IMPORTANT TRADING TOOLS…
Here's a concise explanation of how to effectively use the combination of
"The Echo Forecast" and
"Support and Resistance Levels with Breaks" indicators by LuxAlgo on TradingView.com for trading forex and cryptocurrencies.
Understanding the Indicators:
1. The Echo Forecast (by LuxAlgo):
- Purpose: This indicator utilizes historical price data to forecast potential future price movements. It identifies patterns and trends that suggest where the price may go next.
- Usage: The Echo Forecast provides buy (long) and sell (short) signals based on its predictive analysis. Traders use these signals to time their entries and exits in the market.
2. Support and Resistance Levels with Breaks (by LuxAlgo):
- Purpose: This indicator identifies significant support and resistance levels on the price chart.
- Usage: It marks these levels and alerts traders to breaks above resistance or below support. These breaks are crucial as they often indicate potential trend continuations or reversals.
3. Integrating Both Indicators for Trading:
- Confirmation: Before acting on these signals, confirm them with the "Support and Resistance Levels with Breaks" indicator.
- Look for buy signals (green arrows or indications) from Echo Forecast near significant support levels identified by Support and Resistance Levels with Breaks.
- Conversely, look for sell signals (red arrows or indications) near significant resistance levels.
