What you need to know about trend indicator

[Kaffyfolla]

Trading in the direction of a strong trend reduces risk and increases profit potential. The average directional index (ADX) is used to determine when the price is trending strongly. In many cases, it is the ultimate trend indicator.

 

[GoldenLady]

A trend indicator is a technical indicator that is used to determine the direction of the forex market. There are numerous factors that influence the market trend's direction. As a result of these variables, the trend has shifted. Trend indicators were employed by forex traders to make profitable trades. The sorts of trend indicators are as follows:

Price Action
Price is a crucial factor to consider. All of the indications point to the market's pricing. The higher highs and lower lows of the trend in the price chart must be understood.


The Moving Average (MA)
This is another forex trend indicator. When the price is above or below its moving average, it indicates a bearish or bullish market. The slope of the moving average can be used to calculate the magnitude of the trend on the chart.

The parabolic Stop and reverse(PSAR) .This is mostly used to determine a short-term trend, as well as to enter and exit trades, as the name "stop and reverse" suggests.

There are many indicators to pick from, and for best results, choose one that matches the market style.

I've found that every trader has his/her style. The best however use fewer indicators most of the time and I've found it to be better to. The EMA is one I use a lot.

 

[Niftyyem]

This is crucial information to have as a trader and not just in Forex but also cryptocurrencies. Both markets can be volatile especially Cryptocurrencies, so having these tools helps to make better decisions in trade.

 

[kinqzbitz]

The indicator guides one in the forex business,it serves as a guideline or as a tool which enables the forex handler to know more about when to trade and when not to

 

[Kaffyfolla]

The indicator guides one in the forex business,it serves as a guideline or as a tool which enables the forex handler to know more about when to trade and when not to

Yes you are right,Trading in the direction of a strong trend reduces risk and increases profit potential. The average directional index (ADX) is used to determine when the price is trending strongly. In many cases, it is the ultimate trend indicator

 

[CeeJase]

A trend indicator is a technical indicator that is used to determine the direction of the forex market. There are numerous factors that influence the market trend's direction. As a result of these variables, the trend has shifted. Trend indicators were employed by forex traders to make profitable trades. The sorts of trend indicators are as follows:

Price Action
Price is a crucial factor to consider. All of the indications point to the market's pricing. The higher highs and lower lows of the trend in the price chart must be understood.


The Moving Average (MA)
This is another forex trend indicator. When the price is above or below its moving average, it indicates a bearish or bullish market. The slope of the moving average can be used to calculate the magnitude of the trend on the chart.

The parabolic Stop and reverse(PSAR) .This is mostly used to determine a short-term trend, as well as to enter and exit trades, as the name "stop and reverse" suggests.

There are many indicators to pick from, and for best results, choose one that matches the market style.

Over the the years I have learnt about how to trade on cryptocurrency and also how to analyse the indicators to know when to trade and when to pull out of the trade but in some cases those trend indicators don't obey the rules they are supposed to.

 

[Lens]

When you come to forex trading I don't really know much about it because I'm still only interested in cryptocurrency trading but with time I'm going to dive into forex trading and know exactly what to do to be able to earn money from it.

Honestly, if you know much about forex, you could use the knowledge to predict accurately the price movement of the cryptocurrency of your choice. Most especially, the use of candlesticks charts.

 

[greenie]

This is a very essential tool that needs to be used by all forex traders. With this tools they will be able to know the market movement and know when to enter the market and when to leave the market.

 

[Kaffyfolla]

Trend indicators tell you which direction the market is moving in, if there is a trend at all. They're sometimes called oscillators, because they tend to move between high and low values like a wave. ... Momentum indicators tell you how strong the trend is and can also tell you if a reversal is going to occur.

 

[Genie01]

Not all indicators proffer solid data to back up their claim most just publish mediocre junks use only renowned world indicators if you want to be taken seriously

That's the truth,
Indicators can cause one to be in a loosing trade due to inaccurate or incomplete information
This would affect profitability

 

[UsmanAmoyo]

The skill of identification of trend and trading in it's direction is the best skill to have as a trader
I reduces risk of loss and increases the tendency of profiting

 

[Floura]

Seriously you don't need any indicator to tell you the trend of the market, if you know price action you definitely don't need all those stuff's, knowing price action is very important.

 

[Ofonime6]

Indicators have better roles to play when its come to the forex market so I think that some indicators like macd and rsi seems to be of great value to me so I think that understanding indicators very well is very important

 

[Genie01]

Seriously you don't need any indicator to tell you the trend of the market, if you know price action you definitely don't need all those stuff's, knowing price action is very important.

Understanding Price action is the very key to success in forex trading.
These indicators are lagging in information and could just make you misinterprete Price

 

[UsmanAmoyo]

Seriously you don't need any indicator to tell you the trend of the market, if you know price action you definitely don't need all those stuff's, knowing price action is very important.

Trading with indicators would could hinder one from making good amounts of profits.
The truth about indicators is that they give signals after the move has already sufficed.

 

[ghxstvecna]

Any Forex trading platform is offering a bunch of technical indicators, from simple to complex ones. They are generally being split into two categories: trend indicators and oscillators.

 

[Lynaia]

Well for people that are into forex trading, i know that trend indicator will be very important for them. Even profession traders combine market knowledge with technical indicators to prepare the best trading strategy.

 

[tray59]

Some trend indicator are so useful but I think that some of them are complicated to use mostly for newbies traders you need to undergo series of training to stay on the safe side

 

[Floura]

Understanding Price action is the very key to success in forex trading.
These indicators are lagging in information and could just make you misinterprete Price

That's true, if you understand price action you'll definitely earn a good amount of money on the forex market but some people prefer to use indicators which is not good.

 

[UsmanAmoyo]

Well for people that are into forex trading, i know that trend indicator will be very important for them. Even profession traders combine market knowledge with technical indicators to prepare the best trading strategy.

I know of very good professionals that have mastered the market and themselves to the extent they don't make use of any indicator or technical tool on their charts.
The bottom line is to do what works for you.