The Bollinger Bands smooth nrp mtf indicator is a trading algorithm whose calculations are based on a modification of the standard Bollinger Bands forex indicator using additional smoothing. Its calculations, as in the standard version, are aimed at trend trading, which is carried out by determining the direction and strength of the current market trend. The indicator is presented in the lower window of the price chart as a solid line with signal levels, the color and direction of which depend on the current market conditions and are taken into account when opening a specific trade.
The Bollinger Bands smooth nrp mtf indicator can be used with any currency pairs on any timeframe. Keep in mind that the indicator is suitable for trading in multi-timeframe mode.
The Bollinger Bands smooth nrp mtf indicator has several sections in its settings and each of them is responsible for the overall functioning of the indicator. So, the Input Parameters section is responsible for its technical work, the Colors section is for general visualization, and to add signal levels to the indicator window, the Levels section is used.
-TimeFrame - parameter for using the trading timeframe. The default value is current.
-BandsPeriod - indicator calculation period. The default value is 20.0.
-BandsMa Type - the type of smoothing used by the moving average of the indicator. The default value is Simple moving average.
-BandsPrice - type of price to which the indicator calculations are applied. By default, it is set to Close.
-BandsDeviation - the current deviation of the indicator values from the standard. The default value is 2.0.
-BandsDeviationSample - parameter for using deviation in indicator calculations. The default value is false.
-T3Hot - indicator smoothing calculation period. The default value is 1.0.
-T3Original - parameter to use the original line of the T3 indicator. The default value is false.
Since the Bollinger Bands smooth nrp mtf indicator is easy to use, it will not be difficult to open a certain trade using the indicator. To do this, it should be taken into account only the direction and strength of the current trend, which in turn is determined by the color, direction and location of the indicator line relative to the signal levels. If the indicator determines an upward trend, buy trades are opened, if the trend is downward, sell trades. When the trend changes, in both cases trades are closed.
Signal for Buy trades:
- The indicator line has a color with a growth value and moving up is located above the 0 level.
Upon receipt of such conditions on a signal candle, a buy trade may be opened, due to the presence of an uptrend in the current market. Upon receipt of the opposite conditions, namely, when the color and direction of the line change, the trade should be closed. At this moment, a change in the current trend is determined, which will allow considering the opening of new trades.
Signal for Sell trades:
- The indicator line is directed downwards and is located below level 0. At the same time, it is colored in color with a falling value.
Upon receipt of such a condition, a sell trade can be opened on the signal candle. At this moment, a downtrend is determined on the market. If it changes, namely, upon receipt of reverse conditions from the indicator, the current trade should be closed and a new one should be considered.
The Bollinger Bands smooth nrp mtf indicator is very effective, but at the same time easy to use. To improve the accuracy of the indicator signals, it is recommended to use the indicator with additional filters, advisers and indicators. Practice on a demo account is recommended before using the indicator on a real deposit.