Free Forex Indicators (MT4), Trend Following Indicators

FX-mah Reversal Indicator

FX-mah Reversal Indicator is a Moving Average based trend-following forex trading indicator. It uses a dual-band of MAs and plots crossovers in order to signal the market trends. Finding trends following simple crossovers is a better idea than going for complex trend defining indicators, especially for newbie traders.

FX-mah Reversal Indicator has been built for intraday trading purposes, thus suits best with H1, H4 & daily charts within the MT4 terminal. However, this indicator can be applied to trade all kinds of forex currency pairs available in the financial markets.

FX-mah Reversal Indicator Overview

After the installation of the Indicator at the MT4 platform, your chart will appear like the following image:

FX-mah Reversal Indicator Overview

FX-mah Reversal Indicator Explanation

FX-mah Reversal Indicator Explanation

FX-mah Reversal Indicator uses an 8-day (red) and 21-day (green) Moving Average (MA) in order to produce the crossover trend signals. These MAs are parameterized using custom algorithms in order to deal with lagging problems.

8 MA moves above the 21 MA represents the bullish crossover. On the contrary, 21 MA moves above 8 MA is considered as the bearish crossover signal for the market trend. Once a crossover is signaled, you may wait for a relevant price action setup for better accuracy. These 8 & 21 MAs can also be used as dynamic support and resistance of the market.

Also Try: The Best Forex Trading Strategy Ever

FX-mah: Buy Parameters

FX-mah Buy Parameters
  • 8 & 21 MAs plot bullish crossover signal
  • A bullish bar closes right above the 8 MA
  • Buy triggers at the break of the signaling bar’s high
  • Set stop loss below the 21 MA
  • Take profit whenever the price closes below the 8 MA

FX-mah: Sell Parameters

FX-mah Sell Parameters
  • 8 & 21 MAs plot bearish crossover signal
  • A bearish bar closes right below the 8 MA
  • Sell triggers at the break of the signaling bar’s low
  • Set stop loss above the 21 MA
  • Take profit whenever the price closes above the 8 MA
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I have been actively trading the financial markets since April 2012. Besides trading with my personal money I am a technical analyst in a mutual fund that has Rs. 1 billion in assets under management. At my leisure, I love attending live music, traveling, and partying with friends.

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