This is an oscillatory indicator. It is also a trend-following indicator. The trader can choose to use it in any timeframe of their choice. This forex indicator is best suited for trading the GBP/USD, EUR/USD, AUD/USD, USD/JPY, EUR/JPY, USD/CAD, NZD/USD, and USDCHF currency pairs. But the forex trader can use it to trade other currency pairs, commodities, and even trading stock but its returns may not be good compared to those mentioned earlier. As with many other indicators, this indicator doesn’t redraw or repaint. It also gives email and sound alerts. This indicator is among the few that provide signals for short or long trades early in the trend, allowing the traders to catch most of the move.
Fig.1. The Chifbaw Oscillator Forex Indicator.
As seen in the above mt4 chart, the indicator is responsible for forming red and green bars that oscillate on a zero line. The green color bars form on the top side of the zero line, while the red bars are from below the zero line (in the negative region). The red bars in the indicator’s chart show that the market prices trend is downwards, while the green color bars show that the market prices trend is upwards.
The above chart shows that the indicator gives its signals very early at the beginning of the market trend. It provides its signals at the very beginning of the trend.
The trading signal of this indicator is when a bar of a different color is formed. This means that if the previously created bars were red and formed a green bar, there was a signal. If the formed bars change from red to green, then there is a buy signal. If the formed bars change from green to red color, then there is a sell signal.
Using the Chifbaw Oscillator Forex Indicator to place trades
While using this forex indicator, there are essential things to note. These include:
- Should open every trade after forming the second bar on the indicator’s chart. Failure to do this will result in losses since this indicator is very sensitive, and at the time, it senses even concise live trends.
- The opened trades should be closed immediately. There is the formation of an opposite-colored bar—no waiting for this candle’s second candle.
Opening sell entry positions: this should be done after the chart bars being formed change from green to red and after the formation of the second red color bar. You can use stop losses(SL) and take profit(TP), or you may opt to use the opposite color change to close the open order. When you use stop loss, you should place the stop loss at the previous high and the take profit at the last low.
Opening buy entry positions: this should be done after the bars being formed change from red to green and done after the formation of the second green color bar. You can use stop losses(SL) and take profit(TP), or you may opt to use the opposite color change to close the order. When you use stop loss, you should place the stop loss at the previous low and the take profit at the last high.
Fig.2. Placing an order using the Chifbaw Oscillator Indicator and using stops to close them.
Fig.3. Place order using the Chifbaw Oscillator Indicator and opposite signal to close them.
Chifbaw Oscillator Forex Indicator Free Download