Change Percentage Indicator for MT4

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Change Percentage Indicator for MT4

Introduction to the Change Percentage Indicator

Most seasoned traders trading in stocks and other tradeable instruments would observe the direction of price movements based on the percentage change of price compared to the prior day’s close. The Change Percentage Indicator is built on the same concept. It can be used by traders trading on various tradeable instruments such as forex and could also be applied on various timeframes.

What is the Change Percentage Indicator?

The Change Percentage Indicator is an oscillator type of indicator which indicates the direction of the momentum of price by comparing the current closing price with that of the closing price of the prior period.

This indicator plots histogram bars to indicate the direction of the momentum. Positive green bars indicate a bullish momentum, while negative red bars indicate a bearish momentum.

Change Percentage Indicator for MT4

How the Change Percentage Indicator Works?

The Change Percentage Indicator computes for the percentage change of price using a formula that computes the current closing price with the prior closing price. First, it computes for the difference between the current closing price and the prior closing price. It then divides the difference with the prior closing price. Lastly, it multiplies the result by 100 to convert the result to a percentage value.

How to use the Change Percentage Indicator for MT4

The Change Percentage Indicator does not allow for any changes within its settings. There are no variables that traders can use to modify the indicator’s sensitivity.

The Change Percentage Indicator is primarily a momentum indicator. Traders can use this indicator to confirm the momentum of price action based on the direction and size of the bars that it plots. Traders should also use this indicator in confluence with other technical analysis based indications and price action in order to have a higher win probability. It should also be used just as a confirmation of the momentum of a trade signal rather than as a basis for opening a trade.

Buy Trade Setup

When to Enter?

Identify an uptrend market with an upward sloping support line. Wait for price action to retrace towards the support line. Open a buy order on the confluence of a bullish price action and a long positive green bar on the Change Percentage indicator. Set the stop loss on the support below the entry candle.

When to Exit?

Close the trade as soon as price action shows signs of a bearish reversal.

How to use the Change Percentage Indicator for MT4 - Buy Trade

Sell Trade Setup

When to Enter?

Identify a downtrend market with a downward sloping resistance line. Wait for price action to retrace towards the resistance line. Open a sell order on the confluence of a bearish price action and a long negative red bar on the Change Percentage indicator. Set the stop loss on the resistance above the entry candle.

When to Exit?

Close the trade as soon as price action shows signs of a bullish reversal.

How to use the Change Percentage Indicator for MT4 - Sell Trade

Conclusion

The Change Percentage Indicator can be an excellent momentum confirmation for a trade setup using various trading strategies. It can act as an additional confluence and confirmation regarding the direction of the immediate momentum which often is a strong indication of the shift in trend direction.

MT4 Indicators – Download Instructions

Change Percentage Indicator for MT4 is a Metatrader 4 (MT4) indicator and the essence of this technical indicator is to transform the accumulated history data.

Change Percentage Indicator for MT4 provides for an opportunity to detect various peculiarities and patterns in price dynamics which are invisible to the naked eye.

Based on this information, traders can assume further price movement and adjust their strategy accordingly. Click here for MT4 Strategies

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How to install Change Percentage Indicator for MT4.mq4?

  • Download Change Percentage Indicator for MT4.mq4
  • Copy Change Percentage Indicator for MT4.mq4 to your Metatrader Directory / experts / indicators /
  • Start or restart your Metatrader 4 Client
  • Select Chart and Timeframe where you want to test your MT4 indicators
  • Search “Custom Indicators” in your Navigator mostly left in your Metatrader 4 Client
  • Right click on Change Percentage Indicator for MT4.mq4
  • Attach to a chart
  • Modify settings or press ok
  • Indicator Change Percentage Indicator for MT4.mq4 is available on your Chart

How to remove Change Percentage Indicator for MT4.mq4 from your Metatrader Chart?

  • Select the Chart where is the Indicator running in your Metatrader 4 Client
  • Right click into the Chart
  • “Indicators list”
  • Select the Indicator and delete

Change Percentage Indicator for MT4 (Free Download)

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