Demand Index
This tool for MetaTrader 5 is specifically engineered to streamline your trading operations. This technical indicator acts as a specialized analysis tool designed to visualize market data. It helps traders identify emerging trends, momentum shifts, and key support or resistance levels by plotting statistical calculations directly onto price charts.
How to Setup and Use Demand Index
1. Installation: Place your file in the MQL/Indicators folder via "Open Data Folder" and restart your terminal.
2. Loading: Find the indicator in the Navigator, drag it onto your chart, and configure the input parameters in the popup window.
3. Customization: Press Ctrl+I to open the indicator list, select your tool, and click "Properties" to change colors, levels, or visual styles.
4. Updating: Replace the old file in the Indicators folder with the new version and restart the platform to apply changes.
Frequently Asked Questions
Q: Why is my indicator not showing? A: Verify the file is in the MQL/Indicators folder, or try right-clicking the "Indicators" tree in the Navigator and clicking "Refresh."
Q: Do custom indicators slow down the platform? A: Too many complex indicators can impact performance; remove unused ones via the "Indicator List" (Ctrl+I).
Q: Can I use MT4 indicators on MT5? A: No, MQL4 and MQL5 are distinct languages; ensure the indicator is compiled specifically for your platform version.
Description & Settings
The Demand_Index indicator developed by James Sibbet combines the price and volume, and is often considered a leading indicator of price change.
It has one configurable parameter:
Period
- calculation period.
James Sibbet defined six "rules" for the demand index:
Divergence between the demand index and the price indicates the forthcoming price reversal;
The price often reaches new highs after the extreme peak of the demand index (the index acts as a leading indicator);
High price with a lower demand index peak usually coincides with an important peak (the index acts as a confirmation indicator);
The demand index, which breaks the zero level, indicates a trend change (the index acts as a confirmation indicator with a delay);
If the demand index constantly fluctuates around zero, then the current price trend has a weak potential and will not last long;
A significant long-term divergence between prices and the demand index indicates an important market top or bottom.
