The SFX CCI Metatrader 4 indicator is an oscillator based on the popular Commodity Channel Index (CCI) technical indicator.
The SFX CCI forex indicator fluctuates above and below its zero level.
It’s a good trading indicator to predict the short-term currency trend.
The short-term trend is considered to be bullish when the bars of the SFX CCI indicator are aligned above the zero line (green color).
Conversely, the short-term trend is considered to be bearish when the bars of the SFX CCI indicator are aligned below the zero line (red color).
Scalpers and day traders can take advantage of the SFX CCI indicator.
The indicator is less interesting for swing trading and position trading.
It’s recommended to use the SFX CCI together with a trend following forex indicator (simple moving average, exponential moving average,..).
Only trade in the direction of the trend and avoid signals against the trend.
The default indicator values are set to 14 and 5 but you can change these values to whatever you need.
The EUR/USD M15 chart below displays the SFX CCI forex indicator in action.
Basic Trading Signals
Signals from the SFX CCI forex indicator are easy to interpret and goes as follows:
Buy Signal: Open buy trade when the red SFX CCI bars change to green color (short-term bullish).
Sell Signal: Open sell trade when the green SFX CCI bars change to red color (short-term bearish).
Trade Exit: Close the open 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
Customization options: Variable (CCI Period, Calc Period, Reflex Divisor) 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 sfx-cci-indicator.ex4 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)