When it comes to trading forex, there are a lot of terms that traders need to be familiar with in order to make informed decisions. One such term is “not between value.” A not between value on forex refers to a price at which a currency pair is not trading within a certain range. It is a technical indicator that helps traders identify potential trading opportunities.
To understand not between values, it is important to first understand how forex trading works. Forex, or foreign exchange, is the buying and selling of currencies. Currency pairs are traded on the forex market, and the price of a currency pair is constantly changing as traders buy and sell it.
Traders use technical indicators to analyze the price movements of currency pairs and identify trading opportunities. One of these indicators is the not between value. This indicator looks at the range of prices at which a currency pair is trading, and identifies when the price is not within that range.
For example, let’s say that a currency pair is trading between a range of 1.1000 and 1.2000. This means that the price of the currency pair is fluctuating between these two values. However, if the price of the currency pair suddenly rises above 1.2000, it is said to be trading outside of the not between value.
When a currency pair is trading outside of the not between value, it can indicate a potential trading opportunity. Traders can use this information to enter a trade and take advantage of the price movements. For example, if the price of a currency pair is trading outside of the not between value and is trending upwards, a trader may decide to buy the currency pair in the hopes of making a profit.
However, it is important to note that not between values are just one of many technical indicators that traders use to analyze the forex market. Traders should not rely solely on this indicator to make trading decisions. Instead, they should use a combination of indicators to get a more complete picture of the market.
In addition, not between values can vary depending on the timeframe that a trader is using. For example, a currency pair may be trading within a certain range on a daily chart, but may be trading outside of that range on a shorter timeframe, such as a 15-minute chart. Traders should be aware of these differences and use the appropriate timeframe for their trading strategy.
In conclusion, a not between value is a technical indicator used by forex traders to identify potential trading opportunities. It looks at the range of prices at which a currency pair is trading and identifies when the price is not within that range. Traders should use this indicator in combination with other technical indicators to make informed trading decisions. Additionally, traders should be aware of the timeframe they are using and adjust their strategy accordingly.
