The Simple Decycler Metatrader 5 forex indicator is a technical indicator created by John F. Ehlers.
It’s based on his article on “Decyclers” in the “Technical Analysis of Stocks & Commodities” (September 2015) magazine edition.
The indicator is comprised of three distinctly colored lines i.e. red (top), blue (middle or decider) and green (bottom).
If the price of the currency pair is above the upper or top line, then the market is tagged bullish, while if price is below the lower or bottom line, a bearish trend is said to be in the making.
When price is found between these lines, the currency pair is said to be in a range bound condition.
The AUD/USD H1 chart below displays the Simple Decycler Metatrader 5 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when price opens and closes above the blue middle line of the Simple Decycler Metatrader 5 forex indicator.
Sell Signal: Go short when price opens and closes below the blue middle line of the Simple Decycler Metatrader 5 forex indicator.
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, price closes below the blue middle line of the Simple Decycler MT5 indicator.
Exit sell trade: Close all sell orders if while a bearish trend is running, price closes above the blue middle line of the Simple Decycler MT5 indicator.
Tips: During range bound markets, price is seen to bounce off the upper and lower lines (which acts as resistance and support levels), while price could continue to trade well beyond the upper/lower boundaries of the Simple Decycler indicator during trending markets.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart pattern indicator
Customization options: Variable (HP period, Applied price), 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 Simple_Decycler.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)