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Average Daily Range ADR Indicator MT4

Average Daily Range (ADR) Indicator for MetaTrader 4

The Average Daily Range (ADR) Indicator for MetaTrader 4 is a vital technical analysis tool used to assess the typical price movement range an asset experience during a trading day.
By analyzing the average distance between daily highs and lows over a specified number of days, this indicator defines the ADR High (upper boundary) and ADR Low (lower boundary), helping traders identify possible support and resistance zones.

«Indicator Installation & User Guide»

MT4 Indicator Installation | Average Daily Range ADR Indicator MT5 | ALL Products By TradingFinderLab | Best MT4 Indicator: Refined Order Block Indicator for MT4 | Best MT4 Utility: Trade Assistant Expert TF MT4 | TP & SL Tool: Risk Reward Ratio Calculator RRR MT4 | Money Management: Easy Trade Manager MT4

 

Indicator Specifications Table
This table highlights the essential characteristics of the ADR indicator:

Category

Trading Utility - Support/Resistance - Risk Strategy

Platform

MetaTrader 4

Skill Level

Intermediate

Indicator Type

Range-Based - Reversal Detection

Timeframe

Compatible with Multiple Timeframes

Trading Style

Intraday Approach

Market

Forex - Crypto Assets - Equity Markets

 

Overview of the Indicator
The ADR Indicator derives the average daily volatility of an instrument by processing candlestick highs and lows across a user-defined lookback period.
It assists traders in spotting crucial price boundaries, enhancing the accuracy of trend analysis and entry/exit decisions.
Understanding volatility shifts can help pinpoint reliable zones where price may react strongly.

 

ADR in an Uptrend
For instance, on a 30-minute chart of USD/CAD, when price nears the ADR Low threshold, selling interest may fade, potentially prompting a reversal to the upside.
If bullish candlestick patterns emerge around this level, traders might look for buy entries. Stop-loss placement below the ADR Low is considered a prudent risk control step.

 

ADR in a Downtrend
Conversely, in a downtrend scenario on the NZD/CAD chart, price action tends to reverse after hitting the ADR High boundary.
Monitoring this zone for bearish price action patterns allows traders to consider short entries, with stop-loss orders positioned slightly above the ADR High for safety.

 

ADR Indicator Settings
Below are the core parameters that can be modified in the ADR Indicator:

  • ATR Period: Sets the number of periods for the average true range calculation
  • Line Design: Configures the appearance of the plotted lines
  • Line Thickness: Controls the width of ADR range levels
  • Color Options: Allows customization of the visual lines on the chart

 

Conclusion
The Average Daily Range (ADR) Indicator for MetaTrader 4 delivers valuable insights into market volatility, making it an excellent resource for identifying potential turning points and important price zones.
Incorporating ADR into your analysis improves overall trading strategy by enhancing precision in stop-loss and take-profit planning.
For deeper market context, combining ADR levels with market sentiment tools—such as volume or momentum indicators—can further sharpen trade setups and timing.

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FX Power: Analyze Currency Strength for Smarter Trading Decisions Overview FX Power is your go-to tool for understanding the real strength of currencies and Gold in any market condition. By identifying strong currencies to buy and weak ones to sell, FX Power simplifies trading decisions and uncovers high-probability opportunities. Whether you’re looking to follow trends or anticipate reversals using extreme delta values, this tool adapts seamlessly to your trading style. Don’t just trade—trade
LIMITED TIME SALE - 30% OFF! WAS $50 - NOW JUST $35! Profit from market structure changes as price reverses and pulls back. The market structure reversal alert indicator identifies when a trend or price move is approaching exhaustion and ready to reverse. It alerts you to changes in market structure which typically occur when a reversal or major pullback are about to happen. The indicator identifies breakouts and price momentum initially, every time a new high or low is formed near a po
Hit Rate Top Bottom Signal
Martin Alejandro Bamonte
Hit Rate Top Bottom Signal Hit Rate Top Bottom Signal Hit Rate Top Bottom Signal offers a completely innovative approach. It's ideal for those who want to evaluate beforehand how the signal performs with a specific TP-SL and in which PAIRS/TFs it performs best. The Hit Rate Top Bottom Signal strategy is a fundamental tool for any trader and any type of trading because it not only emits precise, non-repainting signals , clearly indicating when and in which direction to trade, but also keeps a det
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Order Block Void Indicator MT4 Order Blocks represent critical price zones where institutional traders place significant buy and sell orders. These areas often serve as key support and resistance levels on price charts. The Order Block + Void indicator for MetaTrader 4 autonomously marks these order blocks on the chart. One of its notable features is displaying the percentage of the order block that has been utilized, turning the consumed section gray. This tool highlights bullish order blocks
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