Average Directional Movement Index Rating (ADXR)
Average Directional Movement Index Rating (ADXR) is a smoothed version of ADX indicator and is used as a rating of the Directional Movement while smoothing out ADX values.
If to compare ADXR to ADX, the smoother ADXR doesn't depend much on fast short-term market turns and reversals, which allows to minimize trading risks when relying on ADXR in the long term.
How to trade with ADXR
When ADXR is above 25 - use a trend-following system.
When ADXR drops below 20 - avoid using trend-following systems, instead use oscillator based systems for calm, non-trending or range-bound markets.
A rising ADXR, with DI+ above the D- indicates a strengthening bullish market.
A rising ADXR, with DI- above DI+ indicates a strengthening bearish market.
A cross of ADXR and ADX lines can also be used for evaluating changes in the market.
The smoothing nature of ADXR makes it less responsive than ADX.
ADXR is used for calculation of the Commodity Selection Index (CSI).
- Download:ADXR.mq4 2 Kb
The “Relative Strength Index”, or “RSI”, indicator is a popular member of the “Oscillator” family of technical indicators. J. Welles Wilder created the RSI in order to measure the relative changes that occur between higher and lower closing prices. Traders use the index to determine overbought and oversold conditions, valuable information when setting entry and exit levels in the forex market. The RSI is classified as an “oscillator” since the resulting curve fluctuates between values of zero and 100. The indicator typically has lines drawn at both the “30” and “70” values as warning signals. Values exceeding “85” are interpreted as a strong overbought condition, or “selling” signal, and if the curve dips below “15”, a strong oversold condition, or “buying” signal, is generated. RSI FORMULA The RSI indicator is common on Metatrader4 trading software, and the calculation formula sequence involves these straightforward steps: 1. Choose a predetermined period “X” (Standard value is “14”, although a value of “8” or “9” tends to be more sensitive; 2. Calculate “RS” = (Average of “X” periods up closes/Average of “X” periods down closes; 3. RSI = 100 – [100/(1 + RS)] Software programs perform the necessary computational work and produce an RSI indicator as displayed in the bottom portion of the following chart: The RSI indicator is composed of a single fluctuating curve. Traders will occasionally add an exponential moving average, as above in red, to enhance the value of the trading signals. In the example above, the “blue” line is the RSI, while the “red” line represents an “EMA” for the same period variable of “8”. The RSI is viewed as a “leading” indicator, in that its signals foretell that a change in trend is imminent. The weakness in the indicator is that timing is not necessarily a product of the RSI, the reason for attaching a “lagging” moving average to confirm the RSI signal. Large surges in price changes can cause the RSI indicator to give false signals. It is prudent to complement the RSI with another indicator. Wilder also believed that the forte of the indicator was revealed when its values diverged from the prevailing prices in the market.
The waves MT4 indicator consists of 8 different waves (red, orange, yellow, lime, blue, dodgerblue, darkviolet, dimgray) with 0.00 neutral level. It moves between 0.0115 max. level and -0.0115 min. level. Trading Signals Buy: Wait for the red wave to cross above all the other waves from below. Sell: Wait for the red wave to cross below all the other waves from above. Indicator Preferences Currency pairs: anyPreferred Time frames: anySessions: Any Configurable Indicator Options Colors GBP/USD 4 Chart Example
I'm still using MBFX v1 and it's incredible.Got about 300 pips on Thursday and Friday on about 6 trades, with no losses and small drawdown.However, it requires to monitor the charts oftenly and with many pairs it takes a bit.As such, if someone could modify them in order to give good alerts that would be really appreciated.These are pretty much the overall rules that I'm using to watchout for a trade:- BUY -1. Price is touching green line2. Timing is yellow3. Center of gravity is pointing up- SELL -1. Price is touching red line2. Timing is yellow3. Center of gravity is pointing downRegarding green and red lines:Alert would say "lvl 1 green/red" or "lvl 2 green/red", depening which one it touchedRegarding yellow timing:There would be an option to decide if you get an alert if the candle closed in yellow, or it simply turned yellow, but didn't close in that color(center of gravity angle would be a plus, but not crucial, as long as you know wether it's pointing up or down)So, these are pretty much the rules everyone uses, but as far as I know, no one modified it to alert in case these 3 situations occur simultaneously.Is it difficult to add this alert?Thanks!