This Forex head and shoulders pattern indicator, MT4 as the name says, is to help you identify head and shoulders patterns on your MT4 charts. Suppose you are a new beginner forex trader just starting in forex trading and struggling to identify head and shoulders chart patterns. In that case, this head and shoulders pattern mt4 indicator should help you.
Another bonus of this forex indicator is that it also helps you identify inverse head and shoulders patterns.
Is Forex Head And Shoulders Pattern A Bullish Or Bearish Chart Pattern?
- The head and shoulders chart pattern is a bearish pattern.
- When the Forex market has been in an uptrend for a while, and you see a head and shoulders chart pattern form, it may be signaling that the current trend may be changing now to a market downtrend. You should be exiting your current long trades and looking to position yourself to get into a simple short trade.
Inverse Head And Shoulders Pattern-Bullish Pattern
- The opposite of the head and shoulders chart pattern is the inverse head and shoulders pattern.
- The inverse Chart head and shoulders pattern is a bullish pattern.
- When you see a forex inverse head and shoulders Forex Chart pattern form in a downtrend, you should be looking to exit your short trades and looking for an opportunity to get into a simple long trade.
- Read More How to Trade Forex INVERSE HEAD AND SHOULDERS Pattern
Does This Forex Head And Shoulders Pattern Mt4 Indicator Repaint?
Yes, it does repaint on occasions.
That means you need to use your sharp eyes and knowledge about Forex head and shoulders chart patterns to get into a trade instead of relying on this indicator.
How to Trade With The Forex Head And Shoulders MT4 Indicator
- Once you attach this head and shoulders pattern Forex indicator to your chart, it uses current price action and zigzags to identify potential chart head and shoulders patterns as well as inverse head and shoulders patterns.
- When it identifies a Forex head and shoulder pattern, it generates a bright red arrow pointing down, indicating you should watch out for the opportunity to sell.
- When this indicator identifies a Forex inverse head and shoulder pattern, it generates a bright blue arrow pointing upward, indicating that you should be watched out to buy.
- You can also set alerts on its “settings,” so you can be alerted when an arrow is generated.