Why I Day Trade Futures Naked: Futures Trading Indicator Failure

Futures Trading Articles

Naked Futures Trading
Futures trading is a very cut-throat business; a zero-sum game. For every buyer there is a seller, and for every successful outcome, there is an unsuccessful outcome. It is no secret that the majority of traders will inevitably fail and leave the market after losing most or all of their money.

This fact scares a lot of people and because of such, they tend to become Holy Grail searchers like Nicholas Cage in “National Treasure.” I guess the thinking is that if most people fail, then they need to find an edge to help them. You may have searched for hours for the promise of trading riches. After searching for many hours and probably days, you stumble upon the best system with the newest proprietary indicators that promise riches. If most people fail then why would you trade a system that you created yourself, or a system that is simple. Now, does the system live up to the hype and fulfill on its promises? Of course not, or you wouldn’t be reading this. The process is then repeated over and over until you either become fed up or lose all of your money. There is a distinct correlation between proprietary indicator systems trading, and traders failing and leaving trading. I think this stems from the employee mentality where your employer gives you the tools for your work. In trading, it is you by yourself and no one else who cares if you are successful or not.

Now, I am not saying that all futures trading indicators are bad, but this is precisely why I trade naked. Indicators only tell you what price has already told you, so I see them as a way to remain behind the information curve. They also take up valuable screen space and convolute the decision making process. When you wait for confirmation of an indicator cross, does that mean you are always buying bottoms and selling tops? No, and a lot of times it is the opposite. The fact is that price is king, and everything else is just a pawn. There is nothing else that can predict short-term moves in the market. Ask yourself this, do big institutional traders around the world have some magic combination of indicators they use or do they have a solid understanding of price movement? I do not think I have to even answer that question.

So where do you go from here? Have you ever wanted to understand how and why the market moves, and more importantly how to recognize high percentage setups real-time? If you have been struggling in this market why not try something the big traders use… price action. In our live futures trading room, you get to hear us call our personal trades live, and our complimentary futures trading course will give you the understanding of what, why, when, where, and how to look at the market so you can do it on your own. How often do you find those willing to teach how they trade raw price data? Our futures trading course details every intricacy of our system with over 15 hours of video, set up to take you into the top 5% of traders. If you would like more information, check out our e mini trading course.

Entreprenuer, Trader and Philanthropist

Matt Dye, Founder of ABusinessWithTrading, is a professional trader who specializes in trading price action. His mission is to empower traders through education, and every month attracts readers across 50+ countries. To discover more about Matt’s Price Action Strategies, visit his Trading Courses page.