Currency Power Meter Indicator for MetaTrader 5 Download - Free - [trading finder]

The Currency Power Meter indicator, a feature of MetaTrader 5, visually displays the relative strength of eight major currencies (USD, CAD, EUR, GBP, JPY, CHF, AUD, and NZD) in a panel on the chart. By comparing the daily closing prices of these currencies, the indicator calculates and presents a percentage-based daily strength for each.

For example, if the strength of the Swiss Franc (CHF) is 18.0% and the strength of the Japanese Yen (JPY) is 6.0% daily, the CHF is considered more robust. Therefore, we could anticipate an upward trend in the CHF/JPY pair in the daily or 4-hour timeframe.

Indicator Table

Overview

This indicator provides a comparative analysis of the strength of various currencies, enabling traders to make informed decisions about which currency pairs to trade. By considering multiple factors such as inflation rates and unemployment rates (data readily available on Forex Factory), this indicator eliminates the need for manual calculations. Traders can easily compare currency strengths across different timeframes.

Uptrend Signals

In the image below, we see a 4-hour chart of the GBP/CAD currency pair. The Uptrend Signals indicator calculated the strength of the British Pound (GBP) and the Canadian Dollar (CAD). The indicator shows that the GBP has a strength of -21.0%, while the CAD has a strength of -8.0%. Since the GBP is stronger than the CAD, we can expect the GBP/CAD pair to have an upward trend (Bullish) in the given timeframe.

Downtrend Signals

In the image below, we can see a 4-hour chart of the GBP/CHF currency pair. The Downtrend Signals indicator has calculated the relative strength of the British Pound (GBP) and the Swiss Franc (CHF). The indicator shows that the GBP has a strength of -21.0%, while the CHF has a strength of 23.1%. Given that the GBP is weaker than the CHF, we can anticipate a downward trend (Bearish) for the GBP/CHF pair in the 4-hour timeframe.

Settings of the Currency Power Meter Indicator

• Market Watch should be Show All: Click on MetaTrader's "Market Watch" window and select "Show All" to activate all symbols.
• Time Frame: Set the timeframe for the calculations. For example, choose "1 Day".
• Number of Candles for Calculate: This determines how many past candlesticks are used in the calculations. You can set it to 1 for better results.
• Clr1: You can choose the desired color for displaying the numbers.

Explanation: To calculate the strength of currencies across different timeframes, you can select the "Current" option to generate appropriate output for all timeframes.

Summary

This indicator, available on the MetaTrader 5 platform, can benefit forex currency pair trading. It aids both day traders and swing traders in identifying the overall trend direction in higher timeframes. However, it may not yield optimal results for scalpers operating in lower timeframes. By utilizing this indicator, a trader can leverage the strengths and weaknesses of various currencies within their trading strategy to determine the trend direction of different symbols.