FX Mah is a simple yet effective buy and sell forex trend reversal indicator that’s ready to use on any currency pair of your preference.
It’s composed of two signal lines, a green and a red one.
The crossover of the two lines will signal a new trend.
- A buy trend occurs when the red line is aligned above the green line.
- A sell trend occurs when the green line is aligned above the red line.
Please note that the colors of both signal lines can be changed to any color of your preference.
The FX Mah reversal indicator can be used as a stand-alone or together with other indicators or price action methods.
For instance, you can easily combine with overbought and oversold technical oscillators.
Feel free to experiment with the different indicator’s inputs settings to suit your needs and preferences.
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Download the “fx-mah-reversals-indicator.ex4” MT4 indicator
Indicator Chart (EUR/USD H1)
The EUR/USD 1-Hour chart below displays the FX Mah Reversal Signal Metatrader 4 forex indicator in action.
Basic Trading Signals
Signals from the FX Mah Reversal Signal MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Go long when the red signal line of the FX Mah Reversal Signal indicator crosses and closes above the green line.
Place a stop loss below support or use your own preferred SL method.
Sell Signal: Go short when the green signal line of the FX Mah Reversal Signal indicator crosses and closes below the red line.
Place a stop loss above resistance or use your own preferred SL method.
FX MAH Reversal + Simple Arrow Scalper MT4 Scalping Strategy
This MT4 scalping strategy uses the FX MAH Reversal Signal indicator combined with the Simple Arrow Scalper.
The Reversal indicator uses two lines: when the red line is above the green line, it signals a buy trend, and when the green line is above the red line, it signals a sell trend.
The scalper adds precise entries with a DodgerBlue arrow for buys and a magenta arrow for sells.
This strategy is tailored for very short-term scalping on M1 and M5 charts.
Buy Entry Rules
- Check that the FX MAH Reversal indicator has the red line above the green line, indicating a bullish trend.
- Wait for a DodgerBlue arrow from the Simple Arrow Scalper to appear.
- Enter a buy trade at the close of the candle that produced the DodgerBlue arrow.
- Set a stop loss 5–12 pips below the recent low (depending on pair volatility).
- Set a take profit target of 8–20 pips: on M1 aim for 8–12 pips, on M5 aim for 15–20 pips.
Sell Entry Rules
- Confirm the FX MAH Reversal indicator shows the green line above the red line, indicating a bearish trend.
- Wait for a magenta arrow from the Simple Arrow Scalper to appear.
- Enter a sell trade at the close of the candle that showed the magenta arrow.
- Place a stop loss 5–12 pips above the recent high, depending on the pair and the timeframe.
- Set a take profit of 8–12 pips on M1 or 15–20 pips on M5.
Advantages
- Combines trend confirmation and precise entries for better signal quality.
- Designed specifically for fast scalping on M1 and M5.
- Offers frequent opportunities in active market sessions.
- Simple visual signals make it accessible for both new and experienced traders.
- Stop losses and take profits are tight, which helps manage risk.
Drawbacks
- Because targets are small, slippage or spread widening can hurt profits.
- Requires fast execution and attention to avoid missing arrow signals.
- Frequent small losing trades can occur if the trend changes quickly.
- Not recommended during major news releases.
Example Case Study 1
On USDCHF M1 during the European session, the FX MAH Reversal indicator showed the red line above the green line, signaling a bullish trend.
A DodgerBlue arrow appeared after a small pullback.
A buy trade was opened at 0.9042 with a stop loss at 0.9035 (7 pips) and a take profit at 0.9052 (10 pips).
Price moved up quickly, reached the target within two minutes, and closed the trade for a +10 pip gain.
Example Case Study 2
On AUDJPY M5 during the New York session, the FX MAH Reversal showed green above red, indicating bearish pressure.
A magenta arrow formed on the Simple Arrow Scalper after a brief rally.
A sell position was opened at 84.75.
The stop loss was set at 84.85 (10 pips) and the take profit at 84.60 (15 pips).
The pair declined over the next few minutes and hit the take profit, securing +15 pips.
Strategy Tips
- Use during high-volume sessions (London, New York) for more reliable arrows.
- Avoid trading when spreads are wide or liquidity is low.
- Only take trades when both the trend lines and arrows align.
- Practice on a demo account until you master the timing and execution.
- Consider scaling into positions if the arrow appears in strong trending conditions.
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Download the “fx-mah-reversals-indicator.ex4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart window indicator
Customization options: Variable (MA, MA 2, mode, applied price, var period) Width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, Daily, Weekly, Monthly
Type: reversal signal
