Chandelier Exit Indicator MT4

The Chandelier Exit Indicator MT4 (MetaTrader 4) operates on the principle of volatility to ensure participation in a trade until a clear shift in trend is evident. This exit strategy enables traders to steer clear of premature exits, thereby maximizing their returns. In terms of technical aspects, the foundation of this method lies in the Average True Range. As described by its creator, the approach is designed to extend profits along the market direction, simultaneously providing a safeguard against potential trend reversals. This MT4 indicator is available for free download.

Chandelier Exit Indicator MT4: Introduction

MT4 Indicator Overview

The download link of the Chandelier Exit MT4 indicator is placed at the bottom of this post – once you’re done, your Metatrader 4 trading chart should look similar to the example below.

Chandelier Exit Indicator Example Chart

The foundation

The Chandelier Exit is rooted in the Average True Range (ATR), a measure of market volatility. The formula, simple yet powerful, differs slightly for uptrends and downtrends, incorporating a 22-day period and a customizable multiplier. The indicator’s flexibility enables it to adapt to individual trading styles and risk appetites.

It offers guidance on market trends while being detached from daily price fluctuations. Developed by Chuck LeBeau, it’s more than a formula, it’s a concept grounded in market psychology and volatility.

This Metatrader indicator enhances the trading experience by providing top-notch entry signals through signal and price crossovers, while its adjustable ATR multipliers ensure compatibility with a variety of instruments, offering key features for successful trend trading.

Formula of the Chandelier Exit

Typically, Chandelier Exits are set with a default period of 22 days and use a factor of 3.0 times the Average True Range.

Formula in an uptrend:
Highest high (in the past 22 days) – 3x ATR (for 22 days)

Formula in an downtrend:
Lowest low (in the past 22 days) + 3x ATR (for 22 days)

Indicator examined in details

The indicator delivers distinct entry points for initiating both long and short trades. Moreover, the indicator aids in effective risk management, enabling you to confidently adjust your stop loss. It offers dynamic stop-loss levels that adapt in response to market fluctuations.

The dynamically shifting stop loss assists forex traders in remaining within the trend for an extended period. Consequently, traders have the opportunity to capitalize on the trend until its momentum wanes. Effectively, the dynamic stop-loss serves as a trailing stop loss level, safeguarding ongoing trades.

During a downtrend, the stop loss levels are positioned above the price. In contrast, in an uptrend, the Chandelier exit indicator places these levels beneath the price. Here’s how to use it for forex market transactions.

Long trade signal checklist

  • Monitor until a candlestick closes above the Chandelier Exit.
  • Initiate a long position in the currency pair as soon as the following candlestick opens.
  • Considering the volatility of the pair, set your stop-loss order slightly below the Chandelier Exit level.
  • Progressively raise the stop-loss level in line with new price highs.
  • A trend reversal will automatically trigger a market exit.

Chandelier Exit Indicator Buy Signal

Short trade signal checklist

  • Await a candlestick to close beneath the Chandelier Exit.
  • Enter a short position in the currency pair with the opening of the next candlestick.
  • Taking the asset’s volatility into account, position your stop-loss order just above the Chandelier Exit.
  • Continually lower the stop-loss as the price reaches new lows.
  • Upon trend reversal, the market will activate the stop and close the position.

Chandelier Exit Indicator Sell Signal

Customize your settings

One size does not fit all in trading, and the Chandelier Exit Indicator acknowledges this. By tweaking its settings, particularly the ATR multiplier, traders can tailor the indicator to their trading temperament, whether conservative or aggressive.

The indicator’s default configuration employs a 22-day period and a 3x multiplier for the Average True Range. Opting for a smaller multiplier makes the exit more responsive, while a larger one allows more price movement before initiating an exit. It’s beneficial to experiment with various settings to discover the optimal fit for your trading strategy.

Risk management is crucial

Even with the Chandelier Exit, risk management remains paramount. Setting strict risk limits per trade and adhering to a disciplined trading plan are essential practices for leveraging this indicator effectively.

MT4 Indicators: Download and Installation Instructions

Download the Chandelier Exit Indicator MT4.rar archive at the bottom of this post, unpack it, then copy and paste the chandelier-exit.ex4 or chandelier-exit.mq4 indicator files into the MQL4 folder of the Metatrader 4 trading platform.

You can gain access to this folder by clicking the top menu options, which goes as follows:

File > Open Data Folder > MQL4 > Indicators (paste here).

Now go to the left side of your MT4 terminal. In the Navigator find the gauge name, right-click it and select Attach to the chart.


The Chandelier Exit indicator is a multifaceted tool that serves not only as a trailing stop loss mechanism but also as a trend identification aid. Its utilization of Average True Range (ATR) values for calculating exit levels equips traders with highly effective stop-loss placements. This feature is particularly beneficial for trend traders, as it enables them to pinpoint the inception of new trends, strategically navigate these trends, and exit at opportune moments, maximizing their potential gains.

Free Download Forex Chandelier Exit MT4 Indicator

To download the Chandelier Exit Indicator for Metatrader 4 (MT4) for free just click the button below:

Chandelier Exit Indicator Free Download

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