How to Trade Forex Using MT4 Currency Strength Meter

The Forex MT4 currency strength meter gives you a quick guide to determine the weak and strong currency. Isn't it profitable if you know the strength of currency?

When you hold an FX position, you always need to know the currency pair you are trading. This indicator makes many fascinating open doors for the traders and enhances the capacity to expose your perspective of two economies all the while. It can also be difficult to judge the performance of the currency pair without using such indicators. But by using the MT4 currency strength indicator you can drastically increase your profits in Forex trading.

MT4 currency strength indicator

Forex Strength Meter

The Forex strength meter is a tool that measures the strength of individual currencies in a pair. This indicator goes further in employing Moving Averages and ADX indicators to confirm the strength of a pair, identify the trend and identify the stage of the trend.

Try any of the indicators on a free trading account with an AtoZ Approved broker: 

MT4 currency strength indicator

The MT4 indicator takes the readings from every forex pair over the last 24 hours and applies logical calculations to each. It then bundles together each the associated currency pairs to an individual currency and thus finds out the current strength of the currency. You can download the MT4 currency strength indicator from here.

3 Advantages of Using MT4 Currency Strength Meter

Before using the indicator in real trading, learn about their advantages of using the MT4 currency strength meter that we have highlighted below:

1. Eliminates double exposure

Opening multiple positions with pairs that are highly correlated are not advisable as it gives rise to more exposure. Moreover, having higher exposure to a particular currency can be harmful should the analysis go wrong. For example, by going long on AUDCHF, AUDJPY, and EURJPY, a trader gives rise to double exposure if highly correlated.

2. Eliminates unnecessary hedging

If you already know the correlation strength between different pairs, then you can avoid unnecessary hedging. For example, there is a negative correlation between EURUSD and USDCHF that restricts taking positions in the same direction. The reason is when you win on one trade, you are more likely to lose on another trade.

3. Signals high-risk trades

Correlation between different currency pairs can also signal the amount of trade strategy risk. It might also happen that one of the pairs is indicating a strong movement, while the other is just ranging, which means to avoid entering the trades.

Try any of the indicators on a free trading account with an AtoZ Approved broker: 

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Should you trade using the MT4 currency strength meter at all?

Before you trade using the MT4 currency strength meter indicator, you'll want to read this.

Our in-house trading expert Dr Yury Safronau, PhD in Economic Sciences, gives you daily his best forex and cryptocurrencies to buy and sell signals right now. And it's not just based on any one indicator.

His trading strategies which are based on non-linear dynamic models have achieved more than 65 000 pips of profits since 2015. And right now there are some strong buy and sell signals across several markets.

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  1. Vincenzo Giordano says:

    It does not allow the indicator to be discharged.

  2. elijah audu gani says:

    hello. I tried to download but it won't let me, how can I get the indicator, please


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