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Keltner Channels Forex Trading System

    The Keltner Channels forex trading system is a system that is named after the Keltner Channel custom indicator. The system combines three technical studies in delivering a unique set of “Buy” and “Sell” intraday fx alerts.

    Chart Setup

    MetaTrader4 Indicators: Forex Analyzer Pro (default setting), Keltner_Channel.ex4 (color modified), I_XO_A_H.ex4 (default setting)

    Preferred Time Frame(s): 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours

    Recommended Trading Sessions: London | New York Open

    Currency Pairs: any low spread pair (max 4 pips)

    Download

    Download The Keltner Channels Forex Trading System

    Buy Example (click the image for full size):

    keltner-channel-forex-system

    Fig. 1.0

    Strategy

    Long Entry Rules:

    The following conditions or rules define a buy
    entry as seen below:

    1. If the Forex Analyzer Pro forms a green upward pointing arrow that is aligned below price bars, a bullish trend is supported.
    2. If a bullish candle opens and closes above the middle red line of the Keltner Channel custom indictor, a buy signal is imminent.
    3. If the Green vertical strokes of the I_XO_A_H custom indicator forms above the 0.00 level, a bullish signal is underway.

    Stop Loss for Long Entry: Place stop on S1/S2 in line with profit target and money management technique.

    Exit Strategy/Take Profit for Long Entry

    The following chart and indicator patterns will define our exit or take profit strategy:

    1. If the Forex Analyzer Pro custom indicator puts up a red downward facing arrow that is aligned above price bars, an exit is advised.
    2. When a bullish candle opens and closes below the red middle line of the Keltner Channel custom indicator it denotes a reversal in trend and an exit or take profit strategy should be triggered.
    3. The first vertical red stroke of the I_XO_A_H custom indicator that forms below the 0.00 level is indicative of a reversal, as such an exit or take profit should be triggered.

    Sell Entry Rules

    The following chart/indicator patterns are a trigger for a sell entry as shown below:

    1. A red downward facing arrow of the Forex Analyzer Pro custom indicator that is placed above price bars signals a bearish trend.
    2. A bearish candle opens and closes below the red middle line of the Keltner Channel custom indicator.
    3. The formation of vertical red strokes of the I_XO_A_H custom indicator below the 0.00 level denote a bearish trend.

    Stop Loss for Sell Entry: Place stop on R1/R2 in line with profit target and money management technique.

    Exit Strategy/Take Profit for Sell Entry

    The following conditions/rules are meant to inform our exit or take profit from trade(s) entered:

    1. A green upward facing arrow of the Forex Analyzer Pro that forms below price bars is an indication that price is about to reverse.
    2. If a bullish candlestick opens and closes above the red middle line of the Keltner Channel custom indicator.
    3. If the green vertical strokes of the I_XO_A_H custom indicator forms above the 0.00 level, then a reversal is underway and an exit should be initiated.

    keltner-channel-forex-system1

    Fig. 1.1

    Free Download

    Download The Keltner Channels Forex Trading System

    About The Trading Indicators

    The Keltner_Channel.ex4 custom indicator resembles the Bollinger Bands as it has two outer bands and a middle band.

    The I_XO_A_H.ex4 custom indicator has its own indicator window that is leveled at 0.00 and uses green and red vertical strokes to deliver buy and sell alert respectively.

    The Forex Analyzer Pro is a rich tool that deliver accurate alerts via its green/red arrows and also draws support and resistance levels on the activity chart.