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The forex stochastic was calculated over a MACD line to create the Schaff Trend Cycle (MetaTrader forex indicator), a cyclical oscillator. The end result is an enhanced oscillator that responds rapidly to changes and is less choppy during market fluctuations. It was created by Mr. Doug Schaff, who made the assumption that movements in the currency market advance and decline in cycles. In 2008, the algorithm was made public. Forex MACD and smoothed stochastic oscillator, two techniques for identifying changes in trend direction, are combined in the Schaff Trend Cycle. The forex indicator’s value veers between 0 and 100. There are two trigger levels used: 25 and 75. Chart notifications are an optional feature. This forex indicator is available for download for MT4, MT5, and cTrader.
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Input parameters
Main
- MAShort (primary default = 23) is the fast-moving average’s period used to calculate the MACD line. It ought to be lower than MA Long.
- MALong (primary default = 50) is the slow-moving average’s period used to calculate the MACD line. It needs to be bigger than MAShort.
- Cycle (default = 10) — The number of chart periods for the cycle. Due to the consequence calculation of two FX stochastics, the resulting cycle is twice as long.
Alerts
- Draw arrows above or below the corresponding bars where an entry signal is created if ShowArrows (main default = true) is set to true.
- UpColor: the color of the bullish signal arrow (default: clrBlue).
- DownColor, the bearish signal arrow color (primary default: clrRed).
- When an entrance signal is generated, a showing alert will be called if ShowAlerts (main default = true) is set to true.
- When an entrance signal is created, a sound alarm will be played if SoundAlerts (primary default = true) is set to true.
- Email alerts (primary default = false) — if set to true, an email alert with an indication will be sent each time an entry signal is created.
- When an entrance signal is generated, a push notification alert will be delivered if PushAlerts (main default = true) is set to true.
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 | No Minimum Deposit ECN Acount No Commission | |
 | Min Deposit of 20$ |
Example
Forex Strategy
Selling an entry when the line falls below level 75 and buying an entry when it climbs above level 25 is the simplest and most straightforward approach to use this forex indicator in trading. Doug Schaff, the inventor of the Schaff Trend Cycle indicator, suggests the following strategy to weed out additional false entry signals: for a buy entry signal, the bar after the trigger bar should close above the trigger bar’s high; for a sell entry signal, the bar after the trigger bar should close below the trigger bar’s low. The bar that emerged simultaneously with the forex Schaff Trend Cycle indicator rising above 25 or falling below 75 is known as the trigger bar.
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