Fibonacci Cluster Indicator

Fibonacci Cluster Indicator

Fibonacci Cluster Indicator For MT4 automatically plots dynamic support and resistance using the Fibonacci and ATR values. Best support and resistance tool.

The Fibonacci Cluster indicator for MT4 automatically generates support and resistance lines on the forex price charts. It uses the Fibonacci levels and the ATR-Average True Range to provide dynamic support and resistance lines based on the price volatility. As a result, the indicator plots multiple support and resistance lines that change as volatility changes. This generates a visible cluster of lines and helps technical traders to identify the best support and resistance.

The indicator is easy to use and works well for new and advanced forex traders. Moreover, it works on all chart time frames and is suitable for short and long-term forex technical analysis.

Fibonacci Cluster Indicator For MT4 Trading Signals

The indicator plots red support and resistance lines on the price chart. Firstly, it automatically identifies a potential higher high and lower low and measures the Fibonacci values. Once the values are determined, the indicator now looks at the ATR and applies the ATR multiplier. These values are now added to the Fibonacci levels to identify the price values of the support and resistance lines.

The major difference from regular Fibonacci based indicators is the dynamic support and resistance. As the ATR changes with the volatility, this indicator positions the support and resistances accordingly. Obviously, the cluster with more number of lines becomes the strongest support or resistance.

The trading strategy is to enter the markets at a breakout or breakout failure of these support and resistance lines. So, for best trading results traders can use this tool in confluence with other technical indicators.

Conclusion
In summary, the Fibonacci Cluster indicator for MT4 provides dynamic forex support and resistance using Fibonacci and ATR. This indicator is available as a free download.