Keltner Channel Indicator Free Download for MetaTrader 4 | Forex Indicator Download - MT4/MT5 Resources

On July 22, 2025, in version 2, the indicator added alerts/notifications and signals functionality

The Keltner Channel indicator is part of the MetaTrader 4 series of indicators that determine the direction of the trend. This channel is a technical analysis tool developed by Chester Keltner .

This indicator helps traders identify major price trends using the following indicators: Moving Average and the ATR Indicator .

It draws two bands above and below the price, providing traders with potential entry and exit points. The Keltner Channel consists of a blue dashed line (20-period EMA) and two red bands derived from the Average True Range (ATR) .

Keltner Channel Indicator Table

Keltner Channel Indicators at a Glance

Given the importance of identifying trend direction and trading in that direction, the Keltner Channel uses the 20-period exponential moving average (EMA) to indicate future trend direction. It provides traders with entry points in line with trends.

The Keltner Channel uses average price and market volatility to measure the ATR Indicator . When price breaks above or below a channel band, it signals the strength of the trend direction.

Gold (XAU/USD) Price Chart

The image below shows the price chart of Gold (XAU/USD) on a 5-minute time frame. At point A , the price breaks below the lower channel line after breaking below the moving average and continues to trend downward .

At point B , the price crosses the moving average and breaks out of the channel's upper band, confirming the uptrend .

Uptrend conditions of the indicator (buy position)

The image below shows the price chart of EUR/USD on a 15-minute time frame. At points A and B , the price crosses the moving averages and breaks out of the upper channel band, signaling an uptrend and a potential entry opportunity for a buy position.

Downtrend conditions of the indicator (sell positions)

The image below shows the price chart of WTI Crude Oil on the 1 hour time frame. At points A and B , the price crosses below the moving averages and breaks out of the lower channel band, signaling a downtrend and a potential entry opportunity for a sell position.

Keltner Channel Indicator Settings

• EMA Period: EMA period is set to 20;
• ATR Period: The ATR period is set to 10;
• Multiplier : The multiplier of the distance between the band and the moving average is 2;
• Channel Color: The channel band color is red or can be customized;
• Middle Line Color : The color of the middle dotted line is blue.

Conclusion

The Keltner Channel indicator is a multi-timeframe tool that can be used for all trading strategies. This volatility indicator provides a broad view of trend direction. For enhanced trend confirmation, you can combine the Keltner Channel with other confirmation indicators such as RSI , MACD , or static support and resistance levels .