Technical Indicators







Moving Average




Simple Moving Average Interpretation:



A buy signal is generated when the currency price rises above its moving average.
A sell signal is generated when the currency price falls below its moving average.




MACD





Interpretation:



A buy signal is generated when MACD is rising above the signal line.
A sell signal is generated when MACD is falling below the signal line.




Volume








Interpretation:




Relative low volume shows indecisive expectations of the investors.

High volume usually shows the beginning of new trend.

High volume is often present near the bottoms of the market.




Bolinger Bands








Bollinger Bands Interpretation:




Currency prices tend to stay within the upper and lower band.

Sharp price changes tend to occur after the bands tighten.

When prices move outside the bands, a continuation of the current trend will continue.

Bottoms and tops made outside the bands are usually followed by bottoms and tops made inside the bands.

A move that originates at one band tends to go all the way to the other band.


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