Successful traders make trading decisions with confluence of indicators. BB MACD indicator for MT4 combines two indicators.
First indicator is Moving Average Convergence and Divergence. The second one is Bollinger Bands indicators. As a result, it provides best possible entry and exit points.
The indicator combines two indicators. Both MACD and Bollinger bands are very reliable. Hence, enhances ability to understand the underlying trend strength. And estimate the price ranges, to adjust the trading strategy suitably.
The indicator can be used in any time frame chart. It is well suited for new forex traders and experts alike. However, having a basic knowledge of Bollinger bands is beneficial.
How to trade the best BB_MACD indicator
The entry and exit signals are formed in the indicator window. The color change of the dots indicates signal changes. The dots change color from Majenta to Lime. This color change provides a bullish signal to buy.
Likewise the opposite for a bearish signal to sell. Most traders prefer to hold positions,but take profits on a signal change.
It’s important for a forex trader not only to identify trends. But also to separate, trending and non-trending markets. Similarly, the BB MACD indicator for Metatrader shows the trend strength.
The indicators display the squeeze of bands. Thus signaling a period of low market movement. During this period the bands contract very close to each other. As a result this signals the trader to shift the trading strategy .
If the band’s squeeze, this implies impending market movement. Thus, enabling the trader to anticipate large price movements after tight range.
Wider bands imply higher price movements. In this case, wider bands enables the trader to trade large price movements. As a result wider bands helps the trader to apply trend trading strategies.
Best trading results are achieved while Red and Blue lines of the bands are apart.
Identifying Trend Extension
If the dots touch the bands the price trend is expected to continue in the current direction. Trend continues to move along the bands’ direction. This enables the trader to trail the markets. And subsquently continue to follow the trend until exhaustion.
The indicator alerts on bullish and bearish price signals to assist the trader. This coloured indicator is displayed on a separate window to provide clutter-free charts.
BB MACD indicator for mt4 is a reliable indicator for forex traders. It combines the power of two powerful indicators into one.
Setting
FastLen: Period of fast-moving average ( MACD )
SlowLen: Period of slow-moving average( MACD )
Length: Period of moving average ( MACD and Bollinger band )
barsCount: maximum number of previous bars/candles to apply the settings.
StDv: Standard deviation for the moving averages applied in Bollinger band.
EnableNativeAlerts: Enables Metatrader pop up alert
EnableSoundAlerts: Enables BB MACD sound alert
EnableEmailAlerts: Enables Email alerts
EnablePushAlerts: Enables Metatrader Push notification
SoundFileName: Enables sound alert
