Custom Aroon Indicator

Custom Aroon Indicator

Custom Aroon Indicator MT4 detects forex buy-sell signals on price pullbacks in trend-following markets. It’s a non-repaint indicator that works on MTF charts

The Custom Aroon Indicator MT4 is an enhanced version of the Aroon Indicator that is specifically designed for the MetaTrader 4 platform. It works by plotting two lines on the chart – the Aroon Up and the Aroon Down – and analyzing their relationship to each other.

Technically, the Custom Aroon Indicator MT4 is a non-repaint indicator. Besides, it perfectly suits MTF forex and stock charts, allowing you to go for both scalping and intraday trading using the same platform.

This guide explains how to trade on price pullbacks using the Custom Aroon Indicator MT4.

How to Trade Using the Custom Aroon Indicator MT4

When the Aroon Up line (blue) crosses above the Aroon Down line (red), it is a signal that an uptrend may be starting. Conversely, when the Aroon Down line crosses above the Aroon Up line, it is a signal that a downtrend may be starting.

In the above EUR/USD H1 chart, we’ve used the same crossover strategy. Initially, the price was in an uptrend, and we decided to go long on every price pullback verified by the bullish crossover of the Custom Aroon indicator.

Secondly, when the price reversed for a downtrend move, we spotted several sell signals on pullbacks confirmed by bearish crossovers of Aroon Up and Down line.

The Custom Aroon Indicator MT4 also includes an oscillator that measures the distance between the two lines, providing additional information on the strength of the trend.

Conclusion
The Custom Aroon Indicator MT4 can be customized to suit individual trading styles and preferences, allowing traders to adjust the settings to their liking. When using the indicator, it is important to remember that it is not a standalone tool. It should be used with other MetaTrader technical analysis tools, like moving averages and support-resistance levels, to confirm signals and avoid false positives.