Trend changes are happening on the market only in 15-30% of all the work time. The most lucrative are the periods when the prices are changing according to the trend.
The technical indicator Fractals was designed by Bill Williams. It marks the market bottom and top. There are up-going and down-going fractals. The first are made up of a series (not less than 5) bars, with 2 bars before and after the maximum. The second is identical to the first, with only difference that the second had the decreasing direction. The fractals with high and low index are marked with arrows.
Fractals are better to use together with the technical indicator Alligator. If the fractal is located below the Alligator’s teeth, it’s better to avoid buying, if lower – avoid selling. The fractal located outside the Alligator’s teeth denotes that the fractal is a signal and it’s powerful till another fractal signal appears
