The MACD Pattern Signals Forex indicator for Metatrader 4 can be used for trade entries and exits in both existing and new currency trends.
The indicator appears in a separate chart window as gray colored histogram bars and buy/sell arrows.
The gray colored histogram bars reveal overall trend direction:
- Histogram bars > 0.00 (bullish trend)
- Histogram bars < 0.00 (bearish trend)
The additional green buy and red sell arrows can be used for trade entry in established trends.
Free Download
Download the macd-pattern-signals.mq4 indicator file (MT4)
Trading Chart
The picture below is an example of how the MACD Pattern Signals indicator looks like when applied to the EUR/USD 4-hour trading chart.
How to buy and sell currency pairs with the MACD Pattern Signals Forex indicator?
The indicator can be used in multiple ways, please find a classic trading example below:
Buy Signal:
- Open a buy order when the histogram bars are positioned above the 0.00 level and a green arrow appears on the chart.
- Place your stop loss 3 pips below short-term support.
- Exit the buy trade for a risk to reward ratio of at least 1.5 or wait for a sell signal.
Sell Signal:
- Open a sell order when the histogram bars are positioned below the 0.00 level and a red arrow appears on the chart.
- Place your stop loss 3 pips above short-term resistance.
- Exit the sell trade for a risk to reward ratio of at least 1.5 or wait for a buy signal.
How to I install and run this Forex indicator on Metatrader 4?
- Download the macd-pattern-signals.mq4 indicator file here and save it to your computer
- Open the Metatrader 4 trading platform
- From the top menu, click on “File” to open the drop down menu
- Select the “open data folder” and navigate to the “MQL4” folder
- Then navigate to the “Indicators” folder
- Copy the indicator into the “Indicators” folder
- Close the trading platform and restart it
- The indicator will be automatically installed on MT4
- You will find the installed indicator in the Navigator window
- In order to start using it, drag and drop the indicator to the chart
