Extrend Indicator
Extrend Indicator For MT4 plots bullish and bearish forex trading signals using the fractals. Also provides trend line to identify trend strength.
Description
The Extrend indicator for MT4 uses the fractals of the last high and low to provide buy and sell forex trading signals. Additionally, it plots the trend strength on the price chart using trend lines. The slope of these trend lines identifies the trend strength. As a result, this indicator can identify bullish and bearish market direction and its strength.
This indicator is simple to use for new and advanced forex traders. However, it is optimized to work on the H4 chart time frame. So, it is not suitable for scalpers and short term forex traders.
Extrend Indicator For MT4 Trading Signals
The indicator plots red and green fractal lines in a separate indicator window. It draws two current fractals using the high and low of the previous two fractals. Additionally, it plots two trend lines on the price chart.
In a bullish market the price makes a series of highs so the trend line automatically will have a positive slope pointing upwards. During a strong trend, as the market makes considerable moves the slope increases. This results in a trend line with a steeper angle. In this way traders can identify the trend strength using the slope of the trend line.
The trading strategy is to enter the market based on the vertical fractal lines of the indicator window. If a green line appears traders should open a buy trade with a stop below the previous swing low. Obviously, traders can book profits at an opposite trading signal. Similarly, traders can enter the market with a sell position upon the appearance of a red fractal line.
Conclusion
In summary, the Extrend indicator for MT4 is an essential tool for long-term forex trend traders using the fractals.