Three Moving Averages Convergence/Divergence (MAxCD) Metatrader 4 Forex Indicator
The three Moving Averages Convergence/Divergence indicator for MT4, also known as MAxCD, is a signal oscillator that consists of three moving averages.
The indicator draws 3 colored histogram bars above and below the zero level.
One histogram bar represents one moving average.
- A bullish trend occurs when all 3 histogram bars are aligned above the zero level
- A bearish trend occurs when all 3 histogram bars are aligned below the zero level
It’s recommended to confirm any buy or sell signal taken from the MAxCD indicator with additional technical indicators or analysis tools for better performance.
The EUR/USD H1 chart below displays the three Moving Averages Convergence/Divergence Metatrader 4 forex indicator in action.
Basic Trading Signals
Signals from the MAxCD MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Open a buy trade when all 3 histogram bars from the MAxCD indicator are aligned above the zero level.
Place a stop loss 2-3 pips below the most recent support level.
Sell Signal: Open a sell trade when all 3 histogram bars from the MAxCD indicator are aligned below the zero level.
Place a stop loss 2-3 pips above the most recent resistance level.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart window indicator
Customization options: Width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, Daily, Weekly, Monthly
Copy and paste the MAxCD.mq4 indicator 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)