Trend Confirmation Index Indicator MT5
Platform: MT5 Type: Oscillator Last update: June 13, 2025The Trend Confirmation Index Indicator for MT5 is able to calculate current condition of the market. Typically for oscillators it can provide areas of overbought (over 70) and oversold (below 30) price levels.
Based on the data contained in the candlesticks, the indicator catches underlying properties like weak or strong trend and if it gains or looses strenght and momentum. That information can be a great addition and supply your trading strategy. However, it’s not recommented to utilize these signals standalone.
Example chart:
How to use the trend confirmation index indicator for mt5?
The trend confirmation index indicator was created to alert traders about extreme conditions and the best approach is taking advantage of that. When this setup is in place it means very high-probability of market reversal.
For example, you can attach a moving average indicator to the chart and spot pullbacks. When it happens, and it’s confirmed by TCI extreme zone, you can consider opening a trade in agreement to the original direction. What’s more, it works like a charm with trendlines, support and resistance lines and divergences – of course it should be drawn within indicator’s window.
Take a look at the EUR/AUD H1 chart to see how TCI respected a bearish trendline and generated profitable sell signal:
Indicator settings
There are following customizable options in the settings tab:
- Period – number of candles used for calculation; higher = smoother, lower = more responsive
- Method – type of moving average used in calculation
- Overbought level – value above which the market may be overbought (default: 70)
- Oversold level – value below which the market may be oversold (default: 30)
- Show actual CPP – option to display current price position within the TCI window
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