Last Updated on July 1, 2025 by Tim Morris
The Identical Candles MT4 Indicator is a simple yet powerful tool designed for MetaTrader 4. It scans your chart in real-time and spots candles that match in size and structure. These repeating candles often show up during key market moments, such as trend continuation or price reversal. By showing you these identical candles, the indicator helps you make smarter, faster trading decisions without having to study every candle manually.
Why Identical Candles Matter in Trading
Candle patterns give traders clues about where the price might go next. When identical candles appear, it usually means the market is repeating itself, which could be a sign of momentum or hesitation. Recognizing these patterns quickly gives traders a chance to enter or exit trades with more confidence. Instead of guessing, they rely on visual proof that similar price behavior has happened before and may happen again.
How to Use the Indicator on MT4
Using the Identical Candles Indicator is straightforward. Once installed on your MT4 chart, it starts marking candles that match a set criteria—usually based on body size and wick length. You can adjust the settings to make the match more or less strict, depending on your strategy. It works well on all timeframes, from one-minute charts to daily ones. Whether you trade forex, commodities, or indices, this tool helps you spot patterns faster.
How to Trade with Identical Candles MT4 Indicator
Buy Entry
- Wait for two or more identical bullish candles (same body and wick structure) to appear.
- Confirm the candles are forming above a key support level or during an uptrend.
- Optional: Check for confirmation from other indicators (e.g., RSI above 50 or Moving Average slope up).
- Enter a buy trade at the open of the next candle after the identical pattern is confirmed.
- Set a stop-loss below the lowest wick of the matching candles.
- Aim for a 1:2 or higher risk-to-reward ratio.
Sell Entry
- Look for two or more identical bearish candles forming back-to-back.
- Confirm the pattern appears below a resistance zone or during a downtrend.
- Optional: Use Confluence with another indicator (e.g., RSI below 50 or Moving Average slope down).
- Enter a sell trade at the open of the next candle after the identical candles are confirmed.
- Set a stop-loss above the highest wick of the matching candles.
- Target a minimum 1:2 risk-to-reward ratio.
Conclusion
The Identical Candles MT4 Indicator makes trading a bit easier by doing the hard work of candle comparison for you. It’s perfect for traders who want to catch repeating price behavior without spending hours scanning charts. By making patterns more visible, this tool can help traders improve their timing and overall strategy. Simple, effective, and beginner-friendly, it’s a great addition to any trader’s toolbox.
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