Moving Average Strength is also known as a trend-based Oscillator because over the last couple of years it has achieved its own place among the best Forex indicators of the global financial markets. The easy look and easier demonstration have made this Forex indicator exceptionally useful to newbie traders.
This indicator is applicable to any Forex currency pair and can be adjusted with any trend following a trading strategy to get significant success. Besides, it doesn’t matter that you are a scalper or day trader because this amazing Forex tool suits all sorts of timeframe charts.
Moving Average Strength Overview
After you are done with the installation of Moving Average Strength at your Forex MT4 terminal, your trading chart will appear as the following image:
This indicator uses a parameter scale to signal the trend momentum. Its value raised above the zero level is considered as confirmation of the bullish trend. On the other hand, a negative value represents the existence of the bearish thrust.
This means you should look for buy opportunities when the Moving Average Strength value is positive and will take short opportunities whenever the value turns negative.
Moving Average Indicator: Var Moving Average Indicator
Moving Average Strength: Buy Parameters
- Moving Average value turns positive
- The price bar closes as a bullish candle
- Enter buy at the break of the bullish bar’s high
- Put stop loss limit below the current swing low
- Exit long whenever the indicator value turns negative
Moving Average Strength: Sell Parameters
- Moving Average value turns negative
- The price bar closes as a bearish candle
- Enter sell at the break of the bearish bar’s low
- Set stop loss limit above the current swing high
- Exit short whenever the indicator value turns positive