FXSSI.Sentiment.Lite
Free indicator that displays open positions (Speculative Sentiment Index (SSI)). Helps to understand the behaviour and intentions of the forex market participants. Based on the information regarding the ratio of buyers’ and sellers’ positions.

CATEGORIES: MT4, SIGNAL, SENTIMENT, INFORMATIONAL
Updated on: 26.10.2023

A significant criterion for successful trading in the forex market is to understand the sentiment of its participants: buyers and sellers. There are a lot of ways to analyze the traders’ behaviour in the market. The technical or fundamental analysis are the brightest examples.

But whatever tools you use in your trading system, eventually, you analyze the open positions of market participants.

By default, the MT4 terminal does not contain an indicator that displays the correlation between buyers and sellers in an accessible and understandable form.

The free Sentiment.Lite indicator can be a solution to this problem.

FXSSI Sentiment Lite Indicator description and its usage features
The Sentiment.Lite indicator displays the percentage ratio of buyers and sellers in the MT4 terminal chart. Once it is activated, the chart will display the information in the form of a scale. This scale shows the open positions of the forex market participants at the moment.

The blue part of the indicator scale shows the sentiment of the buyers and the red part – of the sellers. If the blue part of the scale is larger than the red then it shows the advantage of open long positions over short ones.

The opposite statement is also true: if the red part of the scale is larger – the number of open sell positions is higher.

The open positions indicator shows the ratio of buyers and sellers, based on the data provided by the leading brokerage companies. For example, one of its sources is the IG Group broker.

By default, the indicator is automatically updated once an hour. However, this interval can be reduced to 5 minutes if desired.

The indicator also allows manual data updating by clicking the mouse button.

To do this, hover the cursor over the time indicated on the indicator and left-click the mouse.

Thereafter, the ratio of buyers and sellers together with the time of the current indicator data will be updated.

The indicator can be effectively used by mid-term and intraday traders as well as by scalpers. It depends on how long you hold open positions and what goals you have for them.

Keeping the indicator updated every 5 minutes when trading on M1-M5 timeframes, you can “feel the pulse of the market”. It will help you to react immediately to changes in the ratio of buyers and sellers.

If your trading system is focused on intraday or mid-term trading, you can combine the usage of the sentiment indicator and, for example, support and resistance levels. It can help you to determine the correction phase of the market in order to open trades on the resumption of the main trend.