The Forex Blau Balance indicator is a no-repaint buy and sell signals MT4 oscillator.
Signals from the indicator are easy to trade:
- A green dot represents a buy signal.
- A red dot represents a sell signal.
It’s an excellent signal indicator for scalping and day trading currency pairs.
It’s recommended to use Forex Blau during the London and New York sessions for the best performance.
Use on low spread forex pairs such as EUR/USD, GBP/USD, AUD/USD and USD/JPY.
Free Download
Download the “Forex Blau Balance Indicator.ex4” MT4 indicator
Indicator Chart (EUR/USD M5)
The EUR/USD 5-Minute chart below displays the Forex Blau Balance Metatrader 4 indicator in action.
Basic Trading Signals
Signals from the Forex Blau Balance MT4 indicator are easy to interpret and go as follows:
Buy Signal: Buy when a green Forex Blau Balance dot appears on the MT4 chart. Place a protective stop-loss a few pips below the most recent swing low price.
Sell Signal: Sell when a red Forex Blau Balance dot appears on the MT4 chart. Place a protective stop-loss a few pips above the most recent swing high price.
Trade Exit: Exit the trade when an opposite trading signal (from buy to sell or from sell to buy) appears on the chart, or use your own method of trade exit.
Tip
You can change the trend filter directly from the indicator’s input menu. For example, you open a 5-minute chart, and you’d like to use the hourly trend filter.
Simply select the 1-Hour timeframe (see image below) to achieve this.
MT4 Blau Balance Indicator + ZWinner Trend Day Trading Strategy
This strategy combines the Forex Blau Balance MT4 indicator and the ZWinner Trend MT4 indicator.
The Blau Balance indicator gives clear buy and sell signals using green and red dots.
The ZWinner Trend indicator confirms the overall trend using green histogram bars for bullish trends and red histogram bars for bearish trends.
By using both together, traders can identify high-probability intraday setups while following the market trend, making it ideal for M15 and H1 charts.
Buy Rules
- The ZWinner Trend histogram must be green, showing a bullish trend.
- A green dot appears on the Blau Balance indicator.
- Enter a buy trade at the next candle open after both signals align.
- Place a stop loss below the most recent swing low or below the current green histogram bar.
- Take profit at the next resistance level or exit if the histogram turns red or a red dot appears.
Sell Rules
- The ZWinner Trend histogram must be red, showing a bearish trend.
- A red dot appears on the Blau Balance indicator.
- Enter a sell trade at the next candle open after both signals align.
- Place a stop loss above the most recent swing high or above the current red histogram bar.
- Take profit at the next support level or exit if the histogram turns green or a green dot appears.
Advantages
- Combines trend confirmation and entry signals to reduce false trades.
- Visual signals like dots and histogram bars are easy to interpret quickly.
- Suitable for multiple timeframes, making it flexible for day trading or swing trading.
- Helps traders follow momentum instead of guessing market direction.
- Works well with major pairs that have steady intraday moves.
- Quick signals allow for multiple trades during active sessions.
- Can be combined with support and resistance levels for improved exits.
Drawbacks
- Requires constant monitoring because signals appear quickly and targets are small.
- Sudden news or economic events can cause rapid reversals and trigger stop losses.
- Overtrading is possible if signals are taken without checking trend confirmation.
- Short-term volatility may cause early exits if stop loss levels are tight.
Case Study 1. EURUSD M15 Buy
On EURUSD M15, the ZWinner Trend histogram was green, indicating a bullish trend.
Shortly after, a green dot appeared on the Blau Balance indicator.
A buy trade was entered at 1.0975 with a stop loss at 1.0965.
Price moved steadily upward, reaching the first target at 1.0990 for a 15 pip gain.
The trend remained strong, and using a trailing stop allowed the trade to capture an additional 8 pips, closing at 1.0998.
Case Study 2. GBPUSD H1 Sell
On GBPUSD H1, the ZWinner Trend histogram turned red, signaling a bearish trend.
A red dot appeared on the Blau Balance indicator, confirming the sell signal.
A trade was opened at 1.2420 with a stop loss at 1.2430.
Price dropped steadily, hitting the first target at 1.2405 for a 15 pip profit.
The bearish momentum continued, and the trade extended to 1.2392, adding 13 more pips before the move slowed.
Strategy Tips
- Trade only when both the trend and the dot signal confirm the move.
- Focus on major currency pairs like EURUSD, GBPUSD, and USDJPY for smoother trades.
- Prefer active market sessions such as London and New York for stronger trends.
- Set realistic stop loss and take profit levels to manage risk effectively.
- Close trades early if the histogram changes color or the opposite dot appears.
- Watch for price action near support and resistance for better exits.
- Keep track of multiple trades to avoid overexposure in fast-moving sessions.
- Use small position sizes to manage risk during intraday scalping.
- Review your trades at the end of the session to learn which setups perform best.
Download Now
Download the “Forex Blau Balance Indicator.ex4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: Chart pattern indicator
Customization options: Variable (timeframe, MA method, signal period, Acc step, Acc limit, alertsON) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: forex signals
