SuperTrend Forex Trading Indicators
SuperTrend was developed by Olivier Seban , This indicator has the enormous advantage of working on all the time bases and all media.
So you can use on equities, futures or forex, as well as weekly in 5 minutes.
It is ideal to accompany the trends and optimize your output.
SuperTrend moving above or below the price depending on the trend developed.
He repositioned based on the closing day, which has the main advantage to filter false signals that may occur when the trend slows or during periods without trend.
SuperTrend is calculated from a coefficient applied to the average volatility of the last candlesticks (or bar charts according to the display mode).
Although the author recommends using the parameters 3 and 10, respectively for the multiplier and the number of candlesticks taken into account to calculate the average volatility, you can adjust them to your needs or affinity.
As the SAR Wilder SuperTrend accompanies the award as a follower stop except that it does not progress or does not close on price for the areas of advanced horizontal.
This gives more space and time for prices to move, giving you the opportunity to capture a larger movement. You can use it as an indicator of output when this change of direction or position of the stop loss.
Generally it is preferable to focus on positions where buyers SuperTrend evolves below the price and hand it is preferable to take only short positions when SuperTrend evolves over prices.
Saturday, February 6, 2010
SuperTrend Indicator
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