Technical indicators – both the amount of line

Both the amount of line (MV) – in the foreign exchange market, there is a dealer or market can not be speaking from the target of big hands, that is, volume. It accurately reflects the market supply and demand, the strength of buyers and sellers, and investors view the future foreign exchange movements and so on. However, due to a single day of trading depends on a number of complex factors, in the volume will appear on the display map changes in the phenomenon leaps and bounds, so that technical analysis were not properly judge. Therefore, the introduction of volume chart moving average concept, the sum of a period of time after the turnover on average, in the volume of the bar chart in a relatively smooth curve, that is, both the amount of lines.
Both the amount of line is a reflection of a period of time the average market turnover of the situation, that is the trend of technical trading indicators, under normal circumstances are subject to the amount of lines to 10, ie 10-day average trading volume on the basis of drawing on the 10th and 30, 2 lines, 10 of them, on behalf of the medium-term, 30 on behalf of the long-term trading trends. But should be noted that both the amount of lines do not provide trading signals, do not like the moving average of the exchange rate has helped its way up or down, it only reflects the primary trading market trends and forecasts of the exchange rate movements supporting role.
(1) the use of Law:
(a) the amount of line are the graphics of the idle volume fluctuations in the exchange rate so as to promote change in trend. In the higher energy prices and the amount of the initial line with the exchange rate were continuously high, an indication of popular; Quotes coming to an end when another record high, despite the exchange rate are the amount of lines, such as depression, indicating the exchange rate close to the peak.
(b) in the initial decline that are in general the amount of line with the exchange rate continued to fall, and the prices towards the end, the exchange rate continued to new lows, while both the amount of line has to go flat or rising signs, indicating the exchange rate bottomed out, can consider buying.