Average Penetration Histogram Metatrader 5 Forex Indicator
The Average penetration histogram Metatrader 5 forex indicator is a technical tool designed by Markos Kastsanos, and was introduced in the June 2018 edition of the Technical Analysis of Stocks and Commodities magazine.
Originally, only the close price is used as a penetration criteria, but the Average penetration histogram MT5 indicator version allows you chose to use high/low price as well.
Also, the Average penetration histogram indicator is using the following four averages types for averaging:
- Simple Moving Average
- Exponential Moving Average
- Smoothed Moving Average
- Linear Weighted Moving Average
The EUR/CAD H4 chart below displays the Average Penetration Histogram Metatrader 5 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the histograms of the indicator turn dodger blue and are aligned above the zero level.
Sell Signal: Go short when the histograms of the indicator turn brick red are aligned below the zero level.
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, a brick red histogram of the indicator pops up below the zero level.
Exit sell trade: Close all sell orders if while a bearish trend is ongoing, a dodger blue histogram of the indicator pops up above the zero level.
Tips: The Average penetration histogram MT5 forex indicator is a suitable trading tool all kind of trading styles including scalping and day trading.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart window indicator
Customization options: Variable (Look-back period, Average period, Average method, Average price, Count mode :, Histogram type), Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Copy and paste the Average penetration histogram.ex5 indicator into the MQL5 indicators folder of the Metatrader 5 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL5 > Indicators (paste here)