Tips to Use Xmaster Formula Indicator forexĪll you need is to keep an eye on the lines colored red and green. Consider the Xmaster formula indicator as a technical complement to your overall trading strategy and in-depth technical analysis. The indicator works during the London trading session ĭespite the fact the indicator can provide pretty good results at first, it should be used together with other technical indicators that may refer to various categories.The indicator can be used to track major currency pairs.Xmaster Formula Indicator Characteristicsįirst of all, we need to define the key features that define the indicator. As for price trend identification, the concept is always the same. So, each version of the tool is quite the same though with a slightly different take on the way one will apply the formula. The one thing traders should keep in mind is that it is a no-repaint indicator. The Xmaster formula indicator forex comes in many variations and versions. They all help locate and identify support and response levels, as well as potential price changes. It comes with a built-in system that relies on stochastic, MACD, Bollinger Bands, and other technical indicators.
Judging by the indicator’s name, it is clear that We have a formula-based tool here. What’s more, it can be used across different financial markets. It is not necessary to be a proven financial expert to use or read it on a chart.ĭespite its simplicity, the indicator may turn out to be a very powerful tool that can be customized to any period. It is a technical analysis-based instrument used by traders to identify trends. The great advantage of this indicator is the fact that it is suitable for any duration, which guarantees estimation flexibility and simplicity.įirst of all, we need to clarify what the Xmaster indicator forex is.
The formula is the same regardless of the timeframe.Xmaster formula indicator forex is a flexible tool that can be used when trading currency pairs. This indicator can be used by scalpers on the 1 or 5-minute charts, for example, or it can be applied to the 4-hour, daily or weekly charts, for instance. So if you use sound money management and position sizing rules, and maybe combine it with one or two other indicators that you like to use, it could potentially be an effective and profitable indicator to use, even for seasoned traders.īeginner traders who may not have the ability to read price action or identify new trends can also benefit because the Xmaster Formula gives simple trend-based signals that are easy to follow. The Xmaster Formula indicator is not the holy grail indicator that will make you a millionaire, but it is still a very useful indicator that is said to generate winning trades around 70-75% of the time on currency pairs and stock market indices. Plus it can be quite late to signal when a trend is over and you can sometimes give back some of your profits as a result, but you don’t necessarily need to wait for this indicator to tell you when to take profits if you have your own methods or pre-defined profit targets. However it can also give a lot of false breakout signals in a flat sideways market, and you can get stopped out several times before a strong trend emerges. Like many trend-based indicators, the Xmaster Formula tends to perform well in strong trending markets because it will get you into a new trend fairly early and will keep you in a position until it’s conclusion, generating many pips in the process. Stop losses can be placed at a recent swing high or low, and can be moved to break-even once a position moves in your favor. It is suggested that you enter a position on the close of the candle after a signal is generated (green to red or red to green), and exit your position as soon as the indicator changes color.
The indicator appears in a separate section below your price chart and is displayed as a histogram or a dotted line (depending on the version) that is either green when the price is in an upward trend, or red when it is in a downward trend.Ī buy signal is generated when the histogram/line changes from red to green and a sell signal is generated when it changes from green to red. It is available on the Metatrader platform and it essentially alerts you to the start of a new trend, giving you a signal to go long or short in the direction of this trend, but it also indicates when the trend is over, and therefore when you should exit your position as well. The Xmaster Formula indicator was developed by Sayadi Achref and is a trend-based technical indicator that claims to work on many different forex pairs and across multiple different timeframes.