Ehlers CG is an 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 appears in a separate MT4 chart window in the form of a red & blue colored signal line.
The indicator can be categorized as a typical Forex crossover system that works well in trending markets.
The indicator works equally well on all assets (Forex, CFD stocks, Indices, Cryptocurrencies, Commodities,..) and shows promising results if used correctly.
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Download the “ehlers-cg-indicator.mq4” indicator for MT4
Indicator Chart (EUR/USD Daily)
The example chart below displays the Ehlers CG MT4 indicator in action on the trading chart.
Tips:
Feel free to use your own favorite trade entry, stop loss and take profit strategy to trade with the Ehlers CG Forex 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 oscillator
Does the indicator repaint? No.
Ehlers CG + Multi-Timeframe Triple Moving Average MT4 Day Trading Strategy
Introduction
This day trading strategy combines the Ehlers CG Forex Indicator MT4 with the Multi-Timeframe Triple Moving Average MT4.
The Ehlers CG Indicator identifies market trends early by showing momentum changes and price direction.
The Triple Moving Average gives a clear view of trend alignment across multiple timeframes.
This method works best on timeframes M15 and M30, making it suitable for intraday traders.
It is designed for major currency pairs like EURUSD, GBPUSD, USDJPY, and EURJPY, where trends are clear and spreads are low.
Buy Entry Rules
- Check that all three moving averages are aligned upward on the current timeframe and on higher timeframes.
- Wait for a buy signal from the Ehlers CG Indicator, typically when the oscillator crosses above the zero line.
- Enter a buy position at the close of the confirming candle.
- Place a stop loss below the recent swing low or just below the nearest moving average for protection.
- Set take profit at the next resistance level or aim for a risk-reward ratio of at least 1:2.
Sell Entry Rules
- Check that all three moving averages are aligned downward on the current timeframe and on higher timeframes.
- Wait for a sell signal from the Ehlers CG Indicator, typically when the oscillator crosses below zero.
- Enter a sell position at the close of the confirming candle.
- Place a stop loss above the recent swing high or just above the nearest moving average.
- Set take profit at the next support level or target a risk-reward ratio of at least 1:2.
Advantages
- Combines momentum confirmation with trend alignment for higher probability trades.
- Clear entry and exit rules make the strategy easy to follow.
- Works on multiple major pairs with minimal adjustments.
- Helps traders identify intraday trend direction and avoid sideways noise.
Drawbacks
- In choppy markets, signals may lag or give false entries.
- May not perform well on pairs with low liquidity or high spreads.
- Higher timeframe alignment is necessary, which may limit some entries.
Example Case Study 1 — EURUSD M15
During the London session, EURUSD was in a clear uptrend.
The three moving averages on M15 and H1 were aligned upward.
The Ehlers CG Indicator gave a buy signal when the histogram turned positive.
A buy entry was taken on the confirming candle close.
Stop loss was placed below the recent swing low, and take profit was set at the next resistance level.
The trade reached the target within an hour with a clean exit before momentum weakened.
Example Case Study 2 — GBPUSD M30
GBPUSD showed a downward trend on M30 with alignment on H1.
The Ehlers CG Indicator issued a sell signal as the oscillator crossed below zero.
Entry was taken at the candle close, confirming the sell.
Stop loss was set above the recent swing high, and take profit at the next support.
The trade hit the target after 90 minutes and exited before a small retracement occurred.
Strategy Tips
- Trade during active sessions, such as London or New York, for stronger trend moves.
- Focus on major pairs with low spreads to reduce trading costs.
- Only take trades when higher timeframe trends are aligned with the current timeframe.
- Consider scaling out or trailing profits if the price moves strongly in your favor.
- Keep a journal to track which times and pairs perform best with this strategy.
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Download the “ehlers-cg-indicator.mq4” indicator for Metatrader 4
