FAQ
Spread is the difference between the purchase price (ask) and the sale price (bid) of a financial instrument that is traded on the market at any given time. It is due to this difference that banks, brokers and dealers profit from the buy / sell operations carried out by their clients. The spread value depends on a number of parameters, such as volatility and liquidity in the market. A bank, broker or dealer can keep the spread at a constant level in a calm market, but during an increase in volatility and (or) a drop in liquidity, the maximum value of the spread will be determined by the market participants themselves, thus, the spread increases sharply.
Volatility is the range of deviation of the price of an asset from the average. A volatile asset will potentially bring big profits. But if the investor’s forecast turned out to be incorrect, he will suffer a greater loss, although a well-built trading strategy significantly reduces this risk.
Liquidity is the ability of an asset to be quickly sold / bought at a market price at a desired time. Forex is the most liquid among all financial markets, however, liquidity for different currency pairs is always different and depends on the time of trading operations. If we are talking about ruble currency pairs, then the optimal time for trading operations will coincide with the time for trading on the Moscow Exchange: from 10:00 to 23:50 Moscow time. Trading operations in ruble instruments outside this period of time will be accompanied by an increased spread. Accordingly, each financial instrument has its own preferred trading time:
Session name
Financial centers
Moscow time
Pacific
Wellington
Sydney
23:00 – 08:00
01:00 – 10:00
Asian
Tokyo
Hong Kong, Singapore
03:00 – 12:00
04:00 – 13:00
European
Frankfurt, Zurich
Paris, London
10:00 – 19:00
11:00 – 20:00
American
New York
Chicago
16:00 – 01:00
17:00 – 02:00
In the Trader terminal, you can place pending orders of the “Limit” and “Stop” types. The result of triggering both the “Limit” order and the “Stop” order may be the opening of a buy or sell position.
At the same time, the mechanics of execution of “Limit” and “Stop” orders are different.
A Limit order is an order to execute a trade at a specified price or at a better price. In other words, it is an instruction to buy at a specified price or less, or sell at a specified price or more.
Suppose now EURUSD is trading at 1.1600. The price starts to decline. The trader believes that, having dropped to the level of 1.1550, the price will reverse and go up sharply. It is logical that the closer the trade buys the euro to the 1.1550 mark, the more profit it will receive from the growth of the rate after the reversal. The trader places a “Limit” buy order and sets the level at 1.1560. This means that he is giving instructions to buy euros in the future at 1.1560 or even cheaper. A pending buy limit order will be triggered when the ask price drops to 1.1560. Suppose the price drops to 1.1561 (one pip before the pending action is triggered), and then drops sharply to 1.1530. Before the quote at 1.1530, the order could not be triggered, and the price at 1.1530 is 30 points more profitable than the price set when placing the order. However, “Buy Limit” is an order to buy at or below the price. The price 1.1560 was not on the market, but the price 1.1530 is the market price and fully meets the conditions of the pending order. The position will open with the so-called slippage and write 30 points of profit into the client’s financial result. Pending orders of any type can slip (this is a normal market phenomenon), however, only Limit orders, due to their mechanics, can slip in favor of the trader.
Suppose now EURUSD is trading at 1.1600. The price is rising. The trader believes that the growth will continue to the level of 1.1800, however, important news will come out soon, which can create an unpredictable movement – it is dangerous to buy now. The trader places a pending buy stop order and sets the level at 1.1700. This means that the order will be opened if the price of the euro crosses the 1.1700 dollar mark. Suppose the ask price (it is it that is taken into account if the order is for a buy) approached the specified level, but did not reach it until the end of the trading session on Friday. Friday trading stopped at EURUSD 1.1695. News comes out over the weekend about the success of Greek diplomats in negotiations with the IMF. On Monday, the euro is strengthening strongly against the dollar. The session is opened by the quotation 1.1750. Buy stop is an order to buy at a specified price or more. There were no quotes at 1.1700 on the market, but the price at 1.1750 is the market price and fully satisfies the order conditions. The position will be opened at a price of 1.1750, having written 50 points of loss in the client’s financial result.
