SRm_Cloud - MetaTrader 5 Script | Forex Indicator Download - MT4/MT5 Resources

This indicator utilizes the idea of ​​adding a value equal to the average minimum move of the opening price over days or weeks to the bar opening time and multiplying the standard deviation of the average move by a coefficient to determine possible resistance levels. The opposite is true for support levels.

The smallest move relative to the opening price of a day or week is the lowest of the high-opening and open-low distances.

The resistance level of the indicator is:

R = on - k * AV - k_std * Std;

For support levels:

S = open + k * AV + k_std * Std;

In contrast to the method of finding support and resistance levels using GSV ("Long-Term Secrets of Short-Term Trading" by Larry Williams, Chapter: "Maximum Volatility Value"), all minimum movements of the 4-day and 9-day or weekly bars are used in the calculation without separating the diverging bars.

The average volatility value and its standard deviation are calculated individually during the period defined in the input parameters, and at the end of the calculation the indicator selects the maximum sum of the average volatility and standard deviation multiplied by the coefficient. This ratio can be modified in the indicator settings window (the default value is 1, which means adding one standard deviation to the average minimum fluctuation as a filter).

In this indicator version you can set any period. It also includes a built-in filter for the weekend bar, which combines the weekend bar with the Monday bar. Monday's S and R levels are calculated relative to the opening price of the weekend bar. If Monday's low is lower than the weekend bar's low, Monday's low will be used for calculations and vice versa. Likewise for Monday and weekend bar highs.

The original indicator was developed in MQL4 language and published in the code base on August 26, 2013.

Figure 1. SRm_Cloud indicator

Attachment download

📎 srm_cloud.mq5 (6.26 KB)

Source: MQL5 #11320