Forex Term

Indicator

A calculation plotted on a chart to read trend or momentum.

A technical indicator is a calculation plotted on a price chart to help spot trends, momentum, or turning points. Common examples include moving averages, RSI, and MACD. Indicators summarise past price data — they do not predict the future — so traders combine them rather than relying on one.

Example

A 50-period moving average is a simple trend indicator applied directly to the price chart.

Related Terms

Recommended Brokers

Pepperstone logo

Pepperstone

Best for Copy Trading

Visit Pepperstone

Trading Forex and CFDs involves a significant risk of loss.

IC Markets logo

IC Markets

Best ECN Execution

Visit IC Markets

Trading Forex and CFDs involves a significant risk of loss.

Risk

Forex and CFD trading involves significant risk of loss and is not suitable for all investors. Leverage can work against you. This content is educational and not financial advice — always do your own research.