The importance of using various tools while trading on Forex cannot be stressed enough. Whether you are a novice and you are just starting out on Forex or a seasoned trader, I am sure that you start a trading day by opening your trading platform of choice and clicking on all the tools you are currently applying with your trading method of choice. Being a successful Forex trader nowadays simply isn’t possible without an aid from software. There are plenty of tools available for you out there and finding the right one shouldn’t be difficult.
However, if you have been searching for a trading tool that will provide you with an overall view of the market and the movement of the currency pairs in comparison to each other, you might have noticed that they are a bit hard to find.
What is Market Heat Map?
Market Heat Map is designed especially for that purpose – providing a user with a brand new perspective on the market. It is a real time visual portrayal of Forex market and it points out the strength of a single currency in relation to other currencies. Market Heat Map is using parallel and inverse analysis to present you with the complete report. It is neatly organized and easy to navigate. The grid that depicts certain currencies is self-explanatory and user-friendly.
Popular currency pairs are visible in Market Heat Map and each currency pairing has a box. The box represents the strength of that pairing. You will also see a percentage in that box and that number is informing you about the price change of the selected currency pair of your choice.
Market Heat Map is an excellent source when it comes to some additional data, such as top movers on a daily or weekly basis. It also provides you with accurate calculations on market volatility, as well as with daily currency ranges.
It is perfect for keeping a close eye on a currency pairing you are trading at the moment, as well as giving you a heads up when another trading opportunity arises. On the other hand, Heat Map cannot give you the information on strength of a certain trend, or if you should go for it or not.
How to put Market Heat Map to use?
The most frequent questions among Forex traders are: Is a certain currency is weak? Or is it strong? Should I trade it? If you want to find out the shortest possible answers to those questions without trailing off into detailed analysis of the market, just take a good look at Market Heat Map. The box representing a single currency on a Heat Map can tell you everything you need to know in the shortest amount of time possible.
Market Heat Map is powerful, especially when it is used alongside other Forex trading tools. As mentioned before, it is not capable of providing you with all trend information, and no matter how experienced you are you should combine Market Heat Map with additional trading tools. Market Heat Map might seem simple, but it will save you hours of analysis. A simple box can tell you so much about a currency pair and it can point you out in a right trading direction.