[00:02] Good evening! Welcome everyone to a new and quick video. This video is just for those who don't understand the difference between a strategy and an indicator. What's the difference between them? Because some people are indicator. What's the difference between them? Because some people are confusing things a bit. First, in very simple terms,
[00:18] confusing things a bit. First, in very simple terms, to get the idea across, a strategy is a to get the idea across, a strategy is a plan you create. It's a plan that's conditional on plan you create. It's a plan that's conditional on things you define based on your perspective or
[00:30] things you define based on your perspective or on specific data. An indicator, on the other hand, is a tool that on specific data. An indicator, on the other hand, is a tool that tells you right or left based on tells you right or left based on algorithms it's programmed with. Okay, a
[00:42] strategy is a plan drawn up in your head: if this happens, I'll do this. An indicator, however, is a tool programmed with codes like
[00:55] codes like 1 + 1 = 2. The indicator doesn't understand emotions, it does n't understand psychology, it doesn't understand any of those things. The indicator understands: if this happens, I'll show you this; if that happens, I'll show you that. A strategy is based on a decision, on
[01:13] strategy is based on a decision, on psychology, on perspective, and on monitoring, while the indicator has nothing to do with monitoring, with decisions, or with psychology.  He has mathematical equations. When they are completed, he tells you, "Here's the equation. I have it completed. What remains after the equation is for you to solve."
[01:29] What remains after the equation is for you to solve." This is the basic, quick difference between a strategy and an indicator. So, to avoid confusion, the summary is that a and an indicator. So, to avoid confusion, the summary is that a strategy is a plan you set up. If this happens, I will
[01:43] do this. While an indicator is a tool that tells you to do this based on tool that tells you to do this based on what? Based on algorithms it is programmed with. Okay, what? Based on algorithms it is programmed with. Okay, this is the basics so you can distinguish the difference between a
[01:58] this is the basics so you can distinguish the difference between a strategy and an indicator. Now, regarding the market chart we are working on, what is the difference between a strategy and an indicator? On the right, I have the gold chart, and on the left, it is also the gold chart. But on the right, we will apply what is a
[02:14] strategy, and on the left, we will apply what is an indicator. To understand the difference between them, let's start with the strategy. The strategy on the right is a plan.
[02:27] We said plan. What does that mean?  My own perspective, based plan. What does that mean?  My own perspective, based on certain data that is in front of me, is that I want to draw up a plan based on it. For example, what does the current chart in front of me say about my work strategy
[02:41] ?  It says the price is currently at this point, and when I looked to my left, I saw a liquidity point here. My strategy is that if the price drops and pulls down the
[02:57] My strategy is that if the price drops and pulls down the liquidity zone, then returns above the same liquidity zone and closes there, retesting it, the price will rise. Therefore, I
[03:12] will take my trade from this retest point, and my stop-loss will be below the last low it reached after the liquidity was withdrawn. My target will be either
[03:25] liquidity was withdrawn. My target will be either 1-1 or 2-1. This is what I've done now; it's a strategy, a plan I devised based on the
[03:37] chart in front of me, plus my existing knowledge, what I've studied, what strategies I have, and what my market experience has shown me. Based
[03:50] on all this data, I was able to draw up this plan, which tells me that if—and pay attention—the plan, which tells me that if—and pay attention—the price drops and pulls down this liquidity, then returns
[04:04] price drops and pulls down this liquidity, then returns to the top of the zone and closes above it, and then retests it... to the top of the zone and closes above it, and then retests it... Testing it, I'll enter. You saw how we talked, if then, Testing it, I'll enter. You saw how we talked, if then, then, then I'll enter. Why? Because it's a plan I've devised. It's the
[04:19] strategy. A strategy is a specific way of working. Through it, I read the charts, specific way of working. Through it, I read the charts, and of course, there are many strategies, and the market gives you the opportunity to be and of course, there are many strategies, and the market gives you the opportunity to be creative with strategies.
[04:33] For example, someone else might come and tell you, "My strategy is different from yours in this chat. My strategy is that when I see the price falling like this, when I see the price falling like this, giving me lower peaks and troughs, I draw a trend line like this and
[04:48] giving me lower peaks and troughs, I draw a trend line like this and wait for the price to wait for the price to rise and break through this trend line, then retest it. rise and break through this trend line, then retest it. When it retests it, I enter. So my
[05:01] entry trade is from this point, and my stop-loss point, and my stop-loss is below this trough, and my target is, of course, one to one or two to one, depending on your financial management. This is the strategy; it differs
[05:17] from person to person. Someone might tell you, "My view is that if the price falls and pulls the liquidity out here and rises and if the price falls and pulls the liquidity out here and rises and retests it again, I want to..."  Then someone else will come along and tell you, "No, I want to draw a trend line and wait for the price to break through it.
