Don’t waste your time – keep track of how NFP affects the US dollar!

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Indicator

Indicator

An indicator is a statistical tool that allows to identify and create patterns of the future price movement in the FX markets. Indicators help develop personal trading scenarios with better potential outcomes and more possibilities for risk management.

All indicators fall into two categories:

  •  Economic

They are based on the global and national economic events that may affect FX rates. If traders choose to use such indicators, they should follow all the world news and pay attention to the economic calendar provided by the brokers. Economic indicators are used in fundamental analysis.

  • Technical

They are based on mathematical formulas automatically applied to the market situation by your request. They help to predict a price trend and help you decide on opening or closing a position. Technical indicators are used in technical analysis.

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