Forex volatility indicator mt4 trend

Volatility hyper trend indicator is a mt4 forex forex volatility indicator mt4 trend with alert signals. 15M or more is the best ! Volatility indicators show the size and the magnitude of price fluctuations.

These periods come in waves: low volatility is replaced by increasing volatility, while after a period of high volatility there comes a period of low volatility and so on. Volatility indicators measure the intensity of price fluctuations, providing an insight into the market activity level. Low volatility suggest a very little interest in the price, but at the same time it reminds that the market is resting before a new large move. Low volatility periods are used to set up the breakout trades. For example, when the bands of the Bollinger bands indicator squeeze tight, Forex traders anticipate an explosive breakout way outside the bands limit.

A rule of thumb is: a change in volatility leads to a change in price. Another thing to remember about volatility is that while a low volatility can hold for an extended period of time, high volatility is not that durable and often disappears much sooner. There are 5 periods by default, i. 100 is the transfer of the obtained value into points.