The 5 Day Breakout forex indicator for Metatrader 4 marks the 5-day high and 5-day low price using two red lines.
This is a forex breakout indicator.
Trading the 5 Day Breakout forex indicator is pretty much self explanatory:
- A breakout buy signal occurs when price breaks and closes above the 5-day high price
- A breakout sell signal occurs when price breaks and closes below the 5- day low price
The default day breakout period is set to 5 but can be easily changed from the indicator’s inputs tab.
For instance, if you like to trade the 14 day breakout period, set the value to 14.
The EUR/USD Hourly chart below displays the 5 Day Breakout Metatrader 4 Forex indicator in action.
Basic Trading Signals
Signals from the 5 Day Breakout MT4 forex indicator are easy to interpret and goes as follows:
Buy Signal: Initiate a long trade when price exceeds and closes above the 5-day high price red line.
Sell Signal: Initiate a short trade when price exceeds and closes below the 5-day low price red line.
Trade Exit: Use your own method of trade exit.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: Chart pattern indicator
Customization options: Variable (Days) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Copy and paste the 5-day-breakout.mq4 into the MQL4 indicators folder of the Metatrader 4 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL4 > Indicators (paste here)