Point & Figure v1.2 Indicator Review 2025: Strategy, Settings & Free DownloadPoint & Figure v1.2 Indicator Review 2025: Strategy, Settings & Free Download

Introduction: The “Noiseless” Trading Method

Most traders fail because they get distracted by "market noise," the small, meaningless price movements that trigger fear or greed. Traditional candlestick charts show you everything, including noise.

The Point and Figure Chart (P&F) v1.2 indicator for MetaTrader 4 solves this problem by focusing on only one thing: major price movements .

The Point and Figure method was originally developed over 100 years ago for time-free tracking of prices and is famous among institutional traders. This v1.2 indicator brings powerful logic to your MT4 terminal in a simplified and easy-to-read sub-window.

If you're tired of getting a "double whammy" from false breakouts, this tool can help you understand the real battle between supply (resistance) and demand (support).

What is the Point and Figure Chart v1.2 indicator?

Point and Figure Chart v1.2 is a custom technical indicator located in a separate window below the main chart. Unlike the classic P&F chart, which replaces candles with X's and Os, this version converts that data into Histogram and Signal Bars .

It simplifies market analysis into two clear components:

1. Trend Bars (Momentum): These tell you who is currently winning.
2. Signal Bars (Levels): These can tell you where price may reverse or break out.

How to interpret unique signals:

• White Columns: Represent Upward Momentum (Buyer Takes Control).
• Green Columns: Represent Downward Momentum (seller is in control). NOTE: This is different from standard charts, where green usually means upward.
• Red Bars: Indicate a Support Level . This is a potential price "floor."
• Blue Bars: Indicate a Resistance Level . This is a potential price "ceiling".

Review: Pros and Cons

Is this centuries-old approach still valid for the market of 2025? This is our honest verdict.

✅ PROS (The Good)

• Filters Noise: It ignores the little tricks that waste time, allowing you to stay in the trade longer.
• Automatic Levels: Automatically draws red (support) and blue (resistance) areas.
• Trend Clarity: The square-shaped white and green histogram can tell the trend direction at a glance.
• Great for swing trading: works very well on H4 charts and daily charts with stable trends.

❌ CONS (The Bad)

• Lags on lower timeframes: We do not recommend scalping on M1 or M5. It reacts too slowly to sudden spikes.
• Counterintuitive colors: Remember that Green = Down , which can confuse new traders.
• Need to confirm: Blind buying on red support bars can be dangerous if the trend breaks down badly. (See strategy below.)

Strategy: The “P&F Breakout” System

The example strategy indicates buy support and sell resistance. However, in a strong trend, support can easily be broken. To make it professional-grade, we added a "false detection" filter .

We will use the 50 Exponential Moving Average (EMA) to identify the dominant trend and the MACD to confirm momentum strength.

Settings and Settings

1. Point and Figure Chart v1.2 Indicator: Default Settings.
2. 50 EMA: Trend filter (applied to close).
3. MACD: Default values ​​for momentum confirmation (12, 26, 9).
4. Timeframe: H1, H4, or Daily.

1. “Support Bounce” Purchase Settings

We want to buy when price hits a bottom during an uptrend.

1. The Filter: Price must be ABOVE the 50 EMA . This confirms that the main trend is bullish.
2. The Signal: View coordinate plot window. A Red Bar (Support) appears.
3. The Trigger: Wait for a White Column forms after the red bar. That means buyers have stepped in to support.
4. The False Check: Check MACD. The MACD histogram should be rising or above zero.
5. Entry: Enter at the close of the candle corresponding to the first white bar.
6. Stop Loss: Below recent swing lows.
7. Take Profit: Target the next blue bar (resistance) or a risk/reward ratio of 1:2.

2. “Resistance Rejection” Sell Setup

We want to sell when the price reaches the upper limit during a downtrend.

1. The Filter: Price must be BELOW the 50 EMA . This confirms that the main trend is bearish.
2. The Signal: View coordinate plot window. A blue bar (resistance) appears.
3. The Trigger: Wait for a Green Column forms after the blue bar. This means the seller is rejecting the price.
4. The False Check: Check MACD. The MACD histogram should drop or fall below zero.
5. Entry: Enter at the close of the candle corresponding to the first green bar.
6. Stop Loss: Above recent swing highs.
7. Take Profit: Target the next red bar (support) or a risk/reward ratio of 1:2.

Pro Tip: Never trade against the 50 EMA. If the price plummets (below the EMA) and you see a red support bar, do not buy . Wait for price to break through support and then look for a sell setup.

Indicator Settings: Optimization in 2025

When you open the Input tab, you may see settings such as BoxSize or Range.

• Box size (sensitivity):
  • Default: Usually optimized for H1.
  • Tweak: If you trade Gold (XAUUSD) or a volatile currency pair (GBP/JPY), double the BoxSize . This reduces false signals caused by high volatility.
• Timeframe: Stick to H4 and D1 . Point and figure chart logic requires a large amount of data to form a valid "column", making it unreliable on the M5/M15.

[Understand Support and Resistance Levels with Indicators]

"See the logic in action: This video explains how automatic support and resistance levels (like those in P&F v1.2) can help you spot reversals accurately."

How to install the indicator

1. Download the Point_Figure_v1.2.ex4 file from the link below.
2. Open MetaTrader 4 .
3. Go to File > Open Data Folder .
4. Navigate to MQL4 > Indicators.
5. Paste places the files into this folder.
6. Restart MT4 , or right-click on the Navigator and select "Refresh" .
7. Drag the indicator onto the chart.

Frequently Asked Questions: Frequently Asked Questions

Final verdict: Is it worth using?

Score: 4/5 Stars ⭐⭐⭐⭐

The Point and Figure v1.2 indicator is an excellent tool for developing patience. It forces you to ignore the moment-to-moment anxiety of the candlestick wick and focus on the bigger picture.

While the color scheme takes some getting used to, the support/resistance signals are top notch. Create a powerful trend following system with our 50 EMA filter strategy .