Linear Regression Line Indicator

Linear Regression Line Indicator

Linear regression line indicator for mt4 – download free. Best trend following mt4 indicator. Trend reversal indicator for MT4.

The Linear Regression Line indicator for MetaTrader is the best trend-following trading tool to identify and accurately define a trend bias. It would also come in handy as a good momentum tool.

What is a linear regression line indicator?
A Linear Regression indicator is a Moving Average-like forex trading tool that was built with algorithms that automatically calculate the linear regression of the price.

Is a linear regression line a good indicator?
The Linear Regression line is a great indicator because it helps you to easily identify the volatility and trend bias of the market. Besides, the indicator is suited for different classes of traders like beginners, intermediate, and experienced traders. It can also be used for scalping, day/intraday, and swing trading.

Furthermore, the indicator is chart-friendly and simple to use. The price above the indicator is considered a bullish trend. Conversely, a bearish trend is depicted when the price is below the indicator.

How to Trade With the Linear Regression Line Indicator

The above screenshot depicts how the indicator would look on your MT4 platform. It also shows how to identify high-probability trade entries. Furthermore, the indicator is recommended to be used along with price action/other technical indicators for better trade efficiency.

BUY and SELL Signals: A potential BUY signal is generated when the price crosses above the indicator’s line. You may open a BUY/LONG position after price action and also print a bullish candlestick pattern (e.g. bullish engulfing, pin bar, etc.).

The above principle is also applicable for a SELL setup; the price has to cross below the indicator’s line before you look for a SELL/SHORT entry.

Conclusion
This indicator for MT4 is essentially a technical tool that will help you in identifying a trend bias with better accuracy. What’s more, the indicator is free to download.