Phoenix Support and Resistance
- Indicators
-
Nigel Nii Darku Narnor Darko
At Phoenix Trading, we engineer high-precision MQL5 Expert Advisors to turn volatility into opportunity. Our EAs combine ultra-fast execution with data-driven risk management to eliminate bias and maximise efficiency. We provide institutional-grade automation for forex, gold, and indices to retail - Version: 1.0
This MQL5 script is a Dynamic Support & Resistance (S/R) Investigator. It functions as a real-time analytical tool that identifies key price levels and mathematically evaluates their "durability" based on historical interactions.
Unlike static indicators, it uses a custom Graphical User Interface (GUI) to provide a live dashboard of market structure.
1. Level Detection Logic
The indicator scans the most recent InpPeriod (lookback) of bars to identify the absolute highest peak (Resistance) and the lowest trough (Support). It treats these not just as single price points, but as Liquidity Zones.
2. The "Strength" Investigation
The "Investigator" aspect comes from the Touch-Count Algorithm:
Proximity Scanning: The script looks back through historical bars and checks if the price came within a defined distance (InpProximity) of the identified level.
The "Hits" Counter: Every time the market "tested" the level and reversed, it increments a hit counter.
Strength Scoring:
High Strength (
hits): Indicates a "Proven Level" where institutional orders are likely sitting.
Weak Strength (
hits): Indicates an "Unconfirmed" or "Minor" level that may be easily broken.
3. Weakness Identification
The script identifies weakness through Absorption Logic. While not explicitly trading, the labels alert you to:
Status: Weak: Signals the market hasn't yet found a firm floor or ceiling in the current lookback.
Dynamic Updating: As new highs or lows are formed, the "Old" levels are discarded, showing you where the current battleground is.
4. Technical Features
Heads-Up Display (HUD): A floating, draggable panel (now styled in Black with high-contrast White/Gold text) that keeps critical data visible without cluttering the main chart.
Visual Toggle: A "Hide/Show Lines" button that allows you to clean up the chart instantly while keeping the numerical data in the panel.
Memory Management: Built using the MQL5 Standard Library (CAppDialog), ensuring it handles window events efficiently and cleans up all objects (lines and panels) when removed.
5. Intended Use Case
This tool is designed for Rejection Trading or Breakout Confirmation.
If the panel shows Strength: High, a trader might look for a reversal entry at that level.
If the panel shows Strength: Weak, a trader might anticipate a "stop-run" or a breakout through that level.
