The Ultimate moving average forex Metatrader 4 indicator is a good buy and sell signals indicator that can be applied to any currency pair and timeframe.
The Ultimiate_MA indicator consists of a fast, middle and slow period moving average.
All price data is mixed into one easy to understand moving average line with simple rules to trade.
Traders can also modify the type of moving average being used, you have the simple moving average, the exponential moving average, the smoothed moving average and finally the linear weighted moving average.
So, feel free to experiment with all indicator settings.
This is a good indicator for all kind of trading styles, including scalping and day trading.
Free Download
Download the “Ultimate_MA.mq4” MT4 indicator
Indicator Chart (EUR/USD M15)
The EUR/USD M15 chart below displays the Ultimate moving average forex indicator in action.
Basic Trading Signals
The signals from the Ultimate moving average are easy to interpret and goes as follows:
Buy Trade: Open buy trade when the price crosses and closes above the Ultimate moving average from below.
Sell Trade: Open sell trade when the price crosses and closes below the Ultimate moving average from above.
Trade exit: Exit the trade when an opposite signal occurs or use your own method of trade exit.
Ultimate Moving Average Forex Intraday Trading Strategy for MT4
This MT4 intraday trading strategy is designed to capture clean directional moves by combining the trend structure of the Ultimate Moving Average Metatrader 4 Forex Indicator with momentum confirmation from the Awesome Metatrader 4 Forex Indicator.
The method focuses on trading with market flow rather than anticipating reversals, which helps reduce unnecessary losses.
The Ultimate Moving Average defines market bias based on price location.
When price holds above the moving average, buying pressure is dominant.
When price stays below it, selling pressure controls the market.
The Awesome indicator measures momentum through its histogram, highlighting strength when bars expand above or below the zero line.
This approach is best applied on the M15 and M30 timeframes and is suitable for traders who prefer intraday setups with moderate holding times.
It performs well on major currency pairs during the London and New York sessions when directional movement is more reliable.
Buy Entry Rules
- Price must remain above the Ultimate Moving Average.
- The Awesome indicator histogram turns green and moves above the zero line.
- Open a buy position at the close of the confirmation candle.
- Place the protective stop below the most recent intraday low.
- Close the position when momentum weakens and the Awesome histogram turns red or price closes below the moving average.
Sell Entry Rules
- Price must remain below the Ultimate Moving Average.
- The Awesome indicator histogram turns red and moves below the zero line.
- Open a sell position at the close of the confirmation candle.
- Place the protective stop above the most recent intraday high.
- Close the position when momentum fades and the Awesome histogram turns green or price closes above the moving average.
Advantages
- Encourages trading in harmony with prevailing market direction.
- Momentum confirmation helps avoid weak or premature entries.
- Exit logic adapts naturally to changing market conditions.
- Simple visual signals support quick decision making.
- Effective across multiple instruments and sessions.
Drawbacks
- Flat price action can generate misleading signals.
- Late entries may occur after sharp initial moves.
- Requires patience to wait for momentum confirmation.
- Intraday volatility can cause early exits.
- Less effective during very quiet trading hours.
Case Study 1
On EURJPY M15 during the London session, price maintained its position above the moving average throughout the morning.
After a brief pullback, the Awesome histogram shifted above zero and expanded in green.
A long trade was opened at candle close and held until momentum slowed.
The position was closed for approximately 42 pips as the histogram contracted.
Case Study 2
On USDJPY M30 during the New York session, price consistently traded below the moving average, confirming bearish control.
The histogram dropped below zero and turned red following a consolidation phase.
A short trade was executed and later exited when momentum eased, delivering around 36 pips.
Trading Guidelines
- Use the moving average as a directional filter rather than a precise entry trigger.
- Look for expanding histogram bars to confirm momentum strength.
- Avoid entries during overlapping or indecisive candles.
- Focus on quality setups instead of high trade frequency.
- Lock in partial gains if price accelerates quickly.
- Maintain consistent risk to handle normal drawdowns.
Download Now
Download the “Ultimate_MA.mq4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern
Customization options: Variable (MA Method, fastperiod, middleperiod, slowperiod, fastK, middleK, slowK) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: Trend
