The Forex Candle Predictor is one of the most effective and trustworthy technical tools for trend analysis. It is a fantastic trading tool that can sometimes analyze and predict the next candlesticks with decent accuracy.
The indicator would be useful as a confluence for trade entry/exit or to hold a running trade for increased profits. It is appropriate for beginning, intermediate, and advanced forex traders. Furthermore, it is appropriate for a variety of trading styles such as scalping, day/intraday trading, and swing trading.
What is the Forex Candle Predictor?
The Forex Candle Predictor indicator is a handy trading tool that predicts the next candlesticks with high accuracy. This indicator displays buy and sell arrows on the chart and typically generates 5 – 10 signals per day, with up to 15 alerts in a single day (on all supported forex pairs).
Forex Candle Predictor Strategy
The forex candle predictor strategy is simple to implement. The forex candle predictor indicator, when used or placed on the chart of the asset being traded, predicts how the next few candlesticks will likely form, move to the upside, and then reverse.
With this knowledge, you can open a buy or sell position and trail your Stop Loss to the predicted reversal zone. Please keep in mind that you may need to consult price action or other technical indicators before initiating a trade. Nonetheless, it is worth noting that in a trending market, the indicator’s signals have a high accuracy rate. Furthermore, candlestick predictions are most accurate in higher timeframes.
Buy Signal
The following could be your checklist for a buy trade:
- When the asset being traded is in an uptrend.
- When, on the chart, the Forex Candlestick Predictor draws two bullish candlesticks.
Once these two events occur, you could do the following:
- Open a buy position after the bullish candlesticks are indicated.
- Set your stop loss just below the nearest swing low.
- Set your take profit at the nearest resistance zone.
- For good risk management, I would only consider trades with a risk to reward ratio of at least 1:2.
Sell Signal
The following could be your checklist for a sell trade:
- When the asset being traded is in a downtrend.
- When, on the chart, the Forex Candlestick Predictor draws two bearish candlesticks.
Once these two events occur, you could do the following:
- Open a sell position after the bearish candlesticks are indicated.
- Set your stop loss just above the nearest swing high.
- Set your take profit at the nearest support zone.
- For good risk management, I would only consider trades with a risk to reward ratio of at least 1:2.
Forex Candle Predictor Pros & Cons
Pros
- The Forex Candle Predictor functions well with a variety of trading types including scalping, day/intraday trading, and swing trading.
- This indicator can be used to catch some good moves and, in a trending market, enable its users ride long trends.
- The indicator gives entry and exit signals and advises when to hold a running trade.
Cons
- This indicator may require some additional knowledge of price action to benefit maximally from it.
- When used in lower timeframes (e.g, M30 and lower), this indicator may not always meet the trader’s expectations.
Conclusion
The Forex Candle Predictor is essentially a user-friendly trading tool that performs technical analysis and predicts the direction and type (bull/bear) of candlesticks. A good forex indicator may boost your chances of success. Nonetheless, keep in mind the importance of having realistic expectations. It, like any other technical analysis tool, is not capable of providing 100% accurate signals. Its performance will be highly variable depending on market conditions.
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.
