Question: What is the difference between a leading indicator and a latent indicator (lagging)?

Question: What is the difference between a leading indicator and a latent indicator (lagging)?

Answer

Although both types of indicators use past data of the price, a forecast indicator is used to indicate expected movements in the market, while a historical indicator is used to provide entry and exit signals once the trend identified.Although they have differences and similarities, both types of indicators are equally important, and it is often beneficial for traders to use forecast and historical indicators together.