This is a famous indicator I have seen used by many Forex traders in MT4 platform. This indicator uses the difference between EMA of "close" and EMA of "open" to form the oscillator lines (not just a convergence/divergence calculation between EMA of "close")
Current market state is determined by which histogram is above zero line. For more confirmation, wait for it to cross above Signal line too. Crossing down the signal or zeroline should be the exit condition. Also, look for divergences.
Use plot labels BullHisto/BearHisto/BearLine/BullLine/ZeroLine/Signal for setting up alerts.
Hey lazybear, I am not really understanding how to use this indicator. If you could provide a bit more detail on how to enter and exit that would be really helpful. Thanks for sharing as always. I really like your posts. Keep up the good work!!
LazyBear
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The histo color above zeroline determines the state. For entry/exit, The signal line should give you entry/exit as well as a long term view.
moneymaking
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Thank you for the clarification!!
stenor
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I like this indicator very much. In initial testing it has great potential. Thanks for sharing this indicator with us.
falseS
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dojitrader
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I noticed the Elder Impulse System is not on your indicator list.
I've been testing with this and was wondering if you have abandoned the indicator
or are still fine tuning any problems you've uncovered.
Thanks so much Lazy Bear !!!!
Wishing you lots of pips in your pocket for 2015 ~~~~~~