The efficiency of MetaTrader 4 (MT4) is strongly connected with the use of indicators that helps in the calculation of volume, time, and price in Forex trading, which in turn leads to an accurate trading signal. Indicators are very important tools to ensure that you can properly take advantage of the movement of the market. More importantly, indicators help in recognizing price patterns and provide additional confirmation that you are indeed on track with your trading strategy. MT4 add-ons, on the other hand, are also tools that one can utilize in customizing the trading experience. They help traders achieve a more efficient and simplified trading life.

Understanding Indicators and Its Use

Surely, you will get confused about the type of indicator that you will use when trading your newly acquired account. Then you are prompted to choose from the pool of indicators that has their own strengths. What you have to remember when choosing the best indicator for your trades is your trading style, your goals, and your trading strategy. The MT4 indicator that you will choose must depend on these three factors.

For instance, a day trader needs different sets of indicators than the needs of a swing trader. Choosing an indicator must be something that you like, then you must test and stick to it no matter the outcome of your trades.

In trading, there are no certainties. The best thing you can do is to experiment on the indicator that you will use so you can establish which among these indicators perfectly suits you. In MT4, you will find more than 2,000 indicators and each one of them has a unique feature.

Trading Central

This is a service that can be found directly on the MT4 trading platform. It has a wide range of functionality and you will have the chance to gain access to a wide range of advanced indicators, allowing you to achieve clear market signals.  Some of the indicators found in Trading Central are Alpha Generation Indicators, TC Economic Insight, Featured Ideas, and TC Markt Buzz.

Autochartist

This is another provider of exceptionally advanced indicators. Autochartist can be found as a plugin for MetaTrader 4 where adding multiple indicators is made easy. Autochartist provides market scanners, risk calculations, and all the other indicators that are very useful in providing extra confirmation on your trades.

Pivot Points

Pivot Points help in identifying the critical areas of the support and resistance of the asset’s price. It can be used in identifying the trade exits and entries.

Moving Averages

This is one of the most commonly used indicators in MT4, together with Pivot Points. Moving Averages illustrates the price movement, whether it is in the mean position or not. And because the price will always return the mean, this indicator is very helpful in predicting the future movements in the market.

RSI

Most of the time, RSI is utilized to identify whenever a trend is starting to lose its momentum before slowing down in Forex trading.

Bollinger Bands

They are a type of oscillator indicator that measures price volatility to help traders identify whether the price is too high or too low.