The Kalman Filter Metatrader 4 forex indicator is a fast adaptive buy/sell signal line that allows currency traders to trade trends more accurately.
The indicator appears on the activity chart in the form of a dual colored line that alternates its line color between orange and turquoise.
Clearly the Kalman Filter indicator behaves similarly to moving averages but offers better information regarding the current state of price (up or down).
- A turquoise signal line represents a buy trend.
- An orange signal line represents a sell trend.
Use it as a stand-alone buy/sell technical tool or combine with MACD or Stochastics.
The USD/CHF H1 chart below displays the Kalman Filter Indicator Metatrader 4 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the ascending line of the Kalman Filter Indicator MT4 forex indicator turns turquoise.
Sell Signal: Go short when the descending line of the Kalman Filter Indicator Metatrader 4 forex indicator turns orange.
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, the line of the Kalman Filter Indicator reverts to orange.
Exit sell trade: Close all sell orders if while a bearish trend is running, the line of the Kalman Filter Indicator changes to turquoise.
Tips: The Kalman Filter Indicator has the ability of keeping track of its errors, and normalizing such in its subsequent moves to account for its signals.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern indicator
Customization options: Variable (Mode, K, Sharpness, draw_begin), width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Copy and paste the kalman-filter-indicator.ex4 indicator into the MQL4 indicators folder of the Metatrader 4 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL4 > Indicators (paste here)