Multi TimeFrame Currency Meter
- Indikatoren
- Nesimeye Oswald
- Version: 1.6
- Aktualisiert: 16 September 2019
- Aktivierungen: 5
This Currency Meter Calculates Strength Using a currency basket of 28 pairs?
This Currency Meter uses a basket of 28 currency pair to define strength. This is very important because it gives an wholesome view of the strength of a currency by considering its reaction to all major currencies paired with it.
This Currency Meter is Multi-timeframe!!!
Majority of the currency strength indicators around the market today only has a single time frame view. Even with the so called multi-timeframe versions, they provide a list of time frames for you but you will still only be able to view a single time frame per chart.
This indicator shows currency strengths of different time frames in one chart thus giving you a clear picture of the long and short term sentiments of the market in a single view.
Another Awesome About This Currency Meter is Multi-timeframe Averaging!
The final strength displayed is an Average strength of 3 time frames. Why is this important?
While a long term trend might define the short term market sentiment, yet the short term sentiments is what builds the long term. I have seen several cases where a single news release changes the direction of a trend indefinitely. Thus to clearly define the currency strength, you have to consider both Higher Time frames and Lower time frames.
Information You Can Get with This Currency Strength meter
- Direction of a trend: By comparing the strengths of the two currencies in a pair, the direction of that pair can be easily deduced. E.g EUR=7.9, USD=2.9. Then EURUSD is in a bullish trend because EUR is stronger than USD.
- Strength of a trend: The strength of the trend of a particular pair can be simply deduced from the difference between the values of the currencies that make the pair.
Example 1: AUD=6.0, USD=5.9. The difference is just (6.0-5.9=0.1). This is a very weak trend.
Example 2: AUD=8.0, USD=3.0. The difference is (8.0-3.0=5.0). This is a very strong trend. - Volatility: With the difference between the currencies in a pair, you can easily deduce the volatility of that pair. A difference less than three (3.0) signifies weak movement and thus an indication of low volatility . A difference greater than four (4.0) signifies strong movement and thus an indication of high volatility.
These are just a few of the general information you can get from this Currency Strength Meter but the list goes on depending on your trading strategy.
Input menu
- Time Frame 1: First Time Frame
- Time Frame 2: Second Time Frame
- Time Frame 3: Third Time Frame
- TrendPanelBackGround: Editable Panel Background color.
- TrendPanelText: Editable Panel text color.
I have spent a lot of time with various currency meters and know their strengths, weaknesses and failings. This currency Meter is a robust useful and effective tool. Although it is Daily, Weekly and Monthly, because of the way it works it is far more sensitive at those settings than you would intuitively expect. That is why one of the reviews here find it changes so often on lower timeframes. The daily for instance picks up intra day trends well that are tradeable on a 1min timeframe at s/r (once a trend is established) well without being quite as sensitive as some other methods. It strikes a good optimal balance for me between sensitive and stable. The developer has modded it so it is stable when it starts on a new period.
I have contacted the developer for help and he has been extremely accommodating, quick to reply and more helpful than I'd have expected.