When dealing with eminis I trade with a heavy emphasis on indicators, but not heavy on quantity. I use a simple set of 1-2 indicators that I use(depending on the market) with as much caution as I would anything else.
I know that one thing that I can't stress enough to the community is that though I rely on these trading indicators to trade I've placed a fear of overusing them. I think that my fear is important because the indicator is only as accurate as my best guess. My guess will have some basis or reasoning just as any indicator that is plotted on my chart. In the past I had a tendency to look at indicators as some sort of holy grail combination only to find out that my edge wasn't nearly as strong as I thought.
To be relevant to what I was doing I added the simple support and resistance that are at the core of every other trader. At least I believe that support and resistance plays a role in every professional successful traders move.
I know that it seems as if Chris doesn't use indicators at all, but rather micro to major support and resistance. His indicators have more relevance to what he develops on higher time frames. The reason I believe support and resistance is important to my niche is that it plays a factor in everyones niche. The price levels have some previous "attraction" that may have not been noticed by me, but played a role before. It's hard to believe there will be no interest as price approaches again.
I also found that sticking to specific ranges that surround a support or resistance plays a role in keeping the number of trades I take level. This prevents the possibility of an uptrend in number of trades taken or chopped out. I still need to focus on this in order to prevent those outlier type days, but for the most part this keeps me out of garbage. In addition to all of this, the area itself has a strong possibility of aiding in the opportunity for the trade to be profitable.
I want to stress my point one more time regarding how I look at this. I treat this as another "indicator" in terms of the fear I place within relying solely on any one favorable trading ratio strategy. I do feel that support and resistance has to have a higher win/loss rate than any indicator set I've ever used, but I've never tried to map out every possible trade. There are simply too many to try and do this and this is based on what I see every day.
What I believe to be true is the very idea or theory that no indicator is better than another. Why do I believe this? I believe this because every possible pair of or single indicator has the opportunity to fail. Some indicators when trading eminis may fail in unison while others one at a time, but never are they perfect.
FULL RISK DISCLOSURE: Futures trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones financial security or life style. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results.