Tweezer Indicator for MetaTrader 5 Download - Free - [TradingFinder]

The Tweezer Indicator is an analytical tool designed based on the Tweezer Pattern. This pattern forms at the end of a trend, where two consecutive candlesticks appear at either the highest or lowest price.

This indicates the presence of a strong support or resistance level, preventing further price increase or decrease.

Tweezer Indicator Specifications

The specifications of this MetaTrader 5 trading Assist indicators are summarized in the table below:

Indicator Overview

The Tweezer Indicator functions as follows:

If two consecutive candlesticks appear above both Moving Averages (fast and slow), with a shadow-to-body ratio of 2 to 3 times, these areas are displayed as trend reversal points on the chart.

• Bullish reversals are displayed with a green box.
• Bearish reversals are marked with a yellow box.

Indicator in a Bullish Trend

In the GBP/USD uptrend, two bullish candlesticks with a longer lower shadow than the body and a shorter upper shadow are considered trend reversal signals.

The indicator detects these candlesticks and draws a green box, indicating a bullish trend reversal.

Indicator in a Bearish Trend

In the USD/CAD chart, after reaching a price peak, candlesticks with long shadows appear, indicating weakening buyer power.

The Tweezer Indicator detects these bearish candlesticks and marks them with a yellow box, alerting traders of a potential bearish trend reversal.

Tweezer Indicator Settings

The image below displays the settings panel for the Tweezer Indicator:

• Shadow/Body: Adjust the shadow-to-body ratio of candlesticks
• Long Shadow/Small Shadow: Set the ratio of long shadows to short shadows
• Fast MA Period: Define the Moving Average period for the fast MA
• Slow MA Period: Set the Moving Average period for the slow MA
• Bearish Hammer Color: Set the color for bearish hammer patterns
• Bullish Hammer Color: Set the color for bullish hammer patterns

Conclusion

Emphasizing the shadow-to-body ratio of candlesticks increases the accuracy of trend reversals, making the Tweezer Indicator a powerful tool for identifying reversal zones. Traders can enhance their analysis by using a buy/sell pressure indicator.

If the first candlestick has a larger body and the second candlestick has a smaller body, the trend reversal is more likely to occur.