"INDICATOR OF THE DAY" - INSIDE DAY
One of the biggest weaknesses that traders have is their strong desire to trade the markets even when no clear signals are presenting.
The key to the game is discipline and with discipline comes the ability to stand aside when price action tells us to do so. One of the ways that directionless price action will often manifest itself is in the form of an “Inside Day” which is defined as a day in which the price action is confined to the previous daily range. This suggests that the market is unclear on the direction it which it wishes to move. When we see this type of price action, as evidenced by the Nzd/Usd chart above, our strategy is always to stand aside and await a better signal, which often occurs when the respective range is broken.
Written by Joel Kruger, Technical Currency Analyst for DailyFX.com
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Joel Kruger publishes 6 daily pieces:
“Tech Talk” – A Daily Video Highlighting Technical Developments in the Overnight Session of Trade.
Monday-Friday (between 5:30am-6:30am EST)
“Morning Slices” – Morning Overview using Fundamental, Technical, Flow, and Quantitative Analysis (Includes “Trade of the Day”).
Monday-Friday (between 6:30am-7:30am EST)
“Indicator of the Day” – A Feature Report that Highlights our Most Significant Technical Indicator of the Day.
Monday-Friday (between 8:00am-9:00am EST)
“Cross Country” – A Midday Fundamental Update, along with Technical Analysis of Selected Cross Rates.
Monday-Friday (between 10:30am-11:30am EST)
“Scandi Daily” – A Specialized Daily Fundamental and Technical Overview of the Nordic Currencies. (This report is only distributed through email. Please contact Nordic@fxcm.com if you would like to be added to distribution.)
Monday-Friday (between 11:30am-12:30pm EST)
“Daily Classical” – A Daily Technical Overview of the Major Currencies.
Monday-Friday (published between 2:00pm-3:00pm EST)
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
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