HomeForex MT4 IndicatorsTraders Dynamic Index with Visual Alerts Indicator for MT4

Traders Dynamic Index with Visual Alerts Indicator for MT4

Introduction to the Traders Dynamic Index with Visual Alerts Indicator

Most oscillators provide trend and momentum indications with a limited perspective. The Traders Dynamic Index with Visual Alerts is one of the most complete technical indicators that provide all necessary information regarding the current market.

What is the Traders Dynamic Index with Visual Alerts Indicator?

The Traders Dynamic Index (TDI) with Visual Alerts Indicator is a versatile technical indicator which provides multiple information and indications regarding trend direction, momentum, and overbought or oversold market conditions.

It is an oscillator type of technical indicator which incorporates the Relative Strength Index (RSI), moving average, and Bollinger Bands in one indicator.

This version of the TDI however provides signals and indications regarding the latest trend and momentum, as well as the price point where the signal developed.

Traders Dynamic Index with Visual Alerts Indicator for MT4

How the Traders Dynamic Index with Visual Alerts Indicator Works?

The TDI mainly has the RSI as an oscillator which moves within the range of zero to 100. It then plots a moving average line based on the RSI. It also computes for a volatility band, which is somewhat like a Bollinger Band based on the RSI with an upper, middle, and lower line. The middle line of the volatility bands is also a moving average of the RSI, while the outer lines are standard deviations from the middle line based on the volatility of the RSI line.

The TDI Trend signal is then based on how the RSI line crosses over and overlaps with its moving average line, while the buy or sell signal is based on the crossing over of the RSI line and the middle line of the volatility bands.

How to use the Traders Dynamic Index with Visual Alerts Indicator for MT4

This indicator has several variables and options which can be tweaked related to its RSI line, the moving average line, and its volatility bands.

How the Traders Dynamic Index with Visual Alerts Indicator Works

There are several ways to use the TDI with Visual Alerts Indicator.

The most basic would be to use the confluence of signals presented by the indicator using the arrows plotted by the indicator.

Traders can also use the crossing over of the RSI and the moving average line coming from an oversold or overbought territory as a mean reversal strategy.

Buy Trade Setup

When to Enter?

The RSI line should cross above the middle line of the volatility bands. Open a buy order as soon as the RSI line crosses above its moving average line. Set the stop loss on the support below the entry candle.

When to Exit?

Close the trade as soon as the RSI line reverses back down coming from above the upper volatility bands line.

How to use the Traders Dynamic Index with Visual Alerts Indicator for MT4 - Buy Trade

Sell Trade Setup

When to Enter?

The RSI line should cross below the middle line of the volatility bands. Open a sell order as soon as the RSI line crosses below its moving average line. Set the stop loss on the resistance above the entry candle.

When to Exit?

Close the trade as soon as the RSI line reverses back up coming from above the lower volatility bands line.

How to use the Traders Dynamic Index with Visual Alerts Indicator for MT4 - Sell Trade

Conclusion

The Traders Dynamic Index with Visual Alerts is one of the few technical indicators which can work as a complete trading strategy and system by itself. Traders can easily use this indicator to find high probability trades.

Recommended MT4 Broker

  • Free $50 To Start Trading Instantly! (Withdrawable Profit)
  • Deposit Bonus up to $5,000
  • Unlimited Loyalty Program
  • Award Winning Forex Broker
  • Additional Exclusive Bonuses Throughout The Year

Recommended broker

>> Claim Your $50 Bonus Here <<

(Free MT4 Indicators Download)

Click here below to download:

Traders Dynamic Index with Visual Alerts Indicator for MT4

Tim Morris
Tim Morrishttps://www.forexmt4indicators.com/
Tim Morris is a work from home dad, home-based forex trader, writer and blogger by passion. He likes to research and share the latest forex trading strategies and forex indicators on ForexMT4Indicators.com. His passion is to let everyone to be able to learn and download different types of forex trading strategies and mt4/mt5 indicators at ForexMT4Indicators.com
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular MT4 Indicators

Most Popular MT5 Indicators