Quantile Bands Indicator for MT5

 

The Quantile Bands Indicator For MT5 is a brilliantly created technical trading tool which channels the main trading activity of an asset into a three layered band which is calculated on the basis of using three quantile values - these quantile values are derived through a statistical calculation which computes cutpoints by dividing the range of a probability distribution into intervals which have equal probabilities. This channel indicator is a great resource to have because with most oversold and overbought detection oscillators they are normally plotted in a separate window below the main active chart - however with this indicator it is like having a oversold and overbought analysis tool directly on the trading chart which is superimposed over the price action itself with the price action still being clearly visible for pattern recognition and technical analysis. When traders see that the price action trades beyond and above the upper band of the channel then they may treat that as a reversal signal to open a sell trade with the take profit target set at the middle band - whenever price action goes below and beyond the lower band then the trader may choose to open a buy trade in the opposite direction with the middle band set as a TP target.