DeFoeji SMC Valid Inducement

DeFoeji_SMC_Valid_inducement is a Smart Money Concepts (SMC) indicator for MetaTrader 5. It reads the market structure for you and draws it on the chart, so you can see where the trend shifts, where price may react, and which levels matter.

Advantages

• Saves time: no need to mark structure, order blocks and key levels by hand.
• Clear and clean chart: every element has its own color and can be turned on or off, so you only see what you need.
• All-in-one SMC toolkit: structure, order blocks, order flow, equilibrium, sweeps and key levels in one indicator.
• Works on any symbol and timeframe.
• Ready for automation: CHoCH and BOS signals are available in indicator buffers, so an Expert Advisor can read them.
• Alerts: get notified when a new CHoCH or BOS appears.
• Fully customizable: colors, line styles, lengths and the number of zones are adjustable.

Features

• True SMC market structure: Inducement (IDM), Change of Character (CHoCH) and Break of Structure (BOS), with live levels.
• Swing points: HH, LH, HL, LL labels and swing circles.
• Order Block zones (POI): EXT OB, IDM OB and Break OB, built from the mother bar. Zones can extend after a break.
• Minor Order Flow: small order flow boxes, with optional display of tested (already broken) zones.
• Equilibrium (0.5) and Swing Sweep markers.
• Candle highlighting: Inside Bar, Outside Bar and Mother Candle.
• Valid pullback lines: for major structure and for internal (minor) structure.
• PDH / PDL: previous day high and low.
• Key levels: 4H, Daily, Monday, Weekly, Monthly, Quarterly and Yearly.

How to use

1. Attach the indicator to a chart.
2. Watch for CHoCH and BOS labels: they mark a possible change or continuation of the trend.
3. Use the Order Block zones as areas where price may react.
4. Combine with your own analysis and risk management.

Buffers for Expert Advisors

• Buffer 0 (bullish): 1 = CHoCH up, 2 = BOS up.
• Buffer 1 (bearish): -1 = CHoCH down, -2 = BOS down.
• Signals are written on the most recently closed bar, so read shift 1.

Input parameters

General

• Max Bars (3000): number of historical bars to calculate.
• Alerts (false): show an alert on every new CHoCH / BOS.

Market Structure

• Show True SMC Market Structure (true): show IDM, CHoCH and BOS.
• Live Level Length (40): length of the live level lines, in bars.
• SMC Structure Type (With IDM): calculate the structure with or without inducement.
• IDM Color: color of inducement lines and labels.
• Show True SMC Swing (circle) (true): draw circles on swing points.
• Show Major Pullback (HH/LH/HL/LL) (false): show swing labels.
• HH/LL Label Color: color of the swing labels.
• Bullish Color / Bearish Color: colors for bullish and bearish structure.

Order Block

• Calculate POI (true): calculate Order, Breaker and Mitigation block zones.
• Show Raw POI Zones (false): show all raw zones, not only the valid ones.
• Extend Box on Break (true): keep extending the box to the right after it is broken.
• Show EXT OB (true): show external order blocks.
• Show IDM OB (true): show inducement order blocks.
• Show Break EXT OB & IDM OB (true): show order blocks that have been broken.
• EXT OB Demand / Supply fill: fill colors of external demand and supply zones.
• IDM OB Demand / Supply fill: fill colors of inducement demand and supply zones.
• EXT OB Demand / Supply text and IDM OB Demand / Supply text: text colors of each zone type.

Order Flow (Minor)

• Show Minor OF (true): show minor order flow boxes.
• Max Minor OF (10): maximum number of minor order flow boxes.
• Show Tested OF (false): also show order flow boxes that have been broken.
• Max Tested OF (20): maximum number of tested boxes.
• Minor OF Bull / Bear Color: colors of bullish and bearish boxes.
• Tested OF Color: color of tested boxes.

Structure

• Show Equilibrium (0.5) (true): show the 50% level of the current range.
• Equilibrium Length (40): length of the equilibrium line, in bars.
• Show Swing Sweep (true): mark swing highs / lows that were swept.
• Sweep Color: color of the sweep marker.

Candles: Inside / Outside / Mother

• Color Inside Bar (true) and Inside Bar Color.
• Color Outside Bar (true), Outside Bar Color (bullish) and Outside Bar Color (bearish).
• Color Mother Candle (true) and Mother Candle Color.

Valid Pullback Line

• Show Valid Pullback Line (true): show the pullback line of the major structure.
• Line Color, Line Style (dash) and Line Width (1). Dashed styles are only visible with width 1.

Internal / Minor Structure Pullback

• Show Minor Pullback Line (true): show the pullback line of the internal structure.
• Line Color, Line Style (dot) and Line Width (1).

PDH / PDL

• Show PDH / Show PDL (true): show previous day high and low.
• PDH Color / PDL Color: line colors.
• PDH/PDL Line Style (solid) and Length (40): line style and length to the right, in bars.

Key Levels

• Key Level Length (25): length of key level lines to the right, in bars.
• 4H (false): 4H open, previous high and low.
• Daily (false): daily open and previous mid.
• Monday (false): Monday high, mid and low.
• Weekly (false): weekly open, previous high and low.
• Monthly (false): monthly open, previous high and low.
• Quarterly (false): quarterly open, previous high and low.
• Yearly (false): yearly open, and high / low of the current year.
• Each key level has its own color setting.

Disclaimer: this indicator is an analysis tool and does not guarantee profit. Trading involves risk. Always use proper risk management.