Colored Dragon Indicator - Comprehensive Guide

🔥 "Tame the Market with the Colored Dragon – Your Multi-Timeframe Trend Master!" 🔥

📌 Overview

The Colored Dragon Indicator is a powerful MetaTrader 4 (MT4) tool designed to identify trend direction, momentum shifts, and flat market conditions using a combination of moving averages (MAs), Parabolic SAR, and ADX. It provides clear visual signals in a separate window, making it ideal for traders who need quick trend confirmation.

⚙️ Indicator Settings & Configuration

Input Parameters:

Minutes (Default: 30) – Sets the timeframe for analysis (M1, M5, M15, H1, etc.).

MA1Val (Default: 8) – Period for the first moving average (fast MA).

MA1Type (Default: 0 = SMA) – Type of MA (0=SMA, 1=EMA, 2=SMMA, 3=LWMA).

MA2Val (Default: 18) – Period for the second moving average (medium MA).

MA3Val (Default: 24) – Period for the third moving average (slow MA).

MA2Type & MA3Type (Default: 0) – Same as MA1Type.

📊 How It Works

1. Trend Detection (Colored Histogram Bars)

🟢 LimeGreen Bar = Strong Uptrend (When MA1 MA2 MA3).

🔴 Red Bar = Downtrend or Weakness (When SAR Close & ADX -DI +DI).

🟡 Gold Bar = Flat/Ranging Market (When neither uptrend nor downtrend is strong).

2. Key Components:

✔ Moving Averages (MAs) – Identifies trend direction.

✔ Parabolic SAR – Confirms trend reversals.

✔ ADX (Average Directional Index) – Measures trend strength.

🔔 Trading Signals

Go Long (Buy) → When LimeGreen bars appear (MA1 MA2 MA3).

Go Short (Sell) → When Red bars appear (SAR above price & ADX -DI +DI).

Stay Out (Sideways) → When Gold bars dominate (no clear trend).

📌 Best Usage Tips

✅ Works best on M15, H1, H4 timeframes for swing trading.

✅ Combine with price action (support/resistance, candlestick patterns).

✅ Avoid trading during Gold (flat) phases unless scalping.

🔧 Installation Guide

Download the Colored Dragon.mq4 file.

Copy it to MT4 MQL4 Indicators.

Restart MT4 and attach it to any chart.

📜 Developer & Source

Developer: R.KH

Year: 2025

Official Website: https://www.robomql.com

🎯 Final Words

The Colored Dragon Indicator is a versatile tool for traders who need quick trend confirmation across multiple timeframes. Whether you're a day trader, swing trader, or scalper, this indicator helps you stay on the right side of the market with clear visual cues.

Trade Wisely – Let the Dragon Guide Your Way! 🐉📈