The "ADX plus Stochastic" advisor uses a combination of ADX and Stochastic indicators to identify strong trends and overbought/oversold moments. When the strategy conditions are met, the advisor automatically provides a link to the basis of these signals. However, as with any strategy, results may vary depending on market conditions, so testing and taking appropriate risks is recommended.
ADX is a technical indicator used to identify trends in the market. It shows the strength and tendency of a trend. When the ADX value is above 50, it indicates a strong trend.
Stochastic is another popular indicator that is used to measure the speed and direction of price movements. It consists of two lines, %K and %D, and the range varies from 0 to 100. When the Stochastic is in the overbought zone (usually values above 80), it can lead to a possible downward correction. This could be a signal to open a short position.
This strategy also uses proprietary filters that help filter out false signals and increase the likelihood of successful trades.
The working timeframe for this advisor is H1, that is, the candle on the chart represents an hourly period.
