SMCCI Indicator

SMCCI Indicator

SMCCI Indicator For MT4 is a smoothened Triple EMA. Provides the best buy and sell forex trading signals.

The SMCCI indicator for MT4 is a smoothed moving average. The indicator uses a triple exponential moving average with a smoothing value and provides the best forex trend trading signals. A triple exponential moving average smoothens and eliminates the whipsaws that are associated with regular moving averages. Furthermore, the smoothing value reduces the fluctuations and results in a much smoother moving average suitable for trend following. As a result, forex traders can identify the bullish and bearish market trends and buy and sell accordingly.

The T3 or Triple exponential moving average is easy to visually identify the trend changes. So, the indicator is best suitable for new and advanced forex traders. Moreover, the indicator works in all intraday price charts and helps scalpers and intraday traders. Similarly, short-term and long-term trend traders benefit from the indicator as it works on daily, weekly, and monthly price charts.

The simplicity of the indicator should not be overlooked. The indicator can be used for entry, exit, and also for re-entering the market. Additionally, traders can identify entry and exit signals using the crossover of slower and faster SMCCI indicators.

SMCCI Indicator For MT4 Trading Signals

The above EURUSD H4 candlestick price chart shows the SMCCI indicator for MT4 in action. The indicator plots the moving average as a gold line on the price chart. Price movement above the indicator line indicates a bullish market trend if the indicator points upwards. While price movement below the indicator line shows a bearish price trend if the indicator also points in a downward direction. A crossover of price and the indicator line accompanied by a change of direction of the indicator line indicates a shift in the market trend direction.

If the price crosses over the indicator line upwards and if the indicator line point upwards it signals the best entry point. So, forex traders should enter the market with a BUY position with a stop loss below the previous swing low. However, traders can hold the position and book profits until the prices close on the opposite side of the indicator line.

Similarly, for a bearish trend signal, the price should cross the indicator line in the downward direction. And the indicator line should point in a downward direction. In such a case traders can place a sell trade with a stop loss above the previous swing high. Moreover, the best profit booking strategy is to wait until the opposite trading signal.

The next trading strategy is to plot multiple instances of the indicator and trade using the crossover of the indicator lines. An upward crossover of the slow and fast indicator signals a buy condition and the reverse is true for a sell trade.

Conclusion
The SMCCI indicator for MT4 is a trend following indicator using the triple exponential moving average or T3. As a result, the indicator lags and produces slower signals. So, forex traders should identify the best settings by adjusting the input values. Moreover, as a trend following indicator, it does not produce the best forex trading signals in a sideways market.