MTF Support and Resistance Indicator for MT4

0
1405
MTF Support and Resistance Indicator for MT4

Introduction to the MTF Support and Resistance Indicator

Swing highs and swing lows can be considered as support and resistance levels considering that price has already reversed from such levels.

This indicator is based on the concept of using swing highs and swing lows for identifying support and resistance levels.

What is the MTF Support and Resistance Indicator?

MTF stands for “Multi Time Frame”. As the name suggests, the MTF Support and Resistance Indicator is a custom technical indicator which automatically identifies and indicates support and resistance levels based on multiple timeframes.

This indicator plots a series of characters that form a horizontal line to show support and resistance levels. Each type of character or symbol represents a time frame in which the horizontal support and resistance level is based on.

The color of the lines also indicates whether the level is a support or resistance level. Red lines indicate a support level, while blue lines indicate a resistance level.

MTF Support and Resistance Indicator for MT4

How the MTF Support and Resistance Indicator Works

The MTF Support and Resistance Indicator uses a simple algorithm which detects the swing lows and swing highs of price action based on different timeframes. The timeframes are based on the number of minutes which the trader would use on the indicator’s input variables. It also allows for up to four timeframes used simultaneously to detect support and resistance levels.

It then uses the swing lows as a basis for the support levels. On the other hand, it also uses the swing highs as a basis for plotting the resistance levels.

The indicator then plots the series of symbols to form a horizontal line based on the identifies support and resistance levels.

How to use the MTF Support and Resistance Indicator for MT4

This indicator allows users to modify the timeframes used, as well as the number of timeframes used simultaneously to identify support and resistance levels. These modifications can be done within the indicator’s settings.

The “Period 1”, “Period 2”, “Period 3”, and “Period 4” variables are used to modify the timeframes used to identify the support and resistance levels. The input variable is in minutes. As such, users simply have to input the number of minutes for the timeframe used. This would mean that if you would like to use it for higher timeframes, then you would simply have to multiply the number of hours on the timeframe by 60.

The “Display Period 1”, “Display Period 2”, “Display Period 3”, and “Display Period 4” options toggles the display of “Period 1” up to “Period 4” on and off.

How the MTF Support and Resistance Indicator Works

This support and resistance levels can be used as the usual support and resistance levels are used. Traders can trade trend reversal signals forming on these levels.

Note that broken resistance levels can act as support and vice versa.

Buy Trade Setup

When to Enter?

Open a buy order if a bullish signal forms on a support level.

When to Exit?

Set the take profit target on the next major resistance level.

How to use the MTF Support and Resistance Indicator for MT4 - Buy Trade

Sell Trade Setup

When to Enter?

Open a sell order if a bearish signal forms on a resistance level.

When to Exit?

Set the take profit target on the next major support level.

How to use the MTF Support and Resistance Indicator for MT4 - Sell Trade

Conclusion

This indicator can be useful for strategies that use horizontal support and resistance levels, such as market flow types of strategies. However, it is best to use the major support and resistance levels as these levels tend to be more reliable. It is also best to use this indicator in conjunction with other technical indications for better reliability.

Recommended MT4 Broker

  • Free $50 To Start Trading Instantly! (Withdrawable Profit)
  • Deposit Bonus up to $5,000
  • Unlimited Loyalty Program
  • Award Winning Forex Broker
  • Additional Exclusive Bonuses Throughout The Year

Recommended broker

>> Claim Your $50 Bonus Here <<

(Free MT4 Indicators Download)

Click here below to download:

MTF Support and Resistance Indicator for MT4

LEAVE A REPLY

Please enter your comment!
Please enter your name here