4 Breakout zone are placed and viewed on the chart as colored gray areas. Purple lines appear above and below the zone and remain for the rest of the day when gray area ends. The light gray area comprises the Highest and Lowest price candles (inclusive of wicks) within that 2 hour period, the dark gray area is a 10 pip offset on either side and the purple lines are where we wait for price to breakout from.
The purple lines are also great daily Support/Resistance Lines.
Breakout trade will be better when the gray area becomes thinner.
2 things must be kept in mind:
1.) My Breakout Zones are setup up for a +2 GMT MetaTrader.
a.) If you are using any other MetaTrader you will need to make adjustments:
right click your chart,
choose Indicators List, and
one by one edit the 4 Breakout Indicators.
These 4 Breakout Zones with respect to GMT should be calibrated to the following Start and End settings:
06:00-08:00 GMT – the London session begins after early morning Europe has created a trading range.
12:00-14:00 GMT – US has had their coffee and London is back from lunch during which a range was born.
17:00-19:00 GMT – US returns from lunch during which time another trading range was created.
22:00-00:00 GMT – the Asian session and a new day begins after a quiet time which also forms a range.
2.) My Breakout Zones are setup for a 5 decimal point broker.
Therefore, if you are using a 4 decimal point broker this setting would also require to be changed from within the Breakout Indicator – change “offset” to 10 (instead of 100).
These zone breakout will automatically trade on its own in case you have limited time to trade. But if you are trading the FULL method as outlined in this e-book, a set-up that occurs as it is Breaking Out of these Zones, Exit on 20 pips.
How to install Forex Breakout Zone Strategy?
Download Forex Breakout Zone Strategy.zip
Copy mq4 and ex4 files to your Metatrader Directory / experts / indicators /
Copy tpl file (Template) to your Metatrader Directory / templates /
Start or restart your Metatrader Client
Select Chart and Timeframe where you want to test your forex strategy
Right click on your trading chart and hover on “Template”
Move right to select Forex Breakout Zone Strategy
You will see Forex Breakout Zone Strategy is available on your Chart