The VHP Channel scalper indicator for Metatrader 5 is an excellent tool for pinpointing precise buy and sell entries and exits for scalpers.
Our trading approach is specifically tailored for scalpers and day traders, and may not be suitable for swing traders.
To determine the market trend using the VHP Channel, follow these guidelines:
- An upward sloping VHP Channel implies a bullish trend.
- A downward sloping VHP Channel indicates a bearish trend.
Moreover, the VHP Channel indicator offers a range of customizable inputs and parameters, such as HP fast period, HP slow period, and color schemes.
For optimal results, we strongly advise familiarizing yourself with this powerful scalper indicator and conducting extensive testing on a demo account over an extended period.
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vhpchannel_02.mq5 Indicator (MT5)
Chart Example
The picture below illustrates what the VHP Channel scalper indicator looks like when applied to the MT5 chart.
How To Buy And Sell Using The VHP Channel Scalper Indicator?
Find a simple trading example below:
Buy Signal
- The VHP channel must be sloping upward, signaling a bullish trend.
- Wait for the candle to retrace towards the lower brown channel line.
- Execute a buy trade and establish a stop-loss order just below the lower brown channel line.
- Exit the buy trade when the candle touches the upper brown channel line.
Sell Signal
- The VHP channel must be sloping downward, signaling a bearish trend.
- Wait for the candle to rally back towards the upper brown channel line.
- Execute a sell trade and establish a stop-loss order just above the upper brown channel line.
- Exit the sell trade when the candle touches the lower brown channel line.
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vhpchannel_02.mq5 Indicator (MT5)
VHP-CCI Breakout Scalping MT5 System
This scalping strategy combines the power of the VHP Channel Scalper Indicator with the breakout precision of the CCI Breakout Histogram Indicator.
It’s designed for short-term traders who want fast, repeatable entries within defined price channels.
Indicators Used
- VHP Channel Scalper: Draws dynamic price channels and highlights price exhaustion or breakout zones for scalping opportunities.
- CCI Breakout Histogram: Displays bullish or bearish momentum bursts with clear histogram bars, perfect for confirming entry signals.
Timeframes
Best used on M1, M5, or M15 charts for high-frequency trades. Suitable for scalpers during active market hours (e.g., London or New York sessions).
Buy Entry Rules
- Price touches or nears the lower boundary of the VHP Channel, indicating a potential bounce or reversal.
- The CCI Breakout Histogram prints a strong green bar above zero, showing bullish momentum is entering the market.
- Enter a long position on the close of the candle where both conditions align.
- Place a stop-loss just below the lower VHP Channel line or the most recent swing low.
- Take profit near the upper channel line or use a fixed pip target (e.g., 10–15 pips for M1, 20–30 for M5).
Sell Entry Rules
- Price touches or nears the upper boundary of the VHP Channel, signaling a possible short opportunity.
- The CCI Breakout Histogram prints a strong red bar below zero, confirming bearish momentum.
- Enter a short position on the close of the confirmation candle.
- Place a stop-loss just above the upper channel line or recent swing high.
- Target the lower channel line or set a fixed pip target depending on the timeframe.
Scalping Tips
- Trade during high-volume sessions for the best volatility and cleaner breakouts.
- Use sound money management—risk no more than 1–2% of your account per trade.
- Avoid trading when the price is in the center of the VHP channel with no clear momentum.
Conclusion
Combining the structured guidance of the VHP Channel Scalper with the momentum confirmation from the CCI Breakout Histogram gives scalpers a reliable and disciplined approach to trading fast-moving markets.
This system is ideal for traders who thrive on quick entries and exits with defined rules.
Frequently Asked Questions
How Do I Install This Custom Indicator On Metatrader 5?
- Open the MT5 trading platform
- Click on the File menu button located at the top left part of the platform
- Click on Open Data Folder > MQL5 folder > Indicators
- Copy the vhpchannel_02.mq5 indicator file in the Indicators folder
- Close and restart the trading platform
- You will find the indicator here (Navigator window > Indicators)
- Drag the indicator to the chart to get started with it!
