If You Had To Choose Only 3 Technical Analysis Indicators...
Technical indicators have been around for as long as I can remember - from initial excitement at my new-found 'discoveries', to becoming a die-hard almost religious advocate, to [eventually] learning a lot of humbling, hard-knock home truths about their limitations.
From old favorites like RSI, Stochastics, MACD, Elliott Wave, Fibonacci lines, Gann angles, and candlesticks, to modern day twists on ATR and Chaikin's volatility, it seems traders still get caught up in using the spectrum of fancy indicators, as the sole basis upon which to make trading decisions - especially early on in their learning curve.
My own approach is the combination of fundamentals - finding the right stocks to trade based on company growth and value screeners - plus some limited technical analysis on the broader S&P 500 index (purely to improve entry-timing on select stocks and as a timing instrument to hedge long positions when the S&P becomes overbought).
If you had to rely only on technical indicators and nothing else, and were given a strict limit of three indicators to choose from, which specific indicators would you depend on?
Shiraz Lakhi
Technical indicators have been around for as long as I can remember - from initial excitement at my new-found 'discoveries', to becoming a die-hard almost religious advocate, to [eventually] learning a lot of humbling, hard-knock home truths about their limitations.
From old favorites like RSI, Stochastics, MACD, Elliott Wave, Fibonacci lines, Gann angles, and candlesticks, to modern day twists on ATR and Chaikin's volatility, it seems traders still get caught up in using the spectrum of fancy indicators, as the sole basis upon which to make trading decisions - especially early on in their learning curve.
My own approach is the combination of fundamentals - finding the right stocks to trade based on company growth and value screeners - plus some limited technical analysis on the broader S&P 500 index (purely to improve entry-timing on select stocks and as a timing instrument to hedge long positions when the S&P becomes overbought).
If you had to rely only on technical indicators and nothing else, and were given a strict limit of three indicators to choose from, which specific indicators would you depend on?
Shiraz Lakhi
