About the Indicator
The DAT Trend Forex Indicator for MT4 is a custom-built tool that provides trend-following signals in the form of colored buy and sell arrows.
It appears in a separate MT4 chart window as a trend channel, offering clear visual cues for potential trade entries.
Buy & sell Trade Example
- Open a buy trade if the channel is sloping up and a buy arrow appears on the chart.
- Open a sell trade if the channel is sloping down and a sell arrow appears on the chart.
- Reverse the open position as soon as an opposite arrow gets printed on the chart.
Free Download
Download the “dat-trend-indicator.mq4” indicator for MT4
Key Features
- Colored buy and sell arrows for easy trade identification
- Appears in a separate chart window as a trend channel
- Suitable for scalping, day trading, and swing trading
- Works across all currency pairs and timeframes
- Non-repainting indicator
Indicator Example Chart (EUR/USD Daily)
The chart below demonstrates the DAT Trend Forex Indicator in action, highlighting potential buy and sell points based on trend direction.
How To Trade Using This Indicator
Utilize the DAT Trend Forex Indicator to identify trend directions and potential entry points.
Entry Signals
- Buy: Enter a buy trade when the trend channel is sloping up and a buy arrow appears.
- Sell: Enter a sell trade when the trend channel is sloping down and a sell arrow appears.
Stop Loss & Take Profit
- Place stop loss just below the recent swing low for buy trades and above the recent swing high for sell trades.
- Set take profit at a risk-reward ratio of your choice or at the next support/resistance level.
Download Now
Download the “dat-trend-indicator.mq4” indicator for Metatrader 4
DAT Trend + LWMA Crossover Signals Strategy
What This Strategy Is About
This method merges two powerful MT4 indicators to give you a clear path in trading.
The DAT Trend Forex Indicator (MT4) presents trend direction via color-coded arrows and a trend channel. It achieved an impressive 71% win rate during testing.
The LWMA Crossover Signals Indicator (MT4) adds precision by generating buy and sell arrows when fast and slow linear weighted moving averages cross.
Together, they form a strategy that uses DAT Trend to confirm the market’s direction, while LWMA helps pinpoint high-probability entry points.
Buy Rules
- Wait for a blue up-arrow from DAT Trend, with the trend channel sloping up.
- Confirm with a blue arrow from the LWMA crossover, indicating a bullish crossover.
- Enter long at the close of the confirming candle.
- Set a stop loss below the recent swing low or the trend channel.
- Exit when either indicator signals a reversal or when you hit a sensible profit target.
Sell Rules
- Wait for a magenta down-arrow from DAT Trend, plus the channel sloping downward.
- Confirm with a red arrow from the LWMA crossover, signaling a bearish crossover.
- Open a sell position at the close of that candle.
- Place your stop loss above the recent swing high or the channel’s upper limit.
- Exit upon opposite signals or when you reach your profit goal.
Trader Case Studies
Below are three examples of traders who applied this strategy to different currency pairs and timeframes, showing how it can work in various market conditions:
Marco D – Spain
Marco, a swing trader in Madrid, tested this setup for four weeks on EUR/USD and GBP/USD. By trading only when both indicators agreed, he earned +285 pips total.
Kim H – South Korea
Kim, a day trader from Seoul, used the strategy over 15 sessions on USD/JPY and AUD/USD. Her disciplined entries and exits led to +240 pips of profit.
Daniel S – Brazil
Daniel, trading part-time from São Paulo, applied this approach to USD/CAD and EUR/JPY for three weeks. He achieved a net gain of +310 pips.
Disclaimer: These case studies are illustrative and for educational purposes. Performance varies based on conditions, risk controls, and trader discipline.
Advantages
- DAT Trend provides a clear trend direction.
- LWMA crossover offers precise entry timing.
- The combination reduces false signals.
- Flexible across different timeframes and styles.
Drawbacks
- Strategy may produce fewer signals during range-bound phases.
- Requires strict discipline; never trade unless both indicators align.
- Slower signals may miss early moves in fast reversals.
Strategy Conclusion and Tips
This two-indicator approach gives both trend confirmation and precise entries. It’s ideal for traders who want a structured trading method.
Remember to trade only when both indicators agree, use disciplined stop loss placement, and manage your position size smartly.
Avoid trading during high-impact news that can generate false signals.
Indicator Specifications
| Platform: | MetaTrader 4 (MT4) |
| Indicator Type: | Trend-following with buy/sell arrows |
| Timeframes: | All |
| Currency Pairs: | All |
| Inputs: | Adjustable parameters for customization |
| Repainting: | No |
FAQ
1. How can I combine this indicator with other strategies?
You can use the DAT Trend Forex Indicator in conjunction with other indicators like the 1-2-3 Reversal Points Pattern indicator to confirm trade signals and improve accuracy.
2. Is this indicator suitable for beginners?
Yes, the DAT Trend Forex Indicator is user-friendly and ideal for traders of all experience levels.
3. Can I adjust the trend channel settings?
Yes, the trend channel parameters are adjustable through the indicator’s input settings.
Final Words
The DAT Trend Forex Indicator offers a straightforward approach to identifying trade opportunities based on trend direction.
By combining this indicator with other tools and strategies, you can enhance your trading decisions and improve overall performance.
