Whichever trading strategy a trader chooses, tracking important levels is a basic condition for profitable trading. Experienced traders just need to look at the chart to see the support/resistance levels. However, it can be difficult for newcomers to do so. In this case it is possible to use corresponding tools of the analysis which will qualitatively execute this work. Today I’ll tell you about one of them. The PowerDynamiteAreas indicator will build such levels.
MT4 installation and parameters
Installation scheme of any
of the indicator in the MT4 trading terminal is described in detail by me in the article “Cheat sheet on
Metatrader 4″.Parameters in the indicator settings:Change the priorities for level construction using
of the PivotStrength.parameterA using the MaxLookBackBars parameter you can specify
number of candlesticks that the PowerDynamiteAreas indicator
will use in his calculations.PivotPipDiff parameter
allows you to change the distance between levels.The ZonePipSize parameter is used to set the desired
line thickness.And finally, the MaxLevels parameter can be used to specify
number of levels that the indicator should display on the chart.As you can see, the settings are pretty simple, and you can try different options if you like.
How to use PowerDynamiteAreas in trading
This indicator has several effective uses.Transactions can be opened by
the direction of the existing trend after a breakthrough of an important level. On my screen
this situation is indicated by the number 1. In an upward trend, the price “tripped” about
an important level of resistance. There was a correction, and then she still managed
to overcome it. This is a good time to open a BUY.orderOther application of PowerDynamiteAreas
– the trade to the bottom of the line. As we can see, after a successful break-down of two resistance levels
the price broke away from the third level (2), which resulted in a change of direction
trend.Indicator levels form
the canals. The third application of PowerDynamiteAreas is
in-channel trading, as we do during the flute period.Limits that are built
the indicator can be used not only to find the best entry points, but also
to place stop-losses and take-profits.Indicator, which I have told you about today, is a universal tool. It can be useful for market analysis in trading any currency pairs and on different timeframes.His testing on a demo account will allow you to get the necessary skills to use the indicator on a real account.PowerDynamiteAreasDownloadFyodorov’s Inga11.07.2019