The 3 Bar Stop Loss Signals MT4 indicator is based on a trend following exponential moving average.
This forex indicator generates buy and sell trading signals in the form of blue and red lines drawn on the activity chart.
Blue colored lines indicate the trend is upwards and this is a signal to buy the currency pair.
Red colored lines indicate the trend is downwards and this is a signal to sell the currency pair.
A suggested stop-loss line is also included with this forex indicator.
For buy signals, put the stop-loss 1 pip below the blue stop-loss line and trail it up.
For sell signals, put the stop-loss 1 pip above the red stop-loss line and trial it down.
The default indicator input settings including the Trend EMA Period can be changed directly from the indicator’s inputs tab.
Feel free to experiment with its different settings to suit your needs.
The 3 Bar Stop Loss Signals MT4 indicator is useful for short and medium-term trading (scalping, day trading and swing trading).
The EUR/USD H4 chart below displays the 3 Bar Stop Loss Signals forex indicator in action.
Basic Trading Signals
Signals from the 3 Bar Stop Loss Signals MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Initiate a buy trade when the 3 Bar Stop Loss Signals indicator starts painting a blue line.
Sell Signal: Initiate a sell trade when the 3 Bar Stop Loss Signals indicator starts painting a red line.
Trade Exit: Close the open trade when an opposite signal occurs, or use your own method of trade exit.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern
Customization options: Variable (TrendEMAPeriod, StopLineStyle, EntryLineStyle, SellColor, BuyColor) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Copy and paste the 3-bar-stop-loss-indicator.mq4 indicator into the MQL4 indicators folder of the Metatrader 4 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL4 > Indicators (paste here)