Due to their specifics, “Stop” and “Limit” orders can be placed only below or only above the current market price.
“Buy Stop” is an order to buy at a price or higher, which means it is set only above the current price.
“Sell Stop” is an order to sell at a price or cheaper, which means that it is set only below the current price.
“Buy Limit” – an order to buy at a price or cheaper, which means that it is set only below the current price.
“Sell Limit” – an order to sell at or above the price, which means it is set only above the current price.
Trader also allows you to place a rarely used Stop Limit order.
“Stop Limit” is a pending order of the “Stop” type, the result of which is triggered to place a pending limit order.
There are also Stop Loss and Take Profit orders.
Stop Loss is used to limit losses. Take Profit is used to fix profits.
The Stop Loss and Take Profit triggering mechanisms are similar to the Stop Loss and Limit orders triggering mechanisms, respectively. Stop Loss will always close a position at a price you specified or at a less favorable price for you, that is, it will close a buy position by selling cheaper, or close a sell position by buying at a higher price. The slippage of the “Stop Loss” order will always not be in the client’s favor. On the contrary, “Take Profit” will close the position at the price you specified or at a more profitable price, that is, it will close the buy position by selling at a higher price, or buy at a lower price by closing the sell position. If “Take Profit” was executed with slippage, then the slippage was in favor of the client.
Yes maybe. If the market does not have the price indicated in the pending order, then the transaction is activated at the nearest of the first received prices (relative to the price set in the order). Slippage is typical for any financial market where real asset trading takes place, be it the stock, commodity or foreign exchange market.
“Gap” – the occurrence of a price gap when the rate can move up or down in a jerk, without concluding deals at intermediate prices, since they were not on the market. A price gap occurs quite often, for example, at the moment of market opening on the night from Sunday to Monday, when important events took place on the weekend. Accordingly, the activation of orders when a gap is formed occurs at the first available market prices that were formed after the “gap”.
1. Calculation of the weighted average price of opening a position.
Formula: Pav = (Open Price 1 × Lot 1 + Open Price 2 × Lot 2 + … + Open Price X × Lot X) / (Lot 1 + Lot 2 + … + Lot X), where:
– Pav – weighted average price
– Open Price 1 – the opening price of the first position;
– Open Price 2 – the opening price of the second position;
– Open Price X – position opening price X;
– Lot 1, 2, … X – position volume X in lots.
2. Calculation of margin for a locked (hedged) volume.
Formula: M1 = (Pср × Lots х 100,000) / Leverage / 2, where:
– Pav – weighted average price calculated in clause 1;
– Lots – total volume of locked positions in lots;
– Leverage – leverage.
3. Calculation of the margin for the remaining (non-localized) volume.
Formula: M2 = (Pcr × Lots x 100,000) / Leverage, where:
– Pav – weighted average price calculated in clause 1;
– Lots – the total volume of unlisted positions in lots;
– Leverage – leverage
4. Calculation of the final margin.
Formula: Margin = M1 + M2
Example. Calculation of margin for several transactions for currency pairs.
Trading account in dollar, leverage – 1:40
Data for three transactions:
– selling 0.5 lot USDRUR at 66.0227;
– buying 0.8 lot USDRUR at 67.0312;
– Selling 1.4 lots USDRUR at 66.7011.
Weighted average price calculation:
Pav = (66.0227 x 0.5 + 67.0312 x 0.8 + 66.7011 x 1.4) / (0.5 + 0.8 + 1.4) = 66.6733 USDRUB
Calculation of margin for a locked (hedged) volume. The volume of locked positions is 0.8 × 2 = 1.6 lots.
M1 = (66.6733 x 1.6 x 100,000) / 40/2 = 133,346.60 RUB
Calculation of the margin for the remaining (unlocated) volume.
M2 = ((2.7-1.6) x 66.6733 x 100,000) / 40 = 183 351.56 RUB
Calculation of the final margin.
