Usually before market price move with big trend, marked with several trading signals, on of these signals is convergence pattern in Forec technical indicator.
Convergence is the situation which market price is make a new lower but not followed with bearish indicator, and if the market price go higher but not followed with bullish indicator. Normally, the market price move should be followed with indicator move either in the same trend direction of the market price.
In other words, this movement is only empty move without strength and this movement is easy to reverse. in this article we will discuss about MFI convergence.
Set your MFI with 0 as lowest level and 100 as highest level. This setting is use for identify if there is any candlestick which has close price lower than candlestick which the close price is lowest price and if there is any candlestick which has close price higher than candlestick which the close price is highest level. When the MFI higher than lowest level MFI identified as convergence pattern. And in the next moment we can open trading position.
So the same thing if there is candlestick which has closing price higher than candlestick which determined as highest level. And if MFI lower than MFI high level, called convergence.
With using this convergence theory we can take so many profits, because the convergence pattern usually used as a long trend signals.
This convergence tips is used by many forex traders around the world, and become one of the most accurate system to get profits.
Convergence trading trading success is situation when the bollinger bands trading indicator narrowing or in flatting movement.
Indicator technical custom indicator download for free
- 3 line break chart mt4
- accelerator oscillator alert
- ac indicator forex
- adaptive moving average afl
- accelerator forex indicator
- accumulation distribution indicator
0 comments:
Post a Comment
IF YOU WANT TO KNOW ANYTHING about Forex trading system, Forex indicator, Expert Advisor, etc. and you want me to write about it - YOU CAN ASK ME using comment box.