McGinley Dynamic Indicator for MetaTrader 4 Download – Free – [TFlab]

The McGinley Dynamic Indicator, introduced by John C. McGinley in the 1990s, is a technical analysis tool used in financial markets.

The main goal of designing this MT4 volatile indicator was to reduce delays in traditional moving averages and provide a more accurate view of price trends.

McGinley Dynamic Indicator Table

The table below summarizes the features of the McGinley Dynamic Indicator:

Indicator in an Uptrend

In the 1-hour AUD/NZD chart, when the McGinley moving average is broken by price, it uptrends.

After the price corrects to the indicator’s dynamic level, this area acts as a support zone, leading to the resumption of the upward price movement.

Indicator in a Downtrend

In the GBP/JPY price chart, the price decreasing and breaking the dynamic line indicates that the market is entering a downtrend phase.

Afterward, the price returns to this area, but it faces selling pressure as it encounters the dynamic resistance level, preventing further price growth.

McGinley Dynamic Indicator Settings

The settings for this McGinley Dynamic Indicator are displayed below:

• Number of Bars: The number of candles used for calculations
• Periods: The number of periods used to calculate the dynamic moving average
• Smoothing: Specifies the level of smoothing to reduce fluctuations and soften the indicator’s line

Conclusion

Although the calculation formula of the McGinley Dynamic Indicator may seem more complex than that of traditional indicators, its use is quite simple, and it can be applied in the MT4 trading platform.

Moreover, this indicator increases the accuracy of trading signals by reducing delays compared to traditional moving averages (EMA), leading to more accurate trend analysis.