🔴 STOP Using The MACD!... This Indicator 2x Better Than MACD (ADVANCED INDICATOR)

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have you ever felt like you're not maximizing your potential when it comes to the macd indicator maybe you've struggled with the delays in its signals or found the complex display to be overwhelming if so you're not alone the truth is the macd can be quite complex especially for beginners but don't worry because I have the solution for you in this video I will introduce you to an indicator that is not only simpler than the macd but also more effective it's called demand index Divergence and from its appearance alone you can already tell that it's easy to understand and reliable so you won't have to worry about complicated displays or confusing signals anymore that's not all I'm going to reveal all the secrets and greatness of this amazing indicator and show you how to use it in a trading system to maximize your profits you don't want to miss out on this opportunity to improve your trading game so make sure to follow this video tutorial carefully from start to finish because soon you'll be equipped with a powerful and accurate trading weapon are you ready to take your trading skills to the next level let's get started the demand index Divergence indicator is a trading system that derives its name from its function which is to detect divergences in demand it can be applied to both Trend following and reversal trading setups making it a valuable tool for Traders this system relies on the moving average of price data to determine whether bullish or bearish momentum is gaining or losing strength providing investors with crucial insights into Market movements let's start with an overview of this powerful trading indicator the demand index Divergence indicator is a popular tool used by Traders to identify divergences in demand it is displayed in the form of a histogram which graphs the difference between two moving averages of price data another moving average known as the signal line is then applied to this histogram so how does it work when the histogram formation is above the zero line the market is said to be in an uptrend conversely when the histogram formation is below the zero line the market is considered to be in a downtrend the crossover of the histogram line and the signal line is also an indication of a potential change in the direction of the trend in summary the demand index Divergence indicator can be a useful tool for Traders looking to identify Trend following and reversal trading setups by analyzing the moving averages of price data this indicator provides valuable insights into whether bullish or bearish momentum is gaining or losing strength keep watching to learn more about how to use this indicator in your trading strategies let's break down the demand index Divergence indicator and how it can be used in trading strategies firstly the demand index Divergence indicator is a technical analysis tool that measures divergences in demand indicating potential changes in Market Direction if the price data makes higher Highs but the demand index Divergence indicator makes lower highs this is referred to as a bearish simple Divergence conversely if the price data makes lower lows but the demand index Divergence indicator makes higher lows this is called a bullish simple Divergence Divergence is a sign that the ongoing trend is weakening and Traders can use it to identify potential early reversal trades on the other hand hidden bullish Divergence occurs when the price data makes a higher low but the demand index Divergence indicator makes a lower low hidden bearish Divergence on the other hand happens when the price data makes a lower high but the demand index Divergence indicator makes a higher high hidden Divergence is an indication that the ongoing trend is strong and the trend may continue Traders can use the crossover of the histogram and Signal line as a trigger to trade in the direction of Divergence alternatively they can apply trend lines break out and breakdown to enter trades finally here are some additional examples of the demand index Divergence indicator trading strategy by using this powerful Tool Traders can gain valuable insights into Market movements and make informed trading decisions [Music] foreign [Music] foreign [Music] [Music] [Music] foreign [Music] foreign [Music] foreign [Applause] [Music] the Divergence line that you see here appears automatically in the demand index Divergence indicator making it very easy for us to find high probability trading signals without having to go through the difficulty of searching for divergences in the Market at the moment with this method you can quickly easily and accurately check for divergences in all markets 34 period EMA and demand index Divergence trading strategy let's begin the discussion of this incredible trading strategy that involves the combination of the 34 period EMA demand index Divergence and RSI indicator despite its high accuracy and dependable trading signals this strategy is straightforward and uncomplicated making it easy to comprehend even for novice Traders the key is to observe the consistency of Trends among these three indicators when you identify Confluence with price action signals like chart patterns Candlestick patterns trendline breaks or key support and resistance this situation will enhance the accuracy of your trading signals even further 34 period exponential moving average what is the 34 period exponential moving average the 34 period exponential moving average arima is a technical analysis tool used by Traders to identify Trends and potential buy and sell signals it is calculated by taking the average price of an asset over the last 34 periods with more weight given to recent price data the EMA is a popular moving average type because it places more emphasis on recent price data making it more responsive to changes in market conditions this can be helpful for Traders who want to identify short-term Trends and changes in Market Direction one common trading strategy using the 34 period EMA is the trend following strategy in this strategy Traders will look to buy an asset when the price is above the 34 period EMA indicating an uptrend and sell when the price Falls below the 34 period EMA indicating a downtrend overall the 34 