The supertrend indicator is an indicator which is used to identify trend trading strategies in the trade. For trading in Forex trading, you have to understand why it is important for a market to stay in a trend. It is a free indicator. It is a powerful indicator and a technical trading tool. It follows overlay on a trading chart. It uses the average true range as part of the calculation.
It includes a moving average.With the help of this indicator, a trader can make a market trend easily and make a decent profit. It is a more effective way to make money in the Forex market.
SUPERTREND INDICATOR MT4.
The developers of this indicator make it a very simple indicator. This indicator works much better than moving averages and MACD which are also useful in trend indicator. This indicator works in better uptrend and downtrend indicator. It is the most effective and easiest trend trading system.
It works in well-trading markets. supertrend indicator is also used to confirm the signals. This indicator shows trend direction. It also provides sell and buy indicators. It is also used as a volatility indicator. It is also used to predict using a mixture of the average price.
supertrend indicator Formula
Super trend indicator uses different formulas for its calculations.The formula used for the upper brand is (HIGH+Low)/2+Multiplier* ATR. The formula used for the lower trend is (HIGH-LOW) /2 – Multiplier* ATR.The formula for final uptrend is IF ((CURRENT BASIC UPTREND< PREVIOUS DINAL UPTREND) and (PREVIOUS CLOSE< PREVIOUS FINAL UPTREND)) then (CURRENT BASIC LOWERBAND) ELSE PREVIOUS FINAL LOWERBAND).
The formula for the final lower trend is IF ((CURRENT BASIC LOWERTREND< PREVIOUS DINAL LOWERTREND) and (PREVIOUS CLOSE< PREVIOUS FINAL LOWERTREND)) then (CURRENT BASIC LOWERBAND) ELSE PREVIOUS FINAL LOWERBAND). At the last formula for the super trend is IF (CURRENT CLOSE<= CURRENT FINAL UPPERBRAND) then (CURRENT FINAL UPPERBAND ELSE CURRENT FINAL LOWER BAND).The calculation for the average true range is [(PRIOR ATR* 13) + CURRENT TR]/14.
Like every indicator, this indicator also has a specific pip. Different colour schemes are also used in Super trend indicator. Colour schemes used in this indicator are Green, red, black and while. The background of this indicator is black. The white line is used for specific pip. Specific pip for this indicator is 1.30911. The green colour is used for the candlestick pattern. The green colour is also used for uptrend signals and the red colour is used for downtrend signals.
USES of Supertrend indicator
The super trend indicator has too many uses. This indicator is used to measure the trend signals in the market. This indicator also helps to find out the buy and sell rate of the market. It is trend trading indicator. Many traders are using this indicator for their trade and make decent profits in the trade. It is the most popular trend trading indicator. supertrend indicator also uses different formulas for different calculations. It also gives the signals for uptrend and downtrend in the trading system.
supertrend indicator is available for both Meta Trader 4 and Meta Trader 5. This indicator is designed for Forex trading system. It is very easy to use this indicator because it uses different strategies for ease of understanding. It uses different colours for its uses. It is the most popular and free indicator.
• super trend indicator is used to indicate strength trend in the trade.
• Its calculations are based on moving average price.
• It is used to differentiate between trending and non-trending conditions.
• It helps to identify profitable trade.
• From the rise and fall of lines in the super trend indicator graph, the traders sense the price climax.
HOW TO INSTALL super trend indicator:
• First step: – Download the super trend indicator for Meta Trader 4 platform.
• Second step: -Copy super trend indicator for Meta Trader 4. mql4 to your Meta trader Directory/experts/indicators/
• Start or restart your Meta trader 4 Client.
• Select Chart and Timeframe where you want to test your MT4 indicators.
• Search “Custom Indicators” in your Navigator mostly left in your Meta trader 4 Client.
• Right-click on super trend indicator for Meta Trader 4.mq4.
• Attach to a Chart
• Modify settings or press ok
• In the end, the super trend indicator for Meta Trader 4.mq4 is available on your Chart.
How to remove super trend indicator :
• First step: Select the Chart where is the Indicator running in your Meta Trader 4.
• Second Step: Right-click into the chart.
• Third step: Indicators list.
• At the last: Select the indicator and delete it.
These are simple and easy steps that you need to follow before starting trade because it gives you buy and sell zone indicator with almost 90% precision.
Ahead you are going to begin in real account trading you need to trade at the minimum for one month as a demo in any MT4 or MT5 brokers. It awards you more potential for getting quality payback in long or short term trading across also moving average.