Forex Trend & Breakout System thoroughly study the market trend and identifies possible breakout opportunities within the trend directions. This trading system uses only three indicators in order to signal plot trade signal in a very simple manner with the greater confluence. Because of its simplicity of use, newbie traders can easily involve in trend following trading activities by applying it in the real markets.
Forex Trend & Breakout System can be applied to trade all kinds of forex currency pairs available in the financial markets. Furthermore, this indicator works in all sorts of timeframe charts offered by the Metatrader 4 trading platforms.
Forex Trend & Breakout System Overview
After the installation of Forex Trend & Breakout System at the MT4 terminal, your trading chart will appear like the following image:
Forex Trend & Breakout System Anatomy
- HBH: This indicator works in quite a similar way to another famous trend-based indicator “Heiken Ashi”. It turns blue when the trend is bullish and turns red to signal the bearish trend of the market.
- Bands Stop: B. Bands Stop determines the possible swing level of the current market trend. It turns blue and appears below the price bars are considered as the bullish trend of the market. Contrarily, it turns red and appears above the price bars to represent the bearish status of the current market trend.
- HBF: It has been added as a filter to validate the trade signals generated by HBH and B. Bands Stop. HBF turns blue carrying a positive value means the validity of the buy entry signals. On the other hand, it turns red with a negative value represents the confirmation of sell entry signals.
Forex Trend & Breakout System: Generally Accepted use
- HBH turns blue
- Bands Stop turns blue and appears below the current price bar
- HBF transforms into the blue color carrying a positive value
- Buy triggers when the above conditions are met
- Set stop loss below the current HBH level
- Exit Long/take profit whenever price breaks the lower B. Bands Stop level
Also Read: Technical Analysis Introduction
- HBH turns red
- Bands Stop turns red and appears above the current price bar
- HBF transforms into the red color carrying a negative value
- Sell triggers when the above conditions are met
- Set stop loss above the current HBH level
- Exit short/take profit whenever price breaks the upper B. Bands Stop level