Keltner Channels were originally developed by Chester W. Keltner.
The Keltner Channel With Alert forex MT4 indicator is a dynamic volatility based channel indicator.
The indicator consists of 3 volatility bands:
- the middle channel band
- the upper channel band
- the lower channel band
The indicator can be used for trend following or counter-trend trading.
Scalpers, day traders, swing traders and position traders can benefit from Keltner Channels.
The EUR/USD H1 chart below displays the Keltner Channel With Alert forex indicator in action.
Basic Trading Signals
Signals from the Keltner Channel indicator are easy to interpret and goes as follows:
Buy Signal: Open buy trade when the volatility bands are pointing up and the price touches the middle band or the lower Keltner band (buy on dips).
Sell Signal: Open sell trade when the volatility bands are pointing down and the price touches the middle band or the upper Keltner band (sell on rallies).
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern
Customization options: Variable (period, SoundAlert, PopUpAlert, EmailAlert) 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-with-alert.mq4 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)