Trend Direction Force Index Index Indicator analyzes historical market data and converts it into trade signals for its users. This indicator is known for its unique method of displaying trade signals that can be understood and read by traders of all levels of experience.
Trend Direction Force Index Index Indicator is easy to use and offers great flexibility for trading. You can use it to determine the market trend on all types of forex currency pair charts. This also supports all time frames within the MT4 forex trading platform.
Trend direction force index indicator uses its own moving averages to determine market trends. If it turns positive (+1), the trend is bullish. It turns negative (-1) if the trend is bearish. When the market is down, its value is zero (zero).
These neutral or non-trend indicators can be used as trade exit signals. When combined with other trend-following strategies or indicators, this indicator can also be used as a trend signal filter.
Trend Direction – Buy Conditions
- The price breaks above the current market high, or plots a bullish candles
- Positive indicator value
- When the conditions above are satisfied, activate the buy entry
- Stop loss below the current market low
- Take profit/exit long when the indicator value becomes neutral (zero).
Trend Direction Sell
- The price moves below the market’s current low, or plots a bearish candles
- The indicator value becomes negative
- When the conditions above are satisfied, activate the sell entry
- Stop loss at the market’s current high
- Take profit/exit short when the indicator value becomes neutral (zero).
The Trend Directional Force Index indicator can be used to identify trend breakouts, short-term trends and range markets.