Higher Highs and Lower Lows
"Spotting emerging trends, defining correction periods, and anticipating reversals can benefit your trading in many ways..."
So be it: Higher Highs & Lower Lows indicator. This is an indicator created by Vitali Apirine and presented to the public through the article "Time To Buy. Time to Sell - It's a Stochastic, Higher Highs & Lower Lows" in the Stocks & Commodities magazine.
This is a Momentum indicator that helps determine the direction of a trend. Higher Highs and Lower Lows are two indicators plotted together, so they can be easily compared. The default classical setting is 20 periods which means that How High the Higher High is relative to the Lowest High in the specific period (bars), and vice-versa. That's the magic!
HOW TO "READ" THIS INDICATOR
- The Higher High Line denotes how high it is relative to the Lowest High in the chosen timeframe period.
- On the other side, the Lower Low Line reflects the level of the Lower Low relative to the Highest Low in that same period.
- Higher Highs & Lower Lows indicator is more sensitive than the Stochastic and Williams %R indicator, so you can benefit from its readings in a Intraday trading strategy.
- Divergencies appear when a new High or Low in Price is not confirmed by the indicator.
- You can use the indicator Crossovers along with another confirmation indicator to trade probable Momentum changes.
- Experiment is mandatory here. As with all indicators, Calibration is a MUST. Experiment with several values to match your strategy scenario of Symbol, Timeframe and type of expected reading...
- Period (number of past bars) to analyze the behavior of Higher Highs and Lower Lows.
- Hide the name and indicator data on the sub-window? This is handy if you are using the Minions Labs MiniChart Indicators.
If you like this indicator, all I am asking is a little Review (not a Comment, but a REVIEW!)...
This will mean A LOT to me... And this way I can continue to give away Cool Stuff for Free...
With No Strings Attached! Ever!
Live Long and Prosper!;)