Advanced ADX Metatrader 4 Forex Indicator
ADX is short for average directional index. This forex MT4 indicator measures the strength of the trend.
The advanced ADX Metatrader 4 indicator draws colored signal price bars in an histogram window below the main activity chart.
Green ADX price bars suggest the trend is bullish while red ADX bars suggest the trend is bearish.
It’s highly recommended to use the advanced ADX forex indicator together with a trend following technical indicator or with price action.
Follow the underlying trend as indicated by the trend following indicator or price action analysis.
Trend up? Only trade the green ADX price bars.
Trend down? Only trade the red ADX price bars.
Works for scalping, day trading and swing trading purposes.
The default ADX period is set to 13 but can be changed to whatever value you need.
The EUR/USD 1-Minute chart below displays the Advanced ADX Metatrader 4 Forex indicator in action.
Basic Trading Signals
Signals from the Advanced ADX MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Initiate a new buy trade when the advanced ADX forex indicator changes from red price bars to green price bars (bullish).
Sell Signal: Initiate a new sell trade when the advanced ADX forex indicator changes from green price bars to red price bars (bearish).
Trade Exit: Close the open buy/sell trade when an opposite signal occurs, or use your own method of trade exit.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: Chart pattern indicator
Customization options: Variable (ADX period) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: Histogram Trend
Copy and paste the advanced-adx.mq4 into the MQL4 indicators folder of the Metatrader 4 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL4 > Indicators (paste here)