How to Find the Best Trades Using the Currency Strength Indicator & Currency Matrix
Finding the best trades starts with relational analysis. The currency strength indicator ranks currencies by performance. The currency matrix shows cross-pair dynamics. Together, they highlight extremes for high-probability setups.
The starting point for finding the best trades for forex starts with the currency strength indicator, and from there moving on to the currency matrix. Isolating out the currencies and using the bookmark function then provides an excellent focus.
Step 1: Spot Extremes on the Strength Indicator
Look for currencies at the top (strong) or bottom (weak). These extremes signal potential trends or reversals. Pair strongest with weakest for momentum plays. Volume price analysis (VPA) confirms conviction on moves.
Step 2: Use the Matrix for Confirmation
The currency matrix reveals inter-pair relationships. It shows how one currency affects others. Focus on bold colors for overbought/oversold. Quantum tools on MT5 or NinjaTrader make this visual and easy.
Practical Tips for Better Trades
Combine both for filtered opportunities. Avoid middling pairs in quiet markets. Anna Coulling’s approach uses these for disciplined trading. Quantum indicators reduce noise and improve timing.
This method turns complex forex into clear trades. Start with extremes for consistent results.
Best Currency Pairs for New Forex Traders
Starting in forex trading can feel overwhelming. There are dozens of pairs. But new traders should focus on a few reliable ones. These offer high liquidity, tight spreads, and predictable behavior. Volume price analysis (VPA) works best here. It reveals clear signals with good volume data.
Why Stick to Major Pairs
Major pairs involve the US dollar and another strong currency. They make up ~85% of forex volume. This means fast execution and low costs. Liquidity reduces slippage. VPA signals are reliable—high volume confirms conviction. Avoid exotic or minor pairs early—they have wide spreads and erratic moves.
Top Recommended Pairs for Beginners
- EUR/USD (Eurodollar): Most traded pair. Tight spreads. Reacts to ECB/Fed policy. Great for VPA—clear trends and reversals.
- GBP/USD (Cable): Volatile but liquid. UK/US data drives it. High volume sessions show strong signals.
- USD/JPY: Yen safe-haven flows. Low spreads. Excellent for trend trading with VPA.
- USD/CHF: Swiss franc stability. Low volatility but reliable moves.
- AUD/USD: Commodity-linked. Risk sentiment visible. Good for relational analysis.
- USD/CAD: Oil-driven. Clear correlations.
- NZD/USD: Similar to AUD—commodity exposure.
These seven majors are enough to start. Master them before expanding.
Using VPA and Quantum Tools on Majors
VPA confirms entries—high volume on moves shows conviction. Low volume warns of traps. Quantum currency strength indicator ranks majors live. Matrix reveals relational edges. Start with these for clearer signals.
New traders succeed with simplicity. Focus on major pairs for liquidity and reliable VPA. Quantum tools on MT5 or NinjaTrader make learning faster.
Trade the majors confidently. VPA with Quantum indicators delivers consistent results for beginners.
By Anna Coulling
Creator of Volume Price Analysis