The Real Cloud Metatrader 4 forex indicator is a technical tool that combines two moving averages to create a price cloud on the activity chart.
The Real Cloud indicator can be used to check for buy/sell trends on the current timeframe.
The indicator can also be used as a tool that defines support and resistance, as well as momentum for a currency pair.
The clouds are uniquely colored to gauge market trends, with the aqua and magenta colored clouds indicating bullish and bearish price sentiments, respectively.
The positioning of the clouds is also a pointer to price momentum.
The farther the price is away from the cloud, the stronger the market trend.
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Indicator Chart (USD/JPY H1)
The USD/JPY H1 chart below displays the Real Cloud Metatrader 4 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the Real Cloud Metatrader 4 forex indicator forms an aqua cloud that is positioned fairly below the candlesticks.
Sell Signal: Go short when the Real Cloud Metatrader 4 forex indicator forms a magenta cloud that is positioned above the candlesticks.
Exit buy trade: Close all buy orders while a bullish trend is ongoing, the Real Cloud indicator displays a magenta cloud.
Exit sell trade: Close all sell orders while a bearish trend is running, the Real Cloud indicator pops up an aqua cloud.
Tips: The cloud indicator can be used as a standalone buy/sell technical indicator and works for scalping, day trading and swing trading.
Real Cloud + Best Forex Scalping MT4 Indicator Strategy
Introduction
This scalping strategy combines the Real Cloud MT4 Indicator with the Best Forex Scalping Indicator MT4 to capture short-term Forex moves.
The Real Cloud indicator shows trend direction: an aqua cloud signals a bullish trend, while a magenta cloud signals a bearish trend.
The Best Forex Scalping Indicator adds precise entry signals with blue arrows for buys and red arrows for sells.
This combination is ideal for M1, M5, and M15 charts, making it suitable for fast scalping sessions on major Forex pairs such as EURUSD, GBPUSD, USDJPY, and AUDUSD.
Buy Entry Rules
- Real Cloud displays an aqua cloud, indicating an uptrend.
- The Best Forex Scalping Indicator shows a blue arrow, confirming a buy entry.
- Enter a buy trade at the close of the confirming candle.
- Place stop loss below the most recent swing low or the lower edge of the cloud.
- Take profit or exit the trade when either the Best Forex Scalping arrow changes color to red or the Real Cloud turns magenta.
Sell Entry Rules
- Real Cloud displays a magenta cloud, indicating a downtrend.
- The Best Forex Scalping Indicator shows a red arrow, confirming a sell entry.
- Enter a sell trade at the close of the confirming candle.
- Place a stop loss above the most recent swing high or the upper edge of the cloud.
- Take profit or exit the trade when either the Best Forex Scalping arrow changes color to blue or the Real Cloud turns aqua.
Advantages
- The cloud structure helps filter out counter-trend signals, improving overall trade accuracy.
- Arrow signals appear early in the move, allowing traders to enter at favorable prices.
- The combination works well even in fast-moving markets where many indicators lag.
- Highly visual setup makes it suitable for beginners and advanced scalpers alike.
- The cloud acts as dynamic support or resistance, helping traders define logical stop-loss levels.
- Minimal chart clutter keeps analysis simple and easy to follow during quick scalping sessions.
- The system adapts well across multiple pairs, including majors, minors, and even gold.
Drawbacks
- Rapid trend changes may trigger early exits or stop losses.
- Requires quick decision-making, especially on M1 and M5 charts.
- Not suitable for traders who cannot monitor charts continuously.
- Extreme news events can cause sudden cloud or arrow reversals.
Example Case Studies
Case Study 1: GBPJPY M5 Scalping Move
GBPJPY presented a clear buy opportunity during the London session.
The Real Cloud indicator shifted from magenta to aqua, signaling the beginning of a bullish trend.
A few candles later, a blue arrow from the Best Forex Scalping Indicator appeared, confirming upward momentum.
The pair quickly gained speed, climbing more than 28 pips within minutes.
The move remained intact until the blue arrow switched to red near a minor resistance zone.
At that point, the signal changed direction, and the exit condition was met, closing the trade with a clean profit before the market corrected downward.
Case Study 2: NZDCHF M15 Trend Continuation
NZDCHF offered a strong sell setup during the New York session.
Price had been drifting lower, and the Real Cloud indicator displayed a solid magenta cloud, confirming bearish pressure.
Shortly after, a red arrow printed from the scalping indicator, signaling an ideal short entry.
The pair continued sliding smoothly for roughly 22 pips before momentum slowed.
When a blue arrow formed against the trend, the strategy exit condition triggered.
Closing the trade at that moment locked in gains and protected the position from a potential short-term pullback.
Strategy Tips
- Only take trades when both the cloud and arrow confirm the direction.
- Prefer major pairs with tight spreads to minimize cost on small scalps.
- Trade during high-volatility sessions for faster moves and exits.
- Avoid trading in consolidating markets where clouds and arrows frequently flip.
- Always use proper risk management, risking 0.5–1% of the account balance per trade.
- Use this strategy on M1, M5, or M15 charts for the best scalping results.
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Download the “real-cloud.ex4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern indicator
Customization options: Variable (TimeFrame1, TimeFrame2, Period1, Period2, Method, Metho1, Metho2, Price, Price1, Price2), width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: trend
