The Fractal Support Resistance Indicator is an MT4 support and resistance indicator tool based on using swing highs and swing lows as horizontal support and resistance levels. This indicator uses fractals based on higher time frames, and fractals when zoomed in on lower time frames can be valid swing highs and swing lows.
What is a Fractal Support Resistance Indicator?
The Fractal Support Resistance Indicator is an indicator that automatically identifies and plots support and resistance lines using fractals.
It plots the support and resistance lines horizontally according to the fractal. The various lines that are plotted have different characteristics. For one, the colors of the support and resistance lines can be different. Some of the lines are solid too, while others are dashed. These various characteristics indicate that support and resistance lines are based on various time frames. Read more about Technical Analysis for beginners below.
How Does the Fractal Support Resistance Indicator Work?
This indicator plots a resistance line whenever it detects a fractal above price action and a support line if it detects a fractal below the price action. It detects the latest fractals from various higher time frames which include 1-Hour, 4-Hour, Daily, Downloads, and Monthly charts. The colors and characteristics of the lines also represent various time frames. Below is a color-coding scheme of various support and resistance lines based on fractals from different time frames.
• H1 – dotted green
• H4 – dotted gold
• D1 – solid dark orange
• W1 – solid red
• MN – solid fire bricks
Ways to make use of the Fractal Assistance Resistance Indicator for MT4
The Fractal Support Resistance Indicator has no modifiable setting options. This is because the script it uses has been fixed. Traders can only modify the color and line style that the indicator will use for different levels of support and resistance.
By using this indicator objective support and resistance levels can be identified. Traders can then trade breakout or reversal trades using these key support and resistance levels.
Zigzag Fractals Indicator for MT4
The Zigzag Fractals indicator is a trend following indicator that identifies swing highs and swing lows of price action. It can also help traders identify the characteristics of price action and the structure of the market. This indicator plots a golden line connecting minor swing highs and swing lows forming a zigzag pattern.
How Does the Zigzag Fractals Indicator Work?
The Zigzag Fractals indicator works similarly to the basic Zigzag Indicator. It identifies swing highs and swing lows based on price reversals that are greater than a predefined percentage threshold. The difference is that the lower percentage threshold used in this indicator makes the indicator more sensitive than the traditional Zigzag Indicator. This indicator identifies reversals as swing highs and lows. Then connects swing highs and swing lows forming a zigzag-like pattern.
How to use Zigzag Fractals Indicator for MT4
The Zigzag Fractals indicator has no variables that traders can change to modify the sensitivity of the indicator. It has been set to be very sensitive and cannot be changed.
This indicator is used to identify the market flow structure based on the identified swing highs and swing lows. Traders can use these levels as support and resistance levels where the price can break out or reverse.
This indicator can also be used effectively to identify the direction of the trend based on the characteristics of the swing pattern. A price action trader would define an uptrend as a market with rising swing highs and swing lows. Thus, the swing points identified by this indicator should generally go up.
Inversely, a downtrend market has consistently downward swing highs and swing lows. So, the swing points identified by the indicator should also consistently fall. Continuing the idea above, this indicator can also help traders identify appropriate trailing stop loss levels as the price should not break the swing point opposite to the trend direction if the trend is still playing.