Margin = 133 346.60 + 183 351.56 = 316 698.16 RUR
One of the advantages of the OTC Forex market is the ability to open and close transactions around the clock, which allows a trader to combine his main activity with trading. At the same time, the Forex operating mode is five days – the market opens on Monday and closes on Friday. It is closed on weekends and international holidays such as New Years and Catholic Christmas. In addition, there are national holidays when one of the sessions may not work.
All trading is divided into four sessions: the first opens the Pacific, then the Asian, followed by the European, and the trading day ends with the American session.
Trading sessions
Each region of the world has its own financial centers – cities where banks, financial institutions and large companies are concentrated. All financial flows of the region are collected and processed in this center, for example, in Asia – these are Tokyo and Singapore, in Europe – London, Frankfurt, etc. Depending on at what time and through which financial center currency flows are processed, trading sessions are distinguished …
The European and American sessions have the highest volatility and the highest trading volumes. The quietest session is the Pacific.
Forex trading schedule
Knowing the hours of the market, you can improve the efficiency of trading. This is especially important when trading intraday. During the period of activity of a particular session, the fluctuation of exchange rates increases – there are good moments for entering the market and making a profit on price movements. When there is an overlap of trading sessions (one has not ended yet, and the other has already begun), the trading volume reaches its peak, volatility increases, which is beneficial for the participants.
Some countries are switching to winter and summer time, so the schedule of sessions according to Moscow time can change by 1 hour: Europe changes the clock to summer time on the last Sunday in March, to winter time – on the last Sunday in October; America switches to summer schedule on the second Sunday in March, back on the first Sunday in November.
The table will help you to find out what time a session on the Forex market opens and closes.
Region
City
Opening
Closing
Asian (Asia)
Tokyo
2:00
10:00
Hong Kong
3:00
11:00
Singapore
2:00
10:00
European (Europe)
Frankfurt
8:00
16:00
London
9:00
17:00
American (America)
New York
15:00
23:00
Chicago
16:00
24:00
Pacific
Wellington
22:00
06:00
Sydney
22:00
06:00
Each trader can choose a convenient time for trading in Forex and make profitable deals.
Both profits and losses in Forex are calculated in points, or pips. Moreover, Forex quotation is carried out up to the fifth decimal place, that is, up to 0.00001. However, the broker can also provide four-digit quotes.
What is a Forex pip? This is the smallest possible change in the price of an asset. For example, a change in the quotation of the euro / dollar currency pair from 1.08000 to 1.08001 indicates that the price has changed by 1 point.
For Forex instruments with five decimal places (0.00001) 1 pip is equal to the fourth decimal place, for currency pairs with three decimal places (0.001) 1 pip is the second decimal place.
Transactions in the foreign exchange market are made in certain volumes, the so-called lots. The standard volume is 1 lot, or 100,000 units of the base currency.
For example, in the EUR / USD pair, the base currency is the euro, and the US dollar is the quote currency. Operations are performed with the base currency, calculations are made in the quote currency.
How to calculate pip value
The pip price for any currency pair is calculated based on the current rate of this pair. The calculation of the pip value depends on the type of quote: straight line, where the base currency is the US dollar; the reverse, where the base currency is the national currency, and the USD is in second place in the pair.
In the first case, the following formula applies:
pip value = position volume x pip size / current pair rate
Let’s calculate the cost of 1 point using this formula using the example of the USD / CHF currency pair with the current rate of five digits 0.97057. Contract size – 0.01 lot (or 1,000 USD).
Pip value for USD / CHF: 0.00001 x 1,000 / 0.97057 = $ 0.01
In an inverse quote, the pip value does not depend on the current rate. The calculation will be performed according to the formula:
pip value = position volume x pip size
So, for EUR / USD with the same transaction volume, working by five decimal places, we get a pip value of $ 0.01.
There is a third type of quotation – a cross rate, that is, the ratio of two currencies in a pair where there is no US dollar. For cross rates, its own procedure for calculating the value of a point is applied:
pip value = position volume x pip size x base currency quote to USD / current pair rate
Let’s make the calculation using the example of the GBP / CHF pair with the rate of 1.18908.
