Market structure indicator bos choch MT4
- Indicatori
- Eda Kaya
- Versione: 1.11
Market structure indicator bos choch MT4
The BOS-CHOCH Market Structure Indicator is an ICT-style tool developed for MetaTrader 4 (MT4). It is designed to assist traders who follow ICT methodologies in recognizing shifts in the market’s dominant and secondary trends. By pinpointing structural breakouts and market character changes, traders can refine their technical analysis for more precise decision-making.
Market Structure Indicator (BOS-CHOCH) Overview
Below are the general details and technical specifications of this indicator:
Category | ICT - Smart Money - Liquidity |
Platform | MetaTrader 4 |
Skill Level | Advanced |
Indicator Type | Breakout - Strength - Continuation |
Timeframe | Multi-Timeframe |
Trading Style | Scalping - Day Trading - Intra-day Trading |
Trading Markets | Forex - Stocks - Indices |
Features of the Market Structure Indicator (BOS-CHOCH)
The BOS-CHOCH Market Structure Indicator is a powerful tool utilized by ICT traders to detect Break of Structure (BOS) and Change of Character (CHOCH). It effectively highlights these patterns in both primary and secondary market movements.
Bullish Market Trends
On a 1-minute USD/CHF chart, the BOS-CHOCH Indicator successfully identified a Change of Character (CHOCH), signaling a transition from a bearish to a bullish trend.
Once the CHOCH was established, the price revisited the key order block responsible for this shift and proceeded in an upward direction. As the uptrend strengthened, a Break of Structure (BOS) confirmed the continuation of the bullish movement.
Bearish Market Trends
On a 30-minute USD/JPY chart, the BOS-CHOCH Indicator accurately mapped out Change of Character (CHOCH) and Break of Structure (BOS) levels, marking CHOCH with red lines and BOS with blue lines. ICT traders can utilize this insight to anticipate price retracements into order block zones and enter trades at optimal points.
Following the CHOCH formation, the trend reversed from bullish to bearish. The price then retraced towards the order block before resuming its downward momentum. As the price dropped further, a Break of Structure (BOS) confirmed the bearish continuation.
Indicator Settings
The configuration options for the BOS-CHOCH Market Structure Indicator are outlined below:
General Settings
- Historical Candle Count: Defines the number of previous candles analyzed to detect structural patterns.
- Trend Calculation Method (ZigZag or Candlestick): Allows customization of trend identification based on either ZigZag movements or individual candlestick formations.
Final Thoughts
The BOS-CHOCH Market Structure Indicator is an advanced ICT and Smart Money tool for MT4, specifically designed to interpret market character shifts and structural breakouts. This indicator is highly beneficial for traders employing ICT and Smart Money strategies, providing deeper insights into price action and liquidity areas. By integrating this tool, traders can better anticipate market movements and optimize their trading entries and exits.