About the DSS Bressert Colored Forex Indicator
The DSS Bressert Colored Forex Indicator for MT4 is a momentum-based trading tool that provides clear visual signals directly on the chart.
It is built on the DSS Bressert calculation, which smooths traditional stochastic data to better reflect true market momentum rather than short-term noise.
What makes this indicator especially practical is its dot-based signaling system.
Instead of forcing traders to interpret lines or complex oscillators, the indicator plots colored dots on the chart when momentum shifts.
These dots act as clear trade alerts and help traders react quickly without second-guessing market direction.
A new buy signal is generated when the first blue colored dot appears on the chart, indicating bullish momentum is starting to build.
A new sell signal is generated when the first orange colored dot appears, signaling increasing bearish pressure.
This simple logic makes the DSS Bressert Colored indicator suitable for both beginner and experienced traders who want clarity and consistency in their trading decisions.
Free Download
Download the “dss-bressert-colored.mq4” indicator for MT4
Key Features
- Clear blue and orange dot signals on the price chart
- Momentum-based logic using DSS Bressert calculations
- Helps identify early trend shifts and continuations
- Works on all MT4 timeframes and currency pairs
- Reduces chart clutter by focusing on visual signals
- Useful as a standalone tool or confirmation indicator
Indicator Chart (EUR/USD Daily)
The chart below shows the DSS Bressert Colored Forex Indicator plotted directly on the MT4 price chart.
Blue and orange dots appear near price, making it easy to identify new trading opportunities without switching to separate indicator windows.
In this example, the first blue dot marks the start of bullish momentum, while the first orange dot highlights the beginning of bearish momentum.
These dots allow traders to align entries with momentum changes rather than chasing late moves.
Guide to Trade with DSS Bressert Colored Forex Indicator
Buy Rules
- Wait for the first blue colored dot to appear on the chart
- Ensure price is not directly below strong resistance
- Confirm momentum is not overly extended
- Enter a buy trade after the candle closes with the blue dot
Sell Rules
- Wait for the first orange colored dot to appear on the chart
- Check that the price is not sitting on major support
- Confirm bearish momentum is developing smoothly
- Enter a sell trade after the candle closes with the orange dot
Stop Loss
- Place a stop loss below the recent swing low for buy trades
- Place a stop loss above the recent swing high for sell trades
- Avoid placing stops too close to the signal dot
Take Profit
- Target the next support or resistance level
- Use a minimum risk-to-reward ratio of 1:2
- Exit the trade if an opposite colored dot appears
Practical Tips
- Higher timeframes such as H1, H4, and D1 offer more stable signals
- Combine with the basic market structure for better accuracy
DSS Bressert Indicator + Supertrend MTF Strategy (MT4)
This MT4 strategy combines the DSS Bressert Colored indicator with the Supertrend MTF indicator.
DSS Bressert identifies smooth momentum shifts, while Supertrend MTF confirms the prevailing trend and provides a dynamic stop level.
This combination reduces false signals and gives clear entry and exit rules.
It works best on 15-minute, 30-minute, and 1-hour charts for intraday trading and on the 4-hour chart for swing trading.
It suits traders who prefer clear rules, mechanical entries, and straightforward risk management.
Buy Entry Rules
- Supertrend MTF shows an uptrend (green Supertrend line).
- DSS Bressert crosses up through its mid/baseline and changes to bullish color.
- Enter long at the close of the candle, confirming the DSS bullish cross while Supertrend remains bullish.
- Place stop loss just below the Supertrend line or recent swing low (20–40 pips on 15–30m; 40–80 pips on 1H; wider on 4H).
- Take profit at 1.5–2 times the risk or trail the stop below the Supertrend line. Take partial profits at 1R and let the rest run.
Sell Entry Rules
- Supertrend MTF shows a downtrend (red Supertrend line).
- DSS Bressert crosses down through its mid/baseline and changes to bearish color.
- Enter short at the close of the candle, confirming the DSS bearish cross while Supertrend remains bearish.
- Place stop loss just above the Supertrend line or recent swing high (20–40 pips on 15–30m; 40–80 pips on 1H; wider on 4H).
- Take profit at 1.5–2 times the risk or trail the stop above the Supertrend line. Take partial profits at 1R and move stop to breakeven after 0.5R.
Advantages
- Clear trend filter reduces trading against the main move.
- DSS Bressert gives early momentum signals with less noise.
- Supertrend provides a simple dynamic stop level.
- Scalable across multiple timeframes.
Drawbacks
- Signals lag in choppy sideways markets, producing mixed signals.
- Entries can be late in sharp reversals.
- Lower timeframes have more false signals unless extra filters are used.
Case Study 1 — 15m USD/CHF (Quick Intraday Trade)
On the 15-minute USDCHF chart, Supertrend was bullish. DSS Bressert crossed up after a small pullback and turned bullish.
The trade was entered at the candle close, confirming the cross.
The stop was placed 18 pips below the entry under the Supertrend line. Partial profit was taken at 1R (18 pips).
The remainder was trailed under Supertrend and closed at about 42 pips gain within three hours as the trend held for several bars.
Case Study 2 — 5m AUD/CAD (Scalp Trade)
On the 5-minute AUDCAD chart, Supertrend flipped bearish and DSS confirmed with a downward cross.
Entry was placed on the confirmation candle. The initial stop was 12 pips above the entry.
The first target of 12 pips was hit in less than 20 minutes.
The remainder was trailed above Supertrend and produced a total gain of about 28 pips over the next 40 minutes.
Strategy Tips
- Check the higher timeframe Supertrend for alignment before taking a lower timeframe signal.
- Keep risk per trade at 1–2% of account equity.
- Avoid trading during major news events unless you trade news specifically.
- Add an ATR filter to size stops and targets according to volatility.
- Backtest and adjust DSS smoothing and Supertrend parameters for each instrument and timeframe.
Combining the DSS Bressert Colored and the Supertrend MTF creates a balanced MT4 system.
It pairs momentum triggers with a trend filter and clear risk rules. Follow the steps and manage risk consistently.
Download Now
Download the “dss-bressert-colored.mq4” indicator for Metatrader 4
FAQ
What do the blue dots mean on the DSS Bressert indicator?
Blue dots represent the start of bullish momentum. A buy opportunity is considered valid when the first blue dot appears after a bearish phase.
What do the orange dots indicate?
Orange dots signal bearish momentum. A sell opportunity forms when the first orange dot appears after bullish movement.
Does the indicator repaint its dot signals?
Once a candle is closed, the dot signal remains fixed. This helps traders trust the signals during live market conditions.
Which timeframe works best with this indicator?
The indicator works on all timeframes, but many traders prefer H1 and higher to reduce false signals caused by market noise.
Summary
The DSS Bressert Colored Forex Indicator for MT4 simplifies momentum trading by using clear blue and orange dot signals directly on the chart.
This visual approach removes guesswork and helps traders act with confidence when momentum shifts.
With disciplined execution and proper risk management, the indicator can support consistent decision-making across different market conditions.
Its simplicity, clarity, and adaptability make it a practical addition to any MT4 trading setup.
