Lune Algo Premium is a large indicator on MT4 and MT5: an adaptive cloud, four selectable entry strategies, a TP/SL manager, reversal bands, a volume profile and a state panel. Most of it is optional and off by default. What you get out of the box is the cloud, arrows with a number on them, and the panel.
The number on each arrow is the most interesting thing here and the easiest to misread, so start there.
The number is not a confidence score
Every signal is scored 0 to 5. The score counts how many of five checks were true on the entry bar:
- CCI over 5 bars is positive (negative for a sell)
- ADX is above its threshold and +DI is above −DI
- Accumulation/Distribution is above its 21-bar average
- Money Flow Index over 14 is above its own 9-bar average
- A linear regression of 10-bar momentum is rising
Look at what those five have in common. Every one of them is a trend or momentum confirmation, and in a market that has been moving in one direction for a while they all agree almost by construction. A 5 is easy to get in the middle of a trend and very hard to get at a turn.
So read the number as how far along the move already is, not as how good the trade is. A "Buy 5" is the market telling you it has been going up for a while, which is useful information and is not the same as a quality rating. None of the five is required for the signal to fire — a 0 is a valid signal.
Four strategies in one indicator
Strategy_Select doesn't tune the entry rule, it replaces it:
- Lune (default) — KAMA crossing Vidya. Two adaptive averages, one crossing the other.
- Reversal/Engulfing — the fast average above the slow one, RSI on the right side of 50, and an engulfing candle.
- Momentum — average order plus a momentum condition, no candle pattern.
- SSL/TDFI — the SSL channel in the right order, a trend-direction-force index past a trigger, and RSI crossing 65 or 35.
They produce genuinely different signal sets on the same chart. Pick one deliberately, and be aware that everything else on the page — the cloud, the panel, the strength number — is unchanged by that choice. Only the arrows move.
Sensitivity (5) and Rigor (15) are the two lengths behind the KAMA and Vidya, so they matter most in the default strategy and much less in the other three.
The candle colouring will surprise you
Both Trade_Bar_Color and the palette are on by default and Target_Exit is off, and that combination produces this:
That's not a rendering fault. With the TP/SL manager off, the "in trade" state the colouring uses is a latched signal direction — it is set by a signal and stays set until the opposite signal arrives. So every bar from one arrow to the next is painted in that arrow's colour, and on a chart with few signals that means the whole screen.
Two ways out. Set Trade_Bar_Color to false and candles go back to plain bull/bear colouring. Set Select_Palette to None and the coloured-candle layer is removed entirely. Or turn on Target_Exit and the colouring follows a real trade window with a defined end.
I'd rather show you that picture than let you find it after you've paid.
| A signal indicator | A dashboard indicator | This | |
|---|---|---|---|
| Entry logic | One rule | None | Four, selectable |
| Signal grading | None | n/a | 0–5 from five gauges |
| Exit levels | None | None | Optional TP1/2/3 + SL, percent or ATR |
| State readout | None | Yes | Panel: strategy, signal, trend, volatility |
| Off by default | n/a | n/a | Reversal bands, SSL, volume profile, confirmation lines |
What's in the box but switched off
Plot_Revs adds three-deep Bollinger-style reversal bands either side. Plot_SSL adds the SSL channel. plot_Lune plots the KAMA and Vidya themselves, which is worth turning on once so you can see what the default strategy is actually crossing. Plot_Vol_Pro adds a 250-row volume profile. Plot_Engulf marks engulfing candles.
Target_Exit turns on the trade manager: three take-profit levels and a stop, expressed either as a percentage or as a multiple of ATR, drawn live and optionally kept for past trades. Turning it on also changes signal behaviour — with the manager active, a new entry is suppressed while a trade is still open, so the arrows thin out considerably.
The panel reports the selected strategy, the current signal state, the market trend and a volatility reading, and it can be moved to any corner.
Where it's weak
The defaults paint the whole chart. As above. It's the first thing to change.
Turning on the trade manager changes the signals, not just the drawing. Target_Exit gates entries on whether a trade is open. That's reasonable behaviour and it means the arrows you see with it on are a subset of the arrows you see with it off.
The five gauges are not independent. ADX direction, CCI sign, MFI versus its average and a rising momentum regression will tend to agree with each other. The score is closer to one measurement taken five ways than to five separate opinions.
Alerts fire on the forming bar by default. AlertConfirmed is false out of the box, so a signal can alert mid-bar and be gone at the close. Set it to true unless you have a reason not to.
It draws a lot of objects. Arrows, labels, TP/SL lines and the panel are all chart objects. inp_max_bars caps marker drawing at 1500 bars for a reason; on a fast chart with the extras on, expect it to be heavy.
The volume profile uses tick volume. On CFD symbols that's a trade count, not size. It's still a distribution of activity, but it isn't what a futures volume profile would show you.
Four strategies means four things to test. There's no guidance in the tool about which suits which market, and the panel doesn't tell you how the others would have fired. Testing them is on you.
Questions you'll have
What does the number on the arrow mean? How many of five trend and momentum checks were true on that bar. Zero to five.
Is a 5 better than a 3? It means more of the trend was already established. Whether that makes it a better entry depends entirely on whether you are trading continuation or reversal.
Does it repaint? Signals are evaluated on each bar and the arrow for a forming bar can be removed if the condition unwinds before the close. Closed bars are stable. Keep AlertConfirmed on.
Why is my whole chart one colour? The candle colouring latches to the last signal direction while the trade manager is off. Turn Trade_Bar_Color off, or set the palette to None, or turn Target_Exit on.
Which strategy should I use? Lune is the default and the simplest to reason about — two adaptive averages crossing. The other three are there because they behave differently, not because they're upgrades.
What do Sensitivity and Rigor change? The lengths of the KAMA and Vidya. They matter most in the Lune strategy.
Can I see the lines the signal is based on? Yes, turn plot_Lune on.
Does it place trades or set stops? No. It draws TP and SL levels when you turn the manager on. Nothing is sent to the broker.
Can an EA read it? Yes. The signal and strength values are plotted buffers alongside the cloud and confirmation lines.
Best timeframe? H1 and H4. The default strategy is two adaptive averages crossing, which needs enough bars per swing to be meaningful.
MT4? Both platforms are included, one download each. Same strategies, same scoring, same panel. MQL4 has no fill primitive, so the cloud is drawn as its two boundary lines rather than as a shaded band.
Support
Send me a message with a screenshot, the symbol and the timeframe, and I'll tell you what the tool was doing on that bar.
Analysis tool. It places no trades and makes no profitability claim. Past price behaviour is not a guide to future price behaviour.