[05:32] When it does and retests it, I'll enter." That's the strategy. It's based on the knowledge you have, on the data in front of you. Based on that, you draw up a
[05:46] of you. Based on that, you draw up a complete plan: when to enter, when to exit, how to enter, how to exit, why to enter, complete plan: when to enter, when to exit, how to enter, how to exit, why to enter, strategy. You've probably come across the term "strategic plans." A
[06:01] strategy is a technique I use. It has clear points: A, B, I want to enter here, exit here, if this happens, I'll do this, if this happens, I need
[06:13] this, if God forbid this happens, I need this. That's the strategy—your complete plan. Okay, so how is an indicator different from a strategy? An strategy? An indicator is a tool. This tool is programmed;
[06:29] indicator is a tool. This tool is programmed; it's code. 1 + 1 = 2. If this happens, then this will happen. For example, with an indicator, you don't...  You have to draw a plan like this. The indicator is waiting for a firm decision. For example, I'll use this indicator, the Golden
[06:46] Cross. Okay, what does this indicator tell you? If I have a crossover through price averages, I enter. So now you, as a through price averages, I enter. So now you, as a person waiting for a decision from the indicator, what do
[07:01] you want the indicator to do?  You need to wait for an upward movement like this, and these two lines are price averages. The red line breaks through the green line and closes above it, then you go up with the price, just like what happened
[07:17] here. The red line closed, then it closed above the price, then the red line closed below the above the price, then the red line closed below the price. What is it?  The indicator here gives you a price. What is it?  The indicator here gives you a decision to enter or exit. Here it gives you a decision to
[07:31] enter a short trade. Here it gives you a decision to enter a long trade. Here, for example, it gives you a decision to enter a short trade, a enter a long trade. Here, for example, it gives you a decision to enter a short trade, a bearish trade. So here you don't have to create a plan or a strategy. You don't have to get lost in the maze of "if this happens, I'll
[07:46] the maze of "if this happens, I'll do this, if that happens, I'll do that." No, do this, if that happens, I'll do that." No, the indicator is a tool that gives you an immediate decision based on what it's programmed with. You understand that when I run the indicator, if I get a death
[08:04] bearish trade. If I get an upward cross, I want to take a bullish trade. You wait for another downward cross, then I want to take a bearish trade, and so on. and so on. For example, let's say another indicator.
[08:18] For example, let's say another indicator. If it gives you a sell signal, you want to enter a bearish trade. If it gives you a buy signal... For example, if you want to enter a bullish trade, this is the indicator. An indicator is a tool that tells you to
[08:34] buy here and sell there. You don't need a strategy, but what you need to do is manage your capital. Whether you have a strategy or an
[08:47] indicator, capital management is crucial. No indicator or strategy will provide you with capital management skills. Capital management is about you, how you manage your strategy will provide you with capital management skills. Capital management is about you, how you manage your
[09:04] capital, how you approach money, how you take risks, and how you react to the market and its movements, react to the market and its movements, whether fast or slow. I don't want to make this video too long, but I wanted to quickly explain the difference between a strategy and an
[09:20] indicator so you understand the difference. If you'd like me to help you a little more, I If you'd like me to help you a little more, I
[09:32] could give you a real-life example: one person has a strategy, and the other has an indicator. How do they handle their situation? For example, let's take our friend Ahmed. Let's say For example, let's take our friend Ahmed. Let's say Ahmed does this every day when he goes out in the morning. He takes a
[09:47] spare jacket and keeps it in the car so that if it suddenly gets cold, he can put it on the car so that if it suddenly gets cold, he can put it on and pay. This is Ahmed's strategy. His strategy is to always keep a spare jacket with him so that if it gets cold when he goes out, he can put
[10:03] it on and pay. Our friend Ali, for example, doesn't have a strategy. Our friend Ali works based on an indicator. What is his indicator? Ali wakes up in the morning, opens his phone to the weather app, and if it says the weather is sunny today, he wears something summery and goes out. If it says the
[10:18] weather is rainy today, he wears something wintery and goes out. Our friend Ali might go out wintery and goes out. Our friend Ali might go out wearing something summery, and then the weather suddenly gets cold. He isn't calculating whether his calculations are correct or not, so he made his decision based on the indicator. The
[10:35] indicator told him the weather is warm, so he should wear something summery and go out. The indicator doesn't know what will happen later; it only tells you what to do at that moment. So our friend Ali wore something summery because the indicator told him the
[10:47] weather was nice today, so he went out.  The weather stays nice all day, then suddenly turns cold, who knows? But our friend Ahmed... well, our friend Ahmed has a strategy, a plan. He's telling you, I'll wear whatever I
[11:00] want, but I'll take a jacket as a precaution. If the weather stays nice, I'm all dressed up and everything's fine. If the weather stays nice, I'm all dressed up and everything's fine. But if it suddenly gets cold, I'll have to put on my jacket and I'll have to pay. So that's the difference between a strategy and an indicator. I don't want to keep
[11:16] you any longer. See you in a new video, and thank you very much.