MACD B Osma Indicator For Meta Trader 4
Table Of Contents:
- MACD B Osma Indicator For Meta Trader 4
- Advantages and Disadvantages of using the MACD B Osma Indicator For Meta Trader 4
The MACD B Osma Indicator For Meta Trader 4 is an indicator that its primary function to the trader is to detect divergence across price action. This indicator was built on 2 of the best indicators available to a trader for detecting divergence, who on their own can detect divergence excellently and have been used for prolonged periods by divergence traders. Hence, this indicator can be regarded as the king of divergence. Several benefits can easily be derived from using this very unique indicator. Some of these benefits will be outlined and discussed below.
Partially Automated Trading Besides Your Day Job
Alerts In Real-Time When Divergences Occur
Advantages and Disadvantages of using the MACD B Osma Indicator For Meta Trader 4
One of the first major and apparent advantages worthy of mentioning is that this indicator flawlessly detects divergence happening in price action. It has a super distinct ability to detect divergence and help traders in understanding the reversals that these divergences bring and offering them an opportunity to trade such reversal in price action. This means that the indicator can quite profitably be used by any trader trading on any currency on any currency pair or trading asset to detect divergence within the currency pair or trading asset.
Another added advantage is that the MACD B Osma Indicator For Meta Trader 4 is a very stable and efficient indicator. The 2 indicators that it is built on have been known for prolonged periods to already be very stable indicators that can already detect divergence very excellently. Hence, this indicator is also very excellent at finding divergences in price and would probably react faster and much more reliably than any other divergence indicator currently in the markets.
The MACD B Osma Indicator For Meta Trader 4 is used to spot price reversal. This means that traders who trade reversals and fade price trends can actively use this indicator to hunt for points in currencies and trading assets where the currencies or trading assets are about to reverse. This can enable the trader to spot several opportunities every trading day where the prices of currencies or trading assets are about to reverse and be able to take advantage of them very quickly. Hence, this can greatly improve the trader's performance over using other indicators to predict divergence since the trader knows that he or she is using one of the best divergence indicators out there.
The signals produced by the MACD B Osma Indicator For Meta Trader 4 are based on the peaks and troughs of price action and also on the peaks and troughs of the indicator itself. This means that the divergence signals by the indicator are produced once there is a difference between peaks of the indicator and the peaks of price or once there is a difference between the troughs or the indicator and the troughs of price. This way, a trader would need to be more aware of those moves that happen at the peaks and troughs of the indicator as these often signal ends of trends.
Trading using the MACD B Osma Indicator For Meta Trader 4 can also be merged with pure price action traders who can incorporate the indicator as they make decisions to either buy or sell a trend line break or a range. The truth is that most of the time in the price charts, the price often leaves a clue behind on what it will do next, where it will breakout next and where it will go next. Traders just happen to discover most of these clues late after the price action has already finished developing.
If the trader can be more aware of what the charts are doing during the trading day, he or she will find that there are certain times in the market when the price just gives out a crystal, clear-as-day kind of signal for traders who are actively watching. These kind of signals can be safely traded as they produce excellent results as well, although they will need for the trader to keep his attention trained on the charts for the majority of the trading day as no one is fully sure when any of these moves are likely to occur and only those traders that are fully aware and patiently waiting in the markets will directly benefit from such moves.
The best kind of signals produced from the MACD B Osma Indicator For Meta Trader 4 is often produced when the indicator is used on the higher, more stable timeframes like the 1 Hour timeframe and above. This can help the trader to avoid price whipsaws and false moves that can really bother those traders on the lower timeframes. Once a trader gets used to how reliable the signals produced by this indicator are on the higher timeframe, the trader would then not want to go back to using the indicator on the smaller timeframes again.
Backtested results show that the moves produced by divergence trading are on average better than the moves gotten by trend followers. This goes a long way to show that with this indicator, the trader can effectively make a lot of profits in the markets compared to when the trader is only following signals on trending markets since the market ranges about 72% of the time and trends only about 28% of the time and most divergence trades are usually gotten at the far ends of trends when price action is all worn out and the market is ranging or almost ranging.
Lastly, trading using the MACD B Osma Indicator For Meta Trader 4 can really be very profitable for the trader as he or she can use the indicator to spot reversals in price and the new trends that start as a result of these reversals in the price regardless of their skill level and technical analysis ability. This simply means that any trader at all can quickly put the indicator on their chats and immediately start to spot divergence opportunities as they show up during any trading day.
