The Dynamic Trend Signal Metatrader 5 forex indicator is a semaphore alert indicator that generates buy/sell arrow signals at the breakthrough of its dynamic price channel.
Essentially, the indicator is comprised of a gold line, with an accompanying magenta downward pointing arrow (sell signal), along with a lime colored upward pointing arrow (buy signal).
The colored arrows are used to depict the direction the market is heading, while the gold colored line i.e. Dynamic Line, acts as a potential support/resistance level (depending on the position of the price bars in relation to the Dynamic Line).
The EUR/JPY H1 chart below displays the Dynamic Trend Signal Metatrader 5 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the lime colored upward pointing arrow of the Dynamic Trend Signal Metatrader 5 forex indicator pops up somewhat below the candlesticks (bullish trend).
Sell Signal: Go short when the magenta colored downward pointing arrow of the Dynamic Trend Signal Metatrader 5 forex indicator gets aligned slightly above the candlesticks (bearish trend).
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, the MT5 indicator pops up a downward pointing magenta arrow, or watch out for price closing below the gold line.
Exit sell trade: Close all sell orders if while a bearish trend is running, the MT5 indicator pops up a lime upward pointing arrow, or watch out for price closing above the gold line.
Tips: The farther the price is away from the gold Dynamic Line, the stronger the trend is.
Conversely, when price is seen to be floating around the Dynamic Line (gold line), market is said to be in a choppy state.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart pattern indicator
Customization options: Variable (Percent dynamic channel, Maximum period for calculate trend), Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: trend | support/resistance
Copy and paste the dynamic_trend_cleaned_up.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)