The LURCH Srv5 Indicator for MT4, also known as #LURCH_Srv5, is a simple yet highly effective trend-following tool that helps traders identify market direction with clarity. The indicator plots red and blue arrows on the chart to highlight potential buy and sell opportunities.
Blue Arrow → Bullish Trend (Buy Signal)
Red Arrow → Bearish Trend (Sell Signal)
In addition to arrows, the indicator also plots an Average True Range (ATR) line on the chart. This ATR-based line works as a volatility filter to smooth out false signals and enhance accuracy. As a result, the LURCH Srv5 Indicator becomes a reliable companion for traders who prefer visual and straightforward trading tools.
The LURCH Srv5 Indicator uses a combination of price action and volatility analysis (via ATR) to identify the dominant market trend. When momentum shifts, the indicator automatically updates the arrow color, helping traders align their trades with the current trend direction.
When the blue arrow appears below the price, it signals a bullish trend and suggests opening a buy position.
When the red arrow appears above the price, it indicates a bearish trend and signals a sell opportunity.
This indicator is designed to work on all currency pairs and timeframes, but it performs best on higher timeframes (H4, Daily, Weekly) where market noise is less prevalent.
The chart example (GBP/USD H4) illustrates how the LURCH Srv5 Indicator produces simple yet powerful buy and sell signals.
A blue arrow forms below the price, confirming that momentum is shifting upward.
This is a bullish signal, suggesting traders can enter a buy position.
A stop loss can be placed just below the ATR line or the recent swing low to limit downside risk.
A red arrow appears above the price, signaling a bearish trend.
Traders can open short positions to capitalize on the downtrend.
A stop loss should be placed above the ATR line or the last swing high for safety.
Traders can use the opposite arrow as an exit signal.
Exit long trades when a red arrow appears.
Exit short trades when a blue arrow appears.
This simple yet effective rule ensures traders capture the majority of trending moves without second-guessing their entries and exits.
While the LURCH Srv5 Indicator can be used on all charts, it works best on higher timeframes due to smoother price action and reduced noise.
Recommended Timeframes: H1, H4, D1
Suitable Markets: Forex, Indices, Commodities, and Cryptocurrencies
Trading Style: Swing or position trading
You can also experiment with shorter timeframes like M15 or M30 for scalping, as the ATR component helps reduce false signals even in volatile markets.
To increase reliability, combine the LURCH Srv5 Indicator with other technical tools such as:
Moving Averages (MA): Confirm that the price is trading above the MA for buy signals and below it for sell signals.
Relative Strength Index (RSI): Use RSI to verify overbought or oversold conditions.
Support and Resistance Levels: Enter trades near key levels to maximize reward potential.
Price Action Patterns: Combine arrows with candlestick patterns like engulfing or pin bars for confirmation.
This multi-layered approach enhances signal accuracy and improves the overall profitability of your trading strategy.
Here’s a step-by-step example of how to use the LURCH Srv5 Indicator effectively:
Identify Trend Direction: Look for the most recent arrow on the chart.
Confirm with ATR Line: Ensure price action supports the arrow’s direction.
Enter Trade:
Blue arrow = Buy
Red arrow = Sell
Set Stop Loss: Use the ATR line or recent swing levels for placement.
Exit Trade: Close your position when the opposite arrow appears.
This strategy works especially well in trending markets and on higher timeframes.
Clear and easy-to-understand visual signals
Includes ATR line to reduce false signals
Works on all assets and timeframes
Effective for detecting market reversals
Free to download and simple to install on MT4
These features make it an excellent choice for both beginner and experienced traders looking to follow the trend with minimal analysis.
The LURCH Srv5 Indicator for MT4 is a straightforward yet powerful trend indicator that simplifies market analysis through red and blue arrows. Combined with an ATR-based smoothing mechanism, it helps traders identify reliable buy and sell opportunities while avoiding false signals.
Perfect for traders of all experience levels, the indicator provides clarity in determining trend direction and helps spot reversals with ease. Whether you trade Forex, indices, or commodities, the LURCH Srv5 Indicator is a valuable addition to your trading toolkit — and it’s completely free to download for MT4 users.
Published:
Nov 05, 2025 13:07 PM
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