The cost of a pip for the GBP / CHF pair: 1,000 x 0.00001 x 1.22550 (GBP / USD) / 1.18908 = $ 0.01
To make it easier to calculate the value of a pip in Forex, you can use the trader’s online calculator.
This message appears if the login and password combination you specify does not exist on the selected Trader server. Login in Trader is always digital and does not contain letters. Please make sure that when copying a login from an email, you do not select a space before or after the login. Trader password is entered in the Latin alphabet and is case-sensitive. To enter the password correctly, we recommend copying the password from the letter to the Notepad program (standard Windows program) and from Notepad to the corresponding field in Trader.
This is most likely due to the fact that your order was triggered at the ask price (in the case of opening a buy order or closing a sell order), and in the Trader terminal, charts are drawn only at Bid prices.
If the “New Order” button is inactive, it means that you have connected to the trading account using the investor password. To make deals, when connecting to the terminal, you must use the main password (trader’s password) of the trading account. The investor’s password allows only viewing transactions on the trading account, its status online, but does not imply the possibility of performing trading operations.
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Zero volume may occur if you used the “Close overlapped orders” or “Close by opposite” operation by selecting the appropriate option in the “Type” field in the “Modify or delete order” window.
Trailing stop is a tool that allows you to automatically set a stop loss at the required level from the current price. It is perfect when the market is moving strongly in one direction, and the trader does not have the opportunity to follow the price change. How it works: when the Trailing Stop level is set, the terminal constantly checks the number of points from the entry point to the current price. If the required “gap” is reached, then in accordance with the specified parameters, Stop Loss is set. As soon as the price moves in the desired direction, the stop loss is automatically moved after it in proportion to the predetermined interval. If the position loses profit, then the stop loss does not change. Thus, the position of closing a deal in case of unfavorable market movement is automatically fixed at the Stop Loss level. Please note that Trailing Stop functions only when the client’s trading terminal is connected to the company’s server.
When the trading platform is launched for the first time, a standard list of currency pairs is displayed. In order to display the entire list, in the “Market Watch” window, right-click on any currency pair and select “Show all”.
Most likely, you have chosen a volume that is not available for making a deal, or you have logged in using the investor’s password, not the trader’s.
The tick volume in Trader does not reflect the real value of the trading volume either in the market or in FutureFX. This volume reflects only the number of ticks for the selected unit of time, illustrating the activity of buyers and sellers.
To display the ask line on the chart, just hover the mouse over the chart, right-click, click Properties in the window that appears, select the Show section, check the Show ask line checkbox in the menu that opens, and press OK.
A demo account allows you to practice trading in the foreign exchange market, test your strategy without the risk of losing your own investments. The Trader trading terminal has several options for working in demo mode. You can:
• download and install the desktop version on a personal computer or laptop: the distribution kit is downloaded from our website;
• use the web version of the “Trader” demo: the web platform allows you to trade through any browser without installing additional files.
A demo account Trader is opened in the personal account of FutureFX, therefore, to start working in demo mode, the user needs to register: remotely. ]
After registration, you need to create a demo account in the appropriate section of your personal account (you do not need to upload documents and fill out a questionnaire to work in demo mode). Login, password and server address are sent in a letter to your email address within a few minutes.
In the terminal, select the option “Connect with an existing trading account” and enter the data from the letter.
For clients of a forex dealer, the mobile, web version, as well as the version of the terminal for the PC are free.
To start working on the platform, download the installation package for free from the Trader section. Next, run the downloaded .exe file – there is one for Windows, Mac and Linux – and install the program according to the instructions that you see on the screen. Upon completion of the installation, the program will automatically start, and a shortcut will appear on the desktop.
Enter your username and password from the letter that comes to your e-mail after creating a trading account from the personal account of FutureFX
The distribution kit belongs to web-installers: most of the files for work are downloaded from the network. You can do without additional Trader software when installing on Windows 2008/7/8/10.
