The Stochastic Wallybys Metatrader 4 forex indicator is a multi-timeframe stochastic trading indicator.
You can add 3 different Stochastic periods to one separate chart below the main activity chart.
For example, for scalping you could display the 1-minute, 5-minute and 15-minute Stochastic timeframe’s.
Trading this indicator is really simple:
- Low Stochastic indicator readings below the 20 level suggest the currency pair is oversold
- High Stochastic indicator readings above the 80 level suggest the currency pair is overbought
In order to increase the number of profitable trades with this oscillator indicator, it’s highly recommended to use Stochastic Wallabys together with a trend following forex indicator.
Examples of great trend following indicators include moving averages, exponential moving averages, ADMI,…
Overall trend up? Only trade oversold Stochastic Wallabys signals. Ignore overbought signals.
Overall trend down? Only trade overbought Stochastic Wallabys signals. Ignore oversold signals.
The EUR/USD M30 chart below displays the Stochastic Wallabys forex indicator in action.
Basic Trading Signals
Signals from the Stochastic Wallabys forex MT4 indicator are easy to interpret and goes as follows:
Buy Signal: Open buy position when the indicator crosses back above 20 from below.
Sell Signal: Open sell position when the indicator crosses back below 80 from above.
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 (KPeriod, DPeriod, Slowing, Timeframe1, Timeframe2, Timeframe3, Type) 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 stochastic-wallabys.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)