Trend Signal Indicator

Trend Signal Indicator

Trend Signal Indicator for MT5 helps forex traders to identify new trends at a quick glance.

Many forex traders want to get into a new trend as early as possible and use it for a long time. As profitable as this strategy may be, only a few indicators can effectively signal a new trend. One of the best indicators to help traders spot a trend is the trend signal indicator.

Foundation
The Trend Signal indicator for MT5 helps forex traders quickly identify new trends.

The chart below shows the trend signal indicator on an MT5 chart.

This indicator shows red and green arrows on the GBP/USD H4 chart above.

Red arrows (pointing down) indicate that a downtrend is forming and the market is bearish.

Therefore, green arrows (pointing up) signal that an uptrend is forming and that the market is bullish.

This indicator works great in any market conditions and on all timeframes.

Using this indicator, intraday traders can determine when to open and close trading positions.

This indicator also allows position traders to move in an uptrend or downtrend for a long time.

How to use the trend signal indicator
The Trend Signal indicator can be used alone or in combination with other technical indicators.

This indicator can be used for trending, breakout and range trading.

Trend traders can use this indicator to identify dynamic support and resistance zones.

This can help trend traders open a buy trade in an uptrend or a sell trade in a downtrend.

Additionally, breakout traders can use this indicator to identify retested support and resistance levels after a breakout.

These levels will help breakout traders make a less risky buy or sell trade.

Range traders can use this indicator to determine reversal levels and place buy or sell trades.

The EURUSD H1 chart below shows how to use this indicator on MT5.

On the chart above, the main support level is the red horizontal line.

Therefore, the key resistance zone is the green horizontal line.

A buy position can be placed when the green arrow appears around the support level.

A sell position can be placed when the red arrow appears around the resistance zone.

Reversal patterns such as bullish or bearish engulfing candles can be used to confirm a buy or sell entry.

Long positions can be closed when a red arrow appears on the chart.

Short positions can be closed when a green arrow appears on the chart.

Conclusion
The trend signal indicator for MT5 is one of the best indicators that quickly identifies a new trend.

This indicator works in all market conditions (trending and ranging market) and in all timeframes.

The indicator can be used on its own, but is best used in conjunction with price action and candlestick analysis.