Fair Price is a very important idea that is valuable in trading but in everyday life as well

Fair Price is what is the inherent value of an asset.
If you buy the asset cheaper than the price you can sell it later to make a profit

of course it's very hard to determine fair price in trading.

In everyday life you can look on Ebay or on vendors websites how much an asset was sold for, then create a trading plan based on that.

in trading it's harder to know what price people will be ok to buy/sell the asset at.

I created these two indicators to help you in that sense.

"Fair Price.mq4" looks at the price that have been the most visited in the past "period" bars and plots the highest number of times as a yellow lines.
the second and third most visited prices are also displayed
"Fair Price (rarest)" looks at prices that have been the LESS visited (in the past "period" bars) and plots them.

hope it helps

Fair Price: rarest: Jeff

how to use it in trading?

Borshchov A.N. wrote: Thu Apr 14, 2022 7:21 pm how to use it in trading?

price is in theory "attracted" to the fair price, so it will eventually come back to it.
so if it goes away from the yellow line, you can enter a trade, hoping it will come back to the fair price.
example : this car is worth $40000. I can have one instance at $30000 then sell it later for the fair price of $40000 and make a profit

for the "rarest" one, it will most of the time bounce back to the price. so if price hit the yellow line, expect it to revert
it's also good support/resistance line for breakouts