Sidus indicator presented in the platform MetaTrader 4 and MetaTrader 5, has several versions. One of its last versions, 5th, is an indicator switchman, which shows the points for opening positions by the arrows. It is among the most accurate indicators to trade which can bring maximum profit.
Sidus indicator in action
The basis of the sidus indicator, lies the homonymous method, which is based on using two sets of moving averages. These kits create a kind of channels, the intersection of which gives the most accurate signal to open positions. In the signal 5-th version of the indicator the intersection points are not displayed, but are displayed as arrows of different colors. We consider the most common version of the indicator – Sidus-2.
Sidus indicator includes the following tools:
- EMA – exponential moving average;
- RSI – relative strength index.
Note that the trader need to download and install the indicator which already includes the combination of these tools. Main trading options: time interval of 1 hour, the currency pair EUR/USD.
Important! Trading with this tool handy on an upward or downward trend, whereas in the flat (horizontal, sideways), Sidus indicator can give many false signals. In such cases, the use of additional filters, for example, MACD, EMA 180 is recommended.
Buy signal (green arrow): fast EMA (moving with a large period, the system displays a red line on the chart) is above or below the slow EMA, RSI value with the specified period above or below the 50 level. Stop loss is at 20 points, exit from the market 50% of the position to achieve a profit of 15-20 points. To increase profits the partial closing of a position is recommended, and then moving the stop loss to breakeven and using a floating trailing stop.
Sell signal – red arrow, the principle of entry into the market and set stop loss the same. Enter the market on the next candle after the signal of the indicator.
The strategy is quite successful and works on time intervals of 1-4 hours (the optimal value of the timeframe). Other pairs are not recommended.