Constant Range Detector Indicator for MT4
Market volatility is one of the elements of technical trading that can provide traders with insight into the behavior of the market and its upcoming movements.
The Constant Range Detector indicator is a volatility indicator that can be used in conjunction with other technical indicators to provide a strong indication of market volatility.
What is the Constant Range Detector display?
The Constant Range Detector Indicator or Custom Range Size Indicator is a special technical indicator that shows a constant price range.
This indicator displays the Constant Range (CR) value in the corner of the chart next to the “CR” label. The numbers it displays are rated in pips.
Constant Range Detector Indicator for MT4
How does the Constant Range Detector display work?
The Constant Range Detector indicator has a very simple algorithm that uses the price range of the last closed candle as the basis for the price range. This simply extrapolates the previous candle and subtracts the low from the high of the candle. The resulting value is the price range of the previous candle with a few decimal places. Then the value is multiplied by 10,000 to convert the constant range value to pips. If the currency pair is the “JPY” pair, the indicator will multiply the difference by 100 to convert the value to pips.
How to Use Constant Range Detector Indicator for MT4
The Constant Range Detector indicator has several options that can be changed in Settings under the Input tab.
How the Constant Range Detector display works
Text allows the user to change the text label that is displayed next to the constant area size value.
“Font Color” allows the user to select a color for displaying labels and constant region size values.
Font Size allows the user to change the size of the displayed text.
“Bold Fonts” toggles changes the displayed font to bold.
Left Right adjusts the distance of the displayed text from the corner of the chart on the x-axis.
“Up Down” adjusts the distance of the displayed text from the corner of the graph on the y-axis.
“Corner” allows the user to choose which corner of the price chart where the constant area size will be displayed.
Constant Range Detector versus Average True Range
Constant Range Detector can provide some useful information when compared to Average True Range (ATR). This can tell us if the market starts to shrink when the Constant Range Detector value is consistently lower than the ATR. It can also indicate a momentum breakout or the start of a market contraction phase when the Constant Range Detector value suddenly increases and is significantly above the ATR.
Conclusion
At first glance, the Constant Distance Detection Indicator does not seem very useful information for technical trading. However, when used in the right context, this indicator can provide traders with valuable information. Traders can use it in the context of monitoring market volatility, market expansion and contraction, and breakout momentum. This is very useful when compared to other volatility indicators such as Average True Range and Volume.
MT4 Indicator – Download Instructions
The Constant Range Detector indicator for MT4 is a Metatrader 4 (MT4) indicator and the essence of this technical indicator is to transform the accumulated historical data.
Constant Range Detector indicator for MT4 provides for an opportunity to spot various peculiarities and patterns in price dynamics which are invisible to the naked eye.
Based on this information, traders can anticipate further price movements and adjust their strategy accordingly. Click here for MT4 strategy.
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