Dots Indicator for Displaying Trend Direction in MetaTrader

Summary

The Dots indicator displays a directional trend estimate directly on a chart using colored dots: blue indicates bullish conditions and red indicates bearish conditions. Its calculation is described as using the cosine of the angle of price change, with a moving-average function used to retrieve prices according to a selected input price type. It does not rely on standard built-in MetaTrader indicators and is available for MT4 and MT5.

Users can adjust the calculation length, applied price, spike filter, and horizontal or vertical display shifts. A longer length increases lag while reducing false signals, according to the description; the filter is intended to reduce spikes without adding lag. The note explains the indicator’s display and parameters but provides no testing, signal rules for entries or exits, or evidence that its trend labels predict future returns. It should therefore be understood as a charting aid rather than a validated trading strategy.

Key ideas

• The indicator marks bullish direction with blue dots and bearish direction with red dots.
• Its calculation uses price changes and a cosine-based measure, with selectable price input.
• Increasing the length makes the indicator slower but is said to reduce false signals.
• A filter setting is intended to reduce spikes without adding lag.
• The description gives no performance evidence or complete trading rules.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.