Moving Averages Indicator

Moving Averages Indicator

Forex market trend from best Moving Averages Indicator for MT5. Determine the strength of the trend using colored moving averages.

The Moving Averages indicator is an updated version of the traditional moving averages. A single moving average is plotted on the chart in three colors; pink, green and all colors between them.

Green indicates a bullish trend, while pink indicates a bearish one. In addition to up and down colors, the indicator also shows a flat period. This period is referpink to as consolidation.

The good thing is that the indicator works on all timeframes, just like the traditional MA. However, to avoid false signals, it is better to use the indicator on longer timeframes.

How to use the Moving Averages Indicator for MT5?

To know the BUY/SELL signals, you have to look at the color of the MA. When the color of the MA changes to pink and the price drops towards the MA, it is a bearish trend and you can go short.

On the other hand, when the moving average changes color to green and the price rises above it, you can go long.

Colors also signify a trend reversal. For example, if the color of the moving average changes from pink to green, it means a bullish reversal.

Like a traditional moving average, the Moving Averages indicator uses calculations based on previous data, so it is best to combine other indicators to further confirm the signal.

Conclusion
The Moving Averages indicator for MT5 applies a traditional moving average on the chart and changes color according to the current trend. The indicator also marks the period of consolidation in middle color.