Re: How-To Trade the FOREX Market and use/earn bitcoins doing it! Check it out :) :)
(Continuation of Part 2)
https://1broker.com/m/r.php?i=3567
The last two indicators we are going to discuss in this part of the tutorial are generally used together and are known as DMI (Directional Movment Index) and ADX (Average Direction Index) and are used too tell us the Direction of the current trend and the Strength of said trend
Looking back at EUR/USD, Lets add both of the indicators too our chart starting with DMI first.
Click back on the "Studies" tab again as we did before except this time your going to type into the search bar or search the list for "DMI" and then click "Add". Make sure you keep all of the parameters at their default settings
After adding the DMI indicator to your chart it should look like the following screen shot below
On the indicator that we added to our chart our +DMI is the Red line and the -DMI is the Blue line.
The +DMI (Red Line) measures how strongly the price moves upwards and the -DMI (Blue Line) will measure how strongly the price moves downwards
First we are going too look and see which one of these DMI lines are on top or Above the other. This is referred too as the Dominant DMI. Which ever DMI is the stronger, more dominant DMI is going to be the DMI that is most likely to predict the direction of the price. Once the lines Crossover this means that the dominance has changed from Bullish to Bearish or Bearish to Bullish.
Yup you guess it, a Crossover occurs when the DMI on the bottom crosses up through the DMI on the top a.k.a the "Dominant" DMI. This should not be interpreted as a signal to Buy or Sell but rather used in combination with the other indicators we discussed to confirm your Entry's/Exits or weather you should Buy or Sell. Paying attention to one indicator solely such as the DMI is a mistake alot of beginners make and one that you should not be willing too partake in. For instance paying attention to JUST the DMI Crossover can be unreliable as it will frequently give late signals when volatility is high and false signals when volatility is low.
In conjunction with the other indicators we discussed, you should be using the DMI as a indicator of potential change in direction of the market.
The number at the very right of the DMI chart shows the "Strength" and this number ranges from 0 to 100 with 0 showing extreme weakness and 100 showing phenomenal strength.
If the DMI value is anything over 25 this means that the current directional momentum of the currency is STRONG. On the other hand DMI values that are under 25 are directionaly WEAK.
If a Crossover occurs AND the PEAKS of the dominant DMI are above 25 while the PEAKS of the bottom DMI are below 25 then this would indicate a change in the Trend and you should pay attention to these moments in the market
Below is a screen shot illustrating this concept
For now this is as far in-depth as we are going to go when it comes to the DMI indicator. There is much much more that this indicator can do for us but for now I'm just trying to give you guys the basics of these indicators so you can start making some profitable trades!
Now lets talk a little about the ADX (Average Directional Index) indicator, this part will be very brief. The ADX indicator is usually plotted on the same chart as the DMI indicator as both of the indicators work really well in conjunction with each other and really compliment one another.
Go back to the "Studies" tab and search for ADX and click "Add" to add it too your chart using the default parameters. Below is a screen shot of what the ADX chart looks like.
The ADX (Average Directional Index) indicator is another indicator that is used to determine and quantify Trend Strength. ADX has a value ranging from 0-100
Unlike like the DMI indicator. The ADX line is NON-DIRECTIONAL and will tell you trend strength weather price is trending up or down.
As I said before, ADX and DMI are generally used together. As we learned earlier when the +DMI is above the -DMI this means that price is trending Upwards and the ADX measures the strength of this up-trend. Of course if the -DMI is above the +DMI this would indicate that price is trending Downwards and the ADX will now be giving you a measurement of the strength of that Down-trend opposed to the uptrend as before
If the ADX has a value above 25 (Just like previously with the DMI) this is a indicator that the trend is strong and using trend trading techniques should pan out well when the value of ADX is above 25. Below is a screen shot with this level marked off so you have a visual.
Below is a screen shot of a table I found that illustrates the value of ADX and what it means in terms of trend strength.
Its important too note that just because the ADX line is decreasing does not mean that the trend is changing rather it just means the strength of the trend isn't as strong as it previously was.
That's it for ADX for now! In part 3 of the tutorial we are going to touch back on a lot of the indicators discussed in this part of the tutorial (part 2) and go much more in-depth on them.
_____________________
That's it for part 2 of the tutorial guys! Good job everyone!!! Congratulations!! Now imagine using all of these indicators together in symphony to orchestrate very profitable trades and execute them with confidence in knowing what your doing is a all around technically and financially sound decision!
By using all of the information you have learned so far and utilizing all of the tools we discussed in conjunction with each-other you should be able to make some very exciting and profitable trades!! I look forward to hearing all about your success and answering any questions anyone has about ANYTHING! Please don't hesitate too PM me if you have any questions!
https://1broker.com/m/r.php?i=3567
Signals Include Variables For The Following: Entry Price, Stop Loss, Take Profit, Suggested Leverage, etc.
Signals will be provided for any Currency Pair of your choice
(If your interested in purchasing FOREX trading signals PM me for details - spots limited)
https://1broker.com/m/r.php?i=3567
The last two indicators we are going to discuss in this part of the tutorial are generally used together and are known as DMI (Directional Movment Index) and ADX (Average Direction Index) and are used too tell us the Direction of the current trend and the Strength of said trend
Looking back at EUR/USD, Lets add both of the indicators too our chart starting with DMI first.
