MTF MACD is a technical forex indicator determining the trend of multiple mt4 timeframes of a specific mt4 currency pair in trading. Here MTF denoted the multi-timeframes. It helps mainly in multi-timeframe chart analysis to forecast the forex market more accurately.
Forex traders use different forex strategies to forecast the market. The multi-timeframe analysis is one of the winning trading strategies. That’s why programmers develop this multi-timeframe MACD indicator to show the chart analysis of all mt4 timeframes in a single window.
Working on MTF MACD forex indicator
The simple MACD forex indicator signals the bullish and bearish chart trend in the form of green color and red bars. In the same way, the MTF MACD forex indicator draws the green color and red bars to show the buy entry or sell signals.
However, the MTF MACD forex indicator will draw four rows of chart bars in a single window. These rows indicate the chart trend of multiple timeframes.
- The first row will show the chart trend of the daily timeframe
- The second row will indicate the chart trend of the 4H timeframe
- The third row will represent the chart trend of the 1H timeframe
- The last fourth row will show the chart trend in the lower timeframe, 15M.
In this way, a forex trader can get an idea of the MACD chart trend on higher mt4 timeframes and then open a trader on lower ones.
Buy and Sell signals.
Here are the simple forex techniques to open buy or sell entry trades using the MTF MACD indicator.
Open a buy trade
When all three higher mt4 timeframes, Daily, four h, and H1, will show a bullish signal, open a buy entry trade and wait for trend reversal on the MCAD line to close the trade.
Open a sell trade
When all three higher mt4 timeframes show a bearish signal, open a sell trade and close the trade on a trend reversal signal.
The bottom line
MTF MACD is a handy forex indicator that helps the forex trader trade with the chart trend. You can filter your forex trades using a higher mt4 timeframe analysis.
Trading with the chart trend is the key to success in simple forex trading.