Understanding price action trends in Forex helps keep trades on the right side of the market.
Trends could be bearish or bullish:
Bearish trends: They have lower tops and lower bottoms on the chart.
Bullish trends: They have higher tops and higher bottoms on the chart.
If a trend is not present on the chart, then we have a price range – a sideways price movement.
Some ways to visualize a tendency on the chart is by using Swing High/Low Analysis, or the trend line indicator.
The trend line is applied by simply connecting the tops, or the bottoms on the chart.
When a Forex pair is trending it accounts for two types of movement:
Trend Impulses: These are the moves in the direction of the trend. They are attractive for trading.
Trend Corrections: These are the moves which lead the price back to the trend line. They are not as attractive for trading and it is not recommended to trade them if you are not an experienced trader.
One way to confirm a trend is to identify the beginning of the third impulse related to the plotted trend line.
Volumes are helpful for trend confirmation. Impulses usually happen during higher volumes, while corrections appear during lower volumes.
One way to trade trends is by combining Trend lines, MACD and the Volume indicator.
Forex Monarch es un indicador de tendencia que funciona en la plataforma MT4.
Trabaja con todos los pares de moneda y en los períodos de tiempo de 15M, 30M, 1H, 4H y 1D.
Envía señales de forex precisas de compra y venta.
Si ves una flecha azul compra y una flecha amarilla vende.
Siempre debes operar a favor de la tendencia. Por ejemplo tendencia alcista solo opera señales de Compra y si es una tendencia bajista solo opera señales de Venta.
Tiene una nueva característica única llamada Smart Exit lo que significa que se adapta a las condiciones del mercado. Si el mercado cambia y la tendencia se debilita el indicador te indica que debes salir antes ahora bien si la tendencia se fortalece el indicador cambia el Take profit para que puedas aprovechar y obtener más ganancias.
