Ehlers_CG - MetaTrader 5 Script | Forex Indicator Download - MT4/MT5 Resources

Ehlers' center of gravity indicator is the fir filter by John Ehlers applied to price. This is the analysis result of Ehlers adaptive filter . "Center of Gravity" has zero hysteresis for accurate detection of reversal points.

It has a configurable parameter:

explain:

The intersection of the main line and the signal line.

Crossing overbought/oversold levels.
Since the indicator does not have a fixed level, finding new overbought levels is reduced to looking at the previous peak: if the indicator forms a new peak higher than the previous peak, we can assume that the asset is overbought and it is time to sell at the downward crossover of the indicator line.
Finding new oversold levels simplifies to looking at the previous bottom: if the indicator forms a new bottom below the previous bottom, we can assume that the asset is oversold and it is time to buy at the upward crossover of the indicator line.

In addition to the simple method of signal detection (crossing of the main and signal lines), the indicator also works through divergence signals.

Attachment download

📎 ehlers_cg.mq5 (7.53 KB)

Source: MQL5 #22928