The Wolfe Waves Scanner indicator for Metatrader 4 scans any price chart for bullish and bearish Wolfe Waves price reversal patterns.
They were originally developed by Bill Wolfe and are named after him.
Wolfe Waves are considered a relatively advanced trading pattern and are based on specific geometric shapes that appear on price charts.
A typical Wolfe Wave pattern consists of five waves, with the following characteristics:
- Wave 1: This is the initial wave and represents a bearish or bullish price movement.
- Wave 2: This is a correction wave that moves against the trend of Wave 1. It usually retraces a significant portion of the price movement in Wave 1.
- Wave 3: This wave represents a smaller move in the same direction as Wave 1. It is usually shorter than Wave 1.
- Wave 4: Another correction wave, similar to Wave 2, but less deep. It retraces some of the price movement in Wave 3.
- Wave 5: This is the final wave and is expected to move in the direction opposite to that of Wave 3. It should be of similar length to Wave 1.
Indicator Example Chart
The chart presented below illustrates the Wolfe Waves Scanner indicator in action on the EUR/USD 1-hour time frame.
A buy signal is generated when the blue Wolfe Waves pattern appears on the chart. Buy a break above.
A sell signal is generated when the red Wolfe Waves pattern appears on the chart. Sell a break below.
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Adjustable Parameters & Settings
Wolfe bull color, Wolfe bear color, period, limit, MACD fast EMA, MACD slow EMA, MACD signal EMA, and more.
Feel free to explore the indicator’s different parameters and settings to create your own personalized indicator setup.
More Info About This Indicator
Currency Pairs: works on any currency pair and other trading instruments
Trading Platform: developed for Metatrader 4 (MT4)
Time Frames: works on any time frame
Indicator Type: Trading pattern
How to install the Wolfe Waves Scanner indicator in Metatrader 4?
- Copy and paste the wolfe-waves-scanner.ex4 indicator into the MQL4 indicators folder.
- You can access this folder from the top menu as follows:
- File > Open Data Folder > MQL4 > Indicators (paste here)
- Restart the trading platform
- Add the indicator to the chart
How to remove the indicator from the chart?
- Right-click on the chart with your right mouse button
- Select the indicator’s list from the dropdown menu
- Click on the indicator’s name
- Click on the delete button
- Press OK