The zigzag indicator placed on the above chart is an MT4 indicator called Velocity Waves. This indicator is a very useful one in terms of understanding the trends in the market and how it proceeds. From the name, the waves carry information like s-speed, h-size, and v-average volume.
Check this example for the EUR/USD daily chart.
Indication is not enough and nowadays traders need an indicator that gives some valuable information about when to sell and buy. The previous chart had a price rise reaching the top shown in gray, which indicates a probable reversal of trend. And this was actually the case in the next two waves, so the signal here is to sell. Identifying whether to sell or buy depends on the price reaching the top first.
How to trade with Velocity Waves
As we expected to sell the trend, but is it time to actually sell? Well, you have to wait for trend corrections to enter in the position of selling, which are marked spots 1 and 2 below. Such corrections give you the signal to sell.
Live Trading with Velocity Waves Indicator
There is an option of live trading so that you can have more than one selling position as shown below
And here is how to have two selling positions:
In the first analysis, you can find that there are two waves reaching the top at the same time and another wave joins them later on in the second example. Such movement increases the probability that the price will decrease.
MT4 Indicator – Download Instructions
Velocity Waves – In order to transform accumulated history data, you need a MetaTrader 4 indicator. Velocity Waves – It is a MetaTrader 4 indicator that allows you to detect several changes and dynamics in price that many traders can’t estimate or see without an indicator, which highlights its essence and usage.Accordingly, traders can draw conclusions and make estimates about how the prices will change based on the information they have and then they can modify their strategy for better trading.
How to install Velocity Waves indicator for MetaTrader 4.mq4?
Velocity Waves indicator for MetaTrader 4.mq4Copy Indicator for MetaTrader 4.mq4 to your Metatrader 4 Directory / experts / indicators /
Start or restart your MetaTrader 4 Client
Select Chart and Timeframe where you want to test your mt4 indicator
Search “Custom Indicators” in your Navigator mostly left in your MetaTrader 4 Client
Right click on Velocity Waves Indicator for MetaTrader 4.mq4
Attach to a chart
Modify settings or press ok
Velocity Waves Indicator for MetaTrader 4.mq4 is available on your Chart
How to remove Velocity Waves Indicator for MetaTrader 4.mq4 from your Metatrader 4 Chart?
Select the Chart where is the Indicator running in your Metatrader 4 ClientRight click into the Chart
“Indicators list”
Select the Indicator and delete
Related Source: Velocity Waves Is ZigZag Based Indicators Helps You To Analyse Waves At Market!
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