The "MACD" is one of the most popular oscillator indicators among Forex traders.
Some of the reasons are that the "MACD", on average, tells you the trade timing accurately and clearly, and it is very easy to use even for beginners.
To take things to the next level, a further improvement of the standard MACD is the indicator "ZeroLagMACD" for MT4, which we introduce here. At the bottom of the page, you can also download it for free.
One of the weaknesses of the regular MACD is the slow entry signal. Even if you place an order after the entry signal is shown on the "MACD", the trend may have already advanced considerably.
"ZeroLagMACD" addresses these weaknesses of the regular MACD.
In the image below, the "ZeroLagMACD" and the standard "MACD" are displayed side by side. As you can see from this image, the "ZeroLagMACD" shows the entry signal sooner. As a result, you will be able to get on the trend a few candlesticks earlier than if you trade with the regular MACD.
Another advantage of ZeroLagMACD is that it offers more trading opportunities. However, keep in mind that there may be some "whipsaw" signals also.
How to use:
When trading with the "ZeroLagMACD", it is important to deal with these "whipsaws". As a trick to reduce the fake signals, it is a good idea to filter them out with an additional tool, such as by using a moving average or the RSI.
- FastEMA - The period used for FastEMA calculation
- SlowEMA - The period used for SlowEMA calculation
- SignalEMA - The period used for the MACD Signal calculation
Download the "ZeroLagMACD" indicator from the button below
Do you need help with installing this indicator into MT4 for Windows or Mac OS? Our guide HERE will help you.