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Wavy Dash Forex Signals Indicator (MT4)

    The Wavy Dash Forex signals indicator for MT4 transforms price data into an excellent trend-following signals indicator that works for trade entry and exit.

    The indicator appears in the main chart as a colored signal line and can be used as a standalone trading tool.

    The Wavy Dash indicator is very reliable, lightweight, and will not slow down your trading platform.

    Key Points

    • Trend signal indicator
    • Newbie friendly
    • Works on any time frame
    • Non-repaint
    • Well worth adding to your indicator collection

    This indicator can work together with any existing trading strategy or system as a possible trend reversal confirmation tool.

    Free Download

    Download the “WavyDash.mq4” MT4 indicator

    Indicator Example Chart

    The EUR/USD 5-minute chart below shows the Wavy Dash Forex indicator in action.

    Basic Trading Signals From the Wavy Dash Indicator

    Signals from the Wavy Dash Forex indicator for Metatrader 4 are easy to interpret and go as follows:

    BUY:

    • A new buy signal is given when the green colored signal line starts painting on the chart.
    • Place a stop loss below support.
    • Exit the buy trade for a predetermined profit target or wait for a sell signal.

    SELL:

    • A new sell signal is given when the red colored signal line starts painting on the chart.
    • Place a stop loss above resistance.
    • Exit the sell trade for a predetermined profit target or wait for a buy signal.

    Download Now

    Download the “WavyDash.mq4” MT4 indicator

    Wavy Dash Signals + Zero Lag Stochastic Momentum Strategy

    This strategy combines the clear entry/exit signals from the Wavy Dash Forex Signals Indicator with the fast-reacting momentum readings of the Zero Lag Stochastic Indicator.

    Together, they provide timely and reliable trade setups for both trending and ranging markets.

    How the Strategy Works

    • Wavy Dash Signals produce clear buy and sell arrows based on price action and trend strength.
    • Zero Lag Stochastic offers fast and smooth stochastic readings to identify overbought/oversold conditions without lag.

    Recommended Timeframes and Pairs

    • Timeframes: M15, M30, H1
    • Pairs: EUR/USD, USD/JPY, GBP/USD, AUD/USD

    Buy Entry Rules

    1. Wait for a buy arrow signal from the Wavy Dash Indicator.
    2. Confirm that the Zero Lag Stochastic is coming out of the oversold region (below 20) and crossing upward.
    3. Enter a buy trade at the close of the signal candle.
    4. Place a stop loss below the recent swing low.
    5. Set a take profit at previous resistance levels or a 2:1 reward-to-risk ratio.

    Sell Entry Rules

    1. Wait for a sell arrow signal from the Wavy Dash Indicator.
    2. Confirm that the Zero Lag Stochastic is coming out of the overbought region (above 80) and crossing downward.
    3. Enter a sell trade at the close of the signal candle.
    4. Place a stop loss above the recent swing high.
    5. Target previous support or use a 2:1 reward-to-risk ratio for exit.

    Additional Tips

    • Avoid trading when the stochastic is stuck in extreme zones for prolonged periods.
    • This strategy works well during trending markets but can also identify strong reversal points.
    • Use a higher timeframe trend context to filter trades (e.g., trade only buys in an uptrend).

    Adjustable Parameters & Settings

    Back, colors, style

    Feel free to explore the indicator’s different parameters and settings to create your own personalized indicator setup.

    More Info About This Indicator

    Currency Pairs: works on any currency pair

    Trading Platform: developed for Metatrader 4 (MT4)

    Time Frames: any

    Indicator Type: trend signal

    How to install the Wavy Dash Forex Signals indicator in Metatrader 4?

    • Copy and paste the WavyDash.mq4 indicator into the MQL4 indicators folder.
    • You can access this folder from the top menu as follows:
    • File > Open Data Folder > MQL4 > Indicators (paste here)
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