It certainly seems to me that every time a new trader wants to learn more about trading forex, they will concentrate solely on using indicators, such as stochastics, MACD, moving averages among the other generic indicators that most traders use.

What eventually happens is that is all you see on their trading charts: indicators. It really never dawns on them that they are not trading correctly. Sadly, trading with price action never comes to their mind. Many traders get scared when they hear the concept, and think only smart people can trade it. They would prefer just using their indicators to tell them which way the market is headed. However, they really dont know which way the market is moving.

The thing is when you are trading with indicators, its a lot like trading with other peoples signals. You are only hoping that the information they are giving you is right. The reason for this is because you dont actually understand the REAl reason why you are taking the trades that you are taking. All you hope is that the indicators formula is accurate.

But the real beauty of trading forex with price action is that once and for all, you are able to eliminate these useless tools, and you are able to see the market the way it was initially intended: without the need for indicators.

Many times when traders use indicators, one of the biggest hiccups for them is when two separate indicators are giving opposing signals. For example, the MACD could be signaling a buy, while the Stochastics are signaling a sell.

With so many traders not really grasping what price action is all about, they are held hostage with these indicators, as they have to wait for them to match in the same trading direction.

You can understand that this can certainly be an awkward position for a trader. After all, you are sitting there waiting for some random lines to match to take a trade, which you dont really comprehend, what these lines even mean.

What I want you to do is that the next time you start trading with indicators, think about the New York Stock Exchange, and think about the fact that the majority of the traders on the floor dont even use charts, much less use indicators.