ADR Scalping Indicator MT5

The ADR Scalping Indicator for MetaTrader 5 draws the average daily range (ADR) on your chart and shows how much of that range price has already covered today. Intraday and scalping traders can use it to judge how much room a move may have left.

How it works

ADR is the typical distance between a day's high and low over a set number of past days. The indicator takes that figure and projects it onto the current session in three ways, so you can see where a normal day's range would end under different assumptions.

The three ranges

• Current range: anchored to the present price. When price travels further than a typical day, this range shifts towards the top or bottom of the session, and once more than half of the average range has been covered it lines up with one of the other two ranges.
• Range from today's low: shows where the average range would end if the day's low is the starting point.
• Range from today's high: shows where the average range would end if the day's high is the starting point.

By default these are drawn in different colours so they are easy to tell apart. Check the colour inputs in the settings if you want to change them.

Reading the levels

If price has used about half of a normal day's range and sits near the low, the move back to the top of the range is a longer trip than a continuation lower. This is the kind of context the indicator is meant to provide. The outer edges of the ranges also act as dynamic support and resistance. Some traders watch for reactions at these edges, or treat a range that has been fully used as a reason to look towards the middle of the day's range. These are ways of reading the chart, not rules that price follows.

Markets and timeframes

The indicator can be attached to any instrument that has daily history in your MT5 terminal, including forex pairs, metals and indices. Because the range comes from daily data, it is most useful on intraday timeframes such as M1 to H1. Volatility differs between symbols and sessions, so look at how the ranges behave on your instrument before relying on them.

Settings

The exact list of inputs can differ between releases, so open the inputs tab after attaching the indicator and read each one. Typical items to look for are:

Risk

An average range describes the past. On any given day price may stop well short of it or move far beyond it, especially around news releases. Use the indicator alongside your own risk management, and test it on a demo account before using real funds.

Installation

1. In MetaTrader 5, choose File, then Open Data Folder.
2. Open the MQL5 folder, then the Indicators folder, and copy the downloaded indicator file into it.
3. Restart the terminal or right-click in the Navigator and choose Refresh.
4. Open a chart of your chosen symbol and an intraday timeframe, then drag the indicator from the Navigator onto it.
5. Review the inputs and confirm that the platform has loaded enough daily history for the symbol.