It is rightfully considered one of the most informative and effective on Forex, but it has one drawback - it is not very suitable for the role of an identifier for flat conditions. Given this circumstance, the programmers decided to create BB MACD indicator- a combination of "Moving Average Convergence Divergence" and " Bollinger Bands».

Before proceeding to the description of trading techniques using the BB MACD indicator, let's recall the main features, the formulas of which were borrowed to calculate this modified instrument.

Download this technical indicator You can right here:

In the MetaTrader4 terminal, MACD is displayed in a separate basement window and is calculated as follows:

• First, the difference between two moving averages (MA) built for different periods is determined (the result is displayed as a histogram);
• Then, based on the obtained values, another moving average is built.

It should be noted that in classic exchange terminals (other than MT4) the method of calculating and constructing MACD is slightly different. However, today we will not focus on such nuances, since the BB MACD takes into account the values ​​of the "forex" version.

The BB MACD indicator is a combination of the above formulas, in particular, it is calculated according to the following scheme:

• First, key MACD values ​​are determined;
• Then Bollinger Bands are built on the basis of the obtained values.

Of course, the settings of the considered expert will contain exactly the same variables as the original indicators, in particular, the developers left the user the opportunity to edit the following parameters:

• FastLen - fast MA period;
• SlowLen - slow MA period;
• Length - period of the smoothing moving average (its values ​​are the final ones when calculating MACD);
• StDv - the number of standard deviations to determine the range of the BB channel (this is the same coefficient from the description of Bollinger Bands).

Thus, this tool allows you to evaluate the dynamics of the standard deviation of the MACD histogram from its average value. It follows that the Length variable must always be greater than one, because otherwise the Expert Advisor simply will not have data for calculations.

I would like to pay special attention to the graphical representation of BB MACD. As you can see, it is presented as a scatter plot, the color of which changes depending on the direction of the trend:

• Green dots correspond to an uptrend;
• Pink dots appear in a bear market;
• The upper and lower boundaries of the Bollinger channel are colored blue and red, respectively.

How to use the BB MACD indicator in Forex

The considered combination of standard functions effectively solves several problems at once. For example, it can be used to estimate the direction of the current price impulse (this is already obvious).

If this method seems unreliable due to the large amount of noise, the trend on the BB MACD indicator can be determined by the location of its main points. For example, if they are above zero, the bulls are stronger than the sellers; if they are lower, the bears have prevailed over the buyers.

The question here is only in the specific parameters of the system, since they will depend on the timeframe, the duration of the "quotation period" of the asset and other nuances to which the BB MACD indicator is not directly related.

The next strategy already uses combined signals, the thing is that this EA is quite good at identifying market segments.

The chart above shows one of such examples, as you can see, during a flat, the range between the BB lines begins to rapidly decrease, therefore, as soon as such a formation appears, you can bet on an early exit of the asset from the range.

By the way, adhering to the same logic, it is possible to determine the strength of the trend with high accuracy:

• if the distance between the channel lines increases, the movement accelerates, so it is better to work strictly according to the trend;
• if the channel range is shrinking, the momentum is weakening, which means that cautious counter-trend trades are appropriate.

In general, the result of the analysis based on the BB MACD indicator practically does not differ from the signals of the original algorithms taken as its basis, but one cannot but note the fact that in this case the entry points are identified with less delay.

Many traders continue to search for the "grail" - an absolutely win-win approach that brings only profit. How realistic this is remains an open question.

An effective strategy for M15 based on simple indicators is becoming more and more popular among foreign investors. Martingale elements allow you to successfully get rid of drawdowns and achieve almost breakeven trading.

Strategy features

The strategy uses 3 popular indicators:

• BB Alert Arrows - the usual "switchman", giving recommendations using pointers pointing up or down. It also issues alerts with the built-in MT4 alert.

• Heiken Ashi is a standard tool that displays the dominant trend in red (“bearish”) or green (“bullish”) color;

• MBFX Timing is a useful oscillator that shows the prevailing trend in the market at the moment. Green color - price increase, red - decrease, yellow - no expressive movements, finding quotes in a flat.

How to make deals

We buy a Call option if:

• a green arrow appears on BB Alert Arrows;
• Heiken Ashi displays a green candle;
• the oscillator turns green and indicates an increase.

We choose the Put direction if the following conditions match:

• the indicator draws a red arrow;
• a red candle is formed on Heiken Ashi;
• MBFX Timing is red and is starting to decline.

Application of Martingale

The Martingale method to a large extent allows you to reduce losses and increase your deposit. But for this you need to use it correctly, otherwise only the first few bets will be profitable.

