Market Way indicator
One classic technique for Forex technical analysis is the combination of a trend indicator (e.g. MACD) and an oscillator (Stochastics or RSI are popular). The agreed or mixed movement of these technical instruments allows to determine the overall dynamics of the market and to specify the moment of opening the position.
Experienced traders are used to displaying the described elements on one, common screen; If you look at the standard location of the indicators with a fresh look, there are two disadvantages of such a system:
Individual indicator windows occupy most of the useful information space on the sales screen;
Separate placement of tools involves independent, "manual" search for entry points.
The following assumption is natural: why not optimize such a mechanical task? The Market Way indicator is such an attempt.
Characteristics of the indicator
Platform: MT4, MT5.
Trade tool: any.
Trading time: relevant regardless of the length of transactions.
The Market Way indicator has 4 variables:
IdMain is responsible for the value of the main, trend line of the indicator (on the graph marked with points);
IdBull, IdBear define bovine and bear line parameters, respectively;
IdArray indicates the smoothing option that applies to all the above designated lines.
By default, the indicator developers set the universal value to 12 for all variables. As tests have shown, the use of standard values offers correct entry points.
How does the indicator work?
The Market Way indicator combines several layers of market information at once. First of all it:
Combines the trend indicator and the oscillator in one window, which facilitates the detection of signals and, accordingly, the entry into the market.
Measures bearish and bullish pressures that reflect the state of "overbought" and "resale" in the market.
How to use in trade?
In the case of a purchase order, the histogram must show an upward trend;
For short position - downward.
It is recommended to close the deals offered by Market Way according to the current static levels for the selected trading instrument. You can define them by using your own graphical analysis or by using the X Lines indicator to automatically determine price levels.
From the examples given, it is clear that the Market Way indicator is primarily designed to accurately determine the entry point to the market - and it is brilliant at this task.
Market Way not only correctly defines the next market movement, but is also highlighted by the rapid signal response rate.
In most cases, we get it directly at the local endpoint. An additional advantage of this indicator is the easy visual display of market analysis in one window. Perhaps you will be interested in the ZigZag indicator for trading.