Forex Trend intensity indicator


Forex Trend intensity indicator

Since oscillators usually only in trendless markets, trend followers only work in trending markets, it must first be determined even if a trend exists. This can help with the trend intensity indicators are determined. If you have determined what the situation is the market, you can select the correct indicator species.

Here then is a distinction between sales volatility indicators and indicators

First Revenue indicators
To evaluate a move without the turnover is quite difficult, as can be provoked in already tight markets with few pieces of large price jumps. Hence on the basis of sales or revenues with the help of some indicators have been defined that point to specific features in the latest trends in sales or revenues.

Second Volatility indicators
Volatility measures the variability of the courses. About the direction of the courses they have no evidence, however. About Volatility indicators generally the trend in volatility is measured, and thus they give information on whether the movement of prices tends to rise or fall. Independent results these indicators usually not interesting, but they are just in the evaluation of derivatives (options and warrants), as the volatility plays a major role.

All the above types of indicators have their place, and of course their meaning. When you apply, but what with what attitude indicator, you should decide after a few tests and fictitious purchases and sales - otherwise you may pay dearly.

Tips for traders how he can use this trend intensity indicators:
First Test each indicator in different market phases and in different papers, before you use it at your trade decisions.
Second Experiment with different settings for each indicator - even on the first Look unusual settings can lead to surprisingly good results. In any case, you should record the individual results and keep - maybe yes, the indicator provides in combination with another indicator of good results. The beginner should always only work with the default settings or use a back-testing programs.
Third If you have taken out one or more indicators of investment decisions, print the chart in exactly the attitude that has brought about your decision. Baste the best expression of the order confirmation directly to your bank - you can quickly and easily so later check whether the decision was good or whether it has led to losses.
4th Never work the same with too many indicators! 3 or max. 4 indicators per chart is adequate in each case, in addition, the chart very quickly becomes overwhelming.
5th Put together for long-, medium-and short-term analysis of different layouts, which you then fall back again and again. To also ensure that you ever really use the same indicators and settings.
6th Before you actually implement the indicators generated from your buy and sell signals with "real" money, you should first run a depot with test purchases in order to test the success of your strategy.
7th Try to build from the individual indicators complete strategies.

other posts
- Free Elliot Zigzag Indicator
- Mp Overlay Mq4
- Trendenvelopes V1 Mq4
- Fibo Cal V31
- Best 1 Min Macd Settings
Previous
Next Post »
Thanks for your comment