Trend Bars Indicator

Trend Bars Indicator

The Trend Bars indicator for MT4 is a trend finder that automatically detects the major direction of a financial trading asset.

The Trend Bars indicator for MetaTrader 4 is a trend finder that automatically detects the major direction of a financial trading asset. It was built with the 14-period RSI and algorithms that analyze the market for the trend direction. Besides, it also comes with a line tool that alternates between lime and red when the trend changes.

The indicator portrays a bullish sentiment with a lime line, while the bearish sentiment is depicted with a red line. These lines (lime and red) are painted after the indicator detects the true direction of the trend. However, the signals are not recommended to be used in isolation but in synergy with price action and/or other technical indicators.

Furthermore, the indicator is best suited in a trending market. Besides, it is user-friendly, which makes it suitable for novice, intermediate, and advanced forex traders.

How to Trade With the Trend Bars Indicator

The above image depicts the trend analysis of the indicator on the EURUSD currency pair in the H4 timeframe. It illustrates how a high-probability buy setup was identified.

Firstly, the image showed that the price was creating higher highs and higher lows, which infers that the trend is bullish. Besides, the indicator also painted a series of consecutive lime-colored bars, which also affirms the price action (uptrend). Secondly, the indicator resumes the painting of the lime-colored bars after the bearish retracement (red lines), which suggests a potential bullish continuation. Finally, the price printed a bullish engulfing candlestick pattern, a confirmation to go long (buy entry).

Conclusion
The Trend Bars indicator for MT4 is a forex trading tool that tells you the true direction of a trend. Therefore, it would come in handy as a guide to help you trade in the right direction of the trend. Finally, it is free to download.