Introduction
The Zig Zag Indicator acknowledges minimum price changes and ignores
those that do not fit the criteria.
Example of Zig Zag in Track 'n Trade Pro:
Calculation
A Zig Zag set at 10% that has reversed from going up to going down will
continue to seek the next lower low until the trend has gone back up at
least
10%. At that point the Zig Zag considers the trend to be reversed and
draws a
new upward seeking segment.
As an example, if an upward seeking Zig Zag has found the last higher
high at
100.00 the Zig Zag will not consider the trend to be reversed until it
has found
a lower low at or below 90.00. At that point it will continue to seek a
lower
low until the trend reverses by at least 10% (9 points or more up from
90.00.)
If it finds a lower low at 85.00 then it will continue to seek lower
lows unless
the price goes up at least 8.5 points.
Customizing
To change the settings of this indicator, open the Program Options
screen by clicking the "Program Options" button located on the main
Toolbar.
See the Program Options section for more details on changing the
settings of each indicator.
