The FX5 Neely Elliott Wave V 1.2 Forex indicator for Metatrader 4 uses the Neely methodology to plot the Elliott waves on the Forex chart.
After loading the indicator onto the chart, it plots the daily, weekly, and monthly Elliott Wave on the MT4 chart, based on the Neely method.
The Neely method uses a Monowave to draw all waves until the price direction changes.
Used colors
Monthly Elliott Wave: blue-violet
Weekly Elliott Wave: green
Daily Elliott Wave: blue
Quarter daily Elliott Wave: yellow
All waves can be turned ON and OFF (edit the indicator’s inputs and press OK to save the new configuration)
Just try this awesome indicator!
Key Points
- Based on the Neely method
- Plots 4 Elliot Waves on the chart
- Does not repaint
- Can be deployed on any pair and time frame
Free Download
Download the “FX5_NeelyElliotWave_v1_2.mq4” MT4 indicator
Indicator Chart (EUR/USD D1)
The EUR/USD daily chart below displays the FX5 Neely Elliott Wave V 1.2 indicator in action.
Neely Elliott Wave + Zero Lag Moving Average Forex Day Trading Strategy for MT4
This strategy uses the FX5 Neely Elliott Wave V1.2 indicator for MT4, which Elliott Wave counts on your chart.
We combine it with the Zero Lag Moving Average indicator for MT4, which gives clear buy/sell signals when the price is above or below its red MA line.
This approach is intended for day trading on forex pairs with good liquidity and intraday momentum (for example, USDJPY, AUDUSD, EURCAD), on timeframes such as M15 or H1.
It works well for traders who like defined entry rules, trend confirmation, and prefer to trade inside a single trading session rather than holding overnight.
Buy Entry Rules
- Ensure the Neely Elliott Wave indicator shows a corrective wave ending or a new impulse wave beginning on the daily or quarter-daily time frame. In other words, you’re identifying that the wave count suggests the start of a new upward move.
- Switch to your preferred day-trading timeframe (M15 or H1) and check that the Zero Lag Moving Average has price closing above the red moving average line, i.e., a confirmed bullish trend signal.
- Enter a buy trade at the close of the M15/H1 candle that confirms the price above the MA after the wave count signal aligns with the potential upward leg start.
- Place your stop loss just below the recent swing low, ideally 10-20 pips depending on pair and timeframe.
- Set your take profit target at the next major wave high indicated by the Elliott wave count, or use a risk-reward ratio of at least 1:2.
- Exit early if the Zero Lag MA is breached from above (price closes below the red line) or if the wave count shows a completed upward leg and reversal signal.
Sell Entry Rules
- Ensure the Neely Elliott Wave indicator signals the end of an upward wave and the start of a corrective or impulse downward wave on the daily/quarter-daily time frame.
- On your M15/H1 chart, confirm the Zero Lag Moving Average is giving a trend signal: price closing below the red MA line indicates bearish bias.
- Enter a sell trade at the close of the candle that confirms the price below the MA after the wave count aligns with the start of a downward leg.
- Place your stop loss just above the recent swing high, ideally 10-20 pips depending on pair and timeframe.
- Set your take profit at the next major wave low indicated by the Elliott wave count, or target a risk-reward of at least 1:2.
- Exit early if price closes above the red MA (trend invalidated) or if the wave count indicates the downward leg is complete.
Advantages
- Combines higher-timeframe structure (via Elliott waves) with intraday trend clarity (via zero lag MA).
- Gets you into moves early when a new wave leg begins—but with confirmation from price action and trend indicator.
- Works well in actively trending sessions, giving clear entries and defined stop/targets.
- The zero lag MA reduces lag compared with standard MAs, making the signals more responsive. :contentReference[oaicite:3]{index=3}
Drawbacks
- In choppy or sideways market conditions, wave counts may be ambiguous and trend signals may whipsaw, leading to false entries.
- You still need to interpret the Elliott wave counts—this may require some experience or discipline to avoid misreading the structure.
- Because it’s a day trading strategy, you may need to monitor charts actively—less suitable for set-and-forget traders.
Example Case Study 1: USDJPY M15 Day Trade
On a Monday morning session, USDJPY showed the Neely Elliott Wave indicator completing a corrective wave and starting a new impulse up on the daily/quarter-daily count.
On the M15 chart, the Zero Lag MA signal appeared: price closed above the red MA line.
A buy entry was taken at 154.10, stop loss at 153.90 (20 pips), target at 154.50 (40 pips).
The trade ran smoothly during the London session and reached the target by midday, capturing 40 pips.
Example Case Study 2: AUDUSD H1 Session
During the New York morning, AUDUSD showed the wave count signalling the end of an impulse upward leg and the start of a corrective downward wave.
On the H1 chart, the price closed below the red Zero Lag MA line, confirming bearish bias.
A sell trade was entered at 0.6740 with a stop loss at 0.6755 (15 pips) and a take profit at 0.6700 (40 pips).
The pair moved lower through the afternoon session, hitting the target with a 40-pip profit.
The strategy worked because the higher-timeframe wave signal and intraday trend filter worked together.
Strategy Tips
- Prefer to trade during major sessions (London open, New York open) for stronger momentum and clearer wave legs.
- Ensure spread and costs are low for the pair you trade—intraday stops and targets are relatively tight.
- If you see the Zero Lag MA changing direction rapidly or wave counts overlapping, consider skipping the trade—better to wait for clear alignment.
By combining the higher-timeframe structure of the Neely-method Elliott wave indicator with the fast entry signals from the Zero Lag Moving Average, this strategy gives you a clear framework for intraday entries on MT4.
When both indicators are aligned, you have a strong confluence of timing and trend.
Download Now
Download the “FX5_NeelyElliotWave_v1_2.mq4” MT4 indicator
Adjustable Parameters & Settings
Segment, daily close time, show daily waves, show weekly waves, show monthly waves, show quarter daily waves, colors, width, style.
Feel free to explore the indicator’s different parameters and settings to create your own personalized indicator setup.
More Info About This Indicator
Recommended Currency pairs: Any + Stocks + Commodities + Cryptocurrencies + Gold
Trading Platform: Metatrader 4 (MT4)
Time Frames: M1, M5, M15, M30, H1, H4, D1, W1
Indicator Type: Elliot Wave
