The iTrend Signals MT4 indicator is based on a combination of Bollinger Bands and Bull Bears power.
ITrend provides buy and sell signals for any pair and timeframe based on this technical indicator combination.
A buy signal will occur when the blue histogram bars are aligned above the zero level while the red histograms are aligned below the zero level.
A sell signal will occur when the red histogram bars are aligned above the zero level while the blue histograms are aligned below the zero level.
To make it very easy for any trader, iTrend will display the signal and direction.
For instance, “Indicator Signal: Bullish” + “Open Buy Order”.
Free Download
Download the “iTrend_new.mq4” MT4 indicator
Indicator Chart (USD/JPY M1)
The USD/JPY M1 chart below displays the iTrend Signals Metatrader 4 forex indicator in action.
Basic Trading Signals
Signals from the iTrend Signals MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Open a buy trade when the iTrend Signals indicator tells you to do so.
Place a stop loss below the most recent support level.
Sell Signal: Open a sell trade when the iTrend Signals indicator tells you to do so.
Place a stop loss above the most recent resistance level.
MT4 iTrend Signals and MACD Forex Strategy
This MT4 strategy combines the iTrend Signals MT4 Indicator with the MACD MT4 Indicator.
The iTrend Signals indicator displays buy or sell signals in the upper left corner of the chart, guiding trade entries.
The MACD histogram confirms trend direction, showing bullish momentum when above zero and bearish momentum when below zero.
This strategy is suitable for M5, M15, and H1 charts for intraday trading.
Combining the clear signals from iTrend with trend confirmation from MACD reduces the chance of countertrend trades and improves overall trade accuracy.
Buy Entry Rules
- The iTrend Signals indicator must display a buy signal in the upper left corner.
- The MACD histogram must be above zero, confirming a bullish trend.
- Enter long at the close of the candle when the buy signal appears while MACD remains above zero.
- Set a stop loss below the nearest support level or recent swing low.
- Take profit when the MACD histogram crosses below zero or trail the stop to lock in profits.
Sell Entry Rules
- The iTrend Signals indicator must display a sell signal in the upper left corner.
- The MACD histogram must be below zero, confirming a bearish trend.
- Enter short at the close of the candle when the sell signal appears while MACD remains below zero.
- Set a stop loss above the nearest resistance level or recent swing high.
- Take profit when the MACD histogram crosses above zero or trail the stop to secure gains.
Advantages
- Combines entry signals with trend confirmation for higher probability trades.
- Easy to read visual signals for quick decision-making.
- Dynamic exit using MACD trend flips allows capturing realistic intraday moves.
- Works on multiple time frames and various currency pairs.
- Helps traders avoid trading against the prevailing trend.
- Simple setup suitable for both beginners and experienced traders.
Drawbacks
- Sideways or choppy markets may produce false iTrend signals or conflicting MACD readings.
- MACD can lag, potentially delaying exit or entry points.
- Improper stop loss placement increases risk on countertrend spikes.
Case Study 1
AUDJPY M15 during the London session showed a buy signal from the iTrend Signals indicator.
The MACD histogram was above zero, confirming a bullish trend.
A long trade was opened with a stop loss below the recent swing low.
Price moved upward, and the trade was closed when MACD crossed below zero, capturing a 32-pip profit.
Using trend confirmation helped avoid countertrend entries during minor pullbacks.
Case Study 2
USDCAD M5 during the New York session displayed a sell signal from the iTrend Signals indicator.
The MACD histogram was below zero, confirming bearish momentum.
A short trade was entered with a stop loss above the recent swing high.
Price declined steadily, and the trade was closed when MACD flipped above zero, resulting in a 20-pip gain.
The strategy successfully aligned entry with the prevailing trend for a controlled scalp trade.
Strategy Tips
- Focus on trading during high liquidity sessions to maximise the reliability of signals.
- Wait for alignment between iTrend entry signals and MACD trend confirmation before entering trades.
- Monitor spreads and execution speed closely on lower time frames like M5 for scalping efficiency.
- Patience is crucial: skip signals when MACD is near zero or trend strength is weak.
Download Now
Download the “iTrend_new.mq4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart window indicator
Customisation options: Variable (Bollinger Bands mode, applied price, calculation price, Bulls Bears power period, bars calculation, alerts) Width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, Daily, Weekly, Monthly
Type: signals
