redbacker's tale of two economies friday, page-49

BigD

Its a simplistic idea and just based around bulls seeing well above 80 and lows at around 20 or higher and vice versa bears going well below 20 and highs at 80 or lower.

The RSI helps too on above or below 50.

I know people who just trade on a single indicator like RSI so you don't need complex systems to succeed.

Of course it depends on the time frame in which you wish to trade.

I believe you can trade just on monthly close prices alone if you want to be less active. In that regard you can use BB's or certain moving averages.

So there is no magic, just deciding what time frame you chose.