Power Fuse indicator is a combination MACD indicator и Bollinger BandsThe Power Fuse indicator can be used on any timeframe and currency pair. The Power Fuse indicator can be used on any timeframe and currency pair.
MACD indicator is represented as blue, red and yellow dots:
- Dots in blue color - MACD indicator is growing;
- Dots in red color - MACD indicator is falling;
- Yellow colored dots - zero level crossing.
Bollinger Bands are represented as blue solid lines and red or blue dashed lines.
Using Power Fuse indicator in trading
To get a signal to enter the market, it is necessary that the Bollinger Bands narrowed, after which the MACD indicator crossed their upper or lower boundary:
- MACD indicator crossing the upper boundary of Bollinger Bands is a buy signal;
- MACD indicator crossing the lower boundary of Bollinger Bands is a sell signal.
ForTrader.org experts note that Power Fuse indicator can be used as a source of signals for market entry only in combination with filtering indicators.