Channel Craft

The "Channel Craft" indicator is a classic tool from the family of channel indicators, allowing traders to react promptly to price movement beyond the established channel boundaries. This channel is formed based on the analysis of several candles, starting from the last one, which helps identify the extremes within the studied range and construct channel lines.

Trading within the channel is one of the most popular strategies in the forex market, and its simplicity makes it accessible even to novice traders. The "Channel Craft" indicator implements this channel and provides entry signals when the channel boundaries are reached.

When analyzing the price and attempting to identify simple visual patterns, it becomes evident that the price rarely moves in a linear fashion; instead, it fluctuates within a visual range.

Typically, such fluctuations are caused by formed highs and lows over a certain period.

This is because traders attempt to break through formed peaks or troughs, as one of the key concepts in trend determination states that price lows or highs should constantly update depending on the direction of movement.

The "Channel Craft" indicator detects these changes and helps the trader analyze the price chart more effectively.