The WAE ADX Bollinger indicator can work together with any existing trading strategy or system as a simple trend confirmation technical tool. All of the indicators used to create the histogram graph below are excellent and well-known trend indicators.
Waddah Attar Indicator
This indicator is a trend-following indicator that shows the trend strength and explosion power (momentum), it can help traders identify the periods in the price when a strong move is starting to happen, these moves can be bullish or bearish and even against the current trend direction.
Average Directional Index (ADX)
The Average Directional Movement Index or ADX indicator is available as standard with the cTrader platform. It can be used to help measure the overall strength of a trend by calculating the average of expanding price range values. The ADX is a component of the Directional Movement System developed by Welles Wilder.
Bollinger Band Indicator
The Bollinger Band indicator is a technical analysis tool defined by a set of trendlines plotted two standard deviations both + and - away from a simple moving average (SMA) of an asset's price, it is mainly used to generate oversold or overbought signals.
Requirements
No specific requirements, this indicator should work with all versions of the cTrader Desktop platform, but not the mobile version.
How to Trade Using this indicator?
This is a very simple indicator to use and should be accompanied by other indicators to help confirm the trade direction.
- The histogram has a steady increase of Green bars. (BULLISH)
- The histogram has a steady increase of Red bars. (BEARISH)
As you can see from the chart above once there is a definitive v-shaped peak of red bars for the bearish trend and the peak starts to fall, you should exit your sell trades, the reverse would apply to a v-shaped peak of green bars for a bullish trend.
Custom Parameters
The indicator allows you to set the periods for the RSI, two EMA and one MA indicator that make up the derivative oscillator indicator.
- Show Author - this displays on the chart information where the indicator was downloaded.
- ADX Period= the number of periods for the Average Directional Movement Index indicator.
- Bands Period = the number of periods for the Bollinger Bands Indicator.
Remove Author Box
You can easily remove the author box shown on the chart by setting the show author parameter in the indicator settings to No.
How To Install & Remove
First, make sure you have the cTrader trading platform installed and then simply unzip the file and double-click on it to automatically install it onto the platform.
Any Questions?
If you have any questions, please first search our product help forum for the answer, if you cannot find it, post a new question.
Join Telegram Community
You can join a Telegram community and chat with other traders to discuss, share and ask for help.
