Best Forex Indicator For Forex Trader Revealed

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When it comes to forex trading, having the best forex indicator on hand can be very useful for your trading. In fact, I have many readers of my blog asking me for the best forex indicators to recommend them. Therefore I am writing this article to share with you some of the indicators that I find is most reliable and useful for my trading:

1) 200 Exponential Moving Averages: The 200 EMA is voted the best forex indicator by a forex magazine among the 100 over different indicators in the trading land. If you take a look at your chart, you will find that the price will be repelled by the 200 EMA. Therefore the 200 EMA can serve as a strong level of support or resistance for traders to trade.

2) Moving Average Convergence Divergence: This is also one of the more reliable indicators that I have been using since my trading days. The MACD can be used as a indication and confirmation of a breakout and reversal. If you loved this report and you would like to receive a lot more facts about ninjatrader supertrend indicator kindly take a look at our web site. It can also be used to validate trend line break to avoid fake out.

3) Stochastic: The stochastic is a oscillator that can be used to signal entry and exit point of a trade. Whenever you get a oversold situation in an uptrend, you can confirm that it is a dip in a uptrend and it is when you should enter a trade. If you are in a downtrend, you should look for overbought situation as it can confirm that it is a rally in a downtrend.

4) Parabolic SAR: This is a simple indicator that can be used by anyone. This is a tool that is used by traders as a signal for entry and exit. If the dot is below the candle, it is a BUY signal and if the dot is above the candle, it is a SELL signal.

Basically, the above 4 indicators above are the ones that I often use in my trade. There are over a hundred different indicators in the trading land and it is impossible to use all of them together. So you need to pick a few that is more effective and put them to use in your trading.