⚡️ Episode 68: Choppiness Index – Learn the right moment to strike!
Most losses in the market occur because traders enter during the 'wrong phase'...
🔍 This indicator tells you whether the market will move strongly or remain boring and calm!
📊 What is the Choppiness Index?
The Choppiness Index is based on market volatility and answers one very important question:
"Is the market moving in a clear direction... or is it trending sideways?"
❗️ It does not predict direction, but it tells you when to expect strong movement
📉 The scale:
0 = Strong trend
100 = Violent sideways chop (Boring market)
🔍 How do you interpret it?
✅ If the value is greater than 61.8
→ The market is in a choppy and sideways state
→ Do not enter, or trade only from support and resistance levels
✅ If the value is less than 38.2
→ The market is in a clear trend
→ Excellent opportunity to enter with the trend (breakouts – retracements)
💥 Why is this indicator so powerful?
Protects you from false signals in boring markets
Helps you avoid dangerous areas that consume capital
Tells you when to strike hard and when to wait calmly
🔧 Advice for professionals:
Combine it with the ADX indicator or moving averages:
💡 If CHOP is less than 38 and ADX is rising → A new trend begins
💡 If CHOP rises above 61.8 → The market is boring now, but be careful, a strong breakout may come soon
⏳ The longer the chop lasts... the stronger the explosion will be!
🚫 Don't waste your trades in choppy areas
🎯 Use this indicator to know when to wait and when to strike with confidence
