The Forex Master Pattern is an alternative form of technical analysis that provides a framework which will help you to find and follow the hidden price pattern that reveals the true intentions of financial markets. This algorithm here does a good job detecting the Phase 1 of the Forex Master Pattern cycle, which is the contraction point (or Value).

On Phase 2 we get higher timeframe activation (also called Expansion), which is where price oscillates above and below the average price defined on Phase 1.

On Phase 3 is where we get a sustained deviation from value (the Trend).

In a very short time you will start noticing this pattern, even on naked charts. It is all a matter of training your eyes - the more time you invest studying the charts with this indicator (both historically and replaying the market on strategy tester), the faster you will become familiar with this method.

This indicator DOES NOT REPAINT. You can safely study the chart historically because what is printed historically is what prints real time.

Why do traditional based indicator systems fail over time? Because the markets move in cycles that constantly change structure. Those traditional indicator systems must be constantly optimized and settings tinkered with because of the changing market environment. There are an infinite number of variables that affect price so no exact technical system can work the same forever, which is also the reason why most bots/EA fail.

If you learn to spot the Forex Master Pattern and understand the sequence of the real cycles that drive the markets, you can more accurately forecast market behavior. By using traditional indicators you end up masking this pattern.

Use the insights provided by the Forex Master Pattern indicator to elevate your trading to the next level.

This method of analysis works in any liquid market and timeframe.

HOW DOES THIS INDICATOR WORKS?

After detecting a contraction point, a minor box and expansion line start printing on the chart. It is your 1st heads up for a potential new master pattern origin point. By default, the minor box is invisible and the minor expansion line is a dotted white line. If the minor box is confirmed as a major box, a blue box will appear on the chart with a thicker solid white line projecting from it, and also a buy or sell liquidity line (it depends of which side confirmed the box as major) from the lowest or highest price after the major box. You will understand it better when you replay it on the strategy tester.

The major and minor expansion lines will print until the next major box is confirmed. The liquidity lines will print until price hits them.

Just because an expansion line stays as minor does not mean you ignore it or it´s less important. It is just that the algorithm was coded in a way to highlight more important points (the ones that get price expansion above and below the contraction point). It was done like this to avoid too many major boxes/lines on the chart, which would only lead to confusion. But you have to learn to spot when a minor expansion line is in fact a good origin point.



VERY IMPORTANT:

The default setting of historical bars is set to 500. This is more than enough for day trading and ensures fast drawings loading time and stable performance. Bear in mind that, the more bars you choose to load historically, the longer it will take to draw everything. On my mid end computer it takes 1 minute to load 10K bars worth of boxes and lines on a 5min chart, for example. If you try to load too many bars historically in lots of different charts and on top of that other indicators, don´t come here and complain about performance issues (metatrader hanging, lagging, weird behaviors etc...)

I recommend that you use the strategy tester if you wanna analyze more than 10K bars historically. Instead of trying to load 20K, 30K bars for the algorithm to analyze and draw boxes, it is better if you configure the strategy tester to start where you want to perform your historical analysis, even better if you analyze in smaller segments of time adequate to the timeframe you wanna analyze. For example, if you wanna analyze the 1min timeframe, configure the strategy tester to run 1 month. If you wanna analyze the 5min timeframe, configure the strategy tester to run 3 months, etc... This is a better form of study as you can see the indicator working in real time.

I DON´T recommend that you save this indicator as part of a template. The reason being is that the template is gonna be saved with all the drawings made by the indicator, and when you load the template on another chart on another timeframe/symbol, it is gonna print all the boxes and lines saved as drawings from another symbol/timeframe. It is better if you just load the indicator freshly on that new chart. If you happen to change the timeframe after you loaded the indicator on a different timeframe, go to the indicator settings and change the number of max historical bars to be adequate to the new timeframe - this will also trigger the indicator to recalculate, cleaning up any drawings from the other timeframe.


Indicator Parameters:

They are all self-explanatory, except Type. You can choose between 1 and 2.

1 is better suited for LTF (M1 to M30)

2 is better suited for HTF (H1 and upwards)

However, this is my personal preference. You can of course experiment and choose what looks best for you.

You can get the indicator here: https://www.mql5.com/en/market/product/ ... escription

If you wanna learn more about this tool and method, I recommend you to watch this video (and also all the other videos from the channel):

Same spot as above, but on 5min:

Try this indicator instead.. its for free and you can change the settings as you want

Also you can save it in a template.

Edit: In your "trade examples" your rectangles literally play no role whatsoever

mrtools wrote: Tue Mar 16, 2021 4:29 am Alerts added.

similar to this indicator smACME Rectangle_v2.1 alerts

PumbaPLS wrote: Wed Apr 27, 2022 9:35 pm Try this indicator instead.. its for free and you can change the settings as you want

Also you can save it in a template.

Edit: In your "trade examples" your rectangles literally play no role whatsoever

I am familiar with this indicator, it has nothing to do with the TradeATS algorithm. No wonder it is free, it looks like crap and draw the boxes at the wrong places. Moreover, it is for MT4 and you are better off using the original TradeATS ( which you can find floating around the net, even here on this forum). Mine is for MT5 and looks better and draw the lines and boxes properly. This thing that you posted doesn´t even differentiate between major and minor boxes/lines.

"In your trade examples your rectangles literally play no role whatsoever"

LOL really? Perhaps if you are not proficient with SMC or supply and demand, you won´t know what the rectangle mean....

Some screenshots for comparison:

I played 5minutes with the settings and I think it got already pretty good
If you think I dont know about SMC then I am sorry to say that I very sadly know a lot about it as I have studied it intensively in past.

Anyway I am not here to disregard SMC, anyone can trade however they want.

If someone wants something prettier(?) and something that you cant save on a template then I think your indi is well spent money.

For anyone else... I suggest trying out the other indicator and play with the settings.

edit: Imagine putting the same indicator but with different settings on the same chart... now change the colours of one of them and suddenly you have minor and major... rectangles...

edit2: there is also a mql file floating around from that indicator, I am sure our great coders on this forum wouldnt mind adding 1 or 2 things to it if anyone has a suggestion.... for free

Sure you can use whatever you want, my solution is for MT5 and uses basically the same algorithm that TradeATS does, I just improved it a little bit to look better on lower or higher timeframes.

This version you posted here catches some similar points and ignore others, and also print boxes in totally wrong places. No one wants to fiddle with lots of settings, imagine doing that for every single timeframe and symbol, which is what you gonna have to do using that indicator based on ATR and other stuff - you have 5 PARAMETERS to fiddle with lol when you have absolutely no need for that for detecting the contraction point correctly and homogeneously across any timeframe and symbol, which is what mine does - no infinite fiddling of parameters to see what looks best. But yeah, to each his own.

You can´t just load two instances of that indicator on a chart and call it minor box or major box without altering the code to judge it, that is not how it works.

EDIT:

Regarding the "free" you mentioned, not actually free as that indicator will cost you time and mental energy, both are very important resources to save, as a day trader.

Yeah you can go the "free" indicator route, but it´s an indicator which doesn´t use the correct algorithm and will cost you:
-time
-mental energy
-patience
-risk of analysis paralysis, indecision of which parameters to use

OR

You can pay the very fair price of US$49 to own the indicator (compared to the US$300 monthly RENTAL fee TradeATS charges for the MT4 version only) and have a tool that will draw always the correct lines and boxes on the chart without any headache and loss of time, and looks good.

Here you can see that even at small segments of counter trend it is possible to enter very good trades when the higher timeframe heikin ashi rotates:

GBPUSD today