Tm555 Indicator

The TM555 Indicator is a forex trading system for high-frequency scalping. Multiple custom indicators are used to identify potential trade signals based on a combination of TMA bands alerts and fractal indicators. This system can generate profitable trades, but the use of custom indicators may complicate it. In this article, we will take a closer look at the TM555 indicator, it’s trading strategy, and how traders can use it effectively in the market.

What is the Tm555 Indicator?

The TM555 Indicator is a trading system that utilizes five indicators on the main price chart and two indicators in the sub-windows. On the price chart, the FL 01 indicator is responsible for plotting narrow red and blue lines within the bigger price band, while the holy signal indicator requires up and down arrows. When the market hits one of the price bands, the TM555 indicator signals an alert and forms thick green and blue lines on the price chart to indicate market trends. On the price chart, the i-fractals indicator shows blue and red dots, but it does not provide much value to the trading strategy. The SoeHoeCom peak indicator in the first sub-window is a custom indicator that displays intersecting green and red lines in reaction to bullish or bearish market movements.

Tm555 Indicator Strategy

The TM555 Indicator is a high-frequency scalping strategy used in forex trading that combines numerous indicators, such as the TMA bands alert and fractal indicators. This trading strategy is also appropriate for trading high/low binary options. The strategy identifies entry and exit points for long and short positions using a variety of custom indicators.

To utilize the TM555 Indicator for long positions, traders should wait for the market price to reach the lower end of the price band. Once the price breaks out of the previous swing high, traders may enter a long position with an initial stop loss at the most recent swing low.

For short positions, traders must wait for the market price to reach the upper end of the price band. Once the price breaks out from the previous swing low, traders may enter the market with a short position and set their first stop loss at the recent swing high. Then, they should open a second position with the same stop loss level targeting the lower price band.

Buy Signal

Tm555 Indicator BUy Signal
Tm555 Indicator BUy Signal
  • Wait for price action to go toward the lower end of the price band.
  • Wait for the price to break out from the previous swing high. Upon this breakout, traders may open a long position.
  • Set a stop loss for your position at the recent swing low or according to your money management strategy.
  • When the blue dots turn red or when the price hits a significant level of resistance, traders may close their trades.

Sell Signal

Tm555 Indicator Sell Signal
Tm555 Indicator Sell Signal
  • Wait for the price action to go toward the upper end of the price band.
  • Wait until the price breaks out of the previous swing low. On this breakout, you may enter a short position.
  • Set a stop-loss order beneath the entry candle or according to your money management strategy.
  • Traders may exit their trades when the red dots become blue or when the price hits a significant support level.

Tm555 Indicator Pros & Cons

Pros

  • The TM555 indicator is a high-frequency scalping strategy that may generate numerous opportunities for trading.
  • Multiple indicators and price bands may assist traders in determining entry and exit positions in the market.

Cons

  • The usage of several custom indicators might make the trading strategy complicated for novice traders to understand.
  • The signals provided by the indicators are not always accurate and may sometimes produce false signals, which can result in financial losses.
  • The indicator disregards fundamental analysis, which might be essential in determining market direction.

Conclusion

In conclusion, the TM555 alert strategy is a high-frequency scalping strategy that uses more than one indicator to trade. Due to the strategy’s complexity and the absence of information on some indicators, it should be used with caution, despite its potential effectiveness in forex trading. Before utilizing the strategy in live trading, traders should exercise caution and fully backtest it.

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