Keltner Channel Indicator
MT5 Channel TradingFree DownloadThe Keltner Channel Indicator for MetaTrader 5 is named after Chester Keltner who first introduced his indicator in his 1960 book “How to make money in Commodities“. The original indicator was based on the 10-period moving average, and this one can be set to both simple moving average and exponential moving average.
The Keltner Channel indicator consists of price envelopes or bands that are located above and below the moving average by means of multiplying its value by the value of the Average True Range (ATR). These channels are very interesting because they brilliantly join together two gauges: moving average and ATR.
Example trade with the Keltner Channel Indicator
Below is the screenshot of an example trade with the Keltner Channel Indicator.
The middle line of the Keltner Channel is blue when the trend-momentum is bullish and pink when the trend-momentum is bearish. In the above example, the Keltner Channel switched from bearish to bullish. We took the trade at the triggering candle of that change. Another opportunity to enter a trade was the moment when the price dropped below the middle line of the Kelter Channel but it remained blue.
