EUR/USD Trend Indicator Reveals Strongest Currency with 'Confirmed Close' Signal
The EUR/USD trend indicator, known as 'Confirmed Close MTPI EUR/USD' on TradingView, uses twelve separate trend indicators to determine which currency is stronger. The score is calculated by taking a vote from each of the twelve indicators, with the result being an average score between -1.00 and +1.00.
The indicator does not repaint, meaning that it only changes its state when a daily candle actually closes. This ensures that traders can rely on the signal they act on. The detail behind this statement is worth knowing for EUR/USD, as the foreign exchange day ends at 5pm New York time (21:00 UTC), and a reading taken at 3pm London is still within the six hours remaining in the candle.
The indicator displays the state of the trend on the price chart, with violet candles indicating that the euro is stronger, and lime candles showing that the dollar is. Triangles mark the moments when the score turned positive or negative. Two moving averages are also drawn as a reference to compare with the twelve indicator version.
The dashboard provides additional information, including the current score, state, and gauge. The twelve indicators used in the vote are listed on the dashboard, along with their individual votes. This allows traders to see why the score is what it is.