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Technical Indicators
- Acceleration/Deceleration (AC)
- Awesome Oscillator
- Aroon
- Average True Range (ATR)
- Bollinger Bands
- Bollinger Bandwidth
- Bollinger %B
- Commodity Channel Index (CCI)
- DeMarker
- Average Directional Movement Index (DMI)
- Average Directional Movement Index Rating (ADXR)
- Donchian Channel
- Elliot Oscillator
- Alligator / Gator Oscillator
- Ichimoku Kinko Hyo
- Keltner Channel
- Moving Average
- Moving Average Convergence/Divergence (MACD)
- MACD Histogram
- Momentum
- Moving Averages of Oscilliators (OsMA)
- Parabolic SAR
- Pivot Points
- QStick
- Rainbow Chart
- Rainbow Oscillator
- Relative Momentum Index (RMI)
- Price Rate of Change (ROC)
- Relative Strength Index (RSI)
- Relative Vigor Index (RVI)
- Stochastics
- Trend Overlay
- Tom Demark's Range Projections
- Williams' Percent Range (%R)
- ZigZag
Momentum measures the rate of price change rather than the actual prices, as compared to the trend indicators that measure the actual price levels. Overbought conditions are treated as sell warnings while oversold conditions are regarded as warning signals to buy. Traders can use MG's charts to plot the momentum line over the time period of their choice. A shorter time period produces a more sensitive line with more pronounced movements while a longer time period results in producing a smoother line. A sensitive line is more responsive in producing trade signals but at the same time traders should be wary of the greater number of false signals produced. Positive values of the momentum lines correspond with the currency's up-trend while negative values correspond with the currency's downtrend. This is a reason why traders treat the crossing of the momentum line above or below the zero lines as buy and sell signals. The yellow circles on the graph above represent these trade signals. The crossing above the zero line results in a buy signal and a crossing below the zero line produces the signal to sell. However, it is important before making a trading decision that these crossings are consistent with the trend analysis. For example, buy positions should only be taken on crossings above the zero line if the price trend is up and sell positions should only be taken below the zero line when the price trend is down. The momentum line also depicts the rate of change of prices. When the momentum line is positive and rising, an accelerating up trend is implied. If the line is falling but lies above the zero line, a decelerating up trend is implied. The same signals apply when the momentum line is below the zero line. However, in this case it's the downtrend that is accelerating or decelerating. Therefore, the rise and fall of the momentum line determines acceleration of the prices and the sign of the momentum line, positive or negative, relates to the direction of the trend. declines (when everyone wants to get out). This is often the case, but it is also a broad generalization. 
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