mmorgan: Can you explain how to best use this indicator? how do you look for potential entries?
The dynamics of the market consists in a sequential alternation of periods of rest and bursts of activity, so the approach to this indicator is simple:
• if the indicator value is too small, that is, the market is completely at rest, then it makes sense to expect an imminent surge in activity;
• on the contrary, if the indicator is extremely large, it means that this activity is likely to decline soon.
Usually this indicator is used as an integral part of other indicators.
Can you explain how to best use this indicator? how do you look for potential entries?
The dynamics of the market consists in a sequential alternation of periods of rest and bursts of activity, so the approach to this indicator is simple:
• if the indicator value is too small, that is, the market is completely at rest, then it makes sense to expect an imminent surge in activity;
• on the contrary, if the indicator is extremely large, it means that this activity is likely to decline soon.
Usually this indicator is used as an integral part of other indicators.