TREND ANALYZER BASICS M3
We are often told not to trade against the trend as that decreases our odds of success. In order to increase our success, we must then understand what the current trend is in order to predict future ones. Spectro M3 offers several different tools to help analyze the trend.
CUSTOMIZATION OPTIONS FOR M3
Trend Analyser settings
1 – Smart. This is more of a micro trend analyser. It aggregates recent price data and creates a cloud very similar to Ehlers trend analyser. If Red, it’s indicating that we are in a downtrend but if it is Green, it is indicating that we are in an uptrend. The cloud also determines the trends strength by way of if its width. When the price is turning, the cloud becomes thinner. As the price action moves in the same direction, the cloud becomes thicker. This is telling you that we are in a clear downward/upward trend and again as price becomes weaker the cloud gets thinner and will then reproduce in line with the trend.
2 – Smart Composite. This is more of a macro trend analyser which means it is taking into account bigger timeframes and trends. It also produces a secondary cloud which again shows the bigger picture of the trend we are in.
3 – Classic. This is again very much like the Smart option so it works from a micro trend perspective. It has been kept very close to the elhers trend which we used in M2.