Supertrend Indicator for MT5

The Supertrend indicator is a non-repaint MT5 trend indicator. It applies only one trendline curve to display market trend reversal points. In financial trading, a trend is only your friend when you can correctly predict its direction. However, determining the correct trend is not enough for profitable entries. We need to assess the strength behind the price, the possible range of upcoming market movements. This updated version of Supertrend tells you the current state of the trend and helps you analyze the strength/weakness of price movements. How to use Supertrend for trading forex and stocks in MT5 The Supertrend value is calculated based on its Nbr period and multipliers. Market trends will be determined depending on the price position relative to the indicator level. The Super Trend indicator can be displayed in two versions, areas and signal line. As a rule, the price breaks the Supertrend line, maintaining its position above the indicator level, which means that the price is moving up. The indicator turns green during a bullish trend in the market. In this case, the indicator level will work support for the trend line. Whenever the price breaks the support line, the color of the indicator turns red, signaling a bearish trend. During a bearish move, the price sees the Supertrend level to the trendline. If you take a close look at the chart above, you will notice that the Supertrend line does not respond to the close of every price candle. Sometimes the indicator level stays the same and builds a straight horizontal line. This happens when the price fails to break the high/low of the previous candle and closes inside bar. Thus, whenever the level of the indicator ticks, we consider market stops. When you find that the market is sideways, wait for a strong price breakout anyway. For example, open a sell order when the price makes a bearish breakout following a down market. Otherwise, enter a long position if the price makes a bullish breakout at the Supertrend resistance level. In addition, you can use the supertrend line an initial and a trailing stop level to enter a trade. Close the order when the price breaks the trend line in the opposite direction from where you entered the trade. Conclusion The Supertrend indicator works similarly to moving averages. It includes just a few simple trading rules that are very easy to learn. Thus, in addition to experienced traders, beginners can also take advantage of its classic trend signals. Moreover, you can easily combine it with any trend following trading strategy. This indicator has been specifically tuned to identify intraday trend reversal conditions. However, it also gives accurate buy/sell signals for day trading, especially for FX and Equities.