February 19

Fractals Indicator

[sociallocker][contentblock id=1] [/sociallocker]

Some individuals often believe that the money markets are random.

While others think that though prices may occur randomly, they still adhere to a distinct pattern in trends.

In essence the fractals indicator happens to be one of the most viable ways of ascertaining the direction of these trends.

By their ability to conveniently break down larger trends into much simpler and more predictable reversals patterns.

You can think of fractals as recurring patterns that can accurately predict reversals among much larger as well as disorganized price movements.

These indicators are for the most part identified by two rules, which are; a bearish turning point that happens when a pattern with the highest high sandwiched between two “lower” highs.

Or a bullish turning point occurring when a pattern with the lowest low is sandwiched between two “higher” lows.

The fractals indicator is mainly used by traders as a confirmation tool, and is commonly utilized alongside indicators.

This goes a long way in enabling traders to accurately determine if a reversal has occurred.

One of the most widely used Forex market indicator that takes into account fractals geometry happens to be the alligator’s indicator.

The standard rules of using this analysis tool is to buy beneath the alligator’s “teeth”, which essentially is the center average.

And sell above the alligator’s “teeth” .

It is however important to take note of the fact that that the fractals indicator is usually lagging, and cannot be accurately drawn until two days after a reversal.

As well as the fact that the longer the time period (ideally the number of bars needed for a fractal), the more reliable the reversal will be.

All in all, as a rule of thumb you should always use this indicator along with other indicators to effectually analyze the money markets’ trends and not by itself.

 

 

 


Claim Your $60 No Deposit Bonus Here

All you need is to have your live account verified!
Of course, you need to open a live account...

2 Brokers that we like A LOT!
USD30 from each Forex Broker Below.
Both Forex Brokers have excellent rating!

Broker #1

Broker #2

We use both of these brokers and proudly promote them!

NOTE: Not all countries qualify for these bonuses. Terms and Condition Applies.

Other Analysis Today

Tags

Fractals Indicator


You may also like

GBP/USD Daily Price Forecast – 28th March 2024

GBP/USD Daily Price Forecast – 28th March 2024

GBP/NZD Daily Price Forecast – 27th March 2024

GBP/NZD Daily Price Forecast – 27th March 2024
Leave a Reply

Your email address will not be published. Required fields are marked

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}

Use this Bottom Section to Promote Your Offer

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim 

Advanced Forex Strategies