Hanafy 5 MTF is a free mt4 (Metatrader 4) indicator that can be used for both trade entry and exit, or as an additional trend confirmation filter for other strategies and systems.
The indicator pops up in the main MT4 chart window as buy and sell signal arrows that deliver pretty good results for any time frame and pair.
Buy & Sell Trade Example
- A green arrow represents a buy signal.
- A red arrow represents a sell signal.
The indicator works equally well on all currency pairs (majors, minors and exotic) and shows promising results if used correctly.
Free Download
Download the “hanafy5-mtf-indicator.mq4” indicator for MT4
Indicator Chart (EUR/USD Daily)
The picture below shows the Hanafy 5 MTF mt4 indicator in action on the activity chart.
Tips:
Feel free to use your own favorite trade entry, stop loss and take profit method to trade with the Hanafy 5 MTF indicator.
As always, trade in agreement with the overall trend and practice on a demo account first until you fully understand this indicator.
Please note that even the best trading indicator cannot yield a 100% win rate over long periods.
Indicator Specifications & Inputs:
Trading Platform: Developed for Metatrader 4 (MT4)
Currency pairs: Works for any pair
Time frames: Works for any time frame
Trade Style: Works for scalping, day trading and swing trading
Input Parameters: Variable (inputs tab), color settings & style
Indicator type: Trend
Does the indicator repaint? No.
Scalping Strategy: Hanafy 5 MTF + MACD Histogram Bars (MT4)
This scalping strategy leverages the Hanafy 5 MTF Forex Indicator and the MACD Trend Histogram Bars Indicator to identify rapid, high-probability trades.
The Hanafy 5 MTF provides multi-timeframe buy and sell signals, while the MACD Histogram Bars confirm momentum strength, ensuring precise entries and exits.
This strategy is ideal for 1-minute to 5-minute charts, suitable for traders who prefer quick, intraday trades.
Buy Entry Rules
- Wait for a green arrow from the Hanafy 5 MTF, indicating a buy signal.
- Ensure the MACD Histogram Bars are green, confirming bullish momentum.
- Enter a buy trade at the close of the candle that confirms both conditions.
- Set the stop loss just below the most recent swing low or a significant support level.
- Set the take profit at a 1:1.5 reward-to-risk ratio, or exit when the MACD Histogram Bars turn red.
Sell Entry Rules
- Wait for a red arrow from the Hanafy 5 MTF, indicating a sell signal.
- Ensure the MACD Histogram Bars are red, confirming bearish momentum.
- Enter a sell trade at the close of the candle that confirms both conditions.
- Set the stop loss just above the most recent swing high or a significant resistance level.
- Set the take profit at a 1:1.5 reward-to-risk ratio, or exit when the MACD Histogram Bars turn green.
Advantages
- Combines multi-timeframe analysis with momentum confirmation for accurate entries.
- Suitable for quick, intraday trades on short timeframes.
- Clear entry and exit signals reduce decision-making time.
- Adaptable to various currency pairs and market conditions.
- Enhances trading discipline by providing structured rules.
Drawbacks
- Requires constant monitoring and quick execution of trades.
- Not suitable for traders who prefer longer-term positions.
- Risk of overtrading if signals are not filtered with additional analysis.
- Performance can vary across different currency pairs and timeframes.
Case Study 1
On the EUR/USD 1-minute chart, a green arrow from the Hanafy 5 MTF appeared, indicating a buy signal.
The MACD Histogram Bars were green, confirming bullish momentum.
A buy trade was executed at 1.1850, with a stop loss at 1.1840 and a take profit at 1.1865.
The trade reached the take profit level within 10 minutes, yielding a 15-pip gain.
Case Study 2
On the GBP/JPY 5-minute chart, a red arrow from the Hanafy 5 MTF signaled a sell.
The MACD Histogram Bars were red, confirming bearish momentum.
A sell trade was entered at 150.30, with a stop loss at 150.50 and a take profit at 149.80.
The trade hit the take profit level within 15 minutes, resulting in a 50-pip profit.
Strategy Tips
- Always wait for both the Hanafy 5 MTF signal and the MACD Histogram Bars confirmation before entering a trade.
- Use additional indicators or analysis methods to filter out false signals in sideways markets.
- Practice proper risk management by adjusting position sizes according to account balance and risk tolerance.
- Monitor economic news releases that may impact market volatility and affect trade outcomes.
Download Now
Download the “hanafy5-mtf-indicator.mq4” indicator for Metatrader 4
