Balanced Price Range Indicator for MT4 and MT5

Written by Dominic Walsh · Published 29 Jul 2026 · Last updated 18 Sep 2026

One number answers the question here. The balanced price range indicator divides this bar’s true range by the average of the last twenty, so 1.0 is an ordinary bar and 2.0 is twice normal. Columns either side of that line take different colours, and expansion reads at a glance.

This build ships as a compiled .ex4 for MT4 and .ex5 for MT5; the screenshots below come from EURUSD H1.

Platforms	MT4 (.ex4) + MT5 (.ex5)
Chart window	Separate window (levels 0.5 / 1 / 1.5)
Plots	3: Expansion, Contraction, Smoothed BPR
Alerts	popup, push notification, email, sound
Inputs	9

Reading the drawn elements

Two histograms and a line, in a pane.

`Expansion` fills dark orange at width 3.

`Contraction` fills steel blue at the same width.

`Smoothed BPR` runs silver at width 1.

Levels sit at 0.5, 1.0 and 1.5.

Only one histogram holds a value per bar.

• Expansion: histogram, dark orange, width 3
• Contraction: histogram, steel blue, width 3
• Smoothed BPR: line, silver, width 1

What the formula does

True range first

Three distances get compared. High to low, high to the previous close, and low to that close. The largest of the three is the true range for that bar.

Against a baseline

`BasePeriod` `20` averages the last twenty true ranges. Dividing this bar by that average gives the ratio, which is what the columns show.

A steadier read

Raw ratios jump about. `SmoothPeriod` `5` averages them into the silver line, which is easier to read than the columns when conditions shift gradually.

How to judge the output

A ratio of 1.0 means an ordinary bar.

Orange columns sit above the average.

Blue columns sit below it.

Levels at 0.5 and 1.5 mark the useful edges.

A run of blue is a market going quiet.

The silver line smooths that judgement.

Alert channels in this build: popup, push notification, email and sound, one message per closed bar.

`EnableAlerts` governs the expansion alerts and arrives true with `EnablePopup`. Set `EnablePushNotify` for a phone, `EnableEmail` for mail, or `EnableSound` to sound `SoundFile`. Those three start off.

Every Balanced Price Range Indicator input

Core settings

Setting	What it does	Default
BasePeriod	ATR baseline period. Bars in the baseline average, `20`.	20
SmoothPeriod	EMA smoothing of the ratio. Bars in the silver line, `5`.	5
ExpandThreshold	Expansion breakout level (alert). Ratio that raises an alert, `1.5`.	1.5

Alert settings

Setting	What it does	Default
EnableAlerts	Master switch, `true`.	on
EnablePopup	Box in the terminal, `true`.	on
EnablePushNotify	Buzz on a phone, `false`.	off
EnableEmail	Mail on an expansion, `false`.	off
EnableSound	Cue on an expansion, `false`.	off
SoundFile	Which clip plays, `”alert.wav”`.	alert.wav

Matching chart to settings

A ratio is dimensionless, so it reads the same everywhere. EURUSD H1 is the reference chart. Expansions there mark news and session opens. On M5 the ratio is jumpy. On daily bars each column covers a whole session.

Honest weaknesses

A twenty-bar baseline is itself lagging.

After one huge bar the baseline lifts and mutes the next few.

The ratio says size, never direction.

A quiet market makes ordinary bars look like expansions.

Copy the compiled Balanced Price Range Indicator file into your MQL4/Indicators folder, and the MT5 build into MQL5/Indicators, then restart the terminal and drag it onto a chart. The step-by-step guide with screenshots is at how to install MT4 and MT5 indicators.

Related on forexmt4systems.com: Price Action Strategy.

Background reading on the method behind the Balanced Price Range Indicator: Volatility (finance) on Wikipedia, Volatility at Investopedia.

Download the Balanced Price Range Indicator for MT4 and MT5

The zip holds the compiled Balanced Price Range Indicator build for MT4 and MT5, plus a short README. Compiled files only, no source. Enter your email below and the download link arrives in your inbox.

FAQ

What does ExpandThreshold 1.5 catch?

A bar half again as large as the recent average. That is a common cut-off for a bar worth noticing, and raising it to two makes the alert rare enough to mean something on a fast chart.

Why divide by a BasePeriod average rather than use points?

Because a fifty-point bar means one thing on a quiet cross and another on gold. Dividing by the recent average makes the reading dimensionless, so the same threshold works on any symbol.

What separates the Expansion and Contraction plots?

Which side of 1.0 the ratio lands on. Above the average fills the orange buffer and below it fills the blue one, so only one of the two holds a value on any given bar.

Does the Smoothed BPR line change the alert?

No. The silver line is a five-bar average of the ratio, drawn to make gradual shifts easier to see. The alert reads the raw ratio against the threshold, not the smoothed version.

Are results guaranteed?

No. Trading involves risk. Results are not guaranteed; past performance is not indicative of future results. Use the Balanced Price Range Indicator as one input. Always backtest before trading live.