ADX Candles Buy & Sell Forex Indicator (MT4)

About the Indicator

The ADX Candles Buy Sell Forex Indicator for MT4 combines the power of the Average Directional Index (ADX) with colored candlesticks to provide intuitive buy and sell signals.

By coloring candles based on trend strength and direction, it helps traders quickly identify momentum shifts and enter trades with greater confidence.

Key Features

• Colors candles based on ADX trend strength and direction
• Generates clear buy and sell signals without clutter
• Helps spot strong trending moves and potential reversals
• Works effectively on all timeframes and forex pairs
• Easy to interpret even for beginner traders

How It Works

The indicator calculates the ADX value along with its +DI and -DI components to assess trend strength and direction.

Candles are then colored green for strong bullish trends, red for strong bearish trends, and neutral colors when the trend is weak or indecisive.

This visual aid simplifies trend trading by highlighting high-probability entry zones.

Free Download

Download the “adx-candles-indicator.ex4” indicator for MT4

Benefits of Using the Indicator

• Clear visual trend indication via candle coloring
• Reduces guesswork in identifying trade entries
• Improves timing by combining momentum and price action
• Suitable for scalping, day trading, and swing trading

Indicator Example Chart (USD/JPY H4)

How To Trade Using This Indicator

Buy Setup

• Wait for candles to turn green, indicating a strong bullish trend
• Confirm with rising ADX value above a threshold (e.g., 20 or 25)
• Enter long at the close of a green candle
• Place the Stop Loss below the recent swing low
• Set Take Profit near resistance or use a trailing stop

Sell Setup

• Wait for candles to turn red, indicating a strong bearish trend
• Confirm ADX is abovethe  threshold to ensure trend strength
• Enter short at the close of a red candle
• Place Stop Loss above the recent swing high
• Target support levels or use trailing stop

Pro Tip

Combine the ADX Candles Indicator with volume or other momentum indicators to filter out false signals and improve trade accuracy.

Download Now

Download the “adx-candles-indicator.ex4” indicator for Metatrader 4

ADX Candles Buy/Sell + ZUP Forex Strategy for MT4

This strategy combines the momentum-based trend clarity of the ADX Candles Buy/Sell Forex Indicator with the harmonic pattern detection power of the ZUP Forex Indicator.

The combination allows traders to identify strong trend entries confirmed by harmonic reversal patterns, increasing the precision of entries and improving overall trade success rates.

This approach works well on M15, M30, and H1 charts for both swing and intraday traders.

What Is This Strategy About?

The ADX Candles Buy/Sell Indicator colors bars based on trend strength and direction, providing straightforward buy or sell signals.

Meanwhile, the ZUP Indicator automatically detects advanced harmonic patterns such as Gartley, Butterfly, Bat, and Crab, which mark high-probability reversal zones.

By combining these two tools, traders can time entries not only based on trend momentum but also in harmony with the market’s natural geometric retracements and reversals.

Buy Rules

Conditions:

• ADX Candles change color to green, indicating bullish momentum.
• ZUP Indicator identifies a bullish harmonic pattern completing at a support zone.

Entry:

Enter a buy trade when a green ADX candle appears near or immediately after the completion of a bullish harmonic pattern identified by ZUP.

Stop Loss:

Place the stop loss below the lowest point of the harmonic pattern (usually point D) or the nearest swing low.

Take Profit:

Use ZUP’s suggested profit zones based on harmonic pattern targets or set a fixed risk-reward ratio of 1:2 or 1:3.

Sell Rules

Conditions:

• ADX Candles turn red, signaling bearish momentum.
• ZUP identifies a bearish harmonic pattern completing at resistance.

Entry:

Open a sell position when a red ADX candle forms near or after a bearish harmonic pattern completes.

Stop Loss:

Set the stop loss above the highest point of the harmonic pattern or recent swing high.

Take Profit:

Target profit zones based on ZUP harmonic projections or use a 2:1 risk-reward ratio.

Advantages

• Combines momentum and harmonic pattern precision for higher confidence trades.
• Automated harmonic pattern detection removes guesswork.
• Simple color-coded ADX candles make trend direction easy to read.
• Effective on multiple timeframes and currency pairs.

Drawbacks

• It may provide fewer signals due to the need for both indicators to align.
• Requires understanding of harmonic patterns for optimal use.
• Potential lag from ADX and harmonic completion may cause late entries.

Conclusion

The ADX Candles Buy/Sell + ZUP Forex Strategy is a robust method for trading with momentum confirmation and harmonic pattern precision.

Use the ADX Candles Buy/Sell Indicator to gauge trend strength, and the ZUP Indicator to pinpoint exact reversal zones.

Together, these tools provide a comprehensive approach to timing entries, managing risk, and capturing high-probability moves in the forex market.

Examples, Case Data, Back Test, Pros & Cons

Pros

• Intuitive candle coloring reduces analysis time
• Works well across multiple markets and timeframes
• Helps identify trend strength easily

Cons

• May lag slightly during rapid trend changes
• Best combined with additional confirmation tools

Indicator Specifications

Final Words

The ADX Candles Buy Sell Indicator simplifies trend identification by merging ADX with candle color coding.

It is a valuable tool for traders seeking straightforward visual signals to enter or exit trades confidently.

For best results, use it in conjunction with your preferred risk management and confirmation indicators.