Currency Trading with SigmaForex

The Euro Dollar was adopted as a unit of exchange in January 1999. Those who advocated the currency believed it would make stronger Europe as an economic power, boost international trade, make simpler monetary dealings, and lead to pricing equal opportunity throughout Europe. They probably did not anticipate that the Euro would become as early as 2008 a preferred keep currency by many investors and central banks around the world.

The Euro zone does not run a huge trade deficit nor is it a lot indebted to the rest of the world like the US and interest rates in the Euro zone are also significantly higher. The Euro-zone has a larger share of world trade than the US and is the Middle East’s main trading partner. The Euro is divided into 100 cents, sometimes referred to as Euro cents, especially when distinguishing them from other currencies or the former currency in a particular country.

All circulating Euro coins including the remembrance coins have a common side showing the denomination, value, with the old 15 EU-countries in the background. The Euro positively simplifies the existing situation in Europe before the Euro of having to exchange currencies as you traveled about Europe.

The Euro-Atlantic Partnership Council provides the overarching framework for consultations among its members on a broad range of political and security-related issues. The Euro has become a credible challenger to the US Dollar’s position as the world’s premier reserve currency. Euro land is roughly as big as the United States, and the Euro has shown itself to be a much better store of value than the dollar. The Euro was first adopted on 1 January 1999. Euro notes and coins came into circulation on 1 January 2002.

Take Bonus

Due to increasing demand on our enhanced live accounts, SigmaForex.com is extending its live accounts bonus program till 31 December 2008

Don not waste your chance!

And open your live account today!

SigmaForex.com is pleased to have you as a loyal client, and we would like to thank you for your continued support and interest in our trading programs.

As appreciation and gratitude we are offering you a chance to join our bonus program and have up to 5% bonus credit on your deposit.
All current and new clients are eligible to participate in this program. Qualifying clients earn up to 5% bonus credit on all new deposits received and credited to the account before the close of business day 31 December 2008.

The bonus credit to the account is effective when the new deposit is credited and is subject to the client opening at least 100 lots and closing the trades on or before the close of business day 31 December 2008.

If you have any questions, please feel free to contact our customers care department at

SigmaForex.com, in its sole discretion, will determine if a client's deposit and trading activity entitles it to retain the bonus credit.

Learn to Trade Forex Online with Sigma Forex

The forex market is becoming the fastest growing industry on the internet. The secret is out; and a lot of people are making money on forex currency trading. And these are people like you and me, average people. This is because the government has recently relaxed rules to make the access to the forex market more easy for the average Joe investor and the advent of the internet into all our homes has given us a currency trading platform. For small investors, forex trading has become a lucrative source of income and everybody is trying to jump on the bandwagon.

Before you get started, it is useful to learn and understand a little bit about currency trading. There is plenty of information out there to help you learn, but remember that a lot of this supposed information and free forex currency strategy advise is bogus. But don't let this bias you against seeking real, quality forex education, because this will be critical to your success as a forex trader. The second piece of advice that one should keep in mind is to start small. If you do well as a forex trader, increase your budget slowly, but make sure you do not bet your life's savings on your trades.

Further, seek a good forex training course in currency trading. There are plenty of these online or find out where you can attend workshops locally. They will provide a lot of information on buzzwords, background material, historical data on currencies and a glossary of terms used in forex trading. Also, you can ask questions, which will be answered by experts on chat, message boards and forums. There are courses on forex trading that give you access to their library where you can see historical trends and all types of useful literature. Financial gurus run these forex training courses and offer videos with their own forex trading systems explained in detail.

Why Sigma ?

1. Lowest spreads in the forex market, No other broker offers such competitive spreads .

2. Sigma is the only broker that allows you to customize your trading account as you wish.

3. Maintaining the security of your money is a major objective at Sigma.

Our devotion to our clients has made our firm a respected industry leader, that we have a strong commitment to maintain a long term relationship with our clients.

4. Low margin requirement.

5. Full Hedging capabilities.

6. Sigma is a registered financial institution, and registered with the European registration authorities. The regulations set out into notice by these agencies are created to help ensure the safety of our clients’ deposits.

7. We maintain enough liquid capital to meet the needs of the amount required to cover all client deposits, potential shift back and forth in the firm’s currency positions and outstanding expenses.

