The Double Smoothed Stochastic of Ratio Metatrader 5 forex indicator can be traced back to Walter Bressert.
Walter Bressert deploys it as an oscillator.
Instead of using the raw price, the indicator uses the ratio of the fast EMA (short)/ slow EMA (long) of the price.
The indicator consists of a dual colored (deep sky blue and dark orange) line with accompanying shadows, and this makes up its signal system.
The indicator can be quite useful for scalping, day trading and swing trading.
Feel free to experiment with the ratio period, this is a variable input parameter.
The EUR/USD H1 chart below displays the Double smoothed stochastic of ratio Metatrader 5 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the ascending dual colored line of the Double smoothed stochastic of ratio Metatrader 5 forex indicator turns deep sky blue.
Sell Signal: Go short when the descending dual colored line of the Double smoothed stochastic of ratio Metatrader 5 forex indicator turns dark orange.
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, the dual colored line of Double smoothed stochastic of ratio indicator reverts to dark orange.
Exit sell trade: Close all sell orders if while a bearish trend is running, the dual colored line of the Double smoothed stochastic of ratio indicator changes to deep sky blue.
Tips: The indicator clearly makes finding profitable market entries and entries easier.
For scalping and day trading purposes, use the indicator during the London and New York trading sessions.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart window indicator
Customization options: Variable (Stochastic period, Smoothing period, Signal/trigger period, Fast ratio period, Slow ratio period, Price), 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 DSS ratio.ex5 indicator into the MQL5 indicators folder of the Metatrader 5 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL5 > Indicators (paste here)