Basic trend parameters.

According to many traders, for successful Forex trading it is enough to simply know and be able to determine the basic parameters of a trend.

As practice shows, not all beginners realize that in addition to the direction of the trend, there are a lot of other, no less important indicators.

The main ones are the minimum and maximum price, the magnitude and frequency of correction, support and resistance levels, strength, volatility and of course the direction of movement.

In most cases, for a successful transaction it is enough to determine the listed indicators, although it should be noted that when trading Forex there are some features in this process.

Minimums and maximums - or minimum (maximum) price values ​​for a certain period of time.

For example, over the past five days, the price of the EURUSD currency pair reached 1.3575 and dropped to 1.3010, these will be the highs and lows for the last five days. If the price overcomes one of these values, the likelihood of it moving in that direction will increase significantly. Support and resistance levels are built on the basis of at least two minimums and maximums, making it possible to assess the dynamics of price movement.

Corrections or rollbacks are reverse fluctuations in the exchange rate, sometimes occurring with enviable regularity, making it possible to choose the most successful point to open a transaction.

The strength of a trend is the probability of a continuation of an existing trend; in the stock market it is determined by the amount of supply and demand for an asset; in Forex it can only be measured conditionally based on the fundamental factors that caused the trend.

The closer the event that causes the new trend, the stronger it is. Volatility - the range of price movement, allows you to see the overall picture of the market and assess the level of risk of transactions.

Trend direction - the indicator on the basis of which the direction of the transaction is selected, is individual depending on the selected time frame.

Try to analyze the existing trend for all the listed indicators, draw conclusions based on the data obtained, open a deal, and improvement in trading performance will not be long in coming.