that nice either. because first off it is like seeing a hammer simply because you presumably can draw a 50 a. 100 and 200 SMA on your chart does not imply you realize one thing somebody doesn’t. you realize you’re about to make yourself a very popular when worth approaches one.
Of these ranges or when those two transferring averages cross and it just gets you in. too late I have a means that can get you in a lot sooner and that is the strategy. I’m going to talk about once I make that moving average crossover video however on. any given day I am probably coming into a development before you because you are using. moving average crossovers and you’re just getting in too late. it nearly could be a situation where it is a trade to where I’m gonna makes a. little bit I’m gonna truly make slightly bit of money and also you’re gonna. lose the trade all collectively and also you simply can’t afford to have these issues. taking place to you time and again that is the hazard of getting right into a. trade too late too early is not any good to lates no good either so as I had. mentioned earlier than I’m going to make an individual video on every single considered one of.
These you possibly can kind of see the place my headspace is and I can hopefully. particularly if you’re utilizing them right now get you away from them endlessly it is. a tough promote since you spend a lot time on and you’ve got got just performed around. with it so often and try to develop your personal techniques with these instruments however the. sooner I can get them out of your buying and selling toolbox the better and as is. going to be the case with this transferring average crossover video I am going to. offer you a a lot better possibility I’m going to do that on some of these movies and. then going ahead I’m gonna produce other movies where I launch a variety of the. really actually good tools and indicators that I really have used over the years as nicely. so if you’d like to see that and also you also want to learn some really good. buying and selling psychology and money administration tactics subscribe to the channel it’s.
Here for you I imply who else is talking about this who else is saying here are. 12 actually really widespread indicators that everyone makes use of and loves and you must. not use any of them no one but I would have by no means turn out to be a. forest prop dealer had I had not accomplished this first you actually have to remove. a lot of this stuff earlier than you can even think about transferring forward however following. the identical drained advice with the same drained old technical instruments being used. each time isn’t going to get you anywhere you want a channel like this to. allow you to transfer ahead and this is what I put collectively I even have new movies that come. out each week I actually have a podcast that comes out every week so many instructions. for you to go I’m gonna link all of it down under but either means subscribe hit that. bell and we’re gonna do some issues right here guys let’s go get it.