Tom Demark (TD) Moving Average Forex Indicator
The Tom Demark (TD) moving average indicator for MetaTrader4 is a technical study that defines the logical locations for introducing stop loss orders or closing a trade, which clearly defines how the creator Tom Demark explains the TD Moving Average indicator.
The norm is to employ the price level represented by the Moving Average to describe a level to quit the long position or rather enter a stop loss on a position if the Moving Average of lows get activated.
It is critical to deploy the price level defined by the Moving Average to pinpoint a level suitable to close the sell position or to enter a stop loss on a position if the Moving Average of highs becomes activated.
The plot of the Tom Demark (TD) moving average indicator can be deployed for a period of 4 bars or rather still when the desirable circumstances are no longer in effect.
The input parameters for the Tom Demark (TD) Moving Average indicator includes:
Period – which defines the period of the averaging (with a default value of “14”)
ma_method – the parameter is used in defining the method of averaging (it has a default value of 0):
0 – Simple Moving Average
1 – Exponential Moving Average
2 – Smoothed Moving Average
3 – Linearly-weighted Moving Average
Price is said to be bullish when a candle opens and closes above the red line of the Tom Demark (TD) Moving Average indicator, while it is said to be bearish when price opens and closes below the red line of Tom Demark (TD) Moving Average indicator.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern indicator
Customization options: Variable (period, ma_method), Colors, width & Style.
Time frames: 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month