This simple MT4 indicator displays the previous weekly high and low price + previous daily high and low price.
It’s a great price action indicator that can be used to trade daily and weekly price breakouts.
The indicator plots the H-L levels directly on the trading chart.
How to trade price breakouts?
- A buy breakout occurs when the price closes above the daily or weekly high price.
- A sell breakout occurs when the price closes below the daily or weekly high price.
Free Download
Download the “DayWeekHL_v1.ex4” MT4 indicator
Indicator Chart (GBP/CHF M15)
The GBP/CHF 15-Minute chart below displays the Daily/Weekly Price Breakout Metatrader 4 forex indicator in action.
Basic Trading Signals
Signals from the Daily/Weekly Price Breakout MT4 forex indicator are easy to interpret and go as follows:
Buy Signal: Open a buy trade when the price closes above the daily or weekly high.
Place a stop loss below support or use your own preferred SL method.
Sell Signal: Open a sell trade when the price closes below the daily or weekly high.
Place a stop loss above resistance or use your own preferred SL method.
Daily & Weekly Breakout + Forex Trend Filter AO MT4 Swing Strategy
This swing trading strategy combines the Daily and Weekly Breakout MT4 Indicator and the Forex Trend Filter AO MT4 Indicator.
The Daily and Weekly Breakout indicator shows previous daily and weekly high and low levels.
A buy breakout occurs when the price closes above the daily or weekly high, while a sell breakout occurs when the price closes below the daily or weekly low.
The Forex Trend Filter AO adds a momentum confirmation layer: the histogram above zero signals bullish conditions, while below zero signals bearish conditions.
By combining breakout levels with trend confirmation, this strategy allows swing traders to enter higher probability moves in the direction of the market momentum.
It is best suited for H1 and H4 charts, making it ideal for intraday to multi-day swing trades.
Traders can capture meaningful price swings without the stress of rapid scalping.
Buy Entry Rules
- Price closes above the previous daily or weekly high, confirming a breakout.
- The Forex Trend Filter AO histogram is above zero, confirming bullish momentum.
- Enter a long position at the close of the breakout candle.
- Place a stop loss just below the breakout candle low or a few pips below the previous high.
- Take profit options:
- Fixed target: 40–70 pips on H1, 75–150 pips on H4.
- Trend exit: hold until the AO histogram crosses below zero.
- Partial exit: secure half profits at a fixed target and let the remainder ride with trend exit.
Sell Entry Rules
- Price closes below the previous daily or weekly low, confirming a bearish breakout.
- The Forex Trend Filter AO histogram is below zero, confirming bearish momentum.
- Enter a short position at the close of the breakout candle.
- Stop loss above the breakout candle high or slightly above the previous low.
- Take profit options:
- Fixed target: 40–40 pips on H1, 75–150 pips on H4.
- Trend exit: close the trade when the AO histogram crosses above zero.
- Partial exit: take half at a fixed target and leave the rest to follow trend exit.
Advantages
- Breakout levels provide clear price-based entry criteria.
- The AO histogram acts as a trend filter to reduce false breakouts.
- Flexible exit options: fixed, trend-following, or partial profits.
- Well-suited for H1 and H4 swing trades capturing multi-day moves.
- Works on most liquid currency pairs and major crosses.
Drawbacks
- Whipsaw breakouts can trigger false signals during low volatility.
- Momentum confirmation may lag slightly in fast reversals.
- Fixed targets may be missed if the trend reverses abruptly.
- Requires monitoring if using trend exit rules over multiple days.
Example Case Study 1: EUR/USD on H1
During the London session, EUR/USD broke above the previous daily high.
The AO histogram was above zero, confirming bullish momentum.
A long position was taken at the close of the breakout candle with a stop below the breakout low.
Price continued upward, hitting a 65-pip target.
The trade could have been held longer using the trend exit rule, as the histogram remained positive for several hours.
Example Case Study 2: GBP/JPY on H4
GBP/JPY broke below the previous weekly low, signaling a bearish breakout.
The AO histogram was below zero, confirming momentum.
A short trade was entered with a stop above the breakout high.
Over the next two days, the pair dropped steadily, reaching a 130-pip target.
The trend exit rule could have extended profits slightly further as the histogram remained negative.
Strategy Tips
- Focus on highly liquid pairs like EUR/USD, GBP/JPY, USD/JPY, and AUD/USD for reliable breakout moves.
- Confirm that breakouts are clean and not caused by single wicks; consider waiting for the candle to close beyond the level.
- Use the trend exit method for strong trending markets, fixed targets for choppier conditions.
- Adjust stop losses according to the volatility of the pair.
- Monitor breakout trades during news events to avoid unexpected spikes.
Download Now
Download the “DayWeekHL_v1.ex4” Metatrader 4 indicator
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart window indicator
Customization options: Variable (colors) Width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, Daily, Weekly, Monthly
Type: price action breakout trading