The amount of each bet from the series depends on the following parameters:

• option yield; the lower the profitability, the faster the contract amount will have to be increased;
• The main task of a trader is to get the maximum profit or break even. A large bet is dangerous because it increases the risk of draining the deposit.

Let's consider the procedure for calculating the "knee" of the Martingale on a specific example. Let's say initial rate— 10$. The profitability of the transaction is 75%. If a trader intends to make a profit at each stage, which is equal to the amount of income from the first bet, then three consecutive transactions should look like this:

Bet #1= 10$. Income: $7.5; loss: 10$

Bet #2. The profit must be equal to $7.5, but it is also necessary to cover the $10 loss after the first unsuccessful trade. Thus, we need an income of $17.5. The bet amount is 17.5*(1/75%), i.e. $23.

Bet #3 calculated in a similar way. The loss after the first two trades is 10$+23$=33$. To cover unsuccessful financial transactions and make a profit in the amount of the minimum income ($7.5), the bet amount must be $54. With a successful transaction, we will receive an income equal to $ 40.5, which will allow us to get a plus.

Trade examples

Unfortunately, the BB Alert indicator has a significant drawback: it is redrawn, so you should not immediately enter the market after the arrow appears. In the graph below, detected redraws are highlighted in yellow (in test mode) and pink (in history).

Considering the situation with three rates, visually indicated on the chart, we find the third deal in a row, which brought a loss. However, the next contract was in the money as the trader increased the Martingale bet and covered the entire loss.

An unsuccessful series of three bets in a row for this strategy is very rare, but if this happens, it is better to accept the loss and start the calculation over from the first bet.

Helpful Hints

In order not to lose all your money, always follow these recommendations:

• do not increase the number of "knees" of Martingale above three;
• practice skills on a demo account for at least a month. This will help to identify all the shortcomings of the system and correct it;
• always take into account the time of the release of the news: do not buy options for 30 minutes. prior to the release of important data and immediately thereafter;
• plan your activities in advance. A trader's trading plan is a way to optimize trading and reduce risks;
• remember money management.

Download Martingale strategy files

Can't figure out how this strategy or indicator works? Write about it in the comments to this article, and also subscribe to our YouTube channel WinOptionSignals, where we will definitely analyze all your questions on the video.

Hello dear blog guests, today I decided to tell you about the BB MACD indicator. Already from the name it becomes clear that this tool is an improved version of the well-known indicator. Our today's hero is easy to use and highly effective.


BB MACD belongs to the category of trend tools, it allows you to identify trend reversal points, measure the strength of a trend and identify market consolidation.

Description of the BB MACD indicator

Unlike its predecessor, the BB MACD indicator has a channel consisting of two curves. This channel is designed to determine the price direction. If the channel lines are located close to each other, then this indicates a range.

A range is the absence of a trend, when the price seems to be “marking time” on the spot.

If the channel expands, this indicates the emergence of a trend. The faster the channel expands, the stronger the emerging trend. If the channel begins to narrow, this indicates that the trend is weakening in the market.

In the following picture, you can see an example of the markup of the indicator during high and low market activity.

The BB MACD indicator also draws dots of two colors: lilac and green, which suggest which order is best to open at the moment. Lilac dots indicate that it is time to sell, and green dots indicate that it is time to buy.

You can download the BB MACD indicator from the link below.
Its installation is carried out according to the standard scheme. Save the downloaded archive to the data directory of your trading platform, and then restart it. Then choose a suitable currency pair and transfer the indicator to it from the Navigator window.

Setting the BB MACD

After transferring the indicator to the chart, you will see the same window as in the picture below.

In the tab " Input parameters» you will be able to see the standard indicator settings, which mean the following:

• Fast Len - this line indicates the period for the fast moving average.
• Slow Len - here you can specify the period for the slow moving average. In this line, the value must always be greater than in the previous one.
• Length - here you specify the period for determining the standard deviation.
• Bars Count - here you specify the number of candles from the history on which the indicator will display its data.
• St. Dv. - here you specify the coefficient for plotting the standard deviation compared to moving averages. This parameter should be given special attention, since a lot depends on it. You can experiment with this value and achieve high efficiency. So, for example, by specifying the value 20 in this line, the indicator will clearly determine the flat in the market and the moments of exit from it.

You can see how the BB MACD indicator looks like in action in the photo below.

This algorithm can be used both in Metatrader 4 and Metatrader 5.

BB MACD Signals

The BB MACD indicator optimally combines the distinctive features of its constituent instruments. Thanks to the inclusion of the Bollinger Bands tool in its composition, this indicator is able to quite accurately identify the strength of the existing trend, as well as the level of market volatility. To reflect the parameters described above, the tool is provided with two curves that have a blue and a red tint. Using these curves, the tool creates a kind of channel.

