“this Squeeze indicator attempts to identify phases of consolidation at the marketplace. in general, the market is either in an interval of silent consolidation or vertical cost discovery. By identifying these quiet periods, we’ve got more opportunities to get into transactions with the potential for big moves. following the market enters a “contraction” state, we observe the overall market dynamics to get help in predicting the direction of the market, and anticipate the release of market power.”

The stdatr Squeeze Channel unites standard deviation and average true range stations, as well as email / onscreen notifications, to enhance the sport on Bollinger band compression. This is a great pattern that allows you to find strong and profitable trading installations, working on all timeframes.

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When the market slows down, low volatility draws the standard deviation bands inside the mid-true range channel (“compression”). After that, the release of compression precedes a strong price movement, which can be very profitable if you open a trade in time. This setup is quite useful, as a strong movement usually allows you to work with a small stop loss and a large take profit. In many cases, the SL to TP ratio of 1: 10 is reasonable, i.e. a good risk-to-profit ratio.

The key factor in installing compression is to get in on time, which is what stdatr Squeeze Channel excels at. It clearly and extensively shows the start and release of compression by comparing the standard deviation channels and the average true range. This is more reliable, easier to use, and allows you to get better inputs than simple Bollinger bands, which would require calculating the start/end of compression. Screen messages and email notifications have been added to help you track multiple currencies simultaneously and log in on time .

This indicator is particularly well suited for traders who currently use Bollinger Bands, and / or like to play on compression.

• The stdev bands inside the ATR bands indicate ‘compression’ and indicate the probability of a strong price movement. The space between the stdev and ATR lanes indicates the margin for directional traffic. Expect compression that lasts more than 4 candles using the compression channel.

• When the squeeze is over, trade in the direction of the price movement.

• Color Scheme: Select one of three predefined color schemes or userdefine to assign colors manually (on the Colors tab)
• stdatr: Plot std/ATR channel squeeze: True=build compression channel
• stdatr: Channel Period (Default=34): number of bars to build the channel
• stdatr: Channel Shift (Default=0): Moves the channel N bars forward (positive value) or backward (negative value) in time
• StDATR: Channel Deviations (Default=2.5): the number of standard deviations from the mean to calculate the standard deviation channel
• StDATR: Squeeze release alerts: True=notify when the end of the compression
• stdatr: Turn on alerts message: pop-up notifications
• stdatr: Turn on alerts sound: beeps
• stdatr: Turn on alerts email: Send messages by email (SMTP must be specified in the MT4 settings)

Developers can use iCustom with this indicator using the following code:

You can download the stdatr Squeeze Channel here, or as part of the All-In-One SRES Channel kit (a comprehensive set of chart tools that also automatically draws support/resistance levels, H/L/O, and expected daily price ranges)

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