Trading Tools - Indicators

4 min. readlast update: 10.11.2024

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Indicators

Indicators are tools used in technical analysis, which help you analyze future prices based on historical data from a specific period. Each indicator is created using a formula that converts a data set into charts, lines and other graphical elements that are displayed on or alongside price charts. These elements provide traders with useful insights to make informed decisions.

Activating Indicators

When activating an indicator on your trading account, the lines and charts will appear on your trading preview giving a clear vision of the analytics, each indicator with its own colour. 

Indicators on the platform

1️⃣SMA

SMA is a versatile indicator used with other indicators or alone. If it's rising, trend is bullish. Open up trades. If it's falling, trend is bearish. Open down trades. When chart crosses indicator upwards, it signals uptrend. When chart crosses downwards, it signals downtrend.

2️⃣EMA

EMA is a Moving Average indicator that helps identify trend strength and reversals. Unlike the Simple Moving Average (SMA), the EMA provides more accurate, timely signals. A good time to trade is when the asset price reverses, shown by the EMA line changing direction and crossing the candlestick. 

3️⃣WMA

WMA assigns higher weights to recent prices and lower weights to past prices, making it more responsive to recent changes and less lagging than the Simple Moving Average (SMA).

4️⃣Parabolic SAR 

Stop and Reverse

The Parabolic SAR is a trend-following indicator that identifies potential price reversals. Represented by dots above or below the price chart, it signals whether the trend is bullish or bearish.

5️⃣Bollinger Bands 

Bollinger bands are an indicator that shows the direction of a trend and helps find the trend reversal point. The basic principle for trading with this indicator is trading on a trend reversal. 

6️⃣Ichimoku Cloud 

 This comprehensive trend indicator helps traders identify trend direction and strength using five lines based on different moving averages. It generates multiple signals, aiding in pinpointing high-accuracy market entry points.

7️⃣Alligator

It uses three modified moving average lines: the Jaw (blue), Teeth (red), and Lips (green). When these lines cross, they signal potential trades and form the Alligator's Snout.

8️⃣ZigZag 

It analyzes past price movements, showing trend directions and reversal points. It doesn't predict future prices but displays changes as a continuous zigzag line, hence its name.

9️⃣Donchian Channel

The Donchian Channel is created by identifying the highest and lowest prices over a chosen time period.

🔟Sentiment

Shows the ratio of open trades for an asset. The red segment represents the percentage of DOWN trades, and the green segment represents UP trades. Also called Traders' Choice, it reflects the preferred trading direction of traders.

1️⃣1️⃣Pivot Points

 

The Pivot Points indicator uses methods like Pivot, Camarilla, Fibonacci, Woody, and DM to identify trend reversals. It marks support and resistance levels, helping traders of all levels determine price benchmarks for closing trades in Forex.

1️⃣2️⃣Bill Williams' Fractals

It highlights chart highs and lows to help traders accurately identify trends. Steadily declining lows suggest a bearish market, signaling a potential down trade opportunity.

Does using indicators guarantee the trading results?

You have the option to decide whether or not to execute a trade according to the indicator. It's super easy! But super sensitive to know that indicators help with analytics but do not guarantee the results that might be affected by a lot of factors. Market add-ons are for informational and analytical purposes only. They should not be construed as investment advice or recommendations and you should do your own research and analysis.

Subscription steps

You can get the paid indicators through "Trader's Way" or through buying it in "Market" section.

  • At the left-sidebar, choose "Market," then scroll down and choose "Indicator."
  • Choose the indicator you want to use on the platform.
  • Choose the sub-account you want to subscribe through. And turn on/off auto-renewal.

Cancellation steps

Once you subscribe to an indicator, it won't be canceled till the end of the month. But you can cancel the auto-renewal at any time unless 24 hours before the renewal date.

  • On your homepage, choose "Market" then "My purchases and rewards."
  • Choose the indicator you want to cancel.
  • Turn off auto-renewal.

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