In situations where the channel created by the curves of the instrument has a large width, this is evidence of the presence of a high level of volatility and a strong trend in the market. The narrowing of the channel described above is a signal of the trend or flat attenuation.

Practice shows that a strong compression of the channel precedes a strong jump price level. This feature must be taken into account when bidding.

The second type of signals that this algorithm produces is the intersection of points with a zero mark. If, after crossing, the points are placed above the zero level, then this indicates a global upward trend. If they are placed below the zero level, this indicates a downtrend.

The third type of signals is indicator points. Any experienced trader knows that in addition to the global trend, there are corrections in the market that make the price roll back from the main movement.

If there is a trend in the market for a long time, corrections are short-term. Our today's hero shows with the help of correction points. If there is a stable uptrend on the market, and the indicator draws a purple dot, this indicates a correction.

Rules for using the indicator in trading

The creators of the indicator advise using it on long time intervals. The larger the time frame, the more reliable the generated signals are.

1. If the channel of two curves began to expand.
2. The indicator began to draw green dots.

• The channel began to expand.
• The indicator began to draw purple dots.

It is worth exiting the market when the channel starts narrowing or when the indicator starts drawing dots of a different color.

To filter out false signals, the BB MACD indicator is recommended to be used in conjunction with an exponential moving average with a period of 14.

The signals generated by the BB MACD indicator are recommended to be filtered out depending on the location of the price level relative to the moving average. It is recommended to open buy deals only when the price is above the exponential moving average, and we create sell deals only when the price is below the exponential moving average.

With the help of these tools, you can create a very effective trading strategy, if, in addition, you follow the rules of money management.

In the next figure, you can see the same indicator, but with the value 20 in the St.Dv line.

Thus, the indicator allows you to filter out the flat. This tool is perfect for beginners in the Forex market due to the fact that it is easy to set up and use. Using this algorithm, it is easy to follow the market, as the visibility of the instrument is at its best. The BB MACD indicator reflects the current market situation much better than its predecessor MACD.

Indicator BB MACD, as the name implies, is a modification of the famous MACD oscillator. It is easy to use, it has a good, unambiguous visual indication, so it is convenient to use it.

BB MACD is trend indicator, which allows you to find market reversal points, determine the strength of the trend, identify the flat.

Free download You can find this algorithm here:

Distinctive features of BB MACD

In this algorithm, a channel of two lines, upper and lower, is added. This channel shows whether the market is moving up, down, or sideways. If the lines are narrowed, are close to each other or even parallel, we have a range. If the lines diverge in opposite directions (upper up, lower down), we get the beginning of an upward or downward movement.

The more the lines move away from each other, the stronger the current market trend manifests itself. Similarly, when the lines converge, the uptrend or downtrend fades.

The central line in the form of dots shows a change in the direction of the trend. Everything is elementary:

• lilac dots - sell;
• green dots - buy.

The BB MACD oscillator does not have a large number of different settings. Although it has more variables than MACD, it is quite convenient to work with it.

• FastLen – the period for constructing a "fast" average (default value is 12).
• SlowLen - here you enter the value for the "slow" average (default 26).
• Length - the period for calculating the mean and standard deviation (usually 10 is used).
• BarsCount - the number in this field determines how deep in the history to build the indicator, that is, how many bars or candles back the algorithm will be displayed (default 400).
• St. Dv. (standard deviation) – coefficient for displaying the standard deviation indicator in comparison with the moving average (usually 2.5). This parameter should be given special attention, since by changing its value, you can get good indicative results. Experiment with St.Dv., for example, a value of 20 gives a good indication of the period of consolidation or exit from it.

The appearance of the indicator is shown in the illustration below. The developers have provided two versions of the BB MACD, written in the mql4 and mql5 programming languages, so it can be used in both MetaTrader 4 and MetaTrader 5 versions.

BB MACD indicator signals

The previous illustration shows currency pair AUDNZD on the 4 hour timeframe. The higher the time span used, the higher the reliability of the signal. Default settings selected.

Hint: if you have changed the settings and forgot which ones were used by the developers, you should click on the "reset" button in the settings window to roll back all changes.

The change of colors from lilac to green signals a change in the direction of the market movement. The convergence and divergence of the lines give us information about the current situation on the chart, whether to plan purchases or sales.

Reviews of the other two oscillators:

Conditions for concluding a Sell deal:

• The upper and lower boundaries of the channel are located close to each other and begin to move away equally.
• The middle line has changed coloring to lilac.

