DeMarker Indicator

DeMarker Indicator

Track the best trend signals using DeMarker in MT4. Spots potential trend reversal zones, intraday forex/stock buy-sell entry positions in all market sessions.

The DeMarker is an MT4 trend indicator that works best for intraday trading in forex and stocks. It deeply examines the market momentums, overbought/oversold zones, and potential trend-reversal positions of the price. Besides trend-following buy-sell signals, the indicator identifies bullish and bearish divergences. Also, it spots trend continuation patterns, helping you pick solid price breakout and pullback trading opportunities. This guide will explain how to trade forex and stocks like a pro using the DeMarker indicator in MT4.

How to Use the DeMarker indicator to identify potential buy-sell signals in MT4

The DeMarker plots trend signals using a separate indicator window like most other trend oscillators. The horizontal level at 0.7 shows the overbought level. Another horizontal line at 0.3 represents the oversold zone of the market.

When the indicator value rises above 0.3, we consider the current oversold period is over, and the market is likely to begin a bullish move. In the same way, once the market goes overbought, we’ll wait until the DeMarker value drops below 0.7 before going short.

In the above example, EURUSD rejected to move below the key horizontal support at 1.1132. At the same time, the DeMarker value rose above 0.3, ensuring a bullish momentum. Later, the chart plotted a solid bullish pin bar confirming a perfect buy opportunity.

Conclusion
The DeMarker is an ideal MT4 trend indicator for beginner-level traders in forex and stocks. Once you learn how it works, you can monitor the critical changes in market momentums. However, we recommend not executing buy-sell orders based on DeMarker trend signals during choppy markets. Try to consider other price action factors such as candlestick patterns and price-level indicators such as support/resistance or trendlines before finalizing trading decisions.