Introduction to 3 EMA Crossover Indicator

Moving average crossovers are one of the best ways for traders to identify potential trend reversals by using technical indicators. This is often done by traders using a pair of moving-average crossovers.

The 3 EMA Crossover Indicator employs the same concept as moving average crossovers, but it also adds a third line that moves averages which provides additional confirmation for trend reversals.

What's the 3 EMA Crossover Indiator?

The 3 EMA Crossover Indicator, a technical indicator that tracks trends using bars, is a trend-following indicator.

This indicator plots bars in its own indicator window. These bars change colors to indicate the trend direction. It plots green bars for a bullish market, red bars for a bearish market, and orange bars for an indecisive one.

Binary bars are also a common feature. The strength of a trend does not affect its size. It changes only in color to indicate the direction of the trend.

How does the 3 EMA Crossover Indiator Work?

To identify the trend direction, the 3 EMA Crossover Indicator uses three underlying Exponential moving average (EMA) lines. The indicator will indicate a bullish trend if it finds that the fastest moving line has the highest value while the slowest moving average line has a lower value. It will draw a red bar if it finds that the fastest moving line has the lowest value while the slowest moving line has the highest value. This is a sign of a bearish trend. If none of the patterns are present, it will plot an orange bar to indicate indecision.

How to Use the 3 EMA Crossover Indiator for MT4

The indicator can be modified by traders using three variables.

The variables "MaPeriod1", MaPeriod2", or "MaPeriod3", all refer to how many bars were used on the underlying moving lines. The "MaPeriod1", "MaPeriod2", and "MaPeriod3", control the fastest moving average lines, while "MaPeriod2," controls the middle line. "MaPeriod3", controls the slowest moving average lines.

This indicator can be used as either a trend direction indicator or a trend reverse signal indicator.

Trend direction filters allow traders to trade trend continuation setups only in the direction indicated with the bars.

Traders can use the changing color of the bars to indicate a trend-reversal signal indicator.

Trade Setup

How to Enter?

When the 3 EMA Crossover Indicator shows a tall green bar, open a buy order. Place the stop loss below the entry candle.

When do you want to exit?

When the bars turn orange or red, close the trade.

Setup for Trades

How to Enter?

When the 3 EMA Crossover Indicator shows a red bar, open a sell order. Place the stop loss at the resistance higher than the entry candle.

When do you want to exit?

When the bars turn orange or green, close the trade.

Conclusion

This indicator can be used to indicate a trend reversal, but the signals it generates are not perfect. These signals should be used in conjunction with other technical indicators and trade setups, preferably for the long-term.

Indicators - Download Instructions

3 EMA Crossover indicator for MT4 (Metatrader 4 or MT4) is a Metatrader 4 indicator. Its purpose is to transform the accumulated historical data.

The 3 EMA Crossover indicator for MT4 allows you to spot patterns and peculiarities in price dynamics that are not visible to the naked eye.

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How do I install 3 EMA Crossover Indiators for MT4.mq4

• Download 3 EMA Crossover indicator for MT4.mq4
• Copy 3 EMA Crossover indicator for MT4.mq4 and add it to your Metatrader directory / experts / indicators /
• Metatrader 4 Client can be restarted or started
• Choose Chart and Timeframe to test your MT4 indicator
• You can search "Custom Indicators" using your Navigator, mostly left in your Metatrader4 Client
• Right click on the 3 EMA Crossover indicator for MT4.mq4
• Attach a chart
• Change settings or click ok
• Your Chart contains the Indicator 3 EMA Crossover indicator for MT4.mq4.

How do I remove the 3 EMA Crossover indicator for MT4.mq4 in your Metatrader Chart.

• Select the Chart in which the Indicator is running in your Metatrader4 Client
• Right-click to open the Chart
• "Indicators list"
• Select the indicator and click delete

3 EMA Crossover Indiator for MT4 (Free download)

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