The Precise Price Reversal indicator for mt4 (Metatrader 4) signals high-probability reversal points in the currency market.
The price reversal signals appear as buy/sell arrows in the main MT4 chart (see chart below).
The indicator is very reliable, lightweight, and will not slow down your trading platform.
Buy & Sell Trade Example
- A blue arrow is a trend reversal buy signal.
- A red arrow is a trend reversal sell signal.
The indicator works equally well on all currency pairs (majors, minors and exotic) and shows promising results if used correctly.
Free Download
Download the “Reversal.mq4” indicator for MT4
Indicator Chart (EUR/USD Daily)
The picture below shows the Precise Price Reversal mt4 indicator in action on the trading chart.
Tips:
Feel free to use your own favorite trade entry, stop loss and take profit method to trade with the Precise Price Reversal indicator.
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)
Currency pairs: Works for any pair
Time frames: Works for any time frame
Trade Style: Works for scalping, day trading and swing trading
Input Parameters: Variable (inputs tab), color settings & style
Indicator type: Signals
Does the indicator repaint? No.
Precise Price Reversal + Fibonacci Bands MT4 Day Trading Strategy
This strategy combines the Precise Price Reversal Forex Indicator MT4 with the Fibonacci Bands MT4 Indicator.
It is designed for day traders who want to capture clear trend reversals while trading with the direction of the prevailing trend.
The strategy works best on 15-minute to 1-hour charts and is suitable for both major and minor currency pairs.
How It Works
The Precise Price Reversal indicator generates blue arrows for buy reversals and red arrows for sell reversals.
Fibonacci Bands provide trend confirmation: when the bands slope upwards, the market is bullish; when they slope downwards, the market is bearish.
By combining these two tools, traders enter trades at trend reversal points while confirming the overall trend, improving the probability of successful trades.
Buy Entry Rules
- Fibonacci Bands are sloping upwards, indicating a bullish trend
- The Precise Price Reversal indicator shows a blue arrow
- Enter a buy trade at the candle following the arrow
- Place a stop loss below the nearest swing low or the lower Fibonacci band
- Take profit near the next resistance level or at a 1:2 risk-to-reward ratio
Sell Entry Rules
- Fibonacci Bands are sloping downwards, indicating a bearish trend
- The Precise Price Reversal indicator shows a red arrow
- Enter a sell trade at the candle following the arrow
- Place a stop loss above the nearest swing high or the upper Fibonacci band
- Take profit near the next support level or at a 1:2 risk-to-reward ratio
Advantages
- Combines reversal signals with trend confirmation for higher accuracy
- Visual signals are easy to interpret, reducing indecision
- Works across multiple timeframes, allowing flexible day trading setups
- Clear stop loss and take profit placement using Fibonacci bands
- Applicable to multiple currency pairs and market conditions
Drawbacks
- False reversal signals can occur during choppy or sideways markets
- Requires monitoring of the trend direction for proper confirmation
- Stop loss and take profit levels may need adjustment in highly volatile sessions
- May miss quick price moves if waiting for strict confirmation
Example Case Studies
Case Study 1
On the AUD/USD 30-minute chart, the Fibonacci Bands sloped upwards, indicating a bullish trend.
A blue arrow appeared on the Precise Price Reversal indicator, confirming a buy entry.
The trade was opened at 0.6735, with a stop loss at 0.6715 and a take profit at 0.6795.
The trade captured 60 pips in less than 4 hours, illustrating how reversal signals combined with trend direction can provide strong entry points.
Case Study 2
On the NZD/JPY 1-hour chart, the Fibonacci Bands sloped downwards, showing a bearish trend.
A red arrow appeared on the Precise Price Reversal indicator, signaling a sell.
A trade was opened at 88.45, stop loss placed at 88.85, and take profit set at 87.85.
The trade successfully reached the target within 6 hours, demonstrating the effectiveness of aligning reversal signals with band slope for day trading.
Strategy Tips
- Always confirm trend direction with Fibonacci Bands before taking reversal signals
- Use multiple timeframes to confirm overall market direction and avoid false signals
- Adjust stop loss and take profit based on volatility and pair characteristics
- Be cautious during major economic news events that can disrupt trends
- Maintain a trading log to track trades and refine the strategy over time
