Momentum indicator | An efficient way of use

In forex education, the momentum indicator is considered extremely important and useful.  In this article, we will examine all the possibilities who offers in forex trading and how we should use it.

The momentum indicator, according to forex education is an oscillator. His line moves above or below "100". When indicators line reaches maximum or minimum values, the price is in overbought or oversold condition.

Traders use the indicator in order to identify overbought and oversold conditions and the power of the trend. Momentum indicator can show the trend direction and at the same time can compare the current price from the past prices. In this way can measure how quickly the price is changing.

Andrew's Pitchfork | How to use it profitably

In forex education, you can learn about a few indicators who considered extremely important and useful because they offer a great number of advantages to traders. One of these indicators is Andrew's Pitchfork. Personally, I think that is better to speak for a tool and not for an indicator. With this article of forex education, will try to describe all the details every forex trader needs to know in order to use this excellent tool successfully in his daily occupation in the forex market.

Andrew's Pitchfork is an indicator of forex technical analysis who used not only to design trend channels but also to identify possible areas where there are opportunities for trade.

Forex Education for Relative Strength Index (RSI) indicator

For those traders who have recognized the value of forex education will know the importance that has been given to the indicator Relative Strength Index (RSI). The Relative Strength Index (RSI) was developed by J. Welles Wilder, Jr.

According to forex education, this indicator is able to determine overbought and oversold price levels as well as generate buy and sell signals. Is well known, very popular and widely used from traders community. It is a momentum oscillator and as such it measures the rate of change of a given security’s price. Since it is also a bounded oscillator, it allows to spot overbought and oversold areas on the price chart.


We can calculate the Relative Strength Index (RSI) using the following formula:

Forex Education about Commodity Channel Index

The forex education where must have every trader is very important. Is absolutely necessary the full understanding of the utility and the way of use if not for all, at least, for the most important indicators. One of these indicators is the Commodity Channel Index.

The Commodity Channel Index (CCI) is an oscillator introduced in the 1980s and used by many traders to pinpoint market entries. Even though its name refers to commodities, CCI can also be used to trade currencies and other markets. Forex education informs us that traditionally CCI can be used in a variety of market conditions, including breakouts, ranges, and trends.   

The commodity channel index (CCI) is an oscillator indicator that helps for analyzing overbought and oversold conditions.

The commodity channel index (CCI) helps indicate the weakening or the end of a trend and a possible change in trend direction.

Forex Education about Average True Range Indicator

The forex education is probably the most important activity in the daily involvement of a trader on the forex market. Truly, a very well educated trader who has knowledge will certainly have a much better chance to reach the success.

As forex signals provider realizes the importance of forex education and will try to contribute with a series of articles starting from the indicator Average True Range.

The Average True Range ("ATR") is a measure of volatility it means that shows how much the price of an asset has been moving over a period of time.