Constructing a Traditional Point and Figure Indicator in MQL5

Summary

This article describes how to build a traditional Point and Figure indicator in MetaTrader 5, where price movement rather than elapsed time determines when chart marks appear. A user-selected fixed box size converts price changes into X columns for advances and O columns for declines; the implementation requires a three-box move against the current direction before it starts a reversal column. Smaller movements that do not complete a box are ignored.

The proposed indicator takes an initial closing price as its base, processes later closes into Point and Figure levels, sets the display range from the resulting high and low values, and draws the marks in a separate window with graphical objects. A numerical example illustrates box counting, while the rest of the article explains the implementation and chart display. It does not provide performance tests or evidence that the chart produces profitable signals. The fixed box size must suit the instrument’s price scale and volatility, so settings are not universal.

Key ideas

• Point and Figure columns encode price advances and declines without creating marks on a time schedule.
• A fixed box size determines the minimum price change represented by each mark.
• The described reversal rule starts an opposite column after a move of three boxes against the trend.
• The indicator derives its display range from stored price extremes and draws X and O marks in a separate window.
• The box size requires instrument-specific judgment, and the article gives no evidence of trading performance.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.