Market Structure Low High Indicator

Market Structure Low High Indicator

The Market Structure Low High indicator for MT4 is a channel-like technical trading tool that marks the swing highs and lows on the chart.

The Market Structure Low High indicator for MetaTrader is a channel-like technical trading tool that marks swing highs and lows on the chart. The swing highs and lows are levels of interest where the price may likely reverse.

The indicator creates a channel-like structure because it connects different highs/lows swing points with dots. The indicator also connects the swing points with a horizontal bar which in turn acts as a potential support and resistance level.

Moreover, it is instructive to note that the higher the price reacts to the identified support/resistance level, the stronger it tends to hold the price. This simply infers that an asset has a higher probability to reverse when it hits a level that has been tested multiple times by the price.

What’s more, the indicator would be beneficial to beginners/intermediate and advanced forex traders. Besides, it is also recommended for scalpers, day/intraday, and swing traders.

How to Trade With the Market Structure Low High Indicator

The above image depicts the action of the indicator on a GBPCHF currency pair in an H4 timeframe. It illustrates how to identify a high-probability trade setup; a sell signal in this case.

Firstly, the image shows that the indicator identified a swing high with a dot and also drew a horizontal bar on it. Furthermore, the price rallied to the level, retested it, and then reversed to the downside. Finally, the market presented a selling opportunity when the price retested the swing level for the third time.

The price rejection on the third touch suggests that the resistance level was likely to hold, hence the sell entry. The same principle is also applicable to generating a buy signal.

Conclusion
The Market Structure Low High indicator for MT4 is an incredible technical tool that would help you to identify a potential trend reversal zone with less of a hassle. Finally, it is free to download.