The TMS Arrows indicator is a trading algorithm that, based on the direction of the current trend, determines the moment of opening a trade. Thus, its calculations, based on a modification of the standard Forex indicator, are used for trading during a trend in the market. The indicator is presented directly in the main price window a chart in the form of dots, which, depending on current market conditions, are painted in a certain color and are located above or below the candles on the chart. Taking into account the current ones, in addition to the trend, the moment of opening a trade is also determined.
The TMS Arrows indicator is suitable for trading on any timeframe, using any currency pairs.
The TMS Arrows indicator settings consist of several sections. Thus, the Input Parameters section is responsible for its technical operation, the Colors section is used to change its visualization parameters.
-TDI RSI period - calculation period of the TDI RSI indicator. The default value is 13.
-TDI RSI applied price - type of price to which indicator calculations are applied. By default, it is set to Close price.
-TDI Volatility band period - period of the indicator’s sensitivity to volatility. The default value is 34.
-TDI RSI smoothing period - smoothing period for indicator calculations. The default value is 2.
-TDI RSI smoothing method - the type of smoothing applied to calculations. The default value is Simple.
-TDI Signal smoothing period - period of the indicator signal line. Default value is 7.
-TDI Signal smoothing method - method for smoothing the indicator signal line. By default, it is set to Simple.
-Signal point anchor - type of price, based on which indicator points are formed. By default, it is set to High/Low.
The TMS Arrows indicator is very easy to use. To open a specific trade using the indicator, it should be taken into account the direction of the current trend, which in turn is determined by the color and location of the indicator point relative to the candles on the chart. If the current market trend is upward, long positions are opened, if the trend is downward -short positions. At the moment the current trend changes, trades are closed.
Signal for Buy trades:
- A point with a growth value is formed on the chart and is located under the candlesticks.
When such conditions are received on the signal candle, a buy trade can be opened due to the presence of an uptrend in the market. At the moment of its change, namely when opposite conditions are received from the indicator, the current trade should be closed and new ones should be considered.
Signal for Sell trades:
- A point with a fall value is formed above a certain candle.
A sell trade conditioned by the presence of a downward trend can be opened immediately upon receipt of such conditions. At this moment, a downward trend is determined in the market. The trade should be closed when opposite conditions are received. At this moment, a change in trend is possible, which will allow considering opening new trades.
The TMS Arrows indicator is a very powerful trading tool since its calculations are based on a modification of an effective Forex indicator. It is very easy to use, as can be seen when practicing on a demo account.