Podcast:

Good Forex Trading Does Not Need To Be Complicated

In this video:

00:27 – Traders send me their complicated Forex charts

00:58 - Initially you think that the indicators tell you the answer

01:55 – You need to look at the price and remove the clutter

02:57 – Only look to trade upon the completion of a candle

03:30 – Don’t get overwhelmed with news events

04:31 – My Christmas sale is now live – see the link below this video

Good Forex Trading does not need to be complicated. In fact, the more simplified approach you have, the cleaner your charts, probably the better you'll do. Let's talk about that and more right now.

Hi, Forex Traders. Andrew Mitchem here, The Forex Trading Coach. Today is video and podcast number 207.

Traders send me their complicated Forex charts

I want to talk about an issue that so many people have. You see, people come to me and they show me screenshots of the way they're currently trading. It kind of just blows me away in terms of how difficult people make their trading, and unnecessarily difficult. We've all been there, haven't we? I know when I started trading I was looking at all sorts of different indicators. I was printing out, reading about them. It was just ... The indicators were everything.

Initially you think that the indicators tell you the answer

They look really impressive, especially when you're new to trading, and you kind of think that they tell you the answer. Little do you realize that all they've done is made an accumulation of previous price action and plotted it on a graph somewhere, so they all lag time pretty much.

It's a real hard thing to get your head around, especially when you're new to trading because they do look really impressive. You think that your trading needs to be complicated. You think you need lines and arrows and stars and filled in bits all over the place. What you end up over time is realizing that, one, it doesn't work and what you also do is get a headache because you get confusion. You have different charts telling you different things and you really, you get the analysis paralysis, you know what I mean. Just Google complicated Forex charts and it'll be lines and squiggles all over the place.

The problem is that when you have more of these lines and squiggles you can't actually see the real important thing. That's what's happening in the price right now.

You need to look at the price and remove the clutter

Look at the candle patterns, look at the price that they are at. That's the important thing. Get rid of the spaghetti, all the lines and complicated stuff, it doesn't help you, believe me. Start with the basics, look at the price. What's the price telling you? What part of the chart is that in right now? Is that looking like a trend's going to continue? Is it looking like trends are back to reverse? Has it hit a prior support and resistance level? When it the price it's at now, like, a long time ago or more recently, what did it do then? Did it hit that level ... Let's say it's in a up trend. Did it hit that level and then continue up? Did it hit that level, form a reversal bar, and then head down again?

Look at what's happening in the market right now. Look at what happened at that same price level a little while ago. Put that together and you'll really help yourself with your trading. You don't need to complicate your chart. Simplify your chart, simplify your trading, simplify your life, it means you will enjoy your trading a whole heap more.

Only look to trade upon the completion of a candle

The other tip that I will give you is make sure that you only look at taking a trade on the completion of a candle. If you're trading a daily chart, for instance,