What is conflunce in forex?

[Shing1985]

What is confluence in forex?

 

[sunar14]

I don't use confluence points but heard they are powerful tool. Basically you identify them using MA with different rolling windows.

 

[darwisy]

Confluence that I'm normally using are SNR, SND, Trendline, MA, Chart Pattern, CS Pattern, MACD.
If 3 cases confluence each other that is good enough.

 

[Toliman]

Confluence is the most potent force in trading. It is the capacity to identify where the order flow exists and when it is consistent with your bias. Without it, trading is like to driving at night with your headlights turned off......for the record, I wasn't a fan of the original poster either.

 

[sunar14]

Not all confluence indicators work because you have to test them on price history extensively and understand market regimes in which it can yield good results. Without backtesting it is almost same to random guessing.

 

[RainbowRain]

This method helps filter out market noise and false signals. The likelihood of a successful trade increases significantly when relying on multiple sources of confirmation to find market entries.

 

[caribbean]

Confluence is just having multiple reasons to enter a trade. I never buy only because of a support line. I also wait for a bullish candle or a bounce on the 50 MA. This simple rule makes my strategy much more reliable.

 

[sunar14]

For me confluence is when few different reasons point to same trade, not when I add many indicators to feel safe. I like 2 or 3 simple confirmations like level, trend and price action, because too much confluence can also make trader late

 

[sakaida1125]

slapping a dozen indies on ur chart aint confluence mate, just turns ur screen into a complete mess and guarantees u enter late every time. literally just 2 or 3 solid reasons pointing the same way is plenty, like a key S/R zone paired with basic PA. keep ur setup dead simple and actually put the graft in with proper backtesting.

 

[sunar14]

From hfm webinars confluence means a key support zone, trend direction and a rejection candle. The important part is not stacking five indicators that all measure the same thing, because that only creates the illusion of confirmation