Vertex is a free Forex indicator developed for Metatrader 4, and it can be classified as a precise buy & sell trend trading indicator.
In essence, Vertex analyzes and transforms price data into buy & sell trading signals.
The indicator appears in a bottom chart window in the form of blue and red colored trend bars.
Vertex is easy to trade and beginner-friendly.
Buy & Sell Trade Example
- A buy signal is given when the first red trend bar appears in the bottom chart.
- A sell signal is given when the first blue trend bar appears in the bottom chart.
Feel free to play with the indicator’s default settings and different parameters.
The indicator works for all currency pairs and time frames equally.
Free Download
Download the “vertex.mq4” indicator for MT4
Indicator Chart (EUR/USD H1)
The example chart below shows the Vertex indicator in action.
Trading Tips:
As always, trade in agreement with the overall trend and practice on a demo account first until you fully understand this indicator.
Please note that even the best trading indicator cannot yield a 100% win rate over long periods.
Indicator Specifications & Inputs:
Trading Platform: Developed for Metatrader 4 (MT4)
Trading Instruments: Any
Time frames: Works for any time frame
Trade Style: Works for scalping, day trading and swing trading
Input Parameters: Variable (trend period, force period, line value), color settings & style
Indicator type: Trend signals
Does the indicator repaint? No.
Vertex + Moving Average 3 Color MT4 Forex Day Trading Strategy
This day trading strategy combines the Vertex Forex Indicator for MT4 with the Moving Average 3 Color Forex Indicator for MT4.
It is designed for M5, M15, and H1 charts, helping traders identify trend direction and precise entry points for intraday trades.
The Vertex indicator provides early buy or sell signals using red and blue bars on the bottom chart.
The Moving Average 3 Color indicator confirms the overall trend with green (uptrend) or red (downtrend) lines.
How This Strategy Works
The Vertex indicator generates early momentum signals when the first red bar appears for a buy opportunity and the first blue bar appears for a sell opportunity.
The Moving Average 3 Color line filters trades by confirming the trend direction.
Only trades that align with both indicators are executed, improving accuracy and reducing false entries.
Buy Entry Rules
- Confirm the Moving Average 3 Color line is green, indicating an uptrend.
- Wait for the first red bar on the Vertex bottom chart.
- Enter a buy trade at the close of the candle that generated the red bar.
- Set a stop loss below the most recent swing low.
- Take profit based on chart timeframe: 10–20 pips for M5, 20–40 pips for M15, 50–80 pips for H1.
Sell Entry Rules
- Confirm the Moving Average 3 Color line is red, indicating a downtrend.
- Wait for the first blue bar on the Vertex bottom chart.
- Enter a sell trade at the close of the candle that generated the blue bar.
- Set a stop loss above the most recent swing high.
- Take profit based on chart timeframe: 10–20 pips for M5, 20–40 pips for M15, 50–80 pips for H1.
Advantages
- Combines trend confirmation and early signal detection for higher probability trades.
- Works across multiple timeframes: M5, M15, and H1.
- Clear visual signals allow easy identification of trade opportunities.
- Reduces trades against the main trend, improving win rate.
Drawbacks
- Requires active monitoring, especially on shorter timeframes (M5, M15).
- Profit targets can be affected by sudden market spikes or news events.
- Trend reversals can trigger stop losses quickly if the signals are not timed properly.
Case Study 1 – EUR/USD M5 Chart
During the London session, EUR/USD showed a green Moving Average 3 Color line confirming an uptrend.
The first red Vertex bar appeared at 1.1015, signaling a buy.
A trade was entered at 1.1016, with a stop loss at 1.1005 and a take profit at 1.1025.
The trade reached the target in 12 minutes, yielding +9 pips.
Case Study 2 – GBP/JPY H1 Chart
On GBP/JPY, the Moving Average 3 Color line was red, confirming a downtrend.
The first blue Vertex bar appeared at 187.60.
A sell trade was entered at 187.58, stop loss at 187.80, and take profit at 186.80.
The trade closed successfully in 3 hours, capturing +78 pips.
Strategy Tips
- Focus on liquid pairs such as EUR/USD, GBP/USD, USD/JPY, and EUR/JPY for tighter spreads.
- Trade during active sessions for stronger trend movements and clearer signals.
- Adjust stop-loss levels depending on the timeframe and pair volatility.
- Consider using support and resistance levels to refine entry and exit points.
- Limit the number of trades on lower timeframes to avoid overtrading.
- Maintain a trading journal to track results and optimize settings over time.
This strategy effectively combines early momentum detection from the Vertex indicator with trend confirmation from the Moving Average 3 Color, providing disciplined and actionable day trading setups across multiple MT4 timeframes.
