It is important to identify whether the market istrendingorrangingand to employ indicators suited to the purpose: trend indicators for trending markets and fastermomentum oscillatorsfor ranging markets. Moving Average Systems Moving averages smooth price data, representing the trend with a single line....
A viable strategy is to add two or three DEMAs with different trackback periods and trade their crossovers (just like ordinary moving averages). Apart from its usage as a stand-alone indicator, the DEMA can act as a complement to other indicators used for trending markets (MACD, Parabolic S...
Broadly speaking, technical indicators are applied to two main market environments: trending and sideways markets. In a trending market, prices move consistently in one direction, either up or down, making trend-following indicators like moving averages,MACD, and ADX useful. In a sideways or chann...
the Currency Strength Indicator (CSI), helps you analyze which currencies are oversold, overbought, correlating, and trending, the MSI or Market Strength Indicator does this also, but in this case, for all markets, including stocks, ETFs, futures, and cryptocurrencies, but with one key difference...
and much more. While its sister indicator, the Currency Strength Indicator (CSI), helps you analyze which currencies are oversold, overbought, correlating, and trending, the MSI does this also, but in this case, for all markets, including stocks, ETFs, futures, and cryptocurrencies, but with ...
the Currency Strength Indicator (CSI), helps you analyze which currencies are oversold, overbought, correlating, and trending, the MSI or Market Strength Indicator does this also, but in this case, for all markets, including stocks, ETFs, futures, and cryptocurrencies, but with one key difference...
To add further complexity, markets spend over 70% of their time in congestion, moving sideways in a narrow range. The traders worst enemy. What's the answer? Step forward - the Quantum Trends indicator. With this simple and elegant indicator, dynamic trends are painted for you instantly and...
Consider market conditions when trading. Trend following strategies tend to work well in trending markets but can incur losses during sideways or choppy markets. It’s prudent to implement filters, such as only trading when the market is trending based on lower time frames, or avoiding trades dur...
For example, there are Forex trend indicators that show overbought and oversold areas and also help predict price bounces. But this kind of indicator works well only in trending markets, while oscillator indicators work better during price movement in a range. It may seem like there is no ...
This two-tiered confirmation is necessary because stochastics can oscillate near extreme levels for long periods in strongly trending markets. And, while 14,7,3 is a perfect setting for novice traders, consider experimenting to find the setting that best fits the instrument you are analyzing. For...