We present you a custom indicator by Varchev Finance which can be downloaded from the following link. To use it you should follow the instruction written here How to add an additional indicator to the Meta Trader 4 platform.
How does the indicator actually work:
MultiMA by Varchev Finance automates 20 moving averages of the chart according to certain criteria. Choose the type of moving average, the first period, and the increment step for placing the remaining 19 moving averages, as shown in the picture below:
You can also choose a different color for each moving moving average, and for a visually good effect we combine 5 moving averages into one color (this is the default setting in the following form). With the current settings, the indicator will visualize the MA with a period of 5, 6, 7 ... to 24, and they will be of the Simple type and will be at the closing price.
Good settings are the overlay of the indicator 2 times with MA Period: 2 and MA step: 2 + MA Period: 3 and MA step: 3, which would look like this:
Although moving averages are a lagging indicator, it does not necessarily mean they can not be useful to us. There are many traders who trade quite successfully only on the basis of moving averages.
For example, it may be useful to collect the 20 moving inside a series of bars, which outlines the lack of market direction and the exit of the price from the relevant range:
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.