Drag&Drop Volume Profile Indicator
Drag and drop volume profile indicator for MetaTrader4 builds volume profile in forex trading price charts automatically.
Description
The drag and drop volume profile indicator for MT4 builds and creates a volume profile for any trading instrument. Moreover, the indicator plots the volume point of control, high volume node, and low volume nodes and shows the market’s volume distribution at a glance. So, forex traders can identify the support and resistance areas, high and low trading activity areas. As a result, technical forex traders can identify the best Buy and Sell entry points.
The indicator creates and builds the profile on all intraday price charts and the daily, weekly, and monthly price charts. New and advanced forex traders can use the indicator easily. New forex traders will benefit from the support and resistance areas the volume profile delivers. However, advanced forex traders can benefit from the runaway gap zones, high and low volume nodes to identify the best trading areas. Moreover, forex traders can download the indicator for free and install it easily.
Drag And Drop Volume Profile Indicator For MT4 Trading Setup
The above EURUSD H1 candlestick price chart shows the drag and drop volume profile indicator for MT4 in action. The indicator shows the point of control in deep sky blue and the value area in light blue, while the runaway gap zones are in yellow.
The volume point of control is the area where most of the volume is traded, so it is an important area for technical traders and acts as a support or resistance. Price normally moves quickly through the runaway gap areas as these areas offer the least support or resistance. Similarly, the high-volume node and the low-volume nodes act as support and resistance.
If the price crosses the volume point of control and moves higher, it indicates a bullish condition. So, traders should enter the market with a BUY position, with a stop loss below the previous swing low. The best strategy to book profits is at the next high-volume node.
Similarly, if the price moves lower than the volume point of control, it indicates a bearish condition. So, forex traders should place a SELL trade with a stop above the previous swing high and book profits at the next high-volume node.
Conclusion
The drag and drop volume profile indicator for MT4 assists the technical forex traders in using volume as an integral component for formulating technical trading strategies. However, traders should not use volume as a stand-alone component for the identification of trends or directions. Additionally, traders can download the indicator for free and install it easily.