Volatility Pivot Indicator

Volatility Pivot Indicator

Volatility Pivot indicator best MT4 forex trading indicator Provides dynamic support and resistance lines,BULLISH and BEARISH trade signals.Free to Download

The Volatility Pivot Indicator for MT4 provides the forex traders with dynamic pivot lines based on the ATR. Since the pivot is dynamic, it provides dynamic support and resistance levels as the price changes. As a result, forex traders will get enhanced support and resistance levels which are highly effective than the classic pivot lines.

The indicator is also effective in trend following. Price action above the volatility pivot lines is a BULLISH signal and warrants BUY trades. While price action below indicates the BEARISH trend and warrants SELL positions.

The indicator is best suited for new forex traders as it eliminates the need for new forex traders to draw support and resistance lines. Furthermore, it provides the trend direction visually and assists forex traders to stay with the trend. Advanced forex traders can use dynamic support and resistance to draw trendlines, channels using the volatility pivots.

The indicator works well in all intraday timeframes and long-term time frames like the daily, weekly, and monthly charts. Additionally, forex traders can download the indicator for free and install it easily.

Volatility Pivot Indicator For MT4 Trading Signals
The above EURUSD H1 chart displays the Volatility Pivot Indicator for MT4. The indicator displays the dynamic support and resistance or the Pivot line in GREEN in the chart window.

Trading signals of this technical trading strategy are straightforward. Price action above the volatility pivot line indicates a BULLISH market condition. So forex traders can open BUY positions once the price crosses over the volatility pivot line upwards. While the stop loss can be placed below the previous low, the price crossover to the downwards is an exit signal.

Oppositely, price crossing over the volatility pivot line to the downwards indicates a BEARISH trend. A SELL trade with a stop loss above the previous high and take profit at the opposite crossover will produce results.

Indicator for MT4 uses the ATR to calculate the pivots. However, traders should note that as the volatility increases it affects the Average True Range values. Different currency pairs have various volatility levels so it is necessary for forex traders to adjust the ATR values for best trading results.

Price action near the volatility pivot lines and price rejection at these points are commonly noticeable phenomena around these lines. However, forex traders can easily notice the difference between classic pivot lines and ATR-based dynamic volatility pivots.

Conclusion
The Volatility Pivot Indicator for MT4 is the best Metatrader indicator which provides pivot-based dynamic support and resistance lines. Additionally, it indicates the BULLISH and BEARISH market conditions clearly and easy to interpret. As a result, the BUY and SELL signals are effective for support and resistance based trading and trend based trading. Additionally, the indicator is free to download and easy to install.