It displays the percentage of the Pip Change from its base range based on a set number of hours. Percentage Change takes the information coming from the Pip Change and converts it to percentage. Traders can use this information to identify which direction the pair is moving and whether it is moving with strong momentum or not. The ATR provides information regarding the volatility of the market based on pips, while Pip Change provides information regarding the direction of a forex pair’s price, as well as the strength of the price change’s momentum. Forex Factory Pip Change on the other hand displays the number of pips price has moved from the open of the preset number of hours up to the current price. The ATR displays the number of pips that price has moved from the high of the period up to its low. However, it still has a big difference in what it indicates and how it could be interpreted. Pip Change is somewhat similar to the Average True Range (ATR). As such, it includes a dropdown option wherein traders can choose to see the pip change within the last five minutes up to the last 48 hours. Pip Change displays the number of pips price has moved from its starting point from the last n hours set by the trader. Traders can also change the color of the charting according to their preference. Options include a candle chart, open-high-low-close chart, more popularly known as a bar chart, a line chart, a dotted line chart, and an area chart. It also has a dropdown option for the type of charting to be used. Traders can select the number of hours and the candle periods that should be displayed, from the last five minutes displayed as a 1-minute candle, which is useful for scalpers, up to the last 48 hours displayed as a 4-hour candle, which is useful for day traders and swing traders. The “Chart” selection has several modifications which traders can choose from. The “Midpoint” option is basically just the midpoint of the Bid and Ask price. When using the Bid/Ask option, note that the Ask price is displayed with the last three digits of the price, and the last digit being a “Pipette” or a fraction of the base unit (pips) of a currency pair’s figure. Some traders may prefer the Ask price or both displayed. This allows us to customize which four information we want to see and in which order. For example, clicking the “Bid” tab would allow us to replace it with Ask, Bid/Ask, Midpoint, Chart, Pip Change, Percentage Change, High/Low, and Pip Spread. We can also click on each tab under the Scanner window in order to select which information we would want to see.
#Forex factory driver
If the Scanner showed us a different story wherein the USD is not the driver of strength or weakness, we can pair the strongest currency versus the weakest currency in order to have a high probability trade setup. This in itself is a good trading technique. Astute traders would avoid trading against the USD strength and would rather trade with the direction of its momentum. Traders who understand inverse correlation based on flipping the Term and Commodity currencies could note that this snapshot shows a strong USD market with the USD being the driver of such momentum on most pairs. We could also note that the pairs wherein the USD was the Term Currency or the currency on the left of the pair, the forex pair is bullish, while whenever the USD was the Commodity Currency or the currency on the right of the pair, the forex pair is bearish. We could also note how based on the percentage pair displayed the AUD/USD pair was the weakest, followed by the NZD/USD pair and the GBP/USD pair. In this Scanner snapshot, we could note how the most recent price action of four out of the eight major pairs have been bearish, three being bullish, and one, particularly the GBP/JPY pair being choppy. This gives us a snapshot as to what the major currency pairs are doing in terms of price movements for the past few hours, which direction it is moving, and which major currency pair has moved the strongest in a certain direction. The first tool that we could explore on the Home Page is the Scanner.īy default, we can find the eight currency pairs with details including the current bid, chart for the last six hours, total pip change for the last six hours, and the percentage change for the last 24 hours. The Forex Factory Home Page contains a lot of information wherein traders can have a snapshot of what is happening in the forex market.īelow is an example of what the Forex Factory Home Page looks like.īy default, the Forex Factory home page includes the Scanner, a weekly schedule of projected fundamental news releases, forums, news stories, positions from live accounts, and time sessions of major markets.
0 kommentar(er)
