The Legacy Trader MT4 forex indicator is an enhanced version of the traditional Parabolic SAR technical indicator.
It provides you with easy to read short-term buy and sell trading signals in the direction of the prevailing trend.
Moreover, the Legacy Metatrader 4 indicator displays the most current trend in the upper right corner of the chart.
The trend is either an “uptrend” or an “downtrend.
Legacy Trader draws magenta and aqua dot above or below the price bars.
Magenta dots suggest there’s an short-term uptrend and traders look to buy the currency pair.
Aqua dots suggest there’s an short-term downtrend and traders look to sell the currency pair.
A stop-loss is typically placed 1-3 pips above (for sell) or below (for buy) the Legacy Trader dots.
You can trail your stop-loss up (for buy signal) or down (for sell signal) to lock in profits or to reduce the risk on the open trade.
Use this forex indicator to take advantage of short-term movements in the currency market.
It’s a popular indicator for scalping and day trading purposes.
The AUD/USD 5-Minute chart below displays the Legacy Trader Metatrader 4 Forex indicator in action.
Basic Trading Signals
Signals from the Legacy Trader MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: A buy signal occurs when the Legacy Trader indicator draws an aqua dot below the candlestick.
Sell Signal: A sell signal occurs when the Legacy Trader indicator draws an magenta dot above the candlestick.
Trade Exit: Close the open buy/sell 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 indicator
Customization options: Variable (Nbars) 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 legacy-trader-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)