Forex indicators, are tools that help traders who use price action strategies to better understand what is happening in the market and to predict what direction the price may take next based on previous history.
As foreign exchange market is the largest in the world. It boasts of a daily volume that is calculated to be at around three trillion US dollars! As with any other market, it is constantly growing. To excel in Forex, traders need to learn how to identify what the future price movements and behavior of the markets might be. In order to do this, traders need to implement different types of analysis.
One of the most well known is technical analysis. This is based on assessing previous market data to determine potential future movement and action in the market. With this type of analysis traders use many tools and it is frequently associated with the use of indicators.
As we mentioned, identifying the best is difficult because everyone has an opinion and there’s a lot. What we will do, is show you the most popular indicators, those that are used regularly on Meta Traders.
It is any type of metric with a value derived from a general activity of the price of a stock or other financial asset. As part of technical analysis, such indicators are used by traders to predict future price levels or the overall price direction of a particular security. They do this by analyzing previous patterns or previous market performance.
Here you can find relevant indicator based on Meta Trader Version.