Custom Search

How does this Forex Signal System work?

This Forex Signal System is based on 2 key values:

Spot vs Model rate: For each pair is estimated a value given by fundamentals (economic growth, trade balance, commodity prices, uncertainty and panic, etc). This value is called Model rate. If the spot rate is less than the model rate, then the signal is Bullish; if it is equal or close, signal is neutral; and if the spot rate is higher than the rate model, then the signal is Bearish.
Market Sentiment Index: The index is calculated based on the forecasts of different agencies (weighted by forecast accuracy). While most agencies say that the pair will go up, the higher the index. If the index is higher than 2 / 3, then the signal is Bullish. If it is less than 1 / 3, then the signal is Bearish. If the value is between 1 / 3 and 2 / 3 the signal is Neutral.

If both match, then we have a signal.
The purpose of the signals is only to indicate where the market will move. The system does not provide profit objectives or stops loss, allowing traders the freedom to choose the levels that would accommodate more. If you need support or resistance levels to set your goals, they can be found here.

Sunday, July 12, 2009

Neutral signal for all pairs



PairsSpotSpot vs Model Market Sentiment Index
EURUSD1.3939BullishNeutral
USDJPY92.54BullishNeutral
GBPUSD1.6135BullishNeutral
USDCHF1.0858BearishNeutral
AUDUSD0.7784BullishNeutral
USDCAD1.1632BearishNeutral
EURJPY128.99BullishNeutral
EURGBP0.8639BullishNeutral
EURCHF1.5135BullishNeutral
EURAUD1.7907BearishNeutral
EURCAD1.6214BearishNeutral
GBPJPY149.31BullishNeutral
GBPCHF1.7519BullishNeutral
GBPAUD 2.0728BearishNeutral
GBPCAD1.8768BearishNeutral
CHFJPY85.23BullishNeutral
AUDJPY72.03BullishNeutral
AUDCHF0.8452BullishNeutral
AUDCAD0.9054BullishNeutral
CADJPY79.56BullishNeutral

No comments:

Post a Comment