Indicator of round price levels. Round levels – indicator of round levels Key Levels

Do you dream of making profitable deals at the very beginning of powerful price movements? Then you should pay attention to the Round Levels indicator, which increases the efficiency of your trading and makes it less risky.

Round price levels in some cases act as a kind of barrier to prices, and can also act as support or resistance, which provides good opportunities for making money in financial markets. Want to know more?

Then click the “learn” button right now to get a free step-by-step guide and learn how to find the right entry points.

Hello colleagues. Today we want to talk about such a Forex trader tool as the round levels indicator for MT4. But to understand how the Forex indicator uses round levels, you need to understand what they are.

Round levels in Forex act as support and resistance levels and look like round numbers. An example of round levels for the EUR/USD pair would be the zones 1.10000, 1.13000, 1.45500, 1.50500. As a rule, rounding occurs to 50 points, this is the average value that the price can pass before the correction begins. Zones divisible by 50 points have short-term significance and are relevant for hourly timeframes. At a given time interval, they can exhibit the properties of short-term support and resistance.

Round levels in Forex that are multiples of 100 are called figures in the trading community. Such zones, for example 1.11000 for the EUR/USD pair, can act as a consolidation zone for the currency pair in the medium and even long term. It is not at all necessary that the price will bounce within a point from this level, but the fact that the currency pair will try this zone several times, first as support, then as resistance, or vice versa, is almost guaranteed.

What is the secret of round levels and why are they so important for traders? Drawing support and resistance lines is a subjective application of the rules of technical analysis, depending on the trading system, they differ for each Forex trader. Round levels, on the contrary, are the same for everyone, all trading participants pay attention to these zones, and therefore the strength and significance of the figure as a place of possible correction increases significantly.

Using a Forex figure as a support and resistance zone is purely a psychological moment. Traders like round numbers, and the more round a number is, the more power and significance it acquires. Suffice it to say that such a round level as 1.00000, also known as parity, for the EUR/USD pair will be the strongest and most important resistance zone of all existing ones.

You can independently draw lines indicating figures on the chart, or use the Forex round levels indicator in which they are drawn automatically. Now let's look at the Forex indicator, which uses these values ​​to generate trading signals.

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The Round Levels Indicator for MT4 uses specific zones to indicate areas of support and resistance. Important for trading and determining a possible price reversal are not only zones divisible by 50 or 100, which can be considered the main and most significant, as well as zones inside the figure ending at 20 and 80, which we will define as minor, but also worthy of attention.

The round levels indicator is easy to configure. The adjustable parameters concern the zones displayed by the indicator. Here you can adjust the color of the lines that display the necessary places, as well as remove those levels that you do not need. The indicator has no other settings. You can download the Forex round levels indicator from our website for free and start using it in your own trading system. Using the indicator, from our point of view, is the most convenient. You no longer need to track the passage of the figure, and you will always be aware of the approaching important resistance zone.

The round levels indicator determines zones divisible by 100 as the main ones and the most significant from a psychological point of view, from which a rebound or breakdown is possible. But the price does not always use figures for correction exactly down to the point. To consolidate the breakout, the round levels indicator for MT4 uses zones 20 and 80.

Approaching the figure, the value of the currency will not remain exactly at the same level; it will alternately fall below and then rise above the circle around the round figure. Let's look at an example. During a bearish trend, on the EUR/USD chart, having approached the 1.11000 figure, the price bounced up as part of the correction. In such a situation, the Forex indicator uses round levels to determine the further direction of price movement. If, as part of the correction, the price rose above 1.11200, this will be a signal of a weakening of the downward trend line, a return above 1.11500 will indicate a reversal of the short-term trend. Finding the price for a long time in the price corridor 1.11200 – 1.10800 and moving to a sideways trend will indicate the state of short-term uncertainty that has arisen in the market, and the possibility of continuing the existing trend. A breakdown of the 1.10800 level from top to bottom will mark a breakdown of the resistance zone, and we can expect a retest of the pattern as a resistance zone in the future.

Having decided to download the Forex round levels indicator and use it in trading, it will help you notice reversal or trend continuation patterns that form around psychological support and resistance zones.

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From our point of view, it is better to use the round levels indicator for MT4 in trading together with pending orders. When approaching an important support or resistance zone, it is necessary to place a pending order in anticipation of a rebound and price correction. Since these levels are used by most traders in technical analysis, you can count on a correction in the currency pair. The order should be placed either at the round level itself or a couple of points higher. The size of Stop Loss and Take Profit must be set depending on the timeframe being traded. You can learn how to use pending orders in trading from the training materials on our website.

The Forex round levels indicator is used to inform the trader about the approach of key zones, the achievement of which can make adjustments to the existing trend. However, with the dominance of a pronounced trend in the market, with the support of the news background, the price is able to move without stopping at round levels.

The significance of round levels is enhanced by options. Taking a look at the grid of options set for all currency pairs, you will notice that very often the options coincide with round levels. This confirms the importance of these zones. This intertwines not only psychological factors influencing ordinary traders who use technical analysis, but also the interests of investment funds, as well as other major players in the financial market. Placing options on round numbers is due to ease of use, as well as the assumption that the pattern will hold up rather than be passed by the price.

In this article, we tried to draw your attention to such a trading tool as the round levels indicator. Do not underestimate the significance of the signals given by this indicator. And although it does not draw where to open a position, but leaves the decision to enter the market at the discretion of the trader, this tool should be used to identify possible support and resistance zones, and based on the data obtained, make a decision to open a transaction.

We all know about the existence of support and resistance levels, but we don’t always understand why they are at this level and not at another. Often the answer to this question lies in "Psychology of round numbers".

In this article we will examine the concept in detail round numbers in the Forex market and as a bonus at the end of the article there will be a link for download round levels indicator for MT4 terminal.

