Time is money. In case of Aroon indicator, this is especially true. This technical analysis tool measures the time it takes for the price to reach its highest/lowest point over a given period of time as a percentage of total time. Aroon is an indicator that falls into the ‘Trend’ category and has recently found its way to the IQ Option trading platform. Read the full article to learn more about this unique analysis tool and ways to use it in practice. Being a trend indicator, Aroon helps traders identify likely trend reversal points, consolidations and correction periods. The indicator consists of two lines — orange ‘Up’ line that measures the number of days since the period-high, and blue ‘Down’ line that measures the number of days since the period-low. Both lines fluctuate between 0 (lowest point) and 100 (highest point), where values near 0 translate into a weak trend and values near 100 translate into a strong trend. The higher the Up line (and the lower the Down line), the stronger the positive trend. The higher the Down line (and the lower the Up line), the stronger the negative trend. The assumption behind the indicator is simple: for any given asset, its price will close at high during an uptrend and at low during the downtrend. It is somewhat similar to the Directional Movement Index that also measures the trend strength.
MOST TRADED ASSETS
- Binary Options
- Digital Options
- Forex
- Stocks
- Indices
- Commodities
- ETFs
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EUR/USD
1.05
-0.11% -
USD/JPY
150.12
+0.4% -
AUD/USD
0.65
-0.04% -
GBP/USD
1.26
-0.08% -
EUR/JPY
157.43
+0.29%
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Shopify Inc.
113.01
-1.64% -
Tesla, Inc.
356.79
+1.83% -
NVIDIA Corporation
138.56
+0.09% -
Telecom Italia S.p.A.
0.22
-1.32% -
Amazon.com, Inc.
210.59
+0.51%
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Gold
2649.4
+0.15% -
Crude Oil WTI
68.16
+0.27% -
Crude Oil Brent
72.03
+0.22% -
Natural Gas
3.12
-1% -
Gold-Gram
85.18
+0.15%
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US 100
21174.98
+0.08% -
GER 30
19918.8
+0.04% -
US 30
44791
0% -
JP 225
39217.5
+1.37% -
US 500
6054.87
+0.02%
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UltraPro Short QQQ
31.54
-2.26% -
Daily Junior Gold Miners Index
42.33
-3.07% -
S&P 500 ETF
603.68
+0.08% -
ETFMG Alternative Harvest
2.59
-0.1% -
20+ Year Treasury Bond ETF
93.87
+0.63%
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