Acceleration/Deceleration AC Indicator Analysis Signals
Developed & Created by Bill William
Acceleration/Deceleration quantifies the speeding up or slowing down of trend momentum, a metric commonly applied in the analysis and interpretation of movements across various markets, including stocks.
This technical indicator changes direction before price changes its direction.
The AC is used to generate early signals of the trend reversals.
A Shift in Direction by the Acceleration/Deceleration (AC) Indicator Often Precedes a Change in the Asset's Price Trajectory.
FX Analysis & Generating Signals
Zero-line is the point where the energy is at balance with acceleration/deceleration.
If the Acceleration Deceleration metric surpasses the Zero mark, it implies that the upward push of acceleration is more likely to maintain its course.
When Acceleration Deceleration falls under zero, downward speed picks up more easily.
The Zero point is not regarded as a buy or sell trading signal when it is crossed.
A buy or sell trade position is created when the AC indicator's color changes from red to green.
Buy Signal
When the present column shifts from red to green this is interpreted and viewed as a buy.
When present column is color red, you can not buy.
A Buy Signal is Registered When the Indicator Registers Above Zero and the Current Bar Displays a Green Color.
When the AC is below zero and the current bar is green, a confirmation signal is required for a buy trade. An additional three consecutive green bars serve as further validation.
Sell Trade Signal
A Shift from Green to Red in the Current Column Signals a Sell.
When present column is colour green, you can not sell.
A sell trade signal is produced when the indicator falls below zero and the current bar is red.
If the AC is above zero and the current bar is red, a sign is needed to confirm a sell trade. Seeing three green bars also confirms.
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