This is a trend following indicator. This indicator is best suited for scalpers since it gives signals very frequently. Depending on the market swings, it can provide 3 to 5 signals daily. Thus, if you want to use it on the scalp, you should choose a major mt4 currency pair. The indicator is displayed on a separate mt4 chart below the main trading chart.
The BS Trend forex Indicator displays bars on either side of a center line (zero line). The bars on the zero line’s upper side are blue and represent an uptrend. The bars on the lower side of the zero line are purple and represent a downtrend. Therefore the entry signal is usually the change of the bar color. If the was the subsequent formation of blue-colored bars and then suddenly a purple bar is formed, there is a sell entry signal and vice versa.
Still, on the indicator’s mt4 chart, there is a vertical scale that measures from -0.0001 to 0.0001. This scale is not much relevant when trading since the bars formed are equal in length, and there is no need to compare the size of the bars.
The indicator also shows the market trend on the left top corner of the indicator’s chart. It is shown as a yellow “downtrend” text in case of a downtrend and a green “uptrend” when the market trend is upwards.
Fig.1. The BS Trend indicator is loaded onto a trading chart.
This forex indicator is programmed to take note of even the slightest forex market movement, and it is thus very efficient for the forex traders who go for even the slightest profits as it is usually the norm with the scalpers.
How to place trades using the BS Trend Indicator
This indicator is very efficient, and once it gives a signal, there is no need to wait. When the bar color changes, the trader should place an order immediately after the next candle starts to form. When closing the trades, the trader should close the trades when the signal changes (when another signal is given and your trade is still open in the market).
Placing a sell order: the trader should place a sell order when the bars formed are purple. Immediately you notice that the color of the bars in the indicator’s chart has changed from blue to purple; you should be ready to place a sell. Immediately the next candle on the main trading chart begins to form, set a sell.
Placing a buy order: the trader should place a buy order when the bars formed are blue. Immediately you notice that the color of the bars in the indicator’s chart has changed from purple to blue, then you should be ready to place a buy. Immediately the next candle on the main trading chart begins to form; place a buy. The buy order should then be closed when the indicator bars color becomes purple.
An illustration of placing the trades using the BS Trend Indicator.
Read More: Trend Sentry Forex Indicator Free Download
Download Free Forex BS Trend Indicator
