Many Forex Brokers are adding MT5 to their trading platform list. Although MT4 and MT5 are similar, most of the indicators working on MT4 will not work on MT5. Let’s look for the top 5 MT5 indicators for 2020. If you have any other custom MT5 indicator please share it with us, we will share.
This article was originally written on the 3rd of September 2019. Since market conditions have changed, we have amended our best MT5 list for 2020.
April 15, 2020, | AtoZ Markets – You can find many MT5 indicators to assist your trading. Often, too many can also create extra confusion. Thus, I’d like to share my list of the best MT5 indicators with our readers. Before we start though, you need to know that what we define the best today, is not necessarily going to be labeled “best” tomorrow. This is due to the fact that market conditions always change.
You also need to be aware of those paid trading tools too. Many of the affiliate sales portals are somewhat corrupt, yes they have a conflict of interest since they make money from sales. You don’t have to pay anything for none of the indicators I’m going to talk about today, they are all free of charge thanks to our followers.
Why should you use custom MetaTrader 5 (MT5) indicators?
MT5 just like its predecessor, MT4, is a Metaquotes product. Presumably, Metatrader 5 is more advanced than MT4. It is suitable for all types of traders – whether you are a new or an advanced trader, or even a professional trader.
The MT5 platform supports not only its built-in standard technical indicators but also custom indicators, that users can create and share. You can find many custom MT5 indicators on AtoZ Markets indicators gallery, they are all free of charge.
So, what are the benefits of using custom MT5 trading indicators? Essentially speaking, you make your own strategy and even you can take it to the next level and build your own automated trading strategy.
Best MT5 Custom Indicators for 2020
Here is the list of the best MT5 forex trading indicators that can help you achieve your trading goals:
#1 Fisher and Stochastics Custom MetaTrader5 Indicator
Fisher and Stochastics MT5 Forex Trading Indicator is a combination of two indicators plus the template. The Fisher indicator is a custom indicator which oscillates around a zero line, presented as a histogram. This conveniently provides a buy or sell signal. Histograms with lime color indicate that the trend’s bias is bullish, while histograms with red color indicate the trend’s bias is bearish.
One of the advantages of the stochastic indicator is its ability to react quickly with what price is doing. This allows the trader to see minor swings, which scalpers love to take profit from. Another feature that the stochastic indicator has is its overbought and oversold levels. If the indicator is above 80, it is a sign of an overbought market condition. If the indicator is below 20, then it signals an oversold market condition.
#2 Bollinger Band Stochastic MT5 Custom Indicator
Combining the Bollinger Bands indicator, which is a volatility indicator, with the Stochastic indicator which is a momentum indicator we can find points in prices where the market is losing steam and it’s ready to reverse course. The Bollinger Bands will help you define your entry and taking profit points while the Stochastic indicator can be used to time the market.
To help the usage usual set of alerts is already built-in (along with multi-time framing) and along with the features already known in the basic BB stops indicator, it is being extended by the usage of stochastic.
#3 Fibonacci Bar MT5 Indicator
Fibonacci Ratios have been proven time and time again to be an excellent tool for forex traders. Pivot Point Support and Resistance is also a great tool for trading. In fact, many professional institutional traders use it, due to its objectivity and the fact that it is based on a mathematical formula. The indicator draws Fibonacci levels based on the last bar. The Fibonacci Bar indicator will redraw new levels on your MT5 chart each time you get a new candlestick.
#4 Cronex Impulse MACD MT5 Indicator
Cronex Impulse MACD MT5 Indicator is one of the stable trading indicators. It is an oscillating indicator. Cronex Impulse MACD gets its origin from a couple of moving averages. It measures the crossovers between the two moving averages and measures its separation. The bigger the separation, the stronger the trend.
MACD is a great tool to asses the mid to longer-term trends. This is because it tends to respond somewhat slower than most oscillating indicators. At the same time MACD also has a smoother oscillation, which in my opinion smoothens out the noise which some indicators are plagued with.
#5 Volume weighted MA indicator for MT5
Pattern-based trading strategies are one of the most popular types of trading strategies traders use. New traders are the most common traders utilizing these types of trading strategies.
Moving averages are one of the best tools for traders. MAs help traders identify the trend and possible market retracement zones. You could either use a single moving average and wait for the price to retrace to the area around that particular moving average. Alternatively, you can use multiple moving averages and use the area between those moving averages as an area where price could retrace to. Even in a strong trending market, the price will retrace towards one of the MAs. This is what retracement is all about.
Think we missed something? Or do you have a trading tool we should share? Please feel free to contact us.