Do you use similar indicators?

[Rambo35]

I have seen so many charts where people add indicators which tell them the exact same thing. I trade essentially naked and focus on price action, but I have been shown so many charts where traders clutter it with indicators and often with a similar indicator which makes no sense to me at all.

Those who use indicators, please take the time to fully understand them before you create a trading strategy which incorporates them. Trading an asset based on an analysis you don’t understand only leads to losses.

 

[Pharaoh]

Overcluttering charts is a common mistake. On the other hand, there can be legitimate reasons for using 2 different indicators that are supposed to measure the same thing. If they disagree, that's a good time to take a very close look at the situation. Maybe one is giving an earlier warning of a market shift, or perhaps one is more likely to give a signal a bit prematurely under some conditions.