Relative vigour index and its proper use in forex

Dear members, Forex trading main professional traders ki tarah profit earn krny k liy, ap ko indicator ka istemal krna chaiy. Market analysis krny k liy different indicator ap ki help krty hain. Ager ap chart pattern aur indicators ko combination main use krty hain to ap ki trade loss main jany k buht kam chances hoty hain. Indicators ap ko sometime 100% results ni daity pir bi ap ko indicators ki help zaror laini chaiy. Aaj main aap say Relative Vigor Index Indicator ka knowledge share krna chahti hoon.

Introduction:

Relative Vigor Index indicator, aik buht zayda use hony wala indicator hai. Ya ap ko candlestick ki closing prices ki base per ap ko market trend k bary main btata hai. Yah indicator moving average ko combination main use kr k aur bi perfect results daita hai.

Use of Relative Vigor Index Indicator in Forex market:

Dear members, ager ap is indicator ko use krna chaity hain to ap ko market crossover ka khiyal Rakhna hota hai. Crossover, wo point hota hai, jab market ka trend change hota hai. yah indicator ap ko different crossover daita hai. Jab ap ko is indicator k hisab say koi crossover Milta hai to is ka matlb hota hai k market trend change hony wala hai. Ap is time market main entry lay sakty hain. Crossover say ap apny entry aur exit point ko identify kr sakty hain.

Risk management:

Dear members, ager ap trading krty hain to ap ko emotional discipline k sath kam krna chaiy. Jab bi trade lagain to money management k rules ko zaror follow karin.

Chart explanation:

Dear members, diy gay chart main ap is indicator ko clearly identify kr sakty hain. Is indicator ki madad say ap apni trading strategy bana sakty hai.

Re: Relative vigour index and its proper use in forex

What Is the Relative Vigor Index
When a security's closing price is contrasted with its trading range, the Relative Vigor Index (RVI), a momentum indicator used in technical analysis, calculates the intensity of a trend and smooths the outcomes using a simple moving average (SMA).

Established on the observed propensity for prices to close higher than they open in uptrends and lower than they open in downtrends, the RVI's usefulness is based.
How To Calculate the Relative Vigor Index

Select a N period to investigate.
Find the current bar's open, high, low, and close values.
Find the lookback periods before the current bar's open, high, low, and close values.
SMAs for the NUMERATOR and DENOMINATOR over the N period should be calculated.
Subtract the DENOMINATOR value from the NUMERATOR value.
Plot the outcome on a graph using the signal line equation.

What Does the Relative Vigor Index (RVI)
Similar to the stochastics oscillator, the RVI indicator calculates its value by comparing the close to the open rather than the close to the low. In this favourable environment, a security's closing price typically sits at the top of the range while the open is close to the low of the range, thus traders anticipate the RVI value to increase as the bullish trend gathers steam.

The RVI is interpreted similarly to several other oscillators, including the relative strength index (RSI) and moving average convergence-divergence (MACD) (RSI). Oscillators may stay at severe levels for a long time even though they typically oscillate between fixed levels, necessitating a broad interpretation approach.
Instead of being a banded (trend-following) oscillator, the RVI is a centred oscillator, which means that it moves around a centre line rather than the price and is often displayed above or below the price chart. Finding the outcomes with the highest probability requires combining the RVI indicator with other types of technical analysis, which is a good idea.

How To Use the Relative Vigor Index
By searching for price divergences from the current price and using conventional trendlines and chart patterns to pinpoint precise entry and exit locations, a trader can use the RVI indicator to assess prospective changes in a trend.

The two most well-liked trading indications are as follows:

RVI Divergences: A divergence between the price and the RVI indicator indicates that the trend will soon change to follow the RVI's trend. In other words, it indicates that a stock will reverse in the near future if its price is increasing but the RVI indicator is falling.
RVI Divergences: A divergence between the price and the RVI indicator indicates that the trend will soon change to follow the RVI's trend. In other words, it indicates that a stock will reverse in the near future if its price is increasing but the RVI indicator is falling.
Crossovers for the RVI: The RVI, like many oscillators, has a signal line that is frequently determined using price inputs. When a crossing occurs above the signal line, it is a bullish sign, and when it occurs below the signal line, it is a bearish sign. These crossovers are intended to serve as early warning systems for price direction.

Limitions
The RVI performs best in markets that are trending and frequently produces erroneous signals in rangebound markets. Longer lookback periods serve to lessen the impact of whipsaws and short-term countertrends, which can enhance results.

Re: Relative vigour index and its proper use in forex

hello traders welcome to investor comes
how to serious and these module on
oscillators today we're going to review
the relative bigger index and the RBI is
actually an indicator that measures the
conviction of a recent price action and
the likelihood that it will continue
this means that we are going to use this
oscillator to know if the current trend
is going to end or or if this means that
we are going to use this indicator to
know or to have a clue if the current
trend is about to end or is if it's
likely to continue the RBI is composed
of two moving average like curves okay
these are not actual curves but they are
actually our VI values the green line is
the smoother RBI value and the red one
is the signal line this indicator is you
as a leading indicator because put it
you are going to know if a current trend
is about to end and I'm going to show
you how you are going to read this
indicator first of all you are you have
to look at the medium line which is the
zero line let's say praise the bear from
the bull country okay or the bearish
from the bully or the varies from the
Polish side now the way you're going to
use this indicator is you are going to
try to spot crossover at extreme levels
okay
now for example right here we have this
move to the upside okay let me just put
it inside of of this channel now we have
this move to the upside and when price
hits the upside of the channel or the
channels resistance you are going to go
and look at the rvi okay now when we hit
this level the RBI is still pointing up
okay




and both the
smoother rvi and the signal signal line
are pointing up but then you can see
that the rvi has a very cross over at an
extreme level okay when the bearish
crossover extreme level happens you must
close your position because this means
that the current trend or the current
move to the upside is about to shift
there's one thing you need to understand
about the RBI and that is that the
actual change in the trend is it's not
going to happen immediately now another
good indication that the trend is about
change is a divergence between the RBI
and price you can see here that price is
making higher highs you can see that we
have the first high here and then we
have a second high that is higher than
the first high and if you go to the RBI
you can see that we have a high the
first high right here and the second
high is lower than this than the first
high this means that at this point right




here we have divergence between the
instrument and price which means that
after having the actual are very cross
over at an extreme we have divergence
between the instrument and price meaning
that now we know for sure that this
trend is about to change and that this
move to to the channel support is not a
corrective move before price goes up but
is actually a move that is going to
break with the channel support and is
going to push price down so this is
basically how you're going to use the
RBI and as I showed you on the we're on
the bearish side of things you can also
use it on the bullish side of things
meaning that I just showed you how to
read them



the end of a bullish trend by spotting
bearish signals
can do the same on the opposite side by
spotting bullish signals at the end of a
bearish trend and if you want to know
more about the RBI or how to develop a
trading system or simply how to trade
price action