Zigzag indicator is the good filter as well.
Although, zigzag indicators are not forecasting the movement of the price and do not showing any line in the charts based on real movement data.

But anyway zigzag is the filter.

Two STLM indicators.

Attached Files

	STLM_hist.mq4 (10.3 KB, 519 views)
	STLM2.mq4 (10.3 KB, 524 views)

An other indicator which may be used as a filter is Volume.
Volume is a standard indicator and everybody is able to find it in MetaTrader any version.

Volume is simply the number of shares (or contracts) traded during a specified time frame (e.g., hour, day, week, month, etc).

Low volume levels are characteristic of the indecisive expectations that typically occur during consolidation periods (i.e., periods where prices move sideways in a trading range). Low volume also often occurs during the indecisive period during market bottoms.

High volume levels are characteristic of market tops when there is a strong consensus that prices will move higher. High volume levels are also very common at the beginning of new trends (i.e., when prices break out of a trading range). Just before market bottoms, volume will often increase due to panic-driven selling.

Volume can help determine the health of an existing trend. A healthy up-trend should have higher volume on the upward legs of the trend, and lower volume on the downward (corrective) legs. A healthy downtrend usually has higher volume on the downward legs of the trend and lower volume on the upward (corrective) legs.

Williams %R (WPR) is well-known filter. It is the standard indicator as well.

Williams' %R (pronounced "percent R") is a momentum indicator that measures overbought/oversold levels. Williams' %R was developed by Larry Williams.

The interpretation of Williams' %R is very similar to that of the Stochastic Oscillator except that %R is plotted upside-down and the Stochastic Oscillator has internal smoothing.

To display the Williams' %R indicator on an upside-down scale, it is usually plotted using negative values (e.g., -20%). For the purpose of analysis and discussion, simply ignore the negative symbols.

Readings in the range of 80 to 100% indicate that the security is oversold while readings in the 0 to 20% range suggest that it is overbought.

As with all overbought/oversold indicators, it is best to wait for the security's price to change direction before placing your trades. For example, if an overbought/oversold indicator (such as the Stochastic Oscillator or Williams' %R) is showing an overbought condition, it is wise to wait for the security's price to turn down before selling the security. (The MACD is a good indicator to monitor change in a security's price.) It is not unusual for overbought/oversold indicators to remain in an overbought/oversold condition for a long time period as the security's price continues to climb/fall. Selling simply because the security appears overbought may take you out of the security long before its price shows signs of deterioration.

An interesting phenomena of the %R indicator is its uncanny ability to anticipate a reversal in the underlying security's price. The indicator almost always forms a peak and turns down a few days before the security's price peaks and turns down. Likewise, %R usually creates a trough and turns up a few days before the security's price turns up.

(used Steven B. Achelis "Technical analysis from A to Z")

An other standard filter indicator is Stochastic Oscillator
1. Sto.chas.tic (sto kas'tik) adj. 2. Math. designating a process having an infinite progression of jointly distributed random variables.
--- Webster's New World Dictionary

The Stochastic Oscillator is displayed as two lines. The main line is called "%K". The second line, called "%D" is a moving average of %K. The %K line is usually displayed as a solid line and the %D line is usually displayed as a dotted line.

There are several ways to interpret a Stochastic Oscillator. Three popular methods include:

- Buy when the Oscillator (either %K or %D) falls below a specific level (e.g., 20) and then rises above that level. Sell when the Oscillator rises above a specific level (e.g., 80) and then falls below that level.

- Buy when the %K line rises above the %D line and sell when the %K line falls below the %D line.

- Look for divergences. For example, where prices are making a series of new highs and the Stochastic Oscillator is failing to surpass its previous highs.

The Stochastic Oscillator has four variables:
1. %K Periods.
This is the number of time periods used in the stochastic calculation.
2. %K Slowing Periods.
This value controls the internal smoothing of %K. A value of 1 is considered a fast stochastic; a value of 3 is considered a slow stochastic.
3. %D Periods.
This is the number of time periods used when calculating a moving average of %K. The moving average is called "%D" and is usually displayed as a dotted line on top of %K.
4. %D Method.
The method (i.e., Exponential, Simple, Time Series, Triangular, Variable, or Weighted) that is used to calculate %D.

(used Steven B. Achelis "Technical analysis from A to Z")

An other indicator which may be used as a filter is Directional system (ADX).
Directional system was developed by J. Wilder in the middle of 1970s as an addition to the system PARABOLIC SAR, and then it was advanced by a number of the analysts. ADX defines the tendency and shows, whether it moves quickly enough to follow it. ADX helps to take benefit, being still in the middle of important trends.

This indicator promotes searching of tendency force. If ADX raises, it means that the market tendency becomes stronger. At such times, it is desirable to conclude the bargains only in the direction of the tendency. When ADX falls, it means that the tendency is questionable.

Attached Files

	adx.mq4 (3.9 KB, 315 views)
	ADXbars.mq4 (3.1 KB, 338 views)
	ADX Crossing.mq4 (2.2 KB, 342 views)

Filters' trading system.
May be used as a filter in other systems.

Attached Images

1.gif (15.2 KB, 2582 views)

Attached Files

	PCCI.mq4 (5.0 KB, 930 views)
	Renko_v1.mq4 (2.7 KB, 989 views)

Filter indicators used in the thread 'Trading Strategies Based On Digital Filters' Trading Strategies Based On Digital Filters with template (download template file in ".../templates" folder and indicators should be in indicator's folder).

Attached Files

	use_on_thread.zip (15.4 KB, 1324 views)
	filter_template.zip (791 Bytes, 1036 views)

Digital Twin Momentum

Attached Images

qqq6.gif (22.5 KB, 2916 views)

Attached Files

DTM.mq4 (10.0 KB, 697 views)

It is digital FTLM/STLM filter .
Blue line is STLM.
But I do not know what the red line is.
It is stated in the code of the indicator that red line is the FTLM filter. But I do not think so.

Thus it is STLM (blue line) and some unknown digital line.

Attached Images

dtm.gif (20.5 KB, 2843 views)