Zig-Zag Technical Indicator...

[fxtrader85]

Hi guys,

Wonder if anyone could help me with a zig zag technical indicator question. I currently use netdania charts (Forex @ DailyFX - PowerCharts from DailyFX | Forex Charts) and have been looking into this indicator. It's about static values...I've attached 2 small pics, the first one shows the options on netdania charts (you can only change the %) the second pic contains the questions. Would be SOOOOO grateful if someone could have a quick look and help me out, would be massively appreciated...

Thank you :clap:

 

[Pat494]

The general view is that it is a false indicator and should not be relied upon.

 

[fxtrader85]

The general view is that it is a false indicator and should not be relied upon.

Why Pat?

I've attached another picture which explains my question much better. If anyone else has anything to add it would be appreciated...

 

[Pat494]

1

 

[Pat494]

Why Pat?

I've attached another picture which explains my question much better. If anyone else has anything to add it would be appreciated...

Someone with a maths background could explain it better.
My understanding is, it will draw in the best lines but only after the event and is therefore generally too slow to bet on.

I suggest you lop off the last 50ish days of data on say eod and manually put each day back in, checking the zigzag line at different frequencies to see what happens as you walk forward.

 

[wackypete2]

The zig zag is a repaint indicator and should not be relied upon as a signal. Watch this video:

ZigZag indicator Repainting last point - YouTube

Peter

 

[colion]

Hi guys,

Wonder if anyone could help me with a zig zag technical indicator question. I currently use netdania charts (Forex @ DailyFX - PowerCharts from DailyFX | Forex Charts) and have been looking into this indicator. It's about static values...I've attached 2 small pics, the first one shows the options on netdania charts (you can only change the %) the second pic contains the questions. Would be SOOOOO grateful if someone could have a quick look and help me out, would be massively appreciated...

Thank you :clap:

The answer to your question is yes the zig-zag can change its "stripes". This is due to the fact that it looks into the future and if the future is different from what it expected it changes.

 

[fxtrader85]

Thanks to everyone who posted back, really appreciate it!

Thought I found the holy grail, what an idiot!!!

Thanks guys