Neural Network Indicator is a price predictor tool try to classify patterns and generate signals according to recurring price patterns.
The price forecasting is based on the Self-Organizing Map, or Kohonen Map, one of the most popular neural network algorithms, with different uses covered in several fielsds.
Neural Network Forex Explained
The first step in creating an artifical neural network is to give instruction to the indicator how to gather the financial data around which the structure will be built.
Data are collected in segments, each segment consists of a set number of bars and the next bar after the group. While analyzing the historical data, the neural network brain will identify complex patterns in the bar grouping and use the information collected, including the “next bar” after the grouping, to determine which complex patterns preceed the result of the next bar.
- File: NN.mq4
- Size: 18 Kb