Relative Strength of currencies information
In general Barry Thornton recommends that the strongest currency is bought against the weakest currency.
The relative strength of currencies concept requires the automation of information so that it can be seen on the charts on an up to date basis as an EA or indicator. This way you will know the the strength of currencies is all the time and would be able to identify strong and weak currencies while you are trading.
It is important to measure the strength of currencies over specific periods. We have chosen 3 hour, 24 Hours, the last week, the last month and the last 3 months as periods we would like to see movements in the strength of currencies.
Also we have added another measurement and that is one that measures the extent of the strength in pips. Pip are measurements Forex traders like using. So we will be able to tell how strong a currency is by the number of pips gained or lost against other currencies.
The output is likely to look like this for the 24 hour period
A summary of all the period will also be available
This information with provide trend and retracement traders with up to date information available on the trading charts on a real time basis. This will ensure that traders will have the information required to trade the strongest against the weakest currency. In the end these type of deals need to be identified on the trading charts using the traders preferred method of entry.
There will be a short course to explain a number of strategies that can be applied using the above information.
We have prepared a very short survey where you can give your feedback on the above information EA in beta testing.
Please view the information on this page BEFORE doing the survey http://www.moneymakingforextools.com/relative-strength-of-currency-tools/