period EMA can be a useful tool for Traders looking to identify Trends and potential buy and sell signals in the markets however as with any technical analysis tool it should be used in combination with other forms of analysis and risk management strategies to make informed trading decisions the 34-day email indicator the 34-day IMA which covers roughly seven weeks of trading is commonly used in stock Forex and commodity trading to determine the General market Trend as long as a currency or stock price remains above the 34-day EMA on The Daily time frame the price is generally considered to be in an overall uptrend and vice versa as long as a currency or stock price remains below the 34-day email on the daily time frame the price is generally considered to be in an overall downtrend the 34-day EMA is a highly accurate medium-term moving average that can serve as a market Trend Benchmark without the need for additional moving averages to use the 34-day Emma more effectively it should be combined with other indicators as filters and Signal confirmations several indicators that can work together very effectively with the 34-day email are RSI and demand index Divergence by combining the 34-day email with powerful indicators such as RSI and demand index Divergence you can unlock the full potential of your trades in this video I will guide you through these indicators step by step providing you with a comprehensive understanding that will allow you to apply them perfectly in your trading I am confident that with this knowledge you will be able to achieve a high level of accuracy and profitability in all of your trades so if you choose to use the 34 period IMA as a tool for navigating market trends it's essential to become familiar with it in all of your trading activities Additionally you can perform back testing to assess the efficacy and accuracy of this moving average let's examine how the 34-day EMA operates in the market together [Music] please [Music] [Music] foreign [Music] [Music] RSI the 50 level RSI trading strategy is a popular approach used by Traders to identify potential Trend reversals in the market it involves using the relative strength index RSI indicator which is a momentum oscillator that measures the strength of a Forex commodity and stocks price action the 50 level RSI trading strategy involves looking for a change in momentum when the RSI crosses above or below the 50-level mark a reading above 50 indicates bullish momentum while a reading below 50 suggests bearish momentum when the RSI crosses above 50 it is interpreted as a Buy Signal indicating that the market may experience an upward Trend reversal conversely when the RSI crosses below 50 it is seen as a sell signal indicating that the market may experience a downward Trend reversal Traders may also use additional indicators or chart patterns to confirm these signals and increase the probability of success so in this tutorial we will be combining the 50 level RSI trading strategy with the 34 dayima and the demand index Divergence indicator 34 period EMA and demand index Divergence trading strategy let's begin the discussion of this incredible trading strategy that involves the combination of the 34 period EMA demand index Divergence and RSI indicator despite its high accuracy and dependable trading signals this strategy is straightforward and uncomplicated making it easy to comprehend even for novice Traders by conditions the following are the conditions to be met for making a buy it should be noted that the signals generated by this strategy do not appear frequently so you must be patient in Waiting nevertheless the accuracy of the trading signal you are waiting for is quite high so the result is worth your effort first the price breaks above the 34 period EMA From Below second the Divergence is formed before the price crosses above the 34 period EMA third the histogram for demand index Divergence displays a blue color fourth the RSI crosses the 50 level From Below to above stop loss set your initial stop loss order below the nearest swing low or below the 34 period email line by setting an initial stop loss order below the nearest swing low or below the 34 period email line Traders aim to protect their position in case the price starts moving against their trade however it's important to note that this stop loss strategy is not foolproof and can still result in losses if the market experiences sudden and unexpected volatility therefore you must also consider other factors such as your risk tolerance market conditions and trading plan when setting your stop-loss orders cell conditions the following are the conditions to be met for making a cell first the price breaks below the 34 period EMA from above second the Divergence is formed before the price crosses below the 34 period EMA third the histogram for demand index Divergence displays a red color fourth the RSI crosses the 50 level from above to below stop loss set your initial stop loss order above the nearest swing high or above the 34 period email line this should be simple enough or in this video I've included a template with the system that you can simply upload to your chart and it will automatically plot all these indicators perfectly on your charts so there's nothing for you to worry about get the download link on the description here are other examples of the 34 period email and demand index Divergence trading to fully understand this wonderful strategy and to make the most out of it [Music] foreign [Music] [Music] foreign [Music] [Music] foreign [Music] [Applause] I want to emphasize again that the signals produced by this strategy may not occur frequently which requires you to be patient while waiting however the accuracy of the trading signal that you are anticipating is relatively high so the outcome is worth the wait as always if you learn something new or if you want more videos more often make sure you subscribe click the notification Bell and share this video across your WhatsApp Facebook accounts or Twitter to show your support see you next time foreign [Music] [Music]
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Channel: Trader DNA
Views: 56,977
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Length: 17min 22sec (1042 seconds)
Published: Fri Mar 31 2023
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