Technical analysis tool I’m talking about today
I’ll tell you, it can be especially useful for beginner traders. It has something to do with the fact
that he doesn’t require any special skills to assess the situation and signals.
However, this is also characteristic of other indicators related to the category
arrowheads. LH Deviation analyzes market volatility and generates signals
to the entrance. They are displayed in the form of an arrow on the chart (white arrow to buy),
for sale – red).

Selecting a trading instrument and timeframe – on yours
discretion. There are no restrictions.

Installation in MT4 is standard. I have described the procedure in the article “Cheat sheet on Metatrader 4”. And now let’s move on to the settings of the LH Deviation indicator.

LH Deviation indicator parameters

When working with settings, pay attention to
the following parameters.

The number of candlesticks that the indicator should use in its calculations is determined by the “History” variable.

The timeframe you have chosen to trade should be specified by
the Time-Frame line.

The “Price” parameter is used to specify the type of price,
which will be used in the indicator algorithm (opening price, closing price),
average price, etc.).

Period, respectively, on the line “LH-Period”.

The “Deviation” parameter is used to set the deviation.

The other parameters in the settings are not very important. They concern the variants of notification about the occurrence of a favorable situation for the opening of trade orders. Nothing can be changed, but you can customize it according to your personal preferences.

Trade rules

In the chart the indicator will look like this:

If an arrow colored white appears on the chart,
it means you can open a buy order. You can sell a deal
to make a decision if there’s a red arrow.

As you can see, it’s very simple.

Probable losses are limited by means of stop-losses, which we place near local extrema. Well, there are different ways to close a profitable deal. Alternatively, when an arrow of another color appears. And you can focus on important levels or on the size of the stop loss. The LH Deviation indicator in any case requires testing on a demo account. During such trading you can try different ways of profit fixation and choose the optimal one. I would also recommend adding an additional techanalysis tool as a signal filter. In my example, it’s a volume indicator.

Download the indicator file at this link:

LH-DeviationDownload

Fyodorov’s Inga

19.09.2019