After starting the installer, you will be prompted to read the license agreement and accept its terms. By clicking the “Next” button, you confirm your agreement with what you have read.
The source files are saved on the C drive in the Program Files folder by default. You can specify a different save path from the “Settings” menu in the license agreement window. The installer will automatically detect the bitness (bitness) of your computer’s operating system: 32 or 64 bits.
Trader package will be unpacked together with Trader
FutureFX is not a tax agent for its clients. In view of this, you must independently familiarize yourself with the tax legislation of your country and pay taxes on the profits generated.
We will be glad to see you at the FutureFX client office at Rodney Bayside Building, Rodney Bay, Gros-Islet, Saint Lucia. Please let us know in advance that you want to come so that we can prepare the documents. You can also ask any questions by calling or writing to info@future-fx.org
The office is open from 09:00 to 22:00 GMT + 3.
Balance reflects the amount of funds in the client’s account, which was credited to the trading account, taking into account the profit and loss on closed positions, but excluding open positions.
Equity reflects the amount of funds in the client’s account, taking into account open positions. Calculation formula: Equity = Balance + Profit on open positions – Loss on open positions.
The message “Trade flow is busy” appears in case of an unsuccessful attempt to execute a trade, when the client did not receive a response from the client about the status of the previous request to the server. Basically, this error occurs when the network connection between the trade server and the client’s terminal is lost. When this message appears, you need to restart the terminal. To do this, click on the “File” button of the main menu, then select the “Exit” option in the context menu, then restart the terminal, and you will be able to resume trading operations.
To perform trading operations, you need to download a trading terminal from our website. Links for downloading the installation files are available in the “Trader” section. Next, you need to download the installation file of the platform using the “Download” function located next to the logo of the trading platform. Then you need to run the downloaded file and install the program following the instructions of the Terminal Installation Wizard. After successful installation, the terminal will start automatically. Then you need to click on the button of the main menu “File”, select the item “Login / Connect to a trading account”. In the window that appears, you need to enter your login, password and server, which are sent in a separate letter to your e-mail when creating a trading account.
Help is provided in Trader terminals; to launch it in an open terminal, press the F1 button. You can also use the button of the main menu “Help” and select the option “Call Help”.
There are basic parameters by which authorization can be determined:
– an entry in the “Log” tab of your terminal indicates that the authorization was successful (the line with the entry “Your account number: login” with the current time);
– upon successful authorization, your login will be displayed in the upper left corner of the terminal;
– quotes for various instruments in the “Market Watch” window begin to update;
– in the lower right corner the numbers change periodically, and the communication indicator consists of red and green stripes.
There are several main reasons:
– login in Trader is always digital and does not contain letters. Make sure that when copying the login combination from the received registration letter, you do not copy the space before or after the login;
– the password in Trader is entered in the Latin alphabet and is case-sensitive. To enter the password correctly, we recommend that you copy the password from the registration letter to the Notepad program (standard program in Windows OS), make sure that there are no spaces before or after the password combination, then copy the password from Notepad into the Password field in Trader when logging into platform;
– it is possible that your PC does not have an Internet connection. Please check if the Internet connection is working properly;
– it is possible that antivirus software or firewall (Kaspersky Antivirus, NOD 32, Norton Antivirus, Dr.Web, Windows Firewall, etc.) on your PC is blocking the trading terminal. Please check your security settings (Trader works over port 443).
Clients can remotely register with FutureFX.
For this you need:
1) Go from your smartphone or tablet to the main page of our site.
2) Click on the “Register” button.
3) After redirecting, follow the instructions in the window that appears and fill in the data.
4) Agree with the documents.
5) Check e-mail (a letter with a username and password from the FutureFX personal account will be sent there).
To open an account with FutureFX, you need a passport or other document confirming your identity and registration address.
