The Dadas True Trend V3.1 Indicator for MT4 is a powerful forex trading tool that calculates market trends based on higher highs and lower lows. This innovative approach helps traders identify uptrends, downtrends, and neutral trends, ensuring they only enter trades when the market shows clear directional strength. Unlike many indicators that lag or rely on complicated algorithms, Dadas True Trend V3.1 simplifies trading decisions through pure price action analysis.
This indicator stands out because it not only detects trend direction but also provides potential entry and exit points, making it a complete trading system. Whether you are a beginner learning trend structures or an advanced trader building a strategy, this indicator adapts to your style seamlessly.
The core logic of the Dadas True Trend V3.1 Indicator for MT4 lies in its use of market structure principles:
Higher highs and higher lows indicate an uptrend.
Lower highs and lower lows indicate a downtrend.
Flat or mixed structures indicate a neutral trend.
The indicator visually represents these trends using color-coded lines:
Blue lines for bullish (uptrend) conditions.
Red lines for bearish (downtrend) conditions.
Dark khaki lines for neutral (sideways) conditions.
This clear color distinction allows traders to interpret the market at a glance. The indicator also plots bullish and bearish extensions, which can serve as dynamic stop-loss or confirmation zones for active trades.
The Dadas True Trend V3.1 indicator is not just a visual aid — it forms the foundation for an effective trend-following trading strategy.
When the indicator plots a blue line below the price and no red line appears above it, the market is trending upward. Traders can:
Enter a buy trade.
Set a stop-loss just below the previous swing low or the last blue extension line.
Exit either at an opposite (red) signal or with a favorable risk-to-reward ratio.
When a red line appears above the price, it indicates a downtrend. Traders can:
Open a sell position.
Place a stop-loss above the previous swing high.
Exit when a neutral or opposite signal appears.
If the indicator displays a dark khaki (neutral) trend, traders should stay out of the market. Neutral phases often signal consolidation or low volatility, where price action is uncertain.
This “no-trade” feature makes the Dadas True Trend V3.1 particularly valuable — it helps traders avoid false signals and unnecessary losses.
Simple yet powerful: Uses pure price action (HH/LL) without complex formulas.
Effective for intraday trading: Performs best on lower timeframes (M5, M15, M30).
Complete trading system: Provides both entry and exit points.
Prevents overtrading: Identifies neutral zones to keep traders disciplined.
Beginner-friendly: Easy to install and interpret even for new MT4 users.
Advanced traders can integrate the Dadas True Trend V3.1 into multi-timeframe systems or combine it with other indicators like RSI or Moving Averages to confirm entries.
The Dadas True Trend V3.1 Indicator for MT4 is a straightforward yet highly effective trend identification tool. By focusing solely on price structure — higher highs and lower lows — it gives traders an accurate view of the market’s true direction. Whether you’re looking for a simple entry system or a reliable confirmation tool, this indicator can enhance your trading performance.
You can download the Dadas True Trend V3.1 Indicator for free and start mastering trend-based trading today. Visit IndicatorForest.com to explore more professional MT4 and MT5 indicators designed to elevate your trading strategy.
Published:
Nov 03, 2025 05:43 AM
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