Click back on the "Studies" tab again as we did before except this time your going to type into the search bar or search the list for "DMI" and then click "Add". Make sure you keep all of the parameters at their default settings
After adding the DMI indicator to your chart it should look like the following screen shot below
On the indicator that we added to our chart our +DMI is the Red line and the -DMI is the Blue line.
The +DMI (Red Line) measures how strongly the price moves upwards and the -DMI (Blue Line) will measure how strongly the price moves downwards
First we are going too look and see which one of these DMI lines are on top or Above the other. This is referred too as the Dominant DMI. Which ever DMI is the stronger, more dominant DMI is going to be the DMI that is most likely to predict the direction of the price. Once the lines Crossover this means that the dominance has changed from Bullish to Bearish or Bearish to Bullish.
Yup you guess it, a Crossover occurs when the DMI on the bottom crosses up through the DMI on the top a.k.a the "Dominant" DMI. This should not be interpreted as a signal to Buy or Sell but rather used in combination with the other indicators we discussed to confirm your Entry's/Exits or weather you should Buy or Sell. Paying attention to one indicator solely such as the DMI is a mistake alot of beginners make and one that you should not be willing too partake in. For instance paying attention to JUST the DMI Crossover can be unreliable as it will frequently give late signals when volatility is high and false signals when volatility is low.
In conjunction with the other indicators we discussed, you should be using the DMI as a indicator of potential change in direction of the market.
The number at the very right of the DMI chart shows the "Strength" and this number ranges from 0 to 100 with 0 showing extreme weakness and 100 showing phenomenal strength.
If the DMI value is anything over 25 this means that the current directional momentum of the currency is STRONG. On the other hand DMI values that are under 25 are directionaly WEAK.
If a Crossover occurs AND the PEAKS of the dominant DMI are above 25 while the PEAKS of the bottom DMI are below 25 then this would indicate a change in the Trend and you should pay attention to these moments in the market
Below is a screen shot illustrating this concept
For now this is as far in-depth as we are going to go when it comes to the DMI indicator. There is much much more that this indicator can do for us but for now I'm just trying to give you guys the basics of these indicators so you can start making some profitable trades!
Now lets talk a little about the ADX (Average Directional Index) indicator, this part will be very brief
. The ADX indicator is usually plotted on the same chart as the DMI indicator as both of the indicators work really well in conjunction with each other and really compliment one another.Go back to the "Studies" tab and search for ADX and click "Add" to add it too your chart using the default parameters. Below is a screen shot of what the ADX chart looks like.
The ADX (Average Directional Index) indicator is another indicator that is used to determine and quantify Trend Strength. ADX has a value ranging from 0-100
Unlike like the DMI indicator. The ADX line is NON-DIRECTIONAL and will tell you trend strength weather price is trending up or down.
As I said before, ADX and DMI are generally used together. As we learned earlier when the +DMI is above the -DMI this means that price is trending Upwards and the ADX measures the strength of this up-trend. Of course if the -DMI is above the +DMI this would indicate that price is trending Downwards and the ADX will now be giving you a measurement of the strength of that Down-trend opposed to the uptrend as before
If the ADX has a value above 25 (Just like previously with the DMI) this is a indicator that the trend is strong and using trend trading techniques should pan out well when the value of ADX is above 25. Below is a screen shot with this level marked off so you have a visual.
Below is a screen shot of a table I found that illustrates the value of ADX and what it means in terms of trend strength.
Its important too note that just because the ADX line is decreasing does not mean that the trend is changing rather it just means the strength of the trend isn't as strong as it previously was.
That's it for ADX for now! In part 3 of the tutorial we are going to touch back on a lot of the indicators discussed in this part of the tutorial (part 2) and go much more in-depth on them.
_____________________
That's it for part 2 of the tutorial guys! Good job everyone!!! Congratulations!! Now imagine using all of these indicators together in symphony to orchestrate very profitable trades and execute them with confidence in knowing what your doing is a all around technically and financially sound decision!
By using all of the information you have learned so far and utilizing all of the tools we discussed in conjunction with each-other you should be able to make some very exciting and profitable trades!! I look forward to hearing all about your success and answering any questions anyone has about ANYTHING! Please don't hesitate too PM me if you have any questions!
https://1broker.com/m/r.php?i=3567
Quick overview of some of the things we've covered in Part II
How to read charts and understand what candlesticks and candlestick patterns are and how to identify them
What Pivot Points are and how to chart them and use them for "Range Trading" to make profitable trades!
Various vocab words and explanations for very important topics in relation to the market
How to read and use multiple Indicators such as Moving Averages, MACD, ADX and DMI
Different forms of Technical Analysis
etc, etc
Update
I will be choosing 5 people at random on the first of next month to receive 3 free signals and the opportunity for some private lessons. In order to be eligible for this "raffle" you need to be a referral of mine on https://1broker.com/m/r.php?i=3567Signals Include Variables For The Following: Entry Price, Stop Loss, Take Profit, Suggested Leverage, etc.
Signals will be provided for any Currency Pair of your choice
(If your interested in purchasing FOREX trading signals PM me for details - spots limited)