Xmaster Formula is a universal Forex indicator that is usable in any timeframe and any currency pair. Moreover, this indicator is straightforward to use, and its interface is very user-friendly.
This indicator is suitable for intraday trading and provides the best result in M30, H1, and H4 timeframes at the London session.
Xmaster Formula Indicator Overview
Xmaster Formula indicator is like other oscillator indicators, shown in a separate chart beside the main chart window. This indicator’s main concept is to identify market reversal, which is indicated by some dots. Red dots in the indicator represent a bearish trend while the green dot represents a bullish trend. Therefore, it easy to understand the trading signals by watching those dots.
XMaster Formula Indicator Explained
The green and red dots follow the market trend by moving higher high and lower lows. However, the key point is when these dots reverse from red to green or green to red.
In the image, the green dot failed to create a new high and shifted to red dots, which is an indication that the bullish trend is going to end, and the bearish trend is forming. Therefore, it is very easy to understand for new traders.
However, to make the indicator more reliable, traders should implement other indicators.
The Xmaster Forumla Indicator provides rare trade setups that might discourage traders if they want to make trading decisions based on this indicator only. However, less frequent trades are more reliable than the most frequent trade setups.
How to Trade Using the Xmaster Formula Indicator?
In this section, we will see a simple trading strategy based on this indicator. At first, let’s have a look at elements of this trading strategy:
- Currency pairs: Majors (EURUSD and GBPUSD is preferable)
- Trading Session: London session
- Timeframe: 1 Hour to daily.
Buy Trading Rules
- A green dot appears after a yellow arrow pointing upside.
- A candle closes with a bullish body.
- Stop-loss should be below the bullish candle with 15 pips buffer.
- Take profit should be at the point where a red dot appears.
Sell Trading Rules
- A red dot appears after a yellow arrow pointing downside.
- A candle closes with a bearish body.
- Stop-loss should be above the bearish candle with 15 pips buffer.
- Take profit should be at the point where a green dot appears.
Let’s summarize the Xmaster Formula indicator:
- Xmaster Formula is an MT4 indicator that is used for a market reversal trading.
- The interface of the Xmaster Formula indicator is straightforward.
- It is better to use other indicators besides the Xmaster Formula indicator to increase the probability.