Aroon indicator is a young one, developed by Tushar Chande in 1995. Aroon was created to measure strength of a trend and potentials for its continuation as well as the quality and type of the trend: up-trend, down-top 5 best forex indicators or sideways moving market.
The Aroon indicator scale ranges from 0 to 100. There are 4 important levels to monitor when trading with Aroon indicator: 0, 30, 70 and 100. The default time period for Aroon indicator is 25, on some panels – 14. But, it can be changed to, for example, 10-periods for shorter term trades or to 50-periods for longer ones. How to trade using Aroon indicator?