Key Metrics Table
Last updated
Last updated
The key metrics table is an essential tool to follow in order to make this indicator profitable. You should be using this tool as a guide when entering trades. There are a few key things to consider when trading in live markets to ensure you are entering quality trades while using the indicator.
The trend is the overall direction of the market. You want this to replicate whatever type of trade you are doing. So if you want to take a long trade, the most optimal signal is "Strong long".
If you are shorting, you want to see "Strong Short" for the trend.
Just like most indicators, the TradingLab indicator doesn't perform well in ranging/sideways markets. So, we only want to be entering markets that have lots of volatility and that are moving a lot.
In that case, we want the "strength" metric to be as high as possible. The higher, the better.
Momentum measures the velocity of price changes as opposed to the actual price levels themselves. You want this to match whatever style of trade you are taking.
"Bullish" for long trades, "Bearish" for short trades.
Volatility is the rate at which the price increases or decreases over a particular period. Considering we don't want to be trading in sideways markets, we want the volatility to be as high as possible. The higher, the better.
Volume is simply the number of shares traded in a particular stock, index, or other investment over a specifc period of time.
Considering we want a lot of movement in our charts, we want the Volume metric to be as high as possible or "trending".
EMAs can be used to decipher whether something is bullish or bearish. The indicator uses an 200 EMA for this metric.
If you are taking long trades, you want the close to be above. If you are taking short trades, you want the close to be below.
The value will update in real-time and will have a corresponding color depending on if it's bullish, bearish, or consolidating.
Dark Green => 75% and up
Green => 50% and up
Light Green => 25% and up
LightRed => -25% and below
Red => -50% and below
Dark Red => -75% and below
Note: It's going to be very rare to have all the metrics be exactly what you want them to be. You should strive to have them all in their "optimal" state, but just know, in most cases, you will not be able to get every single metric perfect.