False Breakout Counter
Info
The False Breakout Counter is a Indicator for MetaTrader 5 that the concept is straightforward: if the high of the current bar exceeds the high of the previous bar, and the close of the current bar is below the high of the previous bar, it indicates a false breakout upwards. Conversely, if the low of the current bar is lower than the low of the previous bar and the close of the current bar is above the low of the previous bar, we have a false breakout downwards.
Usage
This tool is typically used for breakout trading when price moves beyond key support/resistance levels.
Platform
This Indicator works exclusively on MetaTrader 5 (both build 600+ and newer versions).
Setup
Place the downloaded file in MQL5/Indicators folder via File ? Open Data Folder in MetaTrader 5.
How to Install and Use False Breakout Counter
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.
What this tool does
The concept is straightforward: if the high of the current bar exceeds the high of the previous bar, and the close of the current bar is below the high of the previous bar, it indicates a false breakout upwards.
Typical Use Case
This Indicator excels in automated trading and technical analysis on MetaTrader 5.
Compatible Platform & Setup
This Indicator works on MetaTrader 5. Place the file in the MQL5/Indicators folder and restart the terminal.
Description & Settings
Related: Session-Based Liquidity Breakout Strategy - another powerful indicator for MetaTrader 5 traders.
The concept is straightforward: if the high of the current bar exceeds the high of the previous bar, and the close of the current bar is below the high of the previous bar, it indicates a false breakout upwards. Conversely, if the low of the current bar is lower than the low of the previous bar and the close of the current bar is above the low of the previous bar, we have a false breakout downwards.Also recommended: Breakout Distance - Donchian Channel with Distance-to-Trigger Panel in ATR Units - similar indicator with strong performance on MetaTrader 5.
There are instances where a single bar can exhibit two false breakouts, particularly when the bar is external to the previous bar and its close falls within the range of the previous bar. The indicator provides the following information:
- Number of false breakouts upwards (blue line).
- Number of false breakouts downwards (red line).
- Total count of false breakouts (orange line).
The principle is that if there have been three or more false breakouts in the last five bars, the next breakout high or low (the previous bar) is likely to be genuine.
Recommendations:
- It is advisable to utilize the indicator for periods of Н4 or higher.
- Since the indicator does not indicate the direction of a potential breakout, it can be used in conjunction with stop orders placed below/above the previous bar's extremes or in combination with a trend indicator, where the stop order for the breakout is placed only in the direction of the trend.
You may also like: Asian Session Breakout - excellent alternative for indicator users on MetaTrader 5.
Source Code
#property copyright "robotfx"
#property link "https://robotfx.org"
#property version "1.00"
#property description "this code is educational. feel free to use, modify and upgrade as you wish. visit robotfx.org for professional trading tools"
#property description "this code is educational. feel free to use, modify and upgrade as you wish. visit robotfx.org for professional trading tools"
#property description "this code is educational. feel free to use, modify and upgrade as you wish. visit robotfx.org for professional trading tools"
#property description "this code is educational. feel free to use, modify and upgrade as you wish. visit robotfx.org for professional trading tools"
#property description "this code is educational. feel free to use, modify and upgrade as you wish. visit robotfx.org for professional trading tools"
#property indicator_separate_window
#property indicator_buffers 3.......
⚠ Limitations & Risk Warning
- This tool is provided for educational and testing purposes only.
- Past performance does not guarantee future results.
- Trading involves substantial risk of loss. Use on a demo account first.
- Results may vary depending on market conditions, broker, and settings.
- We recommend thorough backtesting and forward testing before using with real funds.