Conditions for concluding a Buy deal:

• Channel deviation lines are close or parallel.
• The center line is green.

For confirmation BB MACD oscillator signals and noise cutoff, you can use the exponential moving average - MA14, where 14 is the value of the period for calculation.

By adding MA14 to the chart, we take buy signals only when the price rises above the "mask". The conditions for selling are opposite: when the price fixes below the middle line, we consider the possibility of concluding a sell deal. Based on these two indicators, you can build a good trading strategy by screwing a well-tuned money management.

Another shot of the same instrument but with St.Dv settings. = 20.

The BB MACD indicator can be advised to novice traders looking for a simple, but at the same time convenient and informative oscillator. With its help, it is easy to follow the market, as the visibility of the indicator is excellent. The introduction of a deviation channel into the program code is an excellent decision by the authors of the algorithm, which increases the efficiency of the software product.

In this article, we will talk about the usual “arrowman”, the BB Alert Arrows indicator, which gives advice using the up and down arrows. It also generates signals with a built-in MT4 alert.

Advantages of the indicator

There are two main advantages of the BB Alert Arrows indicator.

The first is the absolute accuracy of the signals. Signals appear, albeit not often, but on time. A lot of reviews from professional traders prove that the indicator signals give almost 95-97% of positive transactions on purchased options.

It can be compared with the popular Stochastic oscillator, which gives only 70-80% of positive signals. Working with MACD provides about 85% of transactions. In terms of efficiency, only the Ichimoku cloud can compete with BB Alert Arrows, which also guarantees 95% of positive transactions.

The second is the operation of the indicator in automatic mode and a quick notification of the trader about the appearance of signals. While opening a trading terminal with a running indicator, the user can devote time to his business. You don't always have to sit in front of your computer and wait for fresh signals. indicator in right moment will grab your attention with a loud alert sound.

Combination with other indicators

The BB Alert Arrows indicator goes well with other tools. Let's say that most traders use it along with RSI, moving averages, in order to weed out incorrect signals and leave reliable entry points. For example, if BB Alert Arrows gives a signal to buy “higher” options, but at the same time the RSI is in the neutral zone, then the signal is relatively weak. If the RSI is in the oversold zone at the same time, then you can open a deal without thinking.

Also used for "sifting" signals. Until the time when the price is above the MA line, all sell signals should be skipped, since in this case you will trade against the trend. In such a stay of quotes and the MA line relative to each other, it is necessary to look for opportunities to enter long positions. If the price is below the moving average, it is better to stop the choice on the “lower” option (non-long positions).

Tool Disadvantages

Cons of the BB Alert Arrows tool, like any other in the field technical analysis, eat. The main one is frequent redrawing of signals. For example, if at the opening of a new candle the indicator gives a signal about the imminent upward movement of the price and gives a signal to purchase an option to increase, then after a while, by the close of the same candle, the signal may change to the opposite.

However, this problem is easy to solve. It is important not to rush into opening deals. Buy options closer to the closing time of the price bar. For example, if you are working on a chart of 60 seconds, then you need to open trades 5-10 seconds before the opening of a new candle. When using the H1 interval, you should not buy options somewhere after the fiftieth minute of the formation of the price bar. The closer to the candle close you make the operation, the less likely the signal is to be redrawn.

In addition, the BB Alert Arrows indicator is characterized by a small number of signals. Entry points are quite rare. For example, on an hourly period, signals can be formed with an interval of 2-3 for. On charts of 15 minutes - somewhere once in the continuation of each trading session.

This minus covers the fact that transactions that are carried out on such signals most often have a positive outcome. Plus, a trader can work with several assets at once. And with 1-2 signals per day from BB Alert Arrows for each of them, for all trading instruments, you can receive dozens of positive signals every day.

Trading strategy by indicator

Although the indicator under consideration is characterized by frequent repaints, it still remains quite popular among traders. The main reason lies in the extreme simplicity of the trading strategy. There is no need to invest a lot of time and effort into a detailed analysis of charts, carry out complex calculations, compare BB Alert Arrows data with the signals of other indicators, and load yourself with useless work.

Everything you need to trade is in trading terminal with the BB Alert Arrows indicator installed and loaded in it. You also need a good Internet connection and functioning computer speakers.

After you launch the indicator, it will automatically start analyzing quotes on the specified charts. With the determination of the desired entry point to the market, the trader will receive a signal. Plus, an arrow is formed on the chart in the direction where the quotes are likely to be directed in the near future. The user only needs to assign the amount of the trading operation, select best time expiration and purchase a suitable option.