Core Insights - The article provides a summary of key forex trading terms and their applications, focusing on various technical indicators used in trading strategies. Group 1: Average Directional Movement (ADX) - ADX measures the strength of a trend, not its direction, with high values indicating a strong trend and low values indicating a range-bound market [1] - Core data includes previous high, current high, previous low, current low, and previous closing price [1] - Suitable for trend-following strategies and filtering out range-bound periods [1] Group 2: Bollinger Bands - Bollinger Bands display price volatility and help determine overbought or oversold conditions [2] - Core data consists of the average closing price and price standard deviation [2] - Applicable in range-bound trading and volatility breakout strategies [2] Group 3: Envelopes - Envelopes create price bands to identify overbought or oversold areas [5] - Core data includes moving average and percentage offset values [5] - Useful for mean-reversion trading and range reversal strategies [5] Group 4: Ichimoku Kinko Hyo - This indicator assesses trends, support and resistance levels, and momentum simultaneously [6] - Core data involves the highest and lowest prices over the past 9, 26, and 52 periods, along with the current closing price [6] - Suitable for trend-following and medium to long-term position assessments [6] Group 5: Moving Average - Moving Average smooths price fluctuations to identify trend direction [9] - Core data includes the average of closing prices over a specified period [9] - Applicable for trend assessment, support and resistance levels, and moving average crossover strategies [9] Group 6: Parabolic SAR - Parabolic SAR provides trend reversal signals and moving stop-loss positions [9] - Core data includes price extremes (highs/lows) and acceleration factor [9] - Useful for trend-following and setting dynamic stop-loss orders [9] Group 7: Standard Deviation - Standard Deviation measures price volatility and identifies high or low volatility periods [10] - Core data consists of the deviation of closing prices from their average [10] - Applicable for volatility filtering, Bollinger Band calculations, and dynamic capital management adjustments [10] Group 8: Average True Range (ATR) - ATR measures market volatility by calculating the average of the maximum values among the highest-lowest, highest-previous close, and lowest-previous close [10] - Useful for setting stop-loss levels and determining market phases [11] Group 9: Bears/Bulls Power - This indicator measures the strength of bearish or bullish forces [15] - Core data includes the difference between the lowest/high price and the moving average value [15] - Suitable for trend reversal signals and assessing bearish/bullish momentum [15] Group 10: Commodity Channel Index (CCI) - CCI measures the degree of price deviation from its average to identify overbought or oversold conditions [15][18] - Core data involves the typical price (high + low + close) divided by three and its deviation from the average [15] - Applicable for range reversal strategies and breakout confirmations [15][18]