What Is the Repulse Indicator?
The Repulse Trading Indicator is a technical trading tool used to detect market momentum and potential reversals. It analyzes price movement to show when a market is overbought or oversold, helping traders time entries and exits more accurately.
Commonly used in forex, stocks, and CFDs, the Repulse displays momentum shifts using color-coded bars or lines that highlight when buying or selling pressure is weakening.
How the Repulse Indicator Works
The Repulse Indicator typically uses three lines or histogram bars to represent momentum strength over short-, medium-, and long-term periods. Traders look for:
- Green bars or rising lines = bullish momentum (potential buy)
- Red bars or falling lines = bearish momentum (potential sell)
- Neutral bars = consolidation or indecision
These signals help confirm trend strength or identify potential turning points. Repulse is most effective when used with trend-following tools or oscillators like RSI or MACD.
Why Traders Use Repulse Indicator
- Detects early momentum shifts before trend changes
- Helps reduce false signals in choppy markets
- Works on multiple timeframes
- Can be combined with other indicators for higher accuracy
