Forex Ehlers MESA Adaptive Moving Average EA Setup - Setting Up Ehlers MESA Adaptive Moving Average Expert Advisor

Forex Ehlers MESA Adaptive Moving Average EA Setup - Setting Up Ehlers MESA Adaptive Moving Average EA - A trader can come up with an Ehlers MESA Adaptive Moving Average EA based on the Ehlers MESA Adaptive Moving Average indicator explained below.

Forex Ehlers MESA Adaptive Moving Average EA rules can be combined with other Forex technical indicators to come up with other Expert Advisor Forex Robots that trade using rules based on two or more indicators combined to form a trading system.

Ehlers MESA Adaptive Moving Average Technical Analysis Signals

Mesa Adaptive Moving Averages was developed by John Ehlers

Originally used to trade commodities and stocks.

The MESA Adaptive average looks like two moving averages. The difference is that the MESA moves in a staircase manner and not in a curved line like the MA. The example below shows this indicator plotted on a price chart.

Ehlers MESA Adaptive MA - Forex Ehlers MESA Adaptive Moving Average EA Setup

The MESA Adaptive Moving Average is a trend following technical indicator that adapts to price action movement based on the rate of change of price as measured by the Hilbert Transform Discriminator. This indicator will generate a trade signal when the two MAs cross one another. Trades should be executed in direction of the MESA averages.

This method features a fast MA and a slow MA so that composite average rapidly follows behind the price changes and holds the average value until the next candlestick close occurs. This indicator is less prone to whipsaws compared with the original Moving averages. This is because of its formula used to calculate the rate of change in relation to the price movement.