Some of the most common tools used in day trading are actively slowing down your progress. In this episode, we unmask them!

Key Takeaways:

There are an infinite number of indicators and indicator settings to use. This makes wading through these as a beginner almost impossible.

Indicators simultaneously show you too much information (causing false trade signals), and yet show you nothing new. Every indicator is simply another way of viewing what is already on the chart.

Overuse of indicators and fully systematizing a trading strategy actually creates a randomized trading strategy. There is no plug-and-play strategy that can make money or we'd all be millionaires. Because of this randomization, losing traders become breakeven traders and think they made progress. But this creates a cycle that they can never escape, because to do so would mean losing again.

If you had a money printer you wouldn't sell it for $20. Neither would that guru online. Do NOT pay for an indicator. Backtesting data is easily fudged by backwards engineering the constants in the indicator itself.

Conclusion: Indicators are just a simplified way of viewing what is already on the chart. There is nothing special about them, and there is NO combination of indicators that will ever create a winning plug-and-play strategy. They are distracting you from what will actually make you money. Price action. Remove the indicators from your chart and become intimately familiar with your chart.

Resources:

Episode on strategy: https://open.spotify.com/episode/1cqIJa3Z0WXrC3whgWyS2A?si=4d41_u4bQTeSihw_Qh5B1Q

Overdiagnosing Article: https://www.bu.edu/articles/2011/medical-overdiagnosis-bad-for-you-good-for-business/

Day Trading with Astrology: https://pro.thestreet.com/trade-ideas/yes-you-can-effectively-trade-stocks-using-astrology

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