EMMA Indicator

EMMA Indicator

EMMA Indicator for MT4 plots the extreme high and low prices using closing or high and low. Best alternative for the classic ZigZag forex trading indicator.

The EMMA indicator for MT4 is an excellent replacement for the classic Zigzag indicator. The EMMA – Extreme Market Moving Average indicator values are identified using the closing price or high and low values. So, it effectively eliminates the lag associated with other moving average based forex trend indicators.

This indicator also provides the option to enable Fibo levels, Fibo Fan, Regression channel, Std Deviation channel on the price chart. As a result, traders can use these additional tools to enhance their technical analysis with the EMMA.

The indicator is easy to use, however new traders should understand the principles of Zigzag. It works well on all chart time frames.

EMMA Indicator For MT4 Trade Setup

The indicator plots the blue EMMA line on the price chart by connecting the extreme highs and lows or the tops and bottoms. These tops and bottoms act as best reversal points. Moreover, they are excellent support and resistance levels. So, the best trading strategy is to use these tops and bottoms or the extreme levels as identified by the indicator as support and resistance.

If price moves higher than a previous extreme high of the EMMA, traders can anticipate a further bullish move. Trades can place a buy trade with a stop below the previous swing low and book profits with a good RR.

Similarly, traders can open sell positions if the price moves lower than a previously identified EMMA low. In addition to this traders can enable Fibo or Channels in the setting for further analysis.

Conclusion
In summary, the EMMA – Extreme market moving average is an excellent forex technical analysis tool for ZigZag traders.