A trendline break means more when price closes clearly past the line. The trendline breakout alert indicator draws resistance through the two newest swing highs and support through the two newest swing lows, then marks a close that clears either line by a quarter of the average range.
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 | Main price chart |
| Plots | 2: Breakout Buy, Breakout Sell |
| Alerts | popup, push notification, email, sound |
| Inputs | 14 |
What each plot looks like
Two trendlines and two marks on price.
`ResColor` `clrTomato` draws the resistance line.
`SupColor` `clrDodgerBlue` draws the support line.
`Breakout Buy` prints lime with arrow 233.
`Breakout Sell` prints red with arrow 234.
`ShowLines` controls the line drawing.
- Breakout Buy: arrow, lime, width 2, arrow code 233
- Breakout Sell: arrow, red, width 2, arrow code 234
How it all fits together
Swings
`Depth` `5` bars on each side confirm a swing. The two newest highs then define resistance.
Buffer
A close must clear the projected line by `BreakBuffer` `0.25` of an `AtrPeriod` `14` range.
Break
A close past the buffered line, after a close inside it, prints a mark. Same-side marks then wait `CooldownBars` `4` bars.
Reading it in practice
Tomato slopes across recent highs.
Blue, in turn, slopes across recent lows.
Both lines move when new swings confirm.
However, marks need a clear close past the line.
So `ArrowOffset` `0.6` spaces marks in ranges.
Also, swings confirm five bars late.
Alert channels in this build: popup, push notification, email and sound, one message per closed bar.
Buffered breaks report once per bar through `EnableAlerts`, and popups are the only messages sent by default.
Every Trendline Breakout Alert Indicator input
Core settings
| Setting | What it does | Default |
|---|---|---|
Depth |
Fractal half-width (bars each side of a pivot). Swing strength in bars per side, `5`. | 5 |
AtrPeriod |
ATR period (arrow offset + break buffer). Range window, `14`. | 14 |
BreakBuffer |
Break confirm distance in ATR. How far past the line a close must land, `0.25`. | 0.25 |
CooldownBars |
Min bars between arrows of same side. Wait before repeating a side, `4`. | 4 |
Display settings
| Setting | What it does | Default |
|---|---|---|
ArrowOffset |
Arrow offset in ATR. Mark gap in ranges, `0.6`. | 0.6 |
ResColor |
Resistance line color. Resistance colour, `clrTomato`. | tomato |
SupColor |
Support line color. Support colour, `clrDodgerBlue`. | dodger blue |
ShowLines |
Draw the trend lines on chart. Draw the trendlines, `true`. | on |
Alert settings
| Setting | What it does | Default |
|---|---|---|
EnableAlerts |
Master alert switch, `true`. | on |
EnablePopup |
Popup, `true`. | on |
EnablePushNotify |
(see inputs panel) | off |
EnableEmail |
(see inputs panel) | off |
EnableSound |
(see inputs panel) | off |
SoundFile |
(see inputs panel) | alert.wav |
Which markets and timeframes suit it
Five-bar swings give lines that last a few days on the hourly EURUSD screenshot. On M15 they redraw often. On D1 they match hand-drawn trendlines.
Its weaknesses
Lines through two swings are fragile.
A quarter range is a modest buffer.
Steep lines break often and falsely.
Out of the box, only popups report.
Copy the compiled Trendline Breakout Alert 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: London Session Breakout Strategy.
Download the Trendline Breakout Alert Indicator for MT4 and MT5
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FAQ
What does BreakBuffer 0.25 require?
A close at least a quarter of the average range beyond the projected line. The build ignores closes that barely poke through, which removes many false breaks.
Which swings does Depth 5 connect?
The two most recent swing highs, each with five lower highs on both sides, form resistance. The two most recent swing lows form support in the same way.
How does this differ from a trendline price alert?
Both draw lines through recent swings. This build adds the quarter-range buffer and a four-bar cooldown, so breaks must be clearer before a mark prints.
Why does CooldownBars 4 matter?
Price often chops around a line after breaking it. The cooldown keeps one mark per break instead of several on the bars that follow, which makes the chart easier to read.
Are results guaranteed?
No. Trading involves risk. Results are not guaranteed; past performance is not indicative of future results. Use the Trendline Breakout Alert Indicator as one input. Always backtest before trading live.
Category: this is part of our Trend collection. Browse more Trend for MetaTrader, or explore every MT4 indicator and MT5 indicator on the site.
External references
- The core method is documented in Foreign exchange regulation on Wikipedia.
- Additional market context is at Stockcharts Theoretical Indices at StockCharts ChartSchool.
About the author
Written by Dominic Walsh, a Forex trader and MT4/MT5 indicator, Expert Advisor and script developer. Every tool on forexmt4systems.com is tested on live charts before release and ships with ready-to-use compiled MT4 (.ex4) and MT5 (.ex5) files. Learn more about the trader and developer behind this site.
How we build, test and correct every tool: Editorial & Testing Policy. Trading carries risk; see the disclaimer.