The Wave Trend Pro indicator for cTrader is a momentum oscillator designed to identify potential trend reversals and assess market momentum. It features two WaveTrend lines: the WT Fast line (cyan), which reacts quickly to price changes based on the average price and EMAs, and the WT Slow line (blue), a smoothed SMA of the WT Fast line to reduce noise. A histogram displays the difference between these lines, with green bars indicating bullish momentum (WT Fast above WT Slow) and red bars indicating bearish momentum (WT Fast below WT Slow).
The indicator includes user-defined overbought and oversold levels (default +60 and -60) to highlight potential price extremes. Optional arrow signals appear on the price chart: green arrows signal a buy when WT Fast crosses above WT Slow below the oversold level, and red arrows signal a sell when WT Fast crosses below WT Slow above the overbought level. Vertical lines can also mark these signals, customizable in style and opacity.
Parameters such as Channel Length, Average Length, and Smoothing Length control calculation sensitivity and smoothing. Users can adjust overbought/oversold thresholds and toggle signal displays. The indicator is intended to be used alongside other analysis methods and risk management practices.