Let’s walk through a simple example:
If someone were to ask you how much you spent on your computer, you’d likely respond with an amount rounded to the nearest hundred (‘ah, about $800,’ or ‘I paid $900.’) Sure, you can give an exact answer like Six-hundred-and-thirty-nine dollars and ninety-six cents; but that doesn’t really make any sense. If I had asked the question, I probably don’t care about the $39.96; I just wanted a ballpark idea for how much you paid for the computer.
Out of simplicity, most people (most of the time) will automatically round to the nearest whole number.
This happens in trading too.
Check Below Image
--------->>>>> Help to build a indicator that gives signals based on this stratergy <<<<<<--------
If someone were to ask you how much you spent on your computer, you’d likely respond with an amount rounded to the nearest hundred (‘ah, about $800,’ or ‘I paid $900.’) Sure, you can give an exact answer like Six-hundred-and-thirty-nine dollars and ninety-six cents; but that doesn’t really make any sense. If I had asked the question, I probably don’t care about the $39.96; I just wanted a ballpark idea for how much you paid for the computer.
Out of simplicity, most people (most of the time) will automatically round to the nearest whole number.
This happens in trading too.
Check Below Image
--------->>>>> Help to build a indicator that gives signals based on this stratergy <<<<<<--------
