Best Currency Strength Meter Indicator for MT4 and MT5. This free forex tool compares real-time currency strength using charts and scatter plots, helping traders identify strong and weak currencies for smarter trade decisions.
What Is the Currency Strength Meter Indicator?
The Currency Strength Meter Indicator is a forex analysis tool that compares how strong or weak different currencies are. It measures price movements and shows the results on your MT4 or MT5 chart.
This indicator helps you see which currencies are gaining strength and which are losing value. With this information, you can choose better currency pairs to trade.
Main Features of the Currency Strength Meter
The indicator has two main display modes that help traders view data in different ways.
1. Trailing Relative Strength View
This mode tracks how currencies move over time. It helps you spot ongoing trends and understand which currencies stay strong or weak over a period.
2. Scatter Plot Visualization
This view shows currencies as points on a graph. Each point represents strength and momentum. It helps you quickly find potential market changes or stable conditions.
Both options help traders study currency performance and understand market behavior.
Customization Options
The Currency Strength Meter Indicator MT4/MT5 lets you adjust several settings for a better fit with your trading plan.
- Timeframe Selection: Choose how far back you want to calculate strength.
- Currency Selection: You can analyze up to five currencies at the same time.
- Resolution Setting: Zoom in for short-term analysis or zoom out for long-term trends.
These settings make it suitable for scalping, day trading, and swing trading.
How It Works
The indicator uses a simple formula to calculate strength.
For a currency pair (Base = B, Quote = Q), it measures:
IRS(t) = [Close(t) – Open(t)] / Open(t) * 100
This shows how much a currency has moved in percentage terms. Each currency’s data is compared to others, and the results form a Composite Relative Strength (CRS) value. The CRS helps you see the strongest and weakest currencies in one view.
How to Use the Currency Strength Meter
The indicator is a helpful tool for analysis, not a signal generator. It supports your trading decisions by showing strength relationships.
You can use it to:
- Identify strong and weak currencies.
- Match strong currencies with weak ones to find trade opportunities.
- Confirm entries and exits along with your other indicators.
- Spot possible reversals or trends before they form.
For example, if USD is strong and JPY is weak, you may look for a buy setup on USDJPY. If the USD later weakens, you can plan a sell opportunity.
Why Traders Use This Indicator
- Works on both MT4 and MT5
- Updates in real time
- Provides visual and numeric data
- Helps filter out low-quality trades
- 100% free and easy to install
It’s a great tool for improving trade selection and building confidence in your analysis.
Conclusion
The Best Currency Strength Meter Indicator for MT4/MT5 gives a clear picture of currency movements and overall market strength. It helps traders make more informed choices by comparing currency performance side by side.
This indicator is simple, flexible, and effective. It supports any trading style and can improve decision-making for both beginners and professionals.
