The Fourier Extrapolator indicator for mt4 (Metatrader 4) predicts future market trends with the help of the Fourier trading algorithm.
The indicator pops up in the main MT4 chart window as an orange colored forecast line (see image below).
Buy & Sell Trade Example
- Consider opening a buy position if the orange prediction line is higher than the current price and the overall trend is upwards.
- Consider opening a sell position if the orange prediction line is lower than the current price and the overall trend is downwards.
The Fourier Extrapolator indicator can be used for both trade entry and exit, or as an additional confirmation filter for other strategies and systems.
The indicator works equally well on all currency pairs (majors, minors and exotic) and shows promising results if used correctly.
Free Download
Download the “fourier-extrapolator.mq4” indicator for MT4
Indicator Chart (EUR/USD H1)
The example chart below displays the Fourier Extrapolator mt4 indicator in action on the trading chart.
Tips:
Feel free to use your own favorite trade entry, stop loss and take profit method to trade with the Fourier Extrapolator 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: Forecast
Does the indicator repaint? No.
Intraday Strategy: Fourier Extrapolator + Non-Lag AMA MT4
This intraday strategy blends the predictive power of the Fourier Extrapolator Forecast Indicator with a smooth trend filter using a Non-Lag AMA (adaptive moving average) line.
The idea is simple: use the Fourier indicator’s forecast line to sense upcoming direction, but only take trades that align with the trend shown by the Non-Lag AMA.
This reduces noise and improves probability. It works best on intraday charts (M5, M15, M30) for scalpers or day traders wanting clean setups.
Buy Entry Rules
- The Fourier Extrapolator must draw an orange forecast line above the current price (indicating a bullish forecast).
- The Non-Lag AMA line must slope upward, and the price must be above the AMA (i.e., bullish trend).
- Wait for a pullback toward the AMA or a small retracement — you don’t want to chase the extreme move.
- Enter a buy trade when price action shows a bullish candlestick (e.g., engulfing or strong close) confirming the move upward.
- Place a stop loss a few pips under the swing low or below the AMA line.
- Set take profit at a 1 : 1 or 1.5 : 1 reward/risk, or you may trail the trade using the AMA line as dynamic support.
Sell Entry Rules
- The Fourier Extrapolator must draw an orange forecast line below the current price (indicating a bearish forecast).
- The Non-Lag AMA line must slope downward, and the price must be below the AMA (i.e., bearish trend).
- Wait for a retracement up toward the AMA line or a pullback.
- Enter a sell trade when a bearish candlestick confirms the downward move (e.g., strong close or rejection candle).
- Place a stop loss a few pips above the swing high or the AMA line.
- Set take profit at 1 : 1 or 1.5 : 1 reward/risk, or trail using the AMA line as dynamic resistance.
Advantages
- Predictive forecast line gives early insight into potential directional moves.
- Non-Lag AMA filters against taking trades in whipsaw or ranging market noise.
- Combines lead (forecast) with trend confirmation to reduce false entries.
- Suitable for fast intraday moves while maintaining discipline.
Drawbacks
- Forecasts might sometimes mislead ahead of sudden reversals or news spikes.
- On tight ranges, the strategy may produce few signals and many false signals.
- Stop losses may be triggered frequently if the market is choppy around the AMA line.
- Trail or exit rules may need active monitoring, increasing trader workload.
Example Case Study 1
On EUR/USD M15, the Fourier Extrapolator forecast line moved above the price, signaling bullish potential.
The Non-Lag AMA was sloping upward, and the price was above the AMA.
After a small pullback toward the AMA, a bullish engulfing candle formed.
A buy was entered, stop loss placed under the recent low, take profit set at 1.5× risk.
Price climbed and hit the target within the hour, riding the upward trend.
Example Case Study 2
On GBP/JPY M5, the Fourier line dipped below the price, indicating a bearish forecast.
The AMA was sloping down, and the price was under it.
A pullback to the AMA preceded a bearish rejection candle.
A sell order was opened.
Stop loss placed above swing high, take profit at 1× risk.
The trade moved in favor and hit the target before a reversal signal appeared.
Strategy Tips
- Prefer high-liquidity pairs (EUR/USD, GBP/USD, USD/JPY) to reduce slippage.
- Avoid trading during major news releases or volatile events.
- Test on demo first to refine the offset distance for stop loss relative to AMA and recent swing.
- Consider scaling out part of the position at the first target and trailing the rest with the AMA line.
- Do not force entries if conditions do not align clearly — patience is key.
By combining the predictive power of the Fourier Extrapolator with the smoothing and trend confirmation of the Non-Lag AMA, traders gain a system that anticipates market direction before it unfolds.
This creates an intraday approach that offers both early insight and reliable trend validation. Stick to your rules, manage risk strictly, and refine with live testing.
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Download the “fourier-extrapolator.mq4” indicator for Metatrader 4
