The Keltner Channel Smooth ATR Metatrader 5 custom indicator is a volatility-based envelope that is aligned above and below an exponential moving average.
In this case, the Keltner Channel median value average method is the variable that defines the middle EMA, which has three other values:
- Simple moving average
- Smoothed MA
- Linear Weighted MA
Another feature of this forex indicator is the use of the smooth ATR, which is smoother and faster than the regular ATR.
This therefore means that the Keltner Channel Smooth ATR indicator uses the smooth ATR to set the channel distance.
The EUR/USD H1 chart below displays the Keltner Channel Smooth ATR Metatrader 5 forex indicator in action.
Basic Trading Signals
Buy Signal: Go long when the indicator widens with price trading along the upper outer channel (while the outer bands turn lime green).
Sell Signal: Go short when the indicator widens with price trading along the lower outer channel (while the outer bands turn sandy brown).
Exit buy trade: Close all buy orders if while a bullish trend is ongoing, price closes below the middle line of the indicator.
Exit sell trade: Close all sell orders if while a bearish trend is ongoing, price closes above the middle line of the indicator.
Tips: The Keltner Channel Smooth ATR indicator should be deployed during trending market conditions.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart pattern indicator
Customization options: Variable (Keltner channel period, Channel multiplicator, Keltner channel median value average, Price), Colors, 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 Keltner channel – smooth ATR.ex5 indicator into the MQL5 indicators folder of the Metatrader 5 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL5 > Indicators (paste here)