Delta MA Indicator

Delta MA Indicator

As the best technical indicator tool, the Delta MA helps investors stay ahead of changing market trends. It is available for free and is compatible with the MetaTrader4 platform to enhance your chances of success.

The Delta MA Indicator for MT4 is one of the best technical indicator tools and the best part is that you can download for free. The indicator is not limited to a specific timeframe and can be used for both long-term and intra-day strategies. It can also be used on any forex trading strategy or system either on its own or as ribbons, envelopes, or convergence-divergence strategies.

The formula behind the indicator is: Moving Average (input1 -input2[d], n). Where input[d] is the input value of bar d bars ago. The formula allows you to notice minute changes in the direction of the moving average curve from either short to long or vice versa.

As a lagging/ technical indicator, the Delta MA Indicator will only provide data based on previous prices, which means they are not ideal for predicting where the price is going. The indicator calculates the difference between price and the moving average at two given inputs over a given range of bars (Delta Range).

How to Trade Using the Delta MA Indicator for MT4

The chart above shows the trendline of EURUSD, H1 is rising beginning with a market reversal on April 26th, 2022 from a low price of 1.052 to currently trade at 1.054. Since Delta MA reflect changes in the simple moving average, when the SMA is bearish, Delta Ma also goes down incrementally below the zero line.

If the price grows above 0, the indicator shows that the moving average is rising. In contrast, if the curve volume falls below 0, the moving average is below the price, and you can buy or sell at such positions. The line is moving up in the following chart, reflecting the small changes in the simple moving average on the price chart.

Before the trend changes, the Delta MA indicator shows the moving average is getting flatter. You can view the Delta MA curve as a microscopic view of a simple moving average curve which helps predict trend changes before they occur.

The formula stated in the introduction (Moving Average (input1 – input2[d], n)) is based on the following defined inputs:

Input1 = user-defined, price, default is close
Input2 = user-defined, price, default is open
Method = user-defined, moving average (MA), default is SMA
Period = user-defined, default is 10
deltaRange = user-defined, default is 5
Index = current bar number
Conclusion
The Delta Moving Average for MT4 is one of the best tools for investors looking for a heads up on the best period to buy/sell. The indicator is available for free and compatible with most trading platforms, including MetaTrader4. To get the best out of the Delta MA indicator, you have to use it together with other tools.