AI Range Compression Scanner

AI Range Compression Scanner automatically finds periods of tightening volatility - price squeezes - and highlights them as a shaded zone on the chart, then marks the breakout the moment price escapes the squeeze. Volatility contraction almost always precedes an expansion move, and this indicator lets you see it building in real time.

The indicator continuously compares a short-term price range against a longer-term baseline range. When the short-term range compresses below your chosen percentage of the baseline, a squeeze zone is drawn; once price closes outside that zone, a breakout arrow is plotted and the squeeze is considered resolved.

Key features:

• Automatic detection of volatility-compression (squeeze) zones
• Configurable compression threshold as a percentage of the baseline range
• Automatic breakout arrows once price escapes the squeeze zone
• Adjustable compression window and baseline lookback
• Customizable squeeze zone color
• Works on any symbol and timeframe - Forex, metals, indices, crypto
• No DLLs, no external dependencies - installs in seconds

Input parameters:

• Compression Bars - number of recent bars used to measure the tight range (default 10)
• Baseline Bars - number of bars used to compute the average baseline range (default 50)
• Compression Percent - maximum ratio of short range to baseline range to qualify as a squeeze (default 60.0)
• Zone Color - color of the drawn compression zone (default Dodger Blue)

Ideal for breakout traders and volatility-based strategies who want an objective, automatic way to spot coiling price action before it explodes into a new trend.

Need this tool customized for your own strategy, or an advanced version with extra filters and alerts? Send me a private message on MQL5 and I will reply with an estimate.