APF Tenkan Sen Kijun Sen
In this Second video, we introduce the first 2 lines of the Ichimoku system, the Tenkan Sen and Kijun Sen. Learn how these 2 lines are derived, their individual characteristics, and what it means when they cross each other.
====================1. Tenkan Sen / Kijun Sen Cross The Tenkan Sen / Kijun Sen Cross signal occurs when the Tenkan Sen (Turning line) crosses the Kijun Sen (Standard line). 1.1. A bullish signal occurs when the Tenkan Sen crosses from below to above the Kijun Sen
APF Kumo Support Resistance
We discuss how the Kumo cloud serves as an effective support or
resistance, the difference between thick and thin clouds, and how they
provide us information on current price sentiment.
The Kumo Breakout signal occurs when the price leaves or crosses the Kumo (Cloud).
APF Chikou Span
In this video, we discuss in detail the Chikou Span, how it is
derived, how it interprets current price action, and very importantly,
how it serves as a confirmation before entering a trade.
Chikou Span - Lagging line
The closing price plotted 26 days behind.
The Chikou Span, also known as the Lagging line, is the closing price
plotted 26 trading days behind, i.e. into the past, providing an
at-a-glance view of how the price compares to that 26 days ago.
The trend is deemed to be upward when the Chikou Span is above the
closing prices and downward when it is below them. The relationship is
not always clear when looking at historical data, but becomes more
obvious when looking at current charts.
The Chikou Span is also considered of use for confirmation of trends,
momentum, and support and resistance levels highlighted by the other
How to Use the Dollar Index to Profit from Forex
The US dollar index can be a very powerful tool when making trades
in the forex market. In today's must-watch video, Evaldo Albuquerque,
Editor of FX Breakout Alert, uses a chart of the dollar index to teach
you how to recognize when to buy and when to sell USD against other
currencies like the euro (EUR). The dollar has been trading in a
sideways range for several months now and a breakout is coming. So make
sure you watch this video and are ready to profit from the dollar's
How to use U.S. Dollar Index (USDX) Indicator in trading for forex and futures/stocks! Go here https://www.mql5.com/en/forum/2841 and https://www.mql5.com/en/forum/9178 to download indicators (two indicators up to your choice) and to know about how to use it in practical trading way.
Indicators: USDx dollar index
newdigital, 2013.11.06 15:02
newdigital, 2013.11.06 15:03
Based on - U.S. Dollar Index - USDX
U.S. Dollar Index (USDX) was introduced in March 1973, when the
Bretton Woods system ceased to exist. The index shows the ratio of U.S.
dollar against a basket of six major world currencies - the euro is
(EUR), Yen (JPY), British Pounds (GBP), Canadian Dollar (CAD), Swedish
krona (SEK) and Swiss Franc (CHF). As part of this basket each currency
has its own weight:
EUR - 57,6%
JPY - 13,6%
GBP - 11,9%
CAD - 9,1%
SEK - 4,2%
CHF - 3,6%
The composition of the basket of 1973 changed only once - in 1999, when the euro was introduced.
At the time of occurrence of the index had a value of 100 points.
Historic lows it reached in March 2008 - 70.7 points, while the maximum
value was recorded in February 1985 - 148.1 points. The index traded at
the time of the global currency markets - 24 hours a day, 5 days a week.
Trading on the Stock Exchange are ICE (Intercontinental Exchange) - The
former New York Mercantile Exchange (NYBOT - New York Board of Trade).
Moreover, the index is presented in the form of various traded
instruments: the exchange funds (exchange traded funds, or ETF), mutual
funds (mutual funds), stock options.
The index is calculated as a weighted geometric mean of the above
mentioned currencies according to the following formula:
USDXt = 50,14348112 x (EURt) -0,576 x (JPYt) 0,136 x (GBPt) -0,119 x
(CADt) 0,091 x (SEKt) 0,042 x (CHFt) 0,036
In the formula, the power coefficients corresponding to the weights of
currencies in the basket. Calculation of the index coincides with the
data used in calculating the Fed trade-weighted dollar index of
currencies of countries which form the main foreign trade turnover of
Most of the international trade in the U.S. accounts for the euro
area (57.6%), followed by Japan - 13.6% United Kingdom - 11.9% Canada -
9.1%, Sweden - and Switzerland 4.2% - 3.6 %.
How to use the dollar index on the forex?
It is important to understand whether you like it or not, dictates that
the U.S. dollar trends of major world currencies, so the index is an
excellent starting point for determining the strength or weakness of
U.S. dollar currency pairs.
As a rule, the change trend of the index leads to changes in the
trends of the currency pairs in which the USD and he is present. For
example, during an uptrend USDX pairs with direct quote will also
increase (eg, USDCHF, USDCAD), a couple from the back - slow down (it
Using technical analysis toolkit, such as candlesticks, support /
resistance levels, moving averages, you can get an idea about the
strength of the U.S. dollar in terms of long-term trends, the possible
long-and short-term reversals, as well as changes in the attitudes of
Candlestick Charting - Bullish Engulfing Pattern
newdigital, 2013.11.07 08:22
Trading the Bullish Engulfing Candle Pattern
Spotting price reversals and continuations through the interpretation of
price action is an important skill for Forex traders to master.