8. We put forward our financial information to regulatory bodies on a weekly and monthly basis.

9. In addition to all the above, Sigma holds all deposits with only highly reputable financial institutions. We are appreciate the trust of our clients place in us.

Please be aware of brokers that guarantee the safety of your funds or that claim that your funds will receive special protections such as FDIC insurance. Nobody can guarantee profits in Forex trading.

SigmaForex Advices You With The Best Way To Get Started With Forex Training

If you're new to Forex trading, you'll need some Forex training before you jump in with both feet. It might sound hard, but actually, it's pretty easy to do this. And if you know what you're doing, trading in Forex can actually be pretty lucrative. First, though, the training.When you do Forex training, there are several ways to go about it. You can take formal courses either online or in an actual traditional classroom. However, one of the easiest ways to go about Forex training is to simply learn your way around the Forex market on your own time with some self-study and self-teaching.Get some hands-on Forex training by opening a demo account with one of the many Forex brokers online. Most brokers offer new Forex traders the opportunity to open a demo account and practice by doing "fake" trades before they actually have to start in with their own money.As you practice, you'll need to learn about the different kinds of orders, and you'll also need to learn about two different kinds of analysis, fundamental analysis and technical analysis. Fundamental analysis focuses on a particular country's influences, including political, social and economic.When you trade in Forex, you're going to be concentrating on currency pairs. You place trades based upon your prediction that one currency is going to do better than another. Therefore, you're going to have to have a good idea of how you think your currency pair is going to trend; which currency is going to do better than the other currency in your pair? You place your trades based upon this prediction, and for this, you're going to have to know what each country's status is politically, economically and socially. If one country is stable politically and has a strong economy, its currency is likely going to do much better versus a currency that comes from a country with political, social, or economic strife or unrest. This is why you need to know fundamental analysis.Technical analysis teaches you to look at and analyze a particular currency's trends and patterns. For this, you're going to need to read charts and make predictions. For example, if a particular currency is doing very well and has been rising steadily, it's likely going to continue for at least the short term. Of course, you're still going to have to keep an eye on it and look for any changes.There is another important reason you need to do demo trading as part of your Forex training. That is, you're going to need to know how to lose money. Now, that might sound funny to you, but you can't get psychologically rattled whenever you lose on a trade (and you're going to lose on trades at least occasionally; all successful traders do). You're going to have to learn how to be detached and cool whatever your trades are doing. If they're going up, you can't get so excited that you lose your ability to focus. If they're going down, you're going to have to stay calm. Either way, you have to stay on top of them and know when to get in and get out. It might not be a good idea based on what you see, for example, to stay in a trade that's going up if your charting shows you that it's going to go down very quickly soon. Therefore, you have to know when to get out of a trade even if it's still making you money. Similarly, you also have to know when to get out of a trade that's losing you money, instead of staying in too long in hopes that you'll make your money back and therefore risk losing even more money.Finally, when you're at the point in your Forex training that you think you're ready to trade, start small. Most Forex brokers will let you start with as little as $10 per trade. This means, of course, that you're going to have small gains, but you'll also have small losses. This is important when you're just starting out. A final caveat is that you should only trade with money you can afford to lose. Don't ever trade with money you absolutely need, such as money that's meant for an important bill, the mortgage, and so on.Keeping these tips in mind will help you learn properly during your Forex training, so that you can become a truly successful Forex trader.

