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A renko chart is constructed by placing a brick in the next column once the price surpasses the top or bottom of the previous brick by a predefined amount. White bricks are used when the direction of the trend is up, while black bricks are used when the trend is down. This type of chart is very effective for traders to identify key support/resistance levels. Transaction signals are generated when the direction of the trend changes and the bricks alternate colors. investopedia On a Renko chart, time and volume have no role and only the price changes are considered. We can change the box size in the Renko charts. A new box will appear on the chart, only when a special level of price change occurs. When the box size is set to a smaller setting, then new boxes come faster, but when the size is set to a higher setting, then a larger price change needed, in order to appear a new box on the chart. Why Renko Chart?I really found that The Renko Strategy was very valuable. If youre looking for something powerful that isnt overly complex, whether youre a beginner or an expert, then the Renko Forex Trading Strategy is just the thing. Not only are its results assured, but the manner in which it executes makes it a clear frontrunner in terms of being simple yet effective.
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