Opening an account takes from a few minutes to one or two business days. After the documents are uploaded to the personal account (or after a personal visit to the office), the passport is checked, a trading account in Trader and a special section of the nominal account in partner banks are created. The data required to replenish the account and connect to the terminal are sent to the email address specified during registration. If you applied for registration after the end of a banking business day (Moscow time), you will receive access to trading on the next business day.
When you open an account and trade on Forex, you are primarily exposed to market risk, that is, the risk of getting a loss due to an unfavorable change in the price of the asset in which you have invested. However, there are other risks, for example, technical risk or the risk of force majeure circumstances. You can find detailed information on risks from the Appendix to the agreement on the provision of trading services.
A trading account in Trader opens automatically after successful verification of the documents that you uploaded to your personal account (or after signing an agreement to the office). Login and password from the account are sent to e-mail.
Hedged account – an account where each position is accounted for separately. On it, you can simultaneously open two transactions or several transactions of any direction for the same currency pair. Positions can be locked. In the master agreement, it is designated as an account with no netting for open items.
Non-hedged account – an account where positions on the same instrument are pooled. Opening a second trade in the same direction will increase the volume in the market, but will not increase the number of positions. Opening a second deal in the opposite direction will lead to a decrease in market volume or complete closure of the position. In the master contract, it is referred to as a netted account for open items.
The ratio of the amount of the client’s collateral (pledge) and the amount of his obligations cannot be less than one to fifty (1:50) (clause 9 of article 4.1 of the Federal Law of 22.04.1996, No. 39-FZ “On the Securities Market”) …
In practice, this means that the leverage can be any, but with an increase in the leverage and obligations of the client, the forex dealer will be forced to raise the stop out level, upon reaching which the position is forcibly closed. For example, if a forex dealer sets a leverage of 1: 200, then the stop out level will be equal to 400%.
For our chosen leverage of 1: 100, we considered it reasonable to set the stop out level to 85%.
Yes, FutureFX clients can open and invest in PAMM accounts.
There is no minimum deposit limit in FutureFX. You just need to have an amount on your trading account that will be enough to open a position of the minimum volume (0.01 lot).
The funds of the forex dealer’s clients are not considered to be insured by the Deposit Insurance Agency.
However, the clients’ funds are kept by the forex dealer in a separate bank account (nominal account), and transactions on such accounts are carried out under the control of the credit institution in which the nominal account is opened. Forex dealer’s obligations cannot be levied on clients’ funds. In a self-regulatory organization, of which a forex dealer is a member, a compensation fund is created without fail, the funds from which are directed to payments in case of bankruptcy of a forex dealer.
Before opening an account, we recommend that you find out in which bank the forex dealer serves his nominal account, since the bank’s reliability is one of the key factors in assessing a forex dealer.
FutureFX’s nominal accounts are opened with Handelsbank Elsenheimer Str. 41 München 80687 Germany
A nominal account is a special account with a credit institution, which a forex dealer opens for accounting of clients’ funds. Transactions on a nominal account are carried out in the context of each client under the control of a credit institution. The forex dealer’s clients’ funds cannot be levied on the forex dealer’s obligations.
Apple operating systems require third party software for Trader to function properly. The developers of the trading platform advise using the PlayOnMac adaptation program on macOS machines. The latest version of the program can be downloaded by following the link https://www.playonmac.com/en/
Once the download is complete, run the distribution. In the new window, click Next – the program will be checked and installed. One of the first components to install is XQuartz. If you already have this component, please refuse to reinstall it.
During the installation process, you will be prompted to accept the terms of the license agreement, as well as enter your account information for security verification. Upon completion of the process, you will need to restart your computer.
After rebooting, run the PlayOnMac installation file again. At this point, the fonts that are used in Windows will be installed to ensure the program runs correctly. The license agreement window will reappear. Accept it to continue.
The Wine software environment will be loaded with PlayOnMac – update it to the latest version in the section with PlayOnMac settings: Tools – & gt; Manage Wine Versions. To do this, drag the selected version to the right. After the update, you can install the Trader trading terminal. The steps are similar:
• download the distribution kit;
• run the installation file – it will automatically open in PlayOnMac.
