The indicator calculates the price movement vector, its direction and the slope angle relative to the time axis.
- The histogram crossed the signal line from top to bottom (histogram below the signal line).
- The histogram crossed the zero line from top to bottom (from the area of positive values to the area negative values).
- The histogram crossed the signal line from bottom to top (histogram below the signal line).
- The histogram crossed the zero line from bottom to top (from the area of negative values to the area positive values).
Particular attention should be paid when the histogram does not change (or changes are insignificant) its values for a long time. This behavior of the histogram indicates that the currency pair is in the flat (there is no strong directional movement). A significant change in the histogram values after such flat section gives a strong signal for opening positions.
- Period - Period for the calculation of values.
- Averaging period - Averaging Period (the signal line).
- Method of calculation - Calculation method.
- the number of bars to calculate - The number of bars for the calculation.
The default settings are designed for scalping on the EURUSD currency pair and M5 timeframe.