The idea is that the sharper trend movement is, the greater is the momentum, and the closer is the value of the momentum to the sum of the ranges of bars. So the indicator is the ratio of the momentum to the sum of ranges:
Change To Range Ratio = (close[bar] – close[bar-period]) / Sum(high – low)
This indicator is very similar to Range Ratio, but it uses a difference between the closing prices, which provides the following benefits:
- more accurate signals;
- turns the indicator into an oscillator with oversold and overbought areas.
The indicator is designed for short-term trading on high timeframes (H4 and higher), and works well with 3-5 bar period. Values greater than 0.5 indicate an overbought market, and therefore you should close long positions and shouldn’t open new ones. Values less than -0.5 warn against opening short positions, or, if there are open new ones, you should close them.
MT5 Indicator – Download Instructions
Change To Range Ratio is a Metatrader 5 (MT5) indicator and the essence of the forex indicator is to transform the accumulated history data.
Change To Range Ratio provides for an opportunity to detect various peculiarities and patterns in price dynamics which are invisible to the naked eye.
Based on this information, traders can assume further price movement and adjust their strategy accordingly.
How to install Change To Range Ratio.mq5?
- Download Change To Range Ratio.mq5
- Copy Change To Range Ratio.mq5 to your Metatrader Directory / experts / indicators /
- Start or restart your Metatrader 5 Client
- Select Chart and Timeframe where you want to test your indicator
- Search “Custom Indicators” in your Navigator mostly left in your Metatrader 5 Client
- Right click on Change To Range Ratio.mq5
- Attach to a chart
- Modify settings or press ok
- Indicator Change To Range Ratio.mq5 is available on your Chart
How to remove Change To Range Ratio.mq5 from your Metatrader 5 Chart?
- Select the Chart where is the Indicator running in your Metatrader Client
- Right click into the Chart
- “Indicators list”
- Select the Indicator and delete
Click here below to download MT5 Indicator: