The technical indicator Acceleration / Deceleration displays the driving force to drive market forces
The technical indicator Accelerator Oscillator (AC) mark their peak / trough even before the courts have reached their extreme.
The indicator thus changes direction before any change in driving force, and changes direction before price giving the trade a market advantage
Trading - Accelerator Oscillator (AC) - Rules And Signals
The bars form a curve which passes alternately in the positive and the negative.
The green parts correspond to acceleration, the red parts to a deceleration.
These movements anticipate increases and price decreases.
The zero line is the point of balance trainings forces.
. If Acceleration / Deceleration indicator is above the line 0: continuous acceleration upward movement and generates a buy signal - Open the long position when at least 2 consecutive barrens are green
. If Acceleration / Deceleration indicator is lower at line 0: décélaration continues the downward movement and generates a lower signal - Open the short position when at least 2 consecutive bars are red
if the indicator is in the positive, when you have to buy at least 2 consecutive poles are green
formula - Accelerator Oscillator (AC)
acceleration and deceleration are calculated by comparing the average according to this formula:
AO = SMA (average price, 5) SmaI (average price 34)
AC = AO-SMA (AO, 5)
SMA = Simple moving Average
AO = Awesome Oscillator
AC = Accelerator / Decelerator Oscillator
Analysis Trading
Trade Forex - Example
Currency Pair: EUR / USD
Time frame: H1 - 1 Hour
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