Introduction to the Trend Strength Indicator
The Trend Strength Indicator does precisely what its name suggests – it measures the strength of the trend of the chosen asset. A trader can adjust his trading intentions according to the dominant trend. Trading in the direction of the trend is low-risk strategy.
The Trend Strength Indicator fits all kinds of timeframes and currency pairs. It is displayed in a separate window placed just below 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.
Closer look on the Trend Strength Indicator
With the help of the Trend Strenght Indicator one can determine whether the market is on uptrend, downtrend, or ranging. The gauge has two rows: for the uptrend and for the downtrend. There are also ten columns with arrows and percentages ranging from 10% to 100%. As the trend progress, the indicator places more arrows in reference to trend strength. Take a look at the example chart:
Scope of the trend strength
- Weak trend: 10% to 40%
- Medium to strong trend: 50% to 80%
- Extremly strong trend: 90% to 100%
Strong Uptrend Example
In the example below, one can see a strong ongoing uptrend. The indicator readings go up to 100% – it means an extremely strong bullish trend, and a trader should look only for buy trades.
Strong Downtrend Example
In the example below, one can see a strong ongoing downtrend. The indicator readings go up to 90% – it means an very very strong bearish trend, and a trader should look only for sell trades.
How to set up the Trend Strength indicator in MetaTrader (MT4)?
Download the Trend Strength.rar archive at the bottom of this post, unpack it, then copy and paste the Trend Strength.ex4 or Trend Strength.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.
Summary Of That Forex Indicator
The Trend Strength 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. Don’t forget that we still have more great free forex MT4 indicators to download and try.
Download Free Forex MT4 Trend Strength Indicator
To download the Trend Strength Indicator for Metatrader 4 (MT4) for free just click the button below: