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MACD 4C is the indicator of the thriving traders in the market. Technical traders form the majority of the trade market. These traders use tools and indicators to understand the market and forecast upcoming reversals, trends, and price movements.
The most common tools used by these traders include the Moving average convergence and divergence or MACD. Its advanced version is called the MACD 4C, which represents MACD in a histogram. To accurately determine the trend’s strength, this indicator displays the histogram in 4 colors and makes it easier for traders to read it.
If you are a traditional MACD user, your histogram will only have one color. However, as the name of MACD 4C shows, this indicator shows the histogram in 4 colors for visual easiness. It is not biased by trading platforms and can be used for any. It helps pan out the price direction along with the strength. To learn about the best MACD settings, visit our page.
This indicator you can use together with MACD indicator MT4 two lines
MACD 4c on MT4 EURUSD Daily Chart
Download MACD 4C IndicatorDOWNLOAD MACD 4C INDICATOR
MACD 4C trading methods
In a MACD 4C, if the histogram is above the zero line, green and lime colors will be prominent. Below the zero line, maroon and red colors are recognized.
The MACD 4C indicator is handy as it is the best for defining convergence and divergence. If you want to identify a trend’s beginning, you should use the MACD 4C. When market price and the indicator move in the opposite direction, they show convergence or divergence. These signals tell the trader about the impending changes in the momentum of an existing trend. Forex traders can use this information of convergence and divergence with another tool to define the most profitable entry points. For instance, Stochastic and RSI indicators are some of the most widely used indicators with this tool, and they help filter signals to land on a robust trading plan.
The MACD 4C is easy on the eyes and is best for both new and advanced traders. When combined with multiple indicators, it helps in reaching more valid results. It is also free to download.
This tool’s divergence and convergence predicting facility make it high in demand. Since this is a free tool suitable for both rookie and advanced traders, it adds more support and substance to a trading technique. You should always confirm the signals of this indicator with other tools and chart-based indicators to reach more strengthened results and increase your profits.