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Price Acceleration MQL4

The indicator displays the speed of the price change - the acceleration and deceleration of the market similar to acceleration in physics. The classic Accelerator is calculated using moving averages, at that its dimensionality depends on the settings. Price Acceleration has a constant dimensionality (the ratio of point to the squared time in timeframes) that is independent of the period selected, what allows interpreting its values with higher precision. This is a great advantage when formalizing trading strategies.


Interpretation

  • During an ascending trend: if the indicator is greater than 0, the market is accelerating (the trend becomes stronger); if it is equal to 0, the speed of the market is constant (the trend is stable), if the value is less than 0, the market is slowing down (possible reversal).
  • During a descending trend: if the indicator is less than 0, the market is accelerating (the trend becomes stronger); if it is equal to 0, the speed of the market is constant (the trend is stable), if the value is greater than 0, the market is slowing down (possible reversal).
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