The indicator is designed to display on the charts the margin zones built on the basis of margin requirements for futures of the Chicago Mercantile exchange (CME). These margin zones are great levels of resistance and support.
Margin levels are calculated based on the margin requirements of futures contracts of the Chicago Mercantile exchange (CME) and recalculated for the Forex market.
When trading a futures contract for a currency pair, the exchange holds a certain margin from the open position of the buyer or seller as a Deposit when moving to the next day, so the participants of the trades decide to close positions or increase funds on the margin account. Those traders who use 2/1 and 4/1 leverage when the price moves against them close positions to keep their Deposit.
This creates support and resistance levels on the chart. Closing the day of the American trading session below or above a certain level signals the potential for further trend.
The closing of the American trading session above or below the zone 1/2 tells us about the presence of a uptrend or downtrend. CME Margin Zone has a special function to help identify an existing trend.
You can find entry points when the price is corrected for the best position opening price
Reversal figures at strong margin levels can help to enter at a better price or exit the trade earlier
| Инструмент | Тип |
|---|---|
| EURUSD | Маjor |
| GBPUSD | Маjor |
| AUDUSD | Маjor |
| NZDUSD | Маjor |
| USDJPY | Маjor |
| USDCHF | Маjor |
| USDCAD | Маjor |
| AUDCAD | Cross |
| AUDJPY | Cross |
| AUDNZD | Cross |
| CADJPY | Cross |
| CHFJPY | Cross |
| EURAUD | Cross |
| EURCAD | Cross |
| EURCHF | Cross |
| EURGBP | Cross |
| EURJPY | Cross |
| EURNOK | Cross |
| EURSEK | Cross |
| GBPCHF | Cross |
| GBPJPY | Cross |
| USDRUB | Emerging |
| USDMXN | Emerging |
| USDZAR | Emerging |
| USDZAR | Emerging |
| USDSEK | Emerging |
| SPX500 | Index |
| XAUUSD | Metal |
| XAGUSD | Metal |
| WTI | CRUDE/OIL |
| BRN | CRUDE/OIL |
A short video about the strategy of trading with MCE Margin Zones indicator.
