FXCM and blogger.com have a wealth of tools to help you get started in the world of Forex, regardless of your trading background or style. The SSI (Speculative Sentiment Index) is a proprietary tool available to FXCM clients that can be incorporated into almost any trading strategy. SSI is a ratio that shows us how traders are positioning themselves. SSI determines whether a trader is net long or short, and if 7/14/ · The SSI is an index released twice a day that gives us a comparison between how many FXCM traders are buying and selling each major currency. Each account is counted once, regardless of trade size. The result is a single number, positive or negative, that gives us trader sentiment. If SSI is positive, there are more buyers than sellers 03/06/ · SSI or market sentiment is the buyer-to-seller ratio that has developed in the market at the moment. It can be represented as a percentage of the number of trades or their lots. Please note that already closed trades do not affect this indicator
Win More Forex Trades With The Speculative Sentiment Index! | Forex Academy
In this presentation, we will be looking at the speculative sentiment index and its significance in the forex market. If you have been what is ssi in forex trading some of the technical what is ssi in forex trading that Traders use, such as the stochastic oscillator or perhaps the Bollinger bands or MACD, you will realize that the majority of them are lagging indicators.
That is to say that the data they imprint on our computer screens are based on the previous or historical data, which it uses to plot the various graphs, moving averages and plot lines onto our charts, what is ssi in forex trading. Although this information, when carefully analyzed, helps us to determine to a great degree the potential future movements of price action, the very nature of such lagging indicators does not necessarily tell us what is happening at this very moment in time.
Whereas price action, which is itself one of the only few leading indicators of price direction, does. Although this does limit our trading ability to a certain extent, professional traders learn to marry the two together in order to tip the scales in their favor when it comes to pulling the trigger on trades.
Of course, the absolute perfect solution would be if we all traded the same way at the same time. This would be a perfect solution, but of course, it does not happen like this, because of the many different time frames being traded and the many different types of traders, from scalpers to intraday and swing to long term traders.
But what if we could take a snapshot of what other traders are doing at any given time, and if we knew what they were doing, and if we could see statistically whether they were more long or more short on a particular pair, this would give us an added advantage, would it not? This is exactly where the speculative sentiment index comes into play. It should be considered as a leading indicator, along with price action, and incorporated with your other what is ssi in forex trading tools to help you decide when to trade.
Example A, The speculative sentiment index or SSI is the accumulative trading positions data, which is captured in real-time by various brokers, as there is no central exchange. Example B, The broker will then filter the information and offer it in graph format where each pair tells traders whether there are more buyers than sellers or vice versa.
The information is provided as a ratio between the two groups. Example C, If we know that there are more buyers or sellers on a particular currency pair that we are interested in trading, it can help to influence us either to take the trade or maybe even to wait on the sidelines.
For example, you might expect to see the positioning, including the ratio of long to short. Example E, The open interest. Example F, And the change between long and short positions. Example G, Next we are going to look at how to use the SSI. Example H, The positioning statement is one of the most utilized aspects of the SSI report. Example I, Here we can see the numbers of traders who are long or short on a pair, what is ssi in forex trading, and in this example, we can see that this broker offers the change in open interest, what is ssi in forex trading, which is currently — 2, what is ssi in forex trading.
So for every one trader that is holding a long trade in this pair, there are 2. Any position that shows a minus in front of the number represents the number of short positions, while readings that are above zero represent the number of traders who are net long in the pair.
Although the SSI is a leading indicator, it is considered to be contrarian, that is to say, that the information that is supplied by the broker should be used to trade against the retail traders with currently open positions. Example I, The rationale behind the contrarian aspect of this indicator using the 2.
And the opposite would apply if there were more buyers than sellers. To maximize the reversal potential of this indicator, it is advised to use it when there is a high ratio of change between the buyers and sellers. It is important that if you decide to use this information to trade that it is as up-to-date as possible. Only then will it what is ssi in forex trading you to determine whether a particular currency pair is bullish or bearish. Save my name, email, and website in this browser for the next time I comment.
About Us Advertise With Us Contact Us. Forex Academy. Home Forex Forex Videos Win More Forex Trades With The Speculative Sentiment Index! Speculative Sentiment Index Index SSI In this presentation, we will be looking at the speculative sentiment index and its significance in the forex market.
Example E, The open interest Example F, And the change between long and short positions The more information, the better your decision-making processes will be. RELATED ARTICLES MORE FROM AUTHOR. Beginners — Analysis Feature of MT4 Helps You Fund A Trading Strategy! Beginners How to save a profile in Metatrader MT4! Forex USD Forecast this week! Will It Drop Again? LEAVE A REPLY Cancel reply.
Please enter your comment! Please enter your name here. You have entered an incorrect email address! Popular Articles. Forex Chart Patterns Might Be an Illusion 4 What is ssi in forex trading, Chart Patterns: The Head And Shoulders Pattern 16 January, Samtrade FX Review 26 March, NicoFX Review 24 February, Academy is a free news and research website, offering educational information to those who are interested in Forex trading.
EVEN What is ssi in forex trading NEWS. Understanding the Economics of Cryptocurrencies 13 June, Trading Reversals Using Bullish Reversal Candlestick Patterns 12 June, Using Bollinger Bands to Time the Rectangle Pattern 11 June, POPULAR CATEGORY Forex Market Analysis Forex Brokers Forex Service Review Crypto Market Analysis Forex Signals Forex Cryptocurrencies Academy - ALL RIGHTS RESERVED.
How to read the SSI snapshot and SSI indicator
, time: 8:03WHAT IS SSI IN FOREX TRADING AND ITS USES?
10/07/ · The SSI is an index released twice a day that gives us a comparison between how many traders are buying and selling each major currency. Each account is counted once, regardless of trade size. The Estimated Reading Time: 5 mins 7/15/ · The Speculative Sentiment Index, or SSI, is the accumulated data from real time traders with positions held in the market. The data is collected and shared by individual brokers as there is no central exchange so when sourcing the data you may want to do so through multiple blogger.comted Reading Time: 4 mins 7/14/ · The SSI is an index released twice a day that gives us a comparison between how many FXCM traders are buying and selling each major currency. Each account is counted once, regardless of trade size. The result is a single number, positive or negative, that gives us trader sentiment. If SSI is positive, there are more buyers than sellers
No comments:
Post a Comment