Introduction to the PTS MACD Divergence Box Indicator
The PTS MACD Divergence Box Indicator automatically scans and detects the divergences between the price and Moving Average Convergence Divergence. What distinguishes this forex divergence indicator from others is that it marks green and red boxes on the charts. Such a box defines an area of divergence occurrence.
The PTS MACD Divergence Box Indicator fits all kinds of timeframes and currency pairs. It is displayed directly on the main trading chart. The default settings can be modified directly from the input tab. Feel free to experiment with the settings and parameters to fit your personal preferences.
How does it work? How to apply in trading?
Trading Rules Explanation
The trading rules that apply for the PTS MACD Divergence Box Indicator are very simple. There is a buying opportunity after the green box is provided. Conversely, there is a selling opportunity after the red box is provided. Detailed instructions can be found below.
Follow these steps for a long trade:
- PTS MACD Divergence Box plotts a green box
- Price leaves that box
- Buy trade is triggered after the above conditions are met
- Set stop loss a few pips below the last swing low of the market
- Take profit or exit whenever the PTS MACD Divergence Box draws red box, or R:R ratio reaches 2+:1, or use your own method of trade exit
Follow these steps for a short trade:
- PTS MACD Divergence Box plotts a red box
- Price leaves that box
- Sell trade is triggered after the above conditions are met
- Set stop loss a few pips above the last swing high of the market
- Take profit or exit whenever the PTS MACD Divergence Box draws green box, or R:R ratio reaches 2+:1, or use your own method of trade exit
As always, to achieve good results, remember about proper money management. To be a profitable trader you need to master discipline, emotions, and psychology. It is crucial to know when to trade, but also when not to trade. Avoid trading during unfavorable times and market conditions like low volume/volatility conditions, beyond major sessions, exotic currency pairs, wider spread, etc.
How to set up the PTS MACD Divergence Box indicator in MT4?
Download the PTS MACD Divergence Box.rar archive at the bottom of this post, unpack it, then copy and paste the PTS MACD Divergence Box.ex4 or PTS MACD Divergence Box.mq4 indicator files into the MQL4 folder of the Metatrader 4 trading platform.
You can gain access to this folder by clicking the top menu options, which goes as follows:
File > Open Data Folder > MQL4 > Indicators (paste here).
Now go to the left side of your MT4 terminal. In the Navigator find the gauge name, right-click it and select Attach to the chart.
The PTS MACD Divergence Box indicator is well worth adding to your trading collection. A good forex indicator will most probably enhance your chance of success. Nonetheless, remember about having realistic expectations. Just like any other technical analysis tool, is not capable of providing accurate signals 100% of the time. Thus, this forex indicator provides false signals occasionally. Its performance will vary significantly depending on market conditions. Feel free to develop your own trading system based around it.
Download Free Forex MT4 PTS MACD Divergence Box Indicator
To download the PTS MACD Divergence Box Indicator for Metatrader 4 (MT4) for free just click the button below: