About the Forex Trend Scanner Indicator
The Forex Trend Scanner Indicator for MT4 is a simple yet powerful tool that tracks major currency trends using colored candlesticks.
It is designed to provide clear buy and sell signals, helping traders identify trend direction quickly and make timely decisions.
The indicator is especially useful for scalping and day trading during active market sessions.
Displayed directly on the main Metatrader 4 chart, the indicator uses green candlesticks to indicate bullish conditions and red candlesticks for bearish conditions.
This visual approach allows traders to monitor trends at a glance and react quickly to market movements without complex calculations or additional indicators.
Free Download
Download the “forex-trend-scanner.mq4” indicator for MT4
Key Features
- Trend-following indicator for MT4 using colored candlesticks
- Green candlesticks indicate buy signals
- Red candlesticks indicate sell signals
- Simple and intuitive display on the main chart
- Effective for scalping and day trading
- Works best during the London and New York sessions
Indicator Chart
The chart below shows the Forex Trend Scanner Indicator on a live MT4 chart.
Green candlesticks signal bullish trends, while red candlesticks indicate bearish trends.
Traders can follow these signals to align trades with the current market direction.
Guide to Trade with the Forex Trend Scanner Indicator
Buy Rules
- Wait for a green candlestick to appear
- Confirm there is no nearby resistance
- Open a buy trade at the start of the next candle
Sell Rules
- Wait for a red candlestick to appear
- Confirm there is no nearby support
- Open a sell trade at the start of the next candle
Stop Loss
- For buy trades, place the stop loss below the recent swing low
- For sell trades, place the stop loss above the recent swing high
- Adjust for volatility and timeframe as needed.
Take Profit
- Target the next support or resistance level
- Consider closing partial positions at mid-trend points
- Trail stops to lock in profits as trends continue
Practical Tips
- Focus on major currency pairs with higher liquidity
- Combine with other trend confirmation tools for stronger setups
- Avoid trading during sideways market periods
- Test the indicator on a demo account to understand its behavior across timeframes
- Consider multiple timeframe analysis to filter low-quality signals
Forex Trend Scanner + 4 MA Strength MT4 Day Trading Strategy
This MT4 day trading strategy combines the Forex Trend Scanner and the 4 MA Strength Indicator to capture intraday trends.
The Forex Trend Scanner signals trades with colored candlesticks: green for buy and red for sell.
The 4 MA Strength Indicator confirms trend strength with green histogram bars for bullish trends and purple bars for bearish trends.
This strategy is suitable for 15-minute to 1-hour charts, aiming for consistent intraday profits.
Buy Entry Rules
- Confirm the 4 MA Strength Indicator shows green histogram bars, indicating a bullish trend.
- Wait for a green candlestick from the Forex Trend Scanner.
- Enter a buy trade at the close of the green candlestick.
- Set a stop loss below the recent swing low.
- Set take profit between 20–50 pips, depending on market volatility.
Sell Entry Rules
- Confirm the 4 MA Strength Indicator shows purple histogram bars, indicating a bearish trend.
- Wait for a red candlestick from the Forex Trend Scanner.
- Enter a sell trade at the close of the red candlestick.
- Set a stop loss above the recent swing high.
- Set take profit between 20–50 pips, depending on market volatility.
Advantages
- Clear entry and exit rules with candlestick and trend confirmation.
- Captures strong intraday trends effectively.
- Reduces false signals by confirming trades with the 4 MA Strength Indicator.
- Flexible for multiple currency pairs and timeframes.
Drawbacks
- Requires patience, as trades may take longer to reach take profit compared to scalping.
- Stop losses must be monitored carefully to avoid large drawdowns.
- Performance may vary across different currency pairs and session volatility.
Case Study 1: EUR/USD H1 Chart
The 4 MA Strength Indicator showed green histogram bars, indicating a bullish trend.
A green candlestick appeared on the Forex Trend Scanner.
Entered a buy trade at 1.1050 with a stop loss at 1.1035 and take profit at 1.1080 (30 pips).
Price moved upward, reaching the take profit within 3 hours.
Case Study 2: GBP/JPY H1 Chart
The 4 MA Strength Indicator showed purple histogram bars, indicating a bearish trend.
A red candlestick appeared on the Forex Trend Scanner.
Entered a sell trade at 159.50 with a stop loss at 159.80 and take profit at 159.00 (50 pips).
Price declined, hitting the take profit within 4 hours.
Strategy Tips
- Use 15-minute to 1-hour charts for effective intraday trading.
- Trade during high-volume sessions like London and New York for stronger trends.
- Always wait for both indicators to align before entering a trade to improve accuracy.
- Adjust stop loss and take profit levels based on current volatility.
- Maintain discipline and avoid overtrading, especially during low volatility periods.
Download Now
Download the “forex-trend-scanner.mq4” indicator for Metatrader 4
FAQ
How does the Forex Trend Scanner determine trend direction?
The indicator uses colored candlesticks to reflect the prevailing market momentum. Green indicates bullish conditions, and red indicates bearish conditions.
Can it be used for scalping and swing trading?
Yes, it works for both. Shorter timeframes like M15–M30 are ideal for scalping, while H1–H4 can be used for swing trading.
Does it provide alerts for buy and sell signals?
Depending on the MT4 setup, traders can enable alerts for color changes to get notified when a new signal occurs.
Is it reliable during low-volume or sideways markets?
The indicator works best during active sessions. In low-volume or sideways conditions, signals may be less accurate, so extra confirmation is recommended.
Can this indicator be combined with other strategies?
Yes, combining it with support/resistance levels, momentum indicators, or trend filters enhances signal accuracy and trade management.
Summary
The Forex Trend Scanner Indicator for MT4 provides a quick and easy way to identify bullish and bearish trends using colored candlesticks.
It is beginner-friendly and highly effective during London and New York trading sessions.
For best results, traders can combine it with other trend confirmation tools or higher timeframe analysis.
With disciplined risk management, the Forex Trend Scanner can become a reliable part of any scalping or day trading strategy.
