Back when I was learning order flow trading I would be skeptical about how much trading and market knowledge my brain could hold. I was reading all sorts of market articles, analysis, statistics, news, forum posts, interest rate announcements, speeches etc. It got a bit overwhelming at various points. I probably thought my brain was going to fry or something. I thought it was impossible to assimilate all the various pieces of information. I thought that perhaps I needed some supercomputers, or a large research staff, or ten trading monitors. I thought of all sorts reasons why I couldn’t hold and make sense of large amounts of information. A lot of questions that I needed answered but did not know where to look despite all the information available to me.
I then remembered during my technical indicator process how I used to remember all the different moving average combos, all sorts of different technical indicators and their settings. I had to sort through all the different indicators and their settings. I had to sort through all the various information, divergences, conflicting signals, on the charts. It was information overload back in that trader stage, but eventually you get over it. You learn to only use a few technical indicators, or learn which ones are the best to use at that stage. Of course, eventually you may move into another trader cycle. But there is information overload, and thinking that your brain can’t hold or make sense of the information in any trader cycle.
Then during the chart pattern and price pattern trader cycle I had to learn and remember and then identify all sorts of chart and price patterns. Making sense of 30+ chart and price patterns is initially a challenge. You may think it is information overload, and think that your brain can’t handle it, but eventually you make sense of the information.
Order Flow Information Overload?
Then if you move into the order flow trader cycle, you go through the same process of information overload and thinking your brain can’t handle it.
It was difficult as I needed to go through the whole information overload process just one more time.
I then figured if I could learn and remember all that information about technical indicators, chart patterns, etc in my brain, that I could take it to the next level to learn and remember all the different order flow generators, scenarios, and global macro information. I could remember about option barriers, global macro, liquidity, stops, central bank intervention, news, sentiment, expectations, etc.
All I had to do was stop thinking about the things which did not generate order flow and replace them with the information and concepts that did move the markets. Then I had to put myself through a process, a system, for sorting out the information. For figuring out what information is important, why it is important, how it can be used, and when it should be used.
It is important to assess what the market is focusing on at the given moment.
It is important to assess what the market will focus on in the next few minutes, hours and days.
Not everyone is going to interpret things in the same way, at the same time, as you do, and it’s important that you understand that.
If you think your brain gets “full” and can’t handle any more knowledge, then just stop thinking about and forget about the things which do not generate order flow like moving averages, macd, stochastics, forex robots, etc.
But trust me your brain can learn and hold a heck of a lot more information that you realize. It is built to grow, expand, and realize the fundamental truths about the markets, yourself, and life. It never reaches it’s capacity.