The Bt cs Indicator tells the forex pair’s long and short positions. This guide will talk about how the indicator works and how you can apply it as a strategy.
What is the Bt cs Indicator?
The Bt cs indicator tells forex pairs long or short positions. Applying the indicator on any pair presents you with the list of all forex majors and crosses long or short positions. By default, it shows 27 pairs.
In addition, the indicator has a table of major currencies, which identifies each currency’s strength.
If you have an idea of forex heat maps, then Bt cs is easy to understand. In the heat maps, you have a single currency’s strength with others. For instance, the GBP can be stronger against the USD while weaker against the EUR.
The Bt cs works the same way. It shows you if one particular currency is stronger than the other. The one caveat you don’t find in heat maps is that Bt cs tell you about short and long positions.
Bt cs Indicator Strategy
You probably have guessed by now the indicator is not a usual trend-following or momentum indicator. To trade with the indicator, you must look for your selected pair and see which position bt cs is showing.
For instance, if you want to trade EUR/USD and the indicator shows short, you can take short positions. On the flip side, you can take long positions if it’s showing long.
The smart way to trade the indicator is to open multiple positions on several forex pairs. For example, you see on the table that USD is strong, so you can short EUR/USD, GBP/USD, AUD/USD, NZD/USD, and go long on USD/CHF, USD/CAD, and USD/JPY.
However, this strategy can be risky, as sudden news can change the course of the currency. So, it’s better to apply other indicators like RSI, MACD, or Moving Average to confirm the overall trend and then take positions accordingly.
One important aspect of Bt cs is it shows you the long/short positions according to the current timeframe. For instance, GBP/USD can be long on the H1 timeframe, while on 15 min, it can be short.
Buy Signal
- Your chosen forex pair must be long.
- Confirm the trend with other indicators.
- Place a stop-loss at the recent low.
- Set take-profit at the previous high.
Sell Signal
- Your chosen forex pair must be short.
- Confirm the trend with other indicators.
- You could place a stop-loss at the recent high.
- You could set take-profit at the previous low.
Bt cs Pros & Cons
We have discussed how the Bt cs works; let’s compare the pros and cons of trading with the indicator.
Pros
- The Bt cs shows long and short positions.
- Using the Bt cs, you can take the trade on multiple forex pairs.
Cons
- You can’t trade the indicator individually.
- The indicator can give false positions.
Conclusion
The Bt cs simply shows the forex pair’s long and short positions. It also tells you the currency’s strength with others. Combining with other indicators, the Bt cs can become part of your trading strategy. However, you may want to confirm all signals with additional market analysis. I would be looking at price action including support and resistance levels along with any bullish or bearish candlestick patterns. As with any forex strategy, you should have excellent money management so that one bad trade does not cancel out a consecutive run of winners. You can always practice trading on a forex demo account to begin with to improve your trading skills and build up your confidence. Most forex brokers provide a free demo account, including IC Markets. They are my top choice for both manual and automated forex trading systems. This is because they have tight spreads, quick execution speeds, low commission fees and excellent 24/7 support.
Self-confessed Forex Geek spending my days researching and testing everything forex related. I have many years of experience in the forex industry having reviewed thousands of forex robots, brokers, strategies, courses and more. I share my knowledge with you for free to help you learn more about the crazy world of forex trading! Read more about me.
