Sign In with Google
Sign In with Facebook
The ADXm ANG indicator is a modified version of the standard forex indicator ADX with more accurate calculations due to the use of a special filter. The indicator's calculations are aimed at determining the direction and strength of the current trend, which in turn also allows determining the moment of opening a trade. It is presented in the lower window of the price chart in the form of two intersecting lines with a signal level: the main one, which is painted in a certain color when a trend is determined, and a signal one. The current values of the indicator lines determine the current trend, taking into account which a certain trade can be opened.
The ADXm ANG indicator is suitable for trading any currency pairs on any timeframe.
Input parameters
The ADXm ANG indicator settings consist of several sections, each of which affects its overall interaction. The Input Parameters section affects its technical operation, the Colors section affects its general visualization, and the Levels section affects the addition of signal levels to the indicator window.
-p - value of the indicator calculation period. The default value is 14.
-Level - value of the signal level of the indicator. The default value is 25.
Indicator signals
The ADXm ANG indicator is very easy to use, since the algorithm of its application is similar to using the standard version of the indicator. To open a certain trade, it should be take into account the direction of the current trend, which in turn is determined by taking into account the intersection of the indicator lines, their location relative to the signal level and the color of the main. If the current market trend is upward, long positions are opened, if the trend is downward, short positions are opened. In both cases, when the trend changes, trades are closed.
Signal for Buy trades:
- The indicator lines move above level 0 and intersect so that the main color with a growth value is higher than the signal one.
Upon receipt of such conditions on a signal candle, a buy trade may be opened, due to the presence of an upward trend. If the indicator lines cross back, the trade should be closed. At this moment, a change in the current trend is possible, which in turn will allow considering the opening of new trades.
Signal for Sell trades:
- The indicator lines cross level 0 so that the signal line is higher than the main one, which has a color with a falling value.
When a combination of such conditions is received, a sell trade can be opened on the signal candle. At this moment, a downward trend is determined in the market. When the trend changes, namely at the moment of the next intersection of the lines, the trade should be closed and a new one should be considered to be opened.
Conclusion
The ADXm ANG indicator is a very accurate trading algorithm since its calculations are based on a modification of an effective forex indicator. To fully understand the concept of the indicator and strengthen trading skills, practice on a demo account is recommended.
