Buying Fake Id On The Street

Lesson 22 - Acceleration / Deceleration - AC

Technical Indicator Acceleration / Deceleration (AC) measures acceleration and deceleration of the forces driving the price.

This indicator will change direction before any changes in the driving force of price, so it should change its direction before the price. Therefore this is a great technical indicator tool for change in trend signals early, allowing to anticipate market changes.

The zero line is basically the place where the driving force is in equilibrium with the acceleration. Technical Indicator If Acceleration / Deceleration is on the zero line, then it is usually easier for the acceleration to continue the upward movement (and vice versa in cases when it is below zero). Unlike the oscillator Amazing, is not considered a signal when the zero line is crossed. The only thing necessary to have to do to market control and decision making is to look at the changing colors in the display. For practical purposes always have to keep in mind that you should not buy is red, and you can not sell when the current column is colored green.
If you enter the market in the direction of the dominant forces in the market (the indicator is higher than zero, buying, or is lower than zero, to sell), then you need only two green columns to buy ( two red columns to sell). If the driving force is directed against the position to be opened (indicator below zero to buy, or higher than zero to sell), a confirmation is needed, hence, an additional column is required. In this case the indicator should show three columns is red on the zero line for a short position and three green columns below the zero line for a long position. Calculation

The bar graph is the difference between the value of 5 / 34 of the bar graph with power and 5-period simple moving average, taken from the bar graph.
AC
The bar graph is constructed with the difference between the values \u200b\u200bof 5 / 34 of the bar graph with power and the simple moving average of period 5 taken by the bar graph. AO

= Simple Moving Average (Median Price, 5) - Simple Moving Average (median-priced 34)
AC = AO - Simple Moving Average (AO, 5)

Where: MEDIUM PRICE
= (Maximum + Minimum) / 2;
AO: Awesome Oscillator (see previous lesson).


The figure below shows an example using the AC and AO indicators together in the forex market USD / JPY: