The Fractals Trading Signals indicator for Metatrader 4 displays interesting trend lines that can generate winning breakout signals for both buy and sell trades.
The indicator pops up in the main MT4 chart window as a set of fractal-based trend lines.
Buy & Sell Trade Example
- A buy trade should be opened as soon as the price closes above the upper blue colored trend line (bullish).
- A sell trade should be opened as soon as the price closes below the lower pink colored trend line (bearish).
The Fractals Trading Signals 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 exotics) and shows promising results when used correctly.
Free Download
Download the “fractals5-trading-signals.mq4” indicator for MT4
Indicator Chart (EUR/USD M15)
The example chart below displays the Fractals Trading Signals 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 Fractals Trading Signals 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: Signals
Does the indicator repaint? No.
Fractals Trading Signals + Wildan Trend System Breakout Day Trading Strategy for MT4
This day trading breakout strategy uses the Fractals Trading Signals Forex Indicator for MT4 together with the Wildan Trend System Forex Indicator for MT4.
The Fractals Trading Signals indicator highlights breakout levels.
A buy signal appears when the price closes above the blue upper trend line, and a sell signal appears when the price closes below the pink colored trend line.
The Wildan Trend System provides a bias filter: blue histograms indicate bullish momentum, while red histograms show bearish momentum.
Combining both tools helps traders capture clean breakouts and filter false moves on intraday charts.
Buy Entry Rules
- Wait for the price to close above the blue upper trend line on the Fractals Trading Signals Indicator.
- Confirm the Wildan Trend System Indicator histogram is blue, showing bullish momentum.
- Enter a buy trade at the breakout candle close or the next candle open.
- Place a stop loss just below the breakout level or 15–20 pips, whichever is closer.
- Set your take profit at 30–50 pips or exit when the histogram turns red.
Sell Entry Rules
- Wait for the price to close below the pink lower trend line on the Fractals Trading Signals Indicator.
- Confirm the Wildan Trend System Indicator histogram is red, showing bearish momentum.
- Enter a sell trade at the breakout candle close or the next candle open.
- Place a stop loss just above the breakout level or 15–20 pips, whichever is closer.
- Set your take profit at 30–50 pips or exit when the histogram turns blue.
Advantages
- Combines breakout levels and momentum filter for higher accuracy.
- Clear and straightforward rules for day trading setups.
- Allows traders to capture intraday swings with predefined risk and reward.
Drawbacks
- Breakouts during low liquidity sessions may lead to false signals.
- Stop losses can be triggered by quick pullbacks before the price continues.
- Requires discipline to wait for a confirmed close beyond trend lines.
Example Case Study 1 – USD/CHF 15-Minute Chart
On USD/CHF, the price closed above the blue upper trend line at 0.9085 while the Wildan Trend histogram was blue.
A buy entry at 0.9087 with a stop loss at 0.9067 (20 pips) and a take profit at 0.9135 produced a +48 pip gain within two hours of the London session.
Example Case Study 2 – AUD/JPY 5-Minute Chart
On AUD/JPY, the price closed below the pink trend line at 97.20 while the Wildan Trend histogram was red.
A sell entry at 97.18 with a stop loss at 97.38 (20 pips) and a take profit at 96.80 produced a +38 pip move during the New York open.
Strategy Tips
- Use this strategy during the London and New York sessions for stronger breakouts.
- Wait for a confirmed candle close beyond the trend lines to reduce false signals.
- Monitor major news events that can cause spikes and fake breakouts.
- Adjust your take profit based on intraday volatility, aiming for at least a 1:2 risk-to-reward ratio.
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Download the “fractals5-trading-signals.mq4” indicator for Metatrader 4
