Avoid losing potential trades in consolidating markets with this free indicator

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Consolidation and ranging price action can be annoying, particularly if you like trading trends like me. 

Furthermore, when you find yourself on an open trade that turns out to be trapped in a consolidation zone and then goes the opposite direction, that’s even worse, because you’ve now lost money!

Now, it all depends on what your trading style and strategy is as you may actually enter strategically in consolidated markets. 

But, I personally prefer to stay out of consolidation markets to prevent potential losses. 

I like to enter the market when it’s decided to move in a particular direction so that I can jump on the trend bandwagon:-)

With that said, here’s a useful indicator that can detect potential consolidation markets so that you can avoid getting into a trade when the market is consolidating, ranging and moving sideways. 

It’s a free Trading View indicator called Consolidation Zones – Live by LonesomeTheBlue. 

From the Indicators, just search “consolidation zones – live ” and select the indicator from LonesomeTheBlue – Massive respect to the Author for creating this indicator. 

Once you attach it to your chart, you’ll notice shaded zones on the chart, which indicate potential consolidation zones.

So when you see shaded zones, in these cases, you can avoid entering the market or take any signals during this time.

Here’s a few examples how this indicator can help you avoid losing trades.

Check out the screenshot below, when there was a “buy” signal printed in the consolidation zone, but the price went downhill!


Another example, when there was a “sell” signal printed in the consolidation zone, the price went upwards direction!

As you can see, this indicator can help prevent some losing trades and add further confluence to your trading strategies.

Here’s the link to the Indicator information page and there’s also an “add to favourites” button which will automatically add it to your Trading View favourites.