Valable ZigZag Indicator

Overview of the Valable ZigZag Indicator

The Valable ZigZag Indicator is a powerful tool designed to display the wave structure of the market, making it easier for traders to make informed decisions. Unlike the classic ZigZag indicator, the Valable ZigZag is more stable and less prone to frequent direction changes, thanks to its use of fractals in wave construction. This stability helps traders avoid misleading signals and better understand market trends.

Key Features

Uses price reversal levels as the basis for its constructions

Changes direction only when the last local maximum or minimum is broken

Sets the right direction for trading

Equally applicable in Forex, stock, commodity markets, and indices

Advantages

The Valable ZigZag Indicator offers several advantages that make it a preferred choice for traders:

Stability: It does not frequently change direction, reducing the chances of false signals

Trend Indication: Primarily a trend indicator, it helps traders identify the main direction to trade

Multi-Market Applicability: Works well across various markets, including Forex, stocks, commodities, and indices

Usage Examples

To utilize the Valable ZigZag Indicator effectively, follow these steps:

Install the indicator on the H4 timeframe chart to determine the trend direction

Switch to the H1 timeframe and enter the market at the breakdown of the last peak directed towards the selected trend

Settings

The Valable ZigZag Indicator is built on the Full Fractals indicator, which simplifies its settings:

Candles on the left: Determines the number of bars on the left to build a fractal

Candles on the right: Determines the number of bars on the right to build a fractal

Number of bars to calculate: The number of bars on the chart to be calculated

Show info panel: Option to turn the info panel on or off

Real-World Application

The Valable ZigZag Indicator is not just theoretical; it has been successfully applied in real-world trading scenarios. For instance, it has shown excellent performance on the S&P500 index and even in the relatively young cryptocurrency market. This versatility makes it a valuable tool for traders looking to gain a clear understanding of market phases.

Conclusion

In summary, the Valable ZigZag Indicator is a robust and versatile tool that offers stability and clarity in market analysis. Its ability to set the right trading direction and its applicability across various markets make it an indispensable asset for traders. Whether you're trading Forex, stocks, commodities, or indices, the Valable ZigZag Indicator can help you make more informed and profitable trading decisions. 🚀📈