What is the Forex Heat Map and How Can I Use it?
The most important research you have to do as a Forex trader is the analysis of the currency market. For this purpose, you're provided with a variety of tools and resources that can be used through the MetaTrader 4 platform.
The Market Heat Map is a very important tool when it comes to analyzing the market. It provides quick insight into exactly what is moving the Forex world, in real-time.
Let’s examine exactly what the Market Heat Map is, and how it can help you.
What is the Market Heat Map?
The Market Heat Map is basically a type of “radar” to track price movements and daily trading intelligence. It shows you the largest movements in the markets on both the up and downsides. These movements are the “heat” on the map.
The Market Heat Map helps you stay in touch with long & short trading opportunities, Daily Trends, Volatility, and other key metrics, all in real-time.
How do I use it?
You use the Market Heat Map by keeping track of the daily movers, to determine which trades will provide the most volatility. It shows you the top movers for today, the last 24 hours, yesterday, and last 48 hours. It provides info on both Forex and CFD markets.
The Market Heat Map also breaks the data down for you, by providing a list of all the instruments used and what they have measured in table format. You can, therefore, look at the highs and lows, the % change, as well as the range.
Trading is most impactful when you're working with volatility. This tool allows you to do so, without having to do masses of complex calculations.
Use volatility to your advantage
Generally, we like life to be stable. But when it comes to trading, it is the volatility that makes you your money. This is why it is so important you can track which currency pairings are the most vulnerable to change, and how they're doing right now.
The Market Heat Map allows you to use volatility to your advantage. It will help you make the most of your trades, and make expert, accurate predictions.