The Karacatica Arrows Signal ADX Metatrader 5 custom forex indicator is a technical tool that generates market entry signals in the form of colored arrows on the activity chart.
The signals from the Karacatica MT5 forex indicator are based on the ADX indicator.
Although the default period for the ADX is set at 14, the value is set at 70 for the Karacatica MT5 forex custom indicator.
The default color of the arrows is lime and magenta, with each depicting bullish and bearish market sentiment respectively.
The EUR/CAD H4 chart below displays the Karacatica Arrows Signal ADX Metatrader 5 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the lime upward pointing arrow of the Karacatica Metatrader 5 forex indicator gets put on display slightly below the candlesticks.
Sell Signal: Go short when the magenta downward pointing arrow of the Karacatica Metatrader 5 forex indicator gets put on display slightly above the candlesticks.
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, the magenta downward pointing arrow of the MT5 indicator pops up on the activity chart.
Exit sell trade: Close all sell orders if while a bearish trend is ongoing, the lime upward pointing arrow of the MT5 indicator pop up on the activity chart.
Tips: One of the simplest method to implement the Karacatica Arrows Signal ADX Metatrader 5 forex indicator is to combine it with trend filters, alongside oscillators.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart pattern indicator
Customization options: Variable (ATR period), 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 karacatica.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)