Accelerator/Decelerator Strategy (NFA)

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Accelerator/Decelerator Strategy (NFA)

Usage of the Accelerator/Decelerator Indicator

The Accelerator/Decelerator Indicator measures the acceleration of the factors that cause the price changes. Therefore it outstrips the price, and it is a good anticipatory sign. If the acceleration decreases, it is very likely that the price will move in the opposite direction. Crossing the zero level is not a signal to open a position, however, the color change can be used as a sign.

In a strategy, the simplest way to use the indicator is to open a buy position if the indicator is above the zero level and changes its color, and to open a sell position if the indicator changes its color below the zero level.

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