(ask) what great indicator for you

[zupcon]

Originally Posted by oilfxpro

In the atttached chart there are so many lagging and false signals from all the different indicators, but if you put them all in one great indicator, I'm sure a lot of those false signals would be eliminated or reduced ...

OILFXPRO

Personally I feel that it's perhaps a rather naive and simplistic viewpoint, assuming that you can allocate some sort of "score" based on multiple indicators that may or may not be simultaneously giving a signal.

I'll point out a few problems with this approach, firstly, there's a fairly high degree of multi collinearity in the indicators that you've quoted, so combining two or more together gives you absolutely no advantage. The first job is to ensure that your playing with independent variables, and as most indicators are based on price.... well you either understand what this means or you don't, I ain't going to hand it to you on a plate.

The second problem of course is that the indicators that you combine are still lagging !

However all that said, IF your playing with independent variables, and you understand a bit of basic probability calculus, a probabilistic approach with standard indicators can be useful.

Originally Posted by oilfxpro

If new TRADERS are using indicators ,I suggest using only one or two indicators ....ones that are non lagging and predictive

OILFXPRO

This statement pretty much gives the game away. I shall say this only once, There are NO predictive indicators. There are technical set ups that indicators can assist in identifying, but this is in no way predictive.

[oilfxpro]

Originally Posted by zupcon

This statement pretty much gives the game away. I shall say this only once, There are NO predictive indicators. There are technical set ups that indicators can assist in identifying, but this is in no way predictive.

Hi Zupcon

The title of this thread is "what great indicator for you?".So I started some discussion and stated the indicator great for me.

These great technical set ups will work better in conjunction with support and resistance and trending markets and they can all be coded into an indicator.A bullish engulfing candle applied in a trending market will work better than in a non trending market.Combine with stochastics oversold levels ,a bullish engulfing candle and lower support level plus longer term trend and there is a more effective indicator with better signals

OILFXPRO

[zupcon]

For what its worth I agree with you 100%

regards
zup