SigmaForex Teaches You To Make Money Through Day Trading Online

Day trading refers to the buying and selling of financial instruments like currencies, stocks or futures contracts, on the same trading day. This type of stock investment involves a lot of risk. Day traders carry out day trading by purchasing and selling stocks rapidly on the same day.
Securing quick profits through day trading is based on the hope that the value of the stocks will continue to rise or fall in the short period when the stocks are held, before being sold. Some feel the traditional rule of settling the trade before the market closes, may go against the market wisdom of letting the profit run. However, this helps the day traders in avoiding the risk of price gaps. Price gap refers to the difference of price between the last close and the opening next day.
Profit Making Through Day Trading Online
Day trading can be very profitable due to the rapid returns. Traders willing to take high risks generate huge returns with day trading. Earning huge profits takes a couple or minutes or hours. The advancement in technology and electronic communication, especially the Internet, has contributed a lot to its popularity in recent years. Initially, day trading was limited to professional traders of financial firms. It used to be a marginal form of trading stocks for the elite group of private investors. Today, even casual traders indulge in day trading to make a profit. Popularity of the Internet has triggered off the swift flow of information, at a click of the mouse, making day trading all the more easier to execute.
Online Day Trading Strategies for Quick Profit
These are five day trading strategies that every trader should keep in mind:
Follow the trend: Usually, day traders assume that the steady rise in financial instruments will continue to do so and vice versa, in the case of a decline. All trading time frames use 'trend following'. Trend followers purchase a rising financial instrument or they sell the falling ones, short. This is done with the assumption that the trend will continue.
Range trading: In this strategy, rising as well as falling stocks are brought near to the lowest identified price and sold, once it hits the upper range.
Scalping: This strategy is also referred to as spread trading or quick trade. It involves the settling of trade within a few minutes or even seconds.
Playing news: The playing news strategy is considered to be most popular in the realm of day traders. It involves the purchase of stocks that offer good returns and selling of stocks with bad returns. The implementation of this strategy provides a good opportunity for quick profits.
Despite of the profit making strategies and popularity, day trading is not easy. It involves huge risk factors and according to statistics, 80-90% of day traders lose money in day trading and only 20% gain. It is an expensive and stressful, full time job, but if you are disciplined, a quick decision maker and can maintain good risk and money management, then you have strong chances of earning profit by day trading online.

SigmaForex Warns You Of The Way You May Lose Your Money In The Forex Market

Recently Forex trading has become one of the most widely spread activities for those who want to make money by trading the markets. The currency markets have many characteristics that make them very attractive to most traders. Mainly, the currency markets are high volume markets with a live trading activity that embraces most of the week and around the clock. Besides most trades are commission free, it offers a huge leverage (100 x 1) and Forex is easily accessible by using an internet platform provided by the Forex broker you decide to use.But as simple as it may look when you first approach Forex trading, the truth is that becoming profitable in trading is not easy. But before you get scared and decide to forget about Forex trading, there is also one more truth: the markets are understandable and with the right knowledge and system you can become a profitable trader. Many people has achieved his goal of gaining a full time income from trading and you can too if you do things right.There are many ways to lose money in the currency markets. For example you can ignore using stops in your trades and take huge risks thinking you have guessed the direction the market will turn next. Reality will show you that the turn of the market may take a long time to come and meanwhile it will cost you dearly. You can also use a guessing system to trade. This kind of approach, even with stop loss will result in making you a frustrated trader that will only keep losing more money than what you earn.There is also a very important factor that can ruin your trades. This factor is fear. You can't approach the markets with fear in your mind. You must be confident about what you are doing and how you will behave as your trade evolves with time. The best thing you can do in order to keep fear out of your trading is to have and understand a good and reliable Forex trading system that will show you the way to a profitable trading career.

SigmaForex LTD Registrations And Regulations

SigmaForex LTD is leading European professional online trading Brokers registered in the United Kingdom and most of the EU countries.

What is meaning by registered?

means that there is a company called SigmaForex LTD inside united kingdom & registered by United Kingdom Law & follow the governmental rules.

SigmaForex LTD registered & follows the governmental rules in United Kingdom and anyone can check that by visiting this official website: http://wck2.companieshouse.gov.uk/ this is a UK governmental website.

http://wck2.companieshouse.gov.uk/d8846c7fe805874be7c646b1ed4f10ce/companysearch?disp=1&frfsh=1216759237#result this is the full link where you can find SigmaForex LTD with the registration number.

SigmaForex LTD Regulations:

SigmaForex LTD working now to be regulated with FSA (United Kingdom Financial Service Authority) but now SigmaForex LTD is complying with FSA and many financial authorities like NFA, CFTC, FSC and others.

Why SigmaForex LTD not working in the regulation of NFA?

Most of Traders ask this question and it's a common question for any broker. Here's the answer; NFA (National Future Association) regulate the Financial Companies that based in United State and have Future Trading. SigmaForex LTD not inside United State and doesn't has Future Trading. But NFA rules are compatible with the rules that SigmaForex is following and you can check with your self.

Complying: Means that this company follows the rules 100% and meet their regulatory obligations efficiently.

Dear Trader, you must be involved and know the difference between FSA and NFA. Many Forex Brokers inside united State not regulated by NFA because they don't work with Future Trading but they are complying with them & follow the same rules as the Forex broker that regulated with NFA.