Candlestick analysis can help make this process easier. Candle pattern
interpretation does not only make navigating the market easier, but it
can also be a useful trading tool. With this idea in mind we will focus
on recognizing and trading one of the markets most clear cut price
action signals, the bullish engulfing candle pattern.
What is a bullish engulfing pattern?
A bullish engulfing pattern is a candlestick pattern normally foundafter
a period of downward market pressure. Pictured above we can see that
the bullish engulfing candle pattern is actuallycomprised of two
completed candles! The first candle will normally depict the end of the
currency pairs established weakness. This first candle can come in a
variety of shapes and sizes and will vary from chart to chart.While it
is notdirectly related to the next engulfing pattern, this candle should
denote the end of the markets current decline. Small candles such as
dojis are considered preferable in this position though, as they can
reflect market indecision in the current trend.
The second candle in the pattern is arguably the most important. As seen
above, this candle is expected to stick out from price action and close
as a long blue candle. This large move in price signals a return to a
bullish market bias with newupward price momentum surging towards higher
highs. To be considered a complete bullish engulfing candle pattern,
the high of this blue candle should close well above the high of the
previous candle. The higher this blue candle advances, the stronger our
signal is considered. A new push of upward movement in this position on
the chart, reflects new buyers overtaking the previous strength of the
sellers.This action can be used in conjuncture with an established
uptrend,with buyers looking to enter the market on refreshed strength.
Let’s look at a current example :
Charting the EURUSD
Once you are familiarized with identifying the bullish engulfing candle
pattern it can then readily be applied to your trading. Above is an
excellent example of the pattern in action on a daily EURUSD chart. The
EURUSD is currently in a standing uptrend, beginning with a strong
bullish engulfing candle completed on July 10th. Along the way there
have been price retracements against this now mature trend, but we can
see many of these declines have ended in a fresh bullish engulfing
candle. These surges in price have confirmed the resumption of the
broader trend, while creating new buying opportunities.
Currently, this scenario may be playing out yet again. Highlighted in
green, there is another potential bullish engulfing pattern forming on
the EURUSD Daily chart. Traders will be watching this candle for a
confirmation to signal the resumption of the bull trend after last
week’s decline. If the price of the EURUSD does remain supported,
traders should take this as a bullish market signal and look for the
pair to move towards higher highs.
Video Futures Trading Course - The Stop Order
How to Protect Profits with Stop-Loss Orders (adapted from futures-investor.co.uk article)
Losses can accumulate just as quickly as profits in futures trading. Nearly every successful trader uses Stop-Loss Orders in his trading to ensure profits are 'locked in' and losses are minimised.
Reversals with Bollinger Bands
Indicators: Bollinger Bands ®
newdigital, 2013.08.06 14:04
Bollinger Bands Trend Reversals- Double Tops and Double Bottoms
A Forex trader should wait for the price to turn in
the opposite direction after touching one of the bands before
considering that a reversal is happening.
Even better one should see the price cross over the moving average.
Double Bottoms Trend Reversals
A double bottom is a buy setup/signal. It occurs
when price action penetrates the lower bollinger band then rebounds
forming the first low. then after a while another low is formed, and
this time it is above the lower band.
The second low must not be lower than the first one
and it important is that the second low does not touch or penetrate the
lower band. This bullish Forex trading setup is confirmed when the
price action moves and closes above the middle band (simple moving
Double Tops Trend Reversals
A double top is a sell setup/signal. It occurs when
price action penetrates the upper bollinger band then rebounds down
forming the first high. then after a while another high is formed, and
this time it is below the upper band.
The second high must not be higher than the first
one and it important is that the second high does not touch or penetrate
the upper band. This bearish Forex trading setup is confirmed when the
price action moves and closes below the middle band (simple moving
Moving Averages - How to Use Them and Which Ones to Use
Educational segment on using moving averages in your online stock, futures, or forex trading with Toni Hansen
Breakaway Gaps by Toni Hansen
Presented by veteran trader Toni Hansen. Breakaway gaps are an excellent
form of gap to watch for when you are trying to locate securities with a
high probability of a trend day. They are gaps which break the security
out of a trading range or congestion zone and are a much stronger
confirmation than a non-gap break out of a range. The gap itself will
then serve as support for the security, allowing it to more easily
continue in the direction of the gap. True breakaway gaps rarely close
in the days immediately following the gap.
Common Gaps by Toni Hansen
The most prevalent type of gap which takes place in the market is called
a common gap, for the obvious reason: they are the most abundant. They
occur when a security ends the session at one price level and then open
the following session at another price level. Common gaps tend form when
a security is trading within a range and tend to fill rather quickly
and easily. They are usually relatively minor, representing only a small
percentage of an average days range.
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