Future indicators on Forex
Indicators of changing the direction of exchange rates in the foreign exchange markets is one of the main analytical tools used in the course of forecasting the Forex market. But since the market itself tends to develop over time, the methods of analysis are also constantly being improved. And every year there are more modern and accurate indicators that allow to reduce the error of calculations in the current dynamics of the market situation. What are the future indicators of Forex today?
In fact, the gradual improvement of analytical instruments is only the “upper part of the iceberg”. Comparing the indicators used today and those created two or three decades ago, we can note an interesting trend: the analytical methods of the past in most cases will simply not be relevant to the present day. Moreover, it is not only the methods of analysis that are being improved. Modern indicators are much more available for use by simple traders who are not perfectly familiar with the subtleties of stock exchange analysis, or with the field of mathematical calculations.
What are the indicators offered to forex traders as analytical tools today? Most of them are universal and do not require even minimal effort from the trader. They can be applied to almost any trading strategy and regardless of the duration of the selected trading period. Simply put, today almost everyone can analyze the market with great accuracy. After all, the indicators allow you to avoid mistakes in 9 out of 10 cases, minimizing the risk of losses for both beginners and experienced market participants.
Indicators of the future in the Forex market: current trends
1) X-lines is a simple and reliable indicator that makes it easy to determine the location of resistance and support levels regardless of the market dynamics. Initially, it was created as a universal tool for beginner traders. But soon the convenience of this indicator was also appreciated by the forex market corridors.
2) Triggerlines is an indicator aimed at players who prefer to trade based on moving averages. The high accuracy of this forecasting method is already multiplied here by the most modern computational methods. As a result, we have a convenient two-line indicator that allows you to quickly and accurately determine the direction of the trend at the moment. In addition to the direction, Triggerlines allows you to find the trend reversal points with a high degree of probability.
3) I-Daniella is an indicator that focuses mainly on inexperienced traders. With the help of this analytical tool you can determine the preferred direction of market entry. However, this indicator works only in a narrow direction – strictly according to the trend.
4) Bette Volume is an indicator of general profile, which is mainly aimed at professionals who prefer to build their own trading strategies based on available analytical data. With the help of this tool you can track the volume and main direction of trading operations on the market in a certain period of time. On the basis of the data obtained, it is possible to determine further development of the situation: it is not difficult to identify correction or presence of a pronounced trend in this case.
5) Real Tick Volume – an indicator focused on obtaining trade data on specific ticks. This is the information that is required by those traders who bet on the application of the theory of wave market fluctuations. And, thanks to the modern indicator, trade participants now have the opportunity to receive all the necessary data in a convenient format.
6) AO-Modern – an indicator that is a modified version of the familiar to all traders MACD. At the same time, two colors are used in the chart construction, which allows to get more visible information about the market situation, actual for the analyzed period.
7) Trend Magic is a convenient indicator that can signal a change of trend at the right time. It can be called truly universal – even a beginner can determine the changes in the chart. And to make it clearer, the creators of the indicator have provided for changes in the color of the line on the chart that determines the price movement at the monitored point in time.
8) Xprofuter Overlay – an indicator that is often chosen by beginners. Its action is based on the postulate of “mirroring” the market, based on the fact that any trading situation is a reflection of the previous dynamics of the trend. Simply put, this chart is lined up mirrorwise, from the starting point, and in some situations this indicator can really be useful. However, it is better not to take risks and use it in combination with other analytical tools.
9) GTG-Structure – indicators of this type represent one more variant on the subject of mirror models construction. However, the results he shows are generally quite convincing. In this case, it is important to select the correct settings. In particular, pay special attention to the choice of the period in which a mirror-like chart will be found. As well as determining the number of coincidences in bars and the number of bars simulated on the chart within the current forecast.
Among the drawbacks of this indicator can be mentioned in the change in the graphs after the situation ceases to correspond to the found “mirror” analogues. In this case, it is better to pay attention to a more careful control over the market dynamics, tracking the moments of changes in the chart indicators in real time.
10) CCI – Indicators of this kind are task-oriented. Namely, to determine the market reversal points and timely demonstration of the corresponding signals on the chart. Moreover, with the help of such instruments it is possible to determine not only the nearest market dynamics, but also to predetermine further development of events. However, this will require the launch of several cycles of analysis, allowing for the overlapping of graphs to provide a more detailed and accurate forecast for a given period of time
Learn more about other methods of market analysis in the series of articles in the section “Market Analysis”.