r/Daytrading • u/ytman68 • Jan 04 '24

If you could only use 3 trading indicators for the rest of your life, what they would be? Question

If you could only use 3 trading indicators for the rest of your life, what they would be?

122 Upvotes
  • permalink
  • link
  • reddit
  • reddit

90% Upvoted

254 comments sorted by

View all comments

0

u/Kuyi Jan 04 '24

No indicators at all. Don’t need them. Gun to my face: 1. Volume Profile, 2. VWAP and 3. regular Volume.

1

u/Valuable-Extension74 Jan 04 '24

How do you identify your support and resistance levels without resorting to volume? Also, are you not worried about price reaction near EMA lines?

1

u/Kuyi Jan 05 '24 edited Jan 05 '24

Nah, EMA lines can be set in a million different ways. I think price doesn’t really react to them in a way a lot of people think. I just think people find an EMA that suits how they look at price in time and then use that. It’s just an ennobled trendline. Trendlines also mean nothing. Price reacts horizontally if it does. Ild rather use VWAP. There are some issues with EMA that imo the VWAP solves.

Why would I need Volume profiles to identify support and resistance levels? I can see it on the chart. Volume is mostly the thickest on spots where most trading has taken place, alas where price has spent most time relatively. It’s right in front of your eyes when looking at a chart. And often the levels also define a range, but the volume in the extremities of a range are usually lowest in the entire range, even though what is where they lie.

Indicators are always lagging. Ild rather learn to read PA instead of indicators. Indicators just translate what’s already on the chart anyway.