Forex Broker Regulation - Part One

What good is forex broker that you can trade and make money with, but when it comes time to take your money, they don't give it to you, because they don’t have it?

Forex Broker Bust Story. Refco was the biggest forex broker that was worth around $4 billion dollars. In October of 2005, Refco shut down its operations and every trader who had money with them got screwed big time.

Refco was regulated and for some time they were spending not only their profits but also deposits of their clients.
The amounts of money that traders saw on their trading platforms and the amounts of money Refco had in their bank accounts were different by $400 million.

So when the news hit the wire that Refco is running at such deficit, traders panicked and started asking for withdrawals. The only problem was that Refco was $400 million short of what it owed to traders.

There was a trial of course, and whatever assets the company had the court ordered to distribute among traders. I knew some people that had money with Refco. As far as I remember, after all assets were sold they got around 10% of what was owed to them. That means if person had $10,000 in his trading account, he got only $1,000 of it.

Forex Broker Regulation - Part Two

Difference Between Regulated And Complying

The Most Common Question that traders ask brokers is:

"Are You Regulated by NFA?"
"Are You Regulated by FSA?"
"Are You Regulated by CFTC?"
"Are You Regulated by SEC?"
"Are You Regulated by SIPC?"
"Are You Regulated by FINRA?"
"Are You Regulated by Mr.X?" :)

No, Don't Ask this question because there are many fictions regulations. Don't Be The Fish!
The Right Action to take is to compare between the rules and restrictions of the regulatory associations and the rules that the broker follow.

Complying With FSA means that this broker working in the regulation process and follow all the rules that the regulatory body has.

Regulated By FSA means that this broker already regulated by FSA & may Follow the rules.

Why?
NFA, FSA, CFTC, SIPC, SEC, .....etc all of these associations are private sectors in the origin. The Main Aim is to Collect as much brokers as they can to increase from their popularity beside the governmental associations
Do You Know that FSA, NFA or others charge Millions Of Dollars to authorize the regulation of brokers. All these money are distributed as following;
1- Part For The Tax Authority
2- Part For The Private Sector
3- Part For Governmental Sector
Some Brokers Play with these rules after paying all of these parts and it's time for scamming.

Don't Take Your Decision After The 1st Impression
Test The Services
Test The Trust
Test The Security
Test The Attitude
Test The Credibility
Test The History
Test The Quality
Test The Speed
Compare With Others
The Take Your Decision!

Forex Broker Regulation - Part Three

The difference Between NFA (National Future Association) And FSA (Financial Services Authority)

NFA [National Future Association]:
To Be Able To Register in NFA you must have the following:

1. You Brokerage Firm Based in United State
2. Working in Futures
   

These two rules are basically must be there to be able to regulate with NFA

FSA [Financial Services Authority]:
To be able to register with The FSA your brokerage firm must be exist & based in United Kingdom

Question: I have a brokerage Firm in United Kingdom. Can I register with NFA?
Answer: No You Can't. But If you have branches in USA you can do it

Question: I have a brokerage Firm in USA. Can I register with FSA?
Answer: No You Can't

Errors In The MetaTrader 4 | SigmaForex

Strange and unbelievable!

Meta Trader 4 has the option that you can enter more than type of account for different brokers through the same platform.

For Example If you installed SigmaForex Platform, you will find in your drive C: / the following Pass: [C:\Program Files\MetaTrader – SigmaForex]

If you installed another Meta Trader 4 for another broker a conflict can be occurred because 2 Meta Trader 4 but for different Brokers.

Let's continue our example with another broker like FXCM or Interbankfx or Swiss Global Broker. All of them are using Meta Trader 4 as trading station. Let's Install FXCM Software.

You will find this pass in your Drive C: / [C:\Program Files\FXCM Trader 4]

N.B: Some Versions of windows copy the same folders while installing the same version of the software

That you may find FXCM installed inside SigmaForex & this one from the disadvantage in Meta Trader 4 & Meta Quote published this issue in their FAQs to be available for Traders to solve the issue.

The Solution is to open the platform that you are using e.g.: SigmaForex. Then Open a folder called Config. [C:\Program Files\MetaTrader - SigmaForex\config]

You have to erase All SRV files for other brokers & just leave SigmaForex-Demo.svr and SigmaForex-live.svr

And here's the post of the Meta quote from their website:

"Client terminal allows you to connect to any MetaTrader 4 Server. If you connected to another company's server from your client terminal, the parameters of that connection were stored in a special configuration SRV file in the "\MetaTrader 4\config\" folder of the client terminal.

