How this Digital Indicator works.?
1) From the above Image this is how it looks very easy and simple.
There are 8 Modes in this Digital Indicator version 4.0
a) RESISTANCE(Close Buy Trade).
d) SUPPORT(Close Sell Trade).
g) HOLD ON.
h) NO SIGNAL.
Let’s discuss more in detail when to trade. We will only trade on STRONGBUY and STRONGSELL. As soon as you see the SELL indicator, wait for STRONG-SELL. Once you get STRONG-SELL, place trades for Buy and vice versa.
3) SUPPORT (Close Sell trade)and RESISTANCE (Close buy trade). These modes will close any running trades. After the trade is closed, do not place another trade for 30 to 45 minutes on the same currency. Due to SnR levels.
4) 4 confirmations C-1, C-2 C-3 C-4. If all confirmations are SELL, you will receive Final Signal as STRONG-SELL. For BUY, you will receive STRONG BUY. Imagine you received STRONG-BUY, placed trades for BUY and after a few minutes C-1 changed to SELL. The final Signal is to Hold on. You can choose to hold the trade or close it. If the C-2 changes to SELL, then the Final signal will be No Signal and you can close your open running trade. The same goes for the SELL trade.
5) Changes in trend will first be reflected on C-1, then C-2, and then C-3.
6) In the corner, I also have an Alert. So keep checking it. There will be an alert for the Buy, Sell, and Closing of running Trades, based on the Support and Resistance Levels. STRONG-BUY STRONGSELL SUPPORT (Close Sell Trades) and RESISTANCE (Close Buy trades) .
7) Do not trade any Currency Pairs whose Strong-Buy or Strong-Sell have been for a long time. Look at the chart. If you see that a Currency Pair changes from STRONGSELL to STRONGBUY, then you can place a trade.
8) Before placing trades, you should get at least three strong signals from the same currency like AUD. You can use the following example: If you get STRONG-BUY for AUDUSD, AUDJPY, or AUDCAD, then place a trade. If you only receive signals on one or two pairs, then it is not a confirmation. Why? Because there may be a resistance level on that single Currency Pair. But, if we are getting signals from 3 Pairs of the same Base Currency, Quote Currency, or more than 3, then this shows that the resistance level has been broken.
This Digital Indicator Version 4.0 is based upon a 15-Minute Time Frame. You should ensure that your Stop Loss and Take Profit are not more than 15-20 Pips for each currency pair.