Study Notes: Momentum Indicators

Study notes based on Babypips course:

babypips.com/learn/forex/lagging-indicators-momentum-indicators

Momentum Indicators aka Lagging Indicators

- More accurate in representing changes in trend
- However, lags behind the trend shift, reducing profit margins
- Less prone to false signals / fakeouts so less risky

Delayed entry but higher accuracy. They can still provide some fakeouts especially when price has lowered volatility, or is somewhat rangebound.

Examples: MA's, MACD