To remove foreign servers from the server list of your client terminal, just go to the "\MetaTrader 4\config\" folder of the client terminal and delete the unnecessary SRV files.

MetaTrader4 Creats Conflict between SigmaForex and InterBank FX

Confusions seem to be endless with technical programs. As a result of using MetaTrader4 program, many intersections between different platforms occur.

Applying this fact between SigmaForex platform and that of InterBank FX, while installing any of them.

InterBank FX MetaTrader4: After installing InterBank FX MetaTrader4 you will find the extension

[C:\Program Files\Interbank FX Trader 4\config]

Open the folder that called "config" you will find InterBank FX Demo.srv and InterBank FX -Live.srv

SigmaForex also have the same Forex Software but under their name Meta Trader 4.

Let's run the setup of this software & go the same extension again [C:\Program Files\MetaTrader - SigmaForex\config], Open also [C:\Program Files\InterBank FX Trader 4\config]

The Same Folders, The Same Software make some version of windows rewrite the files in these folders with different names.

The Result:

That you will be able to be connected with two kinds of servers through one program!

MetaTrader4 Creats Conflict between SigmaForex and FXCM

Let's Do It Again Using SigmaForex and FXCM (Forex Capital Market)

MetaTrader4 is mostly used among brokers because it is so simple in use & easier for new traders in Forex market, and more accurate.

There are many advantages for this Forex Software but as we know that there is no perfectness without drawbacks; so, one of the most known drawbacks of Meta Trader4 that there is conflict in SRV files in its configuration.

For An Example:

FXCM Meta Trader 4: After installing FXCM Meta Trader4, you will find in C:/ driver a folder named Program Files

C:\Program Files\FXCM Trader 4 this is the extension of the FXCM Meta trader 4

Open the folder that called "config" you will find FXCM-Demo.srv and FXCM-Live.srv

SigmaForex also have the same Forex Software but under their name Meta Trader 4.

I want you to run the setup of this software & go the same extension again [C:\Program Files\MetaTrader - SigmaForex\config], Open also [C:\Program Files\FXCM Trader 4\config]

The Same Folders, The Same Software make some version of windows rewrite the files in these folders with different names

The Result:

That you will be able to be connected with two kinds of servers through one program!

Intersection between MetaTrader4 Programs

As you know that MetaTrader4 used widely among brokers because it is so simple in use & more easy for new traders in Forex market.

There are many advantages for this Forex Software but as we know that there is no advantages without disadvantages; so, one of the most disadvantages in Meta Trader4 that there is conflict in SRV files in its configuration.

For An Example:

FXCM Meta Trader 4: After installing FXCM Meta Trader4, you will find in C:/ driver a folder named Program Files

C:\Program Files\FXCM Trader 4 this is the extension of the FXCM Meta trader 4

Open the folder that called "config" you will find FXCM-Demo.srv and FXCM-Live.srv

SGB (Swiss Global Broker) also have the same Forex Software but under their name Meta Trader 4.

I want you to run the setup of this software & go the same extension again [C:\Program Files\Swiss Global Broker\config], Open also [C:\Program Files\FXCM Trader 4\config]

The Same Folders, The Same Software make some version of windows rewrite the files in these folders with different names

The Result:

That you will be able to be connected with two kinds of servers through one program!

What Is The Link Between SigmaForex And North Finance

Question: Is SigmaForex Partner with FXCM?

Question: Is SigmaForex Partner with North Finance?

Question: Is SigmaForex Partner With Interbankfx?

Answer: For Sure SigmaForex is an independent broker.

Question: Why I see in the statement of SigmaForex Another broker.

Answer: Because you don't follow the instructions of Meta Trader 4

Question: What are these instructions?

Answer: 1^st You have to make sure that your new installation is separated from the other installations that already exist.

Question: Please, open a channel of understanding for me

Answer: Tell You What?!

Look there is a problem in Meta Trader which is that most of brokers are using it as a trading station. Also most of traders are using it without any suffer because it's so easy & so simple while trading.

But because most of brokers are using it so you may find a conflict inside your Meta trader & another Meta Trader for a different broker inside our PC.

