The Double CCI Woody MT4 forex indicator is a very popular trading indicator based on CCI.
The indicator oscillates above and below its zero line.
Readings above the zero line are said to be bullish while readings below the zero line are said to be bearish.
The Double CCI Woody indicator is a great buy sell signals forex indicator.
It draws blue and red zones together with a signal line in a separate window below the main activity chart.
Blue zones are bullish and price is trending up. Red zones are bearish and price is trending down.
The signal line provides easy buy/sell entry points in the direction of the trend as indicated by the blue and red zones.
The Double CCI Woody indicator can be used as a standalone forex indicator or can be used together with other technical analysis tools.
Free Download
Download the “double-cci-woody.mq4” MT4 indicator
Indicator Chart (GBP/USD M30)
The GBP/USD M30 chart below displays the Double CCI Woody forex indicator in action.
Basic Trading Signals
Signals from the Double CCI Woody forex indicator are easy to interpret and goes as follows:
Buy Signal: Go long when the Double CCI Woody indicator paints a blue trading zone. Alternatively, open long trade when the signal line goes back above 0.00 from below while a blue zone is present (buy on dips).
Sell Signal: Go short when the Double CCI Woody indicator paints a red trading zone. Alternatively, open short trade when the signal line goes back below 0.00 from above while a red zone is present (sell on rallies).
Trade Exit: Close the open trade when an opposite signal occurs, or use your own method of trade exit.
Double CCI Woody and Auto Channel MT4 Forex Scalping Strategy
This MT4 scalping strategy combines the trend confirmation of the Auto Channel MT4 Forex Indicator with the precise entry timing of the Double CCI Woody MT4 Forex Indicator.
It is designed for traders who want fast, short-term trades using clear visual cues on M1 and M5 charts.
The Auto Channel indicator plots dynamic channels on the chart.
An upward sloping channel indicates bullish conditions and suggests looking for buy trades, while a downward sloping channel indicates bearish conditions and suggests looking for sell trades.
The Double CCI Woody indicator provides histogram signals for precise entries.
A blue histogram signals a buy opportunity and a red histogram signals a sell opportunity.
Combining these two indicators ensures trades align with the prevailing trend while timing entries accurately.
This strategy works best on major currency pairs and gold during active market sessions.
It is suitable for scalpers who want a simple yet effective method to trade short-term momentum.
Buy Entry Rules
- The Auto Channel must be sloping upwards, confirming a bullish trend.
- Open the chart of the selected pair and apply the Double CCI Woody indicator.
- Wait for the blue histogram to appear on the Double CCI Woody.
- Enter a buy trade at the close of the candle where the blue histogram appears.
- Place the stop loss below the most recent swing low or the lower boundary of the channel.
- Keep the trade open while the channel remains upward and the histogram stays blue.
- Close the trade immediately if the histogram turns red or the channel slope reverses downward.
Sell Entry Rules
- The Auto Channel must be sloping downward, confirming a bearish trend.
- Open the chart of the selected pair and apply the Double CCI Woody indicator.
- Wait for the red histogram to appear on the Double CCI Woody.
- Enter a sell trade at the close of the candle where the red histogram appears.
- Place the stop loss above the most recent swing high or the upper boundary of the channel.
- Keep the trade open while the channel remains downward and the histogram stays red.
- Close the trade immediately if the histogram turns blue or the channel slope reverses upward.
Advantages
- Combines trend-following with precise entry signals for higher probability trades.
- Effective for short-term scalping on M1 and M5 charts.
- Helps avoid countertrend trades using the Auto Channel as a filter.
- Applicable to multiple currency pairs and gold without adjustments.
Drawbacks
- Requires constant monitoring of charts for timely entries and exits.
- Channel slope and histogram reversals can result in early exits or whipsaws.
- Overtrading can occur if signals are not filtered properly.
Case Study 1
On EURUSD M5 during the London session, the Auto Channel sloped upward, indicating a bullish trend.
The Double CCI Woody indicator displayed a blue histogram after a minor pullback.
A buy trade was entered and held while both the channel remained upward and the histogram stayed blue.
When the histogram turned red, the trade was closed, capturing a strong intraday upward move.
Case Study 2
On GBPJPY M1 during the New York session, the Auto Channel sloped downward, confirming a bearish trend.
The Double CCI Woody indicator showed a red histogram after a short consolidation.
A sell trade was opened and maintained while both indicators confirmed the downtrend.
When the histogram turned blue and the channel slope flattened, the trade was closed, securing an intraday profit.
Strategy Tips
- Trade only in the direction of the channel slope to ensure alignment with the main trend.
- Enter trades when the Double CCI Woody histogram confirms the trend for higher probability setups.
- Focus on major currency pairs and gold during high volatility sessions for stronger price movements.
- Avoid trading during periods of low liquidity or around major economic news to reduce whipsaw risk.
- Use recent swing highs and lows or the channel boundaries to place stops safely and protect your account.
- Close trades immediately when the histogram changes color or the channel slope reverses to lock in profits.
- Wait for small pullbacks before entering trades to improve timing and avoid entering at overextended levels.
- Keep a trading journal to track which pairs and timeframes perform best with this strategy for continuous improvement.
Download Now
Download the “double-cci-woody.mq4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern
Customization options: Variable (TrendCCI_Period, EntryCCI_period, Trend_period, Zero_Cross_Alert) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: Oscillator
