Proven Forex trend indicators, selection of the best scripts
Much has already been said about the importance of determining the main trend of Forex price movement, there are many ways to solve this problem, but the most effective is still the use of special scripts.
It is the indicators that show the trend that most accurately determine the direction of the existing trend; in addition, the scripts determine a number of other characteristics that technical analysis uses.
Such as the strength of the trend and the likelihood of a reversal, these are the ones that will help when planning a transaction.
There are a huge number of such tools, and the metatrader trading platform has more than a dozen of them by default.
In addition, there are quite a few trend indicators created by third-party developers; we will try to get acquainted with the most effective of them.
The most effective indicators showing the trend
The results obtained are displayed on the chart of the currency pair itself, in the form of multi-colored bars that repeat the trend line.
The size of the bars allows you to assess the strength of the main trend and the change in the existing trend.
The script allows you to quickly create your own trading strategy. It shows the greatest effectiveness on time intervals of no more than one hour, but can be used on longer time intervals.
The trend indicator itself and its full description are here - http://time-forex.com/indikators/forex-profit-boost
Zig-Zag – the main advantage of the script is that it can be found in literally any trader’s terminal, including a metatrader.
This once again confirms the effectiveness of Zig-Zag, because the metatrader really contains the best options for scripts for technical analysis.
The zig-zag itself is quite simple; it builds a line that follows the movement of a currency pair on a Forex chart.
At the same time, not only the trend becomes visible, but also technical analysis figures that give signals for a trend change or confirm an existing trend.
Trend indicators like Zig Zag are used both to determine the trend and to set stop loss and take profit.
You will find a detailed description of zig-zag - http://time-forex.com/indikators/zig-zag .
Ultra wizard – when considering trend indicators, one cannot fail to mention the most interesting and effective of them.
Thanks to Ultra wizard, you can find out the direction of price movement, its strength, and the probability of continuation.
The tool performs a comprehensive analysis based on five popular indicators, that is, the likelihood of error is minimized due to repeated filtering of signals.
Therefore, when analyzing, it is enough to use only this script.
You can learn more about Ultra wizard on the page - http://time-forex.com/indikators/ultra-wizard
Our website presents other, no less interesting indicators showing the trend, you can find them in the corresponding section - http://time -forex.com/indicators
In order to most accurately determine the direction of the existing trend, you should follow a few simple rules:
An integrated approach - we install several scripts simultaneously on one chart of a currency pair to filter false signals and open trades only when the received data matches.
Fundamental analysis - it will never be superfluous to know not only the direction, but also the reason for the formation of the existing trend. Therefore, we study news and analytics to identify the reasons for the current situation in the Forex market.
We control neighboring timeframes - this will allow us to notice market changes earlier and react faster to price reversals.