If you have been trading using charts for a long time, you have probably noticed how strange the price behaves around round levels such as 1.2700 or 1.3000. The picture below shows how the price reacts to such levels.

In everyday life, we strive to simplify everything, so we often use approximate (rounded) numbers. Simple example:

If someone asked how much your computer cost, you would answer without hesitation by rounding the price to the nearest hundred, or even thousand. (“About 30,000 rubles.” or “I got it for $700”). You, of course, can answer that it costs twenty-nine thousand one hundred and forty-seven rubles and 33 kopecks, but this is unlikely to make any sense. Usually, when people ask such a question, they want to get an approximate (rounded) answer in order to have an idea of ​​how much such a computer might cost.

People tend to oversimplify things, so in most cases we will round the value to the nearest whole number.

This is what happens in trading.

What are round (psychological) levels in Forex

Most traders do not hesitate to place their orders and stop orders at round price levels. To confirm this, let's look at the order book (picture below).

We see a cluster of traders’ orders at the levels of 1.2800, 1.3000, etc. In addition, many traders also take into account “half” levels, such as 1.2850, 1.3050, etc., and some even “quarter” levels.

Round levels Everyone is taken into account - both small traders and large banks. When the price approaches these levels, the number of transactions and volumes immediately increases, and the price behaves more dynamically. Overall, there is no denying the fact that round levels have some influence on the market.

Let's look at another illustration of how price interacts with round levels.

Please note that most of the price reversals in the picture above were at “round” prices. This happens because traders create sufficient volumes for the price to bounce off these levels and go in the opposite direction. For this reason, we can consider them as possible support and resistance levels.

However, it cannot be said that all round prices act as support or resistance levels, but the way the price reacts to them (see the picture above) makes them worthy of the attention of every trader.

Why do round levels work?

The most amazing thing is that psychological levels in Forex work if only for the reason that you are reading this article. This means that you, like other traders, are “excited” about these levels.

We tend to simplify everything, rounding to whole numbers, so we often use round numbers as the price for a stop loss or limit order.

A massive accumulation of such stop losses and limit orders can easily change the order flow and turn the price in the opposite direction. Let's look at another chart with psychological levels.

We see two cases: happens in one of them "lights out", and in the other "breakdown" psychological level. But in both cases the price bounced back from the “round” price several times. There are several reasons why this happens:

• Perhaps traders thought that the price of $1.34 per 1 euro was a very good price to sell euros.
• Or a more likely option is that traders opened a buy position and set the take profit to a round level. This creates a massive accumulation of sell orders (if you bought, you must sell) at a “round price”. Every time the price touches this level, pending sell orders are triggered, thereby creating an oversupply in the market. And this in turn provokes a “rebound”.

Depending on the balance of power, the price, after a number of touches on the psychological level, can either fight back or break through it. So what is the point of analyzing round prices?

In most cases, an untested psychological level can be considered as a fulcrum or a zone in which there is some resistance or support, but, unfortunately, it can only be determined exactly after the fact.

But in the case when the price has already tested the round level several times, this tells us that the masses see it, and then everything depends on the technical picture of the market.

Round levels indicator for MT4

It's very simple round number indicator, which highlights levels such as 1.2600, 1.2650 and even 1.2625, and it looks something like the picture above.

After installing the indicator, it may seem to you that the lines are barely noticeable on the chart, but this is true main advantage of this indicator from other similar ones. Such an indicator should not be colorful or very noticeable. You should pay attention to it only when you really need it.

You can customize it the way you want.

List of indicator settings:

Number of levels on screen: Standard/More/Less. Determines the number of lines that will be displayed simultaneously on the screen.

Draw levels. Select which types of round levels to draw on the chart: All/Round and Half/Round Only.

Level signature: On/Off signature of solid round levels.

Signature type:

• Price label – signatures will be in the form of a price, for example: 1.1234
• Distance to level – captions will indicate the distance to this level from the current price, for example 80 pips.

Signature font size. 1 – standard, 2 – medium, 3 – large.

Thickness of levels. Depending on the level type, select the line thickness.

Line type. Select the line graphic format for each level type.

Level colors. For each level type, select a line color as well as a color for the level label.

Alerts. Turn on/off sound alerts when round levels are reached.

Good afternoon, gentlemen traders! You all know the importance of price levels, and today we will get acquainted with a variety of them called round levels. Traders are ordinary people, so they tend to round numbers up or down. We never say that we bought this or that product for 99 rubles, but always round up to the nearest round number, in our case - 100 rubles. When we ask the seller to weigh cheese or sweets, we say 300-400 grams, not 370, for example. Likewise, in trading, people are accustomed to rounding prices to the nearest whole number. At the same time, round Forex levels, like , serve as support or resistance for the price. If, according to your strategy, the take profit should be set in the area of ​​1.1405, then it would be more logical to place it at a price of 1.1395, since the strong round level of 1.1400 stands in the way of the price. But we’ll also talk about placing take profits relative to round levels, and we’ll also look at the Key Levels indicator, which you can download at the end of our review.

What are round levels, and what are their types?

A round level is a price that has one, two or more zeros at the end. For convenience, we will consider four-digit quotes (or “old clauses”). If you trade on , then you need to add another zero at the end. If we are talking about the level of 1.1400, then for five-digit quotes it will be a price of 1.14000. In terms of importance, the following types of round Forex levels can be distinguished:

1. Important levels, having two or three zeros at the end of the quotes (for example, 1.1000, 1.3600, etc.). These are the strongest levels that require close attention when trading; the price bounces off them very often;
2. Intermediate levels, ending in 50 (for example, 1.2350, 0.4750, etc.). If the price breaks through such a level, then there is a high probability that it will