Forex-EMA-Trend-Indicator
Watch the testing video here:
Forex EMA Trend Indicator
Introduction to the EMA Trend Indicator
Moving average lines are most basic type of trend following technical indicators. In fact, most traders would use some type of moving average line to help them objectively identify trend direction
The Exponential Moving Average is one of the most popular types of moving average lines because of its balance between responsiveness and smoothness. The EMA Trend Indicator is a tool that uses Exponential Moving Averages to indicate trend direction.
What is the EMA Trend Indicator?
The EMA Trend Indicator is a trend following indicator based on a set of Exponential Moving Average (EMA). This indicator plots two pairs of Exponential Moving Average lines. This set of EMA lines can be used to identify trend direction and potential dynamic support and resistance levels.
How the EMA Trend Indicator Works?
The EMA Trend Indicator plots four EMA lines which are based on two candle periods – a faster EMA line and a slower moving average line. The indicator then shifts one set of EMA lines up and another set of EMA lines down.
The magenta line is the faster EMA line shifted up, while the dodger blue line is the faster EMA line shifted down. The blue line is the slower EMA line shifted up, while the red line is the slower EMA line shifted down.
