The Impulse MACD forex indicator is a smart variation of the traditional MACD technical indicator.
MACD is one of the most popular forex indicators used in forex trading.
The Impulse MACD indicator consists of a master moving average and signal moving average.
The default settings are set to 34 (Master MA) and 9 (Signal MA) respectively.
- MACD bars aligned above the zero level represent a bullish trend
- MACD bars aligned below the zero level represent a bearish trend
Moreover, the Impulse MACD detects range-bound market conditions, in this case, it draws a flat line positioned at the zero level.
Scalpers, day traders and swing traders will benefit from this advanced MACD technical indicator version.
The EUR/USD Hourly chart below displays the Impulse MACD Metatrader 4 Forex indicator in action.
Basic Trading Signals
Signals from the Impulse MACD MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Buy the currency pair when the Impulse MACD draws histogram bars above the 0.00 neutral level (bull trend).
Sell Signal: Sell the currency pair when the Impulse MACD draws histogram bars below the 0.00 neutral level (bear trend).
Flat line positioned at the zero level: Do nothing, wait for a new signal to go either long or short or stick with your current position.
Trade Exit: Close the open buy/sell forex position 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 indicator
Customization options: Variable (Master MA, Signal MA) 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 impulse-macd.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)