Smart Arrow Indicator

Smart Arrow Indicator

Smart Arrow Indicator — Multi-Factor Signal Engine for MT5

Smart Arrow Indicator is a professional analytical tool for the MetaTrader 5 platform. It is designed to identify potential trend reversal zones and momentum-based entry points.

The indicator combines classical trend analysis, oscillator logic (overbought/oversold conditions), and Price Action candlestick patterns to deliver clear, high-quality visual signals directly on the chart.

The algorithm is built on a triple-filter system, ensuring that signals are generated only when trend, momentum, and volatility conditions are aligned.

Core Analytical Logic

Trend Context
Uses a dual Exponential Moving Average (Fast EMA and Slow EMA) to determine the dominant market direction.

Momentum Filter
Integrates the Relative Strength Index (RSI) to detect momentum exhaustion at key overbought and oversold levels.

Volatility Guard
Applies the Average True Range (ATR) to filter out market noise and confirm sufficient price movement before generating a signal.

Price Action Confirmation
Analyzes candlestick structures (Hammer and Inverted Hammer patterns) to confirm potential reversals in real time.

Signal Types

Green Up Arrow (↑) — Bullish Signal
Generated when:

• The trend is bullish (Fast EMA above Slow EMA),

• RSI recovers from oversold levels, or

• A bullish reversal candlestick forms near moving average support.

Red Down Arrow (↓) — Bearish Signal
Generated when:

• The trend is bearish (Fast EMA below Slow EMA),

• RSI declines from overbought levels, or

• A bearish reversal candlestick forms near moving average resistance.

Input Parameters

• Fast MA Period (8) — Period of the responsive EMA.

• Slow MA Period (21) — Period of the baseline trend EMA.

• RSI Period (14) — Lookback period for momentum analysis.

• RSI Overbought (70) / Oversold (30) — Critical exhaustion levels.

• ATR Period (14) — Period used for volatility measurement.

• ATR Multiplier (1.5) — Sensitivity of the volatility filter.

• Use Trend Filter (true/false) — Enables or disables signal filtering based on EMA alignment.

• Show Alerts (true/false) — Enables terminal alerts and push notifications.

• Arrow Distance (10) — Vertical offset of arrows from candles for improved chart visibility.