For Example: SigmaForex & North finance: the both are different brokers

After installing Meta Trader of SigmaForex & After Installing the Meta Trader of North Finance I found SigmaForex-Demo inside North Finance Meta Trader 4! I thought they are related to each others but the truth is that they are different independent brokers, but while installing one of them a file has been transferred from one Meta Trader to the other.

Open C:\Program Files\MetaTrader - SigmaForex\config

Open C:\Program Files\FxPro MetaTrader\config

You Will find SigmaForex.srv

SRV file is a linkage between your setup & the server of the broker, so if one or more from these files transferred from one setup to another it will show you two brokers in the same Platform!

Thanks For These Information

Bollinger Bands

Developed by John Bollinger, Bollinger Bands are an indicator that allows users to compare volatility and relative price levels over a period time. The indicator consists of three bands.The middle line is the simple moving average, normally set as a period of 20 (number of bar/ticks in a given time period), and is used as a base to create upper/lower bands. The upper band is the middle band added to the given deviation multiplied by a given period moving average. The lower band is the middle band subtracted by the given deviation multiplied by a given period moving averages.It used for determining whether current values of a data field are behaving normally or breaking out in a new direction also for identifying when trend reversals may occur.Using Bollinger Bands1) Trend – When price moves outside of the bands, it is believed that the current trend will continue.2) Volatility- The band will expand/contract as the price movement becomes more volatile/or becomes bound into tight trading patterns, respectively. 3) Determine Oversold/Overbought Conditions – When price continues to hit upper band, the price is deemed overbought (may suggest sell). When price continues to hit lower band, the price is deemed oversold (may suggest buy).

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Moving Average

Moving averages are one of the most popular, easy & used indicator in technical analysis & also it can be used as an overbought / oversold indicator.The term "Moving" refers to the method of calculation which takes the average value over a fixed period of time and adds the latest period data to the calculation of the average while dropping the first period of the calculation so that the average continues to be calculated by the same number of periods but moves with each new period of data that occurs.A 14 day moving average represents the trend in prices over a period of 14 days. A longer 50 day moving average is smoothed more than a 14 day moving average with each new day's data making less impact on the calculation of the moving average value than a shorter term moving average such as the 14 day moving average.In Moving average, if price is above the moving average it indicate bullish behavior. While when the prices are below the moving average it is an indication of bearish behavior in relation to the trend length being viewed.The signal of moving average is to buy when the securities price moves above its moving average and to sell when the price moves below its moving average.Types of moving averages on the chart:- Simple Moving Average (SMA)- Exponential Moving Average (EMA)- Smoothed Moving Average (SMMA)- Linear Weighted Moving Average (LWMA)

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Commodity Channel Index (CCI)

CCI has been developed by Donald Lambert; it designed to detect beginning and ending market trends & provides an indication of overbought or oversold markets.The CCI indicates the increasing in the prices compared to average prices as it moves towards +100. As the CCI drops towards -100, it indicates that the price is increasingly low compared to average prices.It provides a warning of overbought and oversold markets when the line crosses the +100 or the -100 levels. The actual buy or sell signal is usually provided, however, when the line then crosses back over the +100 or -100 level.Buy signals are generated when CCI dropped below -100 & then come back up through this level.Sell signals are generated when CCI dropped below +100 or make strong thrust above +100 & then dropped back up through this level.Zero line crossings it confirms buy or sell signals.

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Average Directional Movement Index

Welles Wilder has developed the Average Directional Index (ADX) to define trend force, whether the trend will develop further or will gradually weaken.The simplest trading method based on the system of directional movement implies comparison of two direction indicators: the 14-period +DI (yellow) one and the 14-period –DI (Green). To do this, one either puts the charts of indicators one on top of the other, or +DI is subtracted from -DI. W. Wilder recommends buying when +DI is higher than -DI, and selling when +DI sinks lower than -DI.To these simple commercial rules Wells Wilder added "a rule of points of extreme". It is used to eliminate false signals and decrease the number of deals. According to the principle of points of extreme, the "point of extreme" is the point when +DI and -DI cross each other. - If +DI raises higher than -DI, this point will be the maximum price of the day when they cross. - If +DI is lower than -DI, this point will be the minimum price of the day they cross.The point of extreme is used then as the market entry level. Thus, after the signal to buy (+DI is higher than -DI) one must wait till the price has exceeded the point of extreme, and only then buy. However, if the price fails to exceed the level of the point of extreme, one should retain the short position.

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