Forex Signal Direction Probability indicator
Forex Signal Direction Probability indicator determines the percent change between previous closing prices, for the lenght of the array, and draws the percent change signal in the indicator window. After the percent change is determined, correlation between the price signal, and percent change is calcualated and drawn(red line is the correlation and black line is percent change).
- In theory, if there is high correlation(greater than 0.7) between percent change and price signal, then the price signal should continue in the same direction. For example, if a price signal is moving upward, and the correlation(red line) between the price signal and price percent change is high, then the price should continue to keep moving in the same direction, which generates a buy signal. A sell signal is generated, if the correlation between the price signal and the percent change is high and the price signal is moving downward.
Note: for the correlation(red line) to appear, the indicator needs to have at least two ticks. First tick, calculates percent change, the second tick, calculates correlation between price change and price signal.
What does Forex Indicator mean?
A forex indicator is a statistical tool that currency traders use to make judgements about the direction of a currency pair’s price action. Forex indicators come in many types, including leading indicators, lagging indicators, confirming indicators and so on. Popular forex indicators include moving averages, relative strength index (RSI) and average true range (ATR). A forex trader must choose the indicators that fit his or her trading strategy.
How to install Forex Signal Direction Probability indicator?
- Download Forex Signal Direction Probability indicator.zip
- Copy mq4 and ex4 files to your Metatrader Directory / experts / indicators /
- Copy tpl file (Template) to your Metatrader Directory / templates /
- Start or restart your Metatrader Client
- Select Chart and Timeframe where you want to test your forex indicator
- Load indicator on your chart
How to uninstall Forex Signal Direction Probability indicator?
To shut down an indicator, one has to remove it from the chart. At that, its drawing and recalculation of its values will stop. To remove an indicator from the chart, one has to execute its context menu commands of “Delete Indicator” or “Delete Indicator Window”, or the chart context menu command of “Indicators List – Delete”.