The Trend Reversal forex MT4 indicator scans for possible trend reversals with the help of an exponential moving average based crossover trading system.
The Trend Reversal indicator consists of a dotted buy and sell forex trading system which is painted in a separate trading window.
This system is very easy to understand, even for absolute beginners.
- Blue dots painted above the red dots indicate the trend is bullish (up trend)
- Red dots painted above the blue dots indicate the trend is bearish (down trend)
The default EMA periods can be easily changed directly from the indicator’s input tab.
It’s a great indicator for short-term trading including scalping and day trading.
The EUR/USD H1 chart below displays the Trend Reversal forex indicator in action.
Basic Trading Signals
Signals from the Trend Reversal forex MT4 indicator are easy to interpret and goes as follows:
Buy Signal: Initiate long trade when the blue dots crosses above the red dots from below.
Sell Signal: Initiate short trade when the red dots crosses above the blue dots from below.
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 (fast_ema_period, slow_ema_period, signal_period, applied_price) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: Trend Reversal
Copy and paste the trend-reversal.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)