The Trader trading application is available in versions for iOS and Android. The mobile version of the terminal is almost as functional as the PC version. All you need to trade is Internet access. To start working with the terminal, just go to the Play Market or App Store and download the latest version of the application for free. Please make sure in advance that your phone has enough free space to install the platform.
Installing the mobile app
Go to the mobile app store from your device and click the “Install” button. The program will ask for standard data access authorization, please grant it. Next, the download will begin, which, with a normal connection to the Internet, will take a few seconds. When the download is complete, you can open the terminal directly from the application store or from the smartphone screen.
To add a trading account to Trader for Android, you need to click on the plus sign in the upper right corner of the Accounts section; to do this in iOS, go to the Settings menu and click New Account; enter “FutureFX” in the broker search bar and select the only dropped out line.
Please note that both a real and a demo account must first be created in the FutureFX personal account, and only then added in the mobile terminal.
Accelerator / Decelerator Oscillator
Price is the last item to change. Before the price changes, the driving force of the market changes, and before the driving force changes its direction, the acceleration of the driving force must slow down and reach zero. Then it starts to accelerate in the opposite direction until the price starts to change its direction.
The Acceleration / Deceleration (AC) technical indicator measures the acceleration and deceleration of the current driving force. This indicator will change direction before changing trend movements. My grandfather used to say, “Even a blind hen will find grains if it is fed at the same time.” We call trend trading the blind chicken market. Although it took us years, we did develop an indicator that always allows us to keep our powder dry until we find ourselves in the blind chicken market. ”
The Alligator technical indicator is a combination of Balance Lines (Moving Averages) using fractal geometry and nonlinear dynamics.
– The blue line (Alligator’s Jaw) is the Balance Line for the time period that was used to plot the chart (13-period Smoothed Moving Average, shifted 8 bars into the future).
– The red line (Alligator’s Teeth) is the Balance Line for a significant time period an order of magnitude lower (8-period smoothed moving average, shifted 5 bars into the future).
– The green line (Alligator’s Lips) is the Balance Line for a significant time period, which is one more order of magnitude lower (5-period smoothed moving average, shifted 3 bars into the future).
The Alligator’s Lips, Teeth and Jaw show the interaction of different time periods. Since trends in the market can be identified only for 15-30 percent of the time, it is necessary to follow the trends and not work in markets that change only within certain price periods.
When the Jaw, Teeth and Lips are closed or intertwined, the Alligator is about to sleep or is already asleep. When he sleeps, his hunger increases – the longer he sleeps, the more hungry he will be when he wakes up. When he wakes up, the first thing he does is open his Mouth and start yawning. Then he begins to smell food: bull meat or bear meat, and begins to hunt for him. When the Alligator is completely full, he begins to lose interest in the food-price (Balance Lines converge) – this is the time to take profit.
Payment
MEDIAN PRICE = (HIGH + LOW) / 2
ALLIGATORS JAW = SMMA (MEDEAN PRICE, 13,
ALLIGATORS TEETH = SMMA (MEDEAN PRICE, 8, 5)
ALLIGATORS LIPS = SMMA (MEDEAN PRICE, 5, 3)
Where:
MEDIAN PRICE – median price;
HIGH – the maximum price of the bar;
LOW – minimum bar price;
SMMA (A, B, C) – Smoothed Moving Average. Parameter A – data to be smoothed, B – smoothing period, C – shift to the future. For example, SMMA (MEDIAN PRICE, 5, 3) means that the smoothed moving average is taken from the median price, while the smoothing period is 5 bars, and the shift is 3;
ALLIGATORS JAW – Alligator Jaws (blue line);
ALLIGATORS TEETH – Alligator Teeth (red line);
ALLIGATORS LIPS – Alligator Lips (green line).
The sounds you hear are news alerts. To disable them, you need to do the following:
– open the “Service” tab – the “Settings” item – the “Events” tab – the “Event” column – the “News” section;
– double-click the left mouse button on the bell (notifications are disabled).