Market Profile Forex Indicator

Market Profile MT4 Forex Indicator

This indicator visualizes the distribution of price action within a specific trading session (daily, weekly, or monthly). It helps identify key price levels, such as the Value Area and Median price, which can be used for trading decisions.   

Key Features:

• Session-Based Analysis: Calculates Market Profile data for user-defined sessions (Daily, Weekly, Monthly).
• Value Area: Highlights the price range that encompasses 70% of trading volume within the session.
• Median Price: Identifies the price level with the highest trading volume and the longest time to reach.
• Color-Coded Dots: Visualizes price action throughout the session using a color gradient to represent the time elapsed.
• Customizable: Allows users to select the session type, number of sessions to analyze, and color scheme.

How to Use the Market Profile Indicator:

1. Attach to Chart: Attach the indicator to the desired timeframe (see recommended timeframes in the code comments).
2. Select Session Type: Choose the desired session type (Daily, Weekly, or Monthly).
3. Customize Settings:
   • SessionsToCount: Adjust the number of sessions to analyze.
   • ColorScheme: Select a color scheme for the price action visualization.
4. Identify Key Levels:
   • Value Area: Observe the price range within the Value Area. Price tends to find support and resistance within this area.
   • Median Price: Consider the Median Price as a potential pivot point.
5. Trading Strategies:
   • Breakouts: Trade breakouts above or below the Value Area.
   • Reversals: Look for price reversals at the Value Area boundaries.   
   • Support/Resistance: Use the Value Area and Median Price as potential support and resistance levels.

Important Notes:

• Timeframe Considerations: The recommended timeframes for each session type are provided in the code comments.
• Data Limitations: The indicator's accuracy may be limited with very exotic pairs, CFDs, or commodities.
• Backtesting: Thoroughly backtest any trading strategy based on this indicator before live trading.
• Risk Management: Always practice proper risk management techniques when trading.

Disclaimer:

• This description is based on the provided code and its intended functionality.
• The actual performance of the indicator may vary depending on market conditions and individual trading strategies.
• Trading in the forex market involves significant risk and may not be suitable for all investors.