Coeffoline Histogram Indicator

Coeffoline Histogram Indicator

Learn to spot trend reversals and bullish/bearish divergences using the best MT4 histogram indicator. Can deliver trend signals on MTF forex/stock price charts

The Coeffoline Histogram represents an MT4 trend analysis indicator especially developed for forex and stock traders. It closely tracks changes in price momentums and delivers real-time trend signals using green/red histogram bars.

For technical analysis, this indicator can alone guide you through the correct market bias. However, to determine buy-sell signals, you’ll require to combine its signal with one or several trend and price level indicators.

This guide explains how to discover solid trading opportunities using the Coeffoline Histogram indicator in MT4.

How to Trade Forex and Stocks Using Coeffoline Histogram MT4 Indicator

The Coeffoline Histogram displays red and green bars to confirm the market trend. The color of the bars changes depending on whether the indicator value turns positive or negative. For instance, the indicator value will become negative during a bearish trend, and the bars will appear red.

In the above GBP/USD chart, the price failed to break the support several times and continued to hold above the level. Meanwhile, the indicator value turned positive, and the indicator started to show rising green bars to confirm a bullish trend. We could place a buy entry right after the price broke the high of the bullish pin bar.

If you’re familiar with divergence trading strategy, the indicator can help you determine hidden divergences on all MT4 timeframes.

Conclusion
The Coeffoline Histogram is a simple-to-use MT4 trend indicator, and you can use its signals for different types of trading strategies. Apart from determining bullish/bearish trends, it also helps you spot hidden price divergences. Finally, we suggest you filter the histogram signals using another trend-based indicator for better accuracy.