Leading US brokerage FXCM always tries to improve the trading experience of its clients. After it joined the popular social trading trend earlier in July, now it launched Grid Sight Index on its Trading Station platform free of charge. This is a big-data technical analysis indicator that helps traders decide whether short-term trends will continue or reverse
Banks and hedge funds use such tools and benefit from them for years. Big-data indicators are on the cutting-edge of financial market analysis. They analyze tons of data in order to identify aspects of market behavior that traditional indicators simply cannot recognize.
Now FXCM brings this valuable data to retail traders free of charge. Aside from the desktop version of the broker’s proprietary platform Trading Station, you can also view a limited version of Grid Sight Index on your phone. This big-data technical analysis indicator is exclusively available at FXCM.
When the Grid Sight Index locates a sufficient number of similar price patterns (called Matching Events), it studies how the market reacted in the past and summarizes the results. The indicator calculates how many events within each sample rose or fell by various degrees (e.g. 4 pips, or 8 pips).
Do have in mind that the percentages shown by this indicator simply classify certain historical outcomes. They are not probabilities, nor predictions. History sometimes repeats itself, other times it doesn’t.
As a momentum indicator for short-term trading, Grid Sight Index is generally intended for use in times of high market volatility. It tends to provide the most useful results during the European and US sessions. The indicator is usually less helpful during the Asian session and with low price volatility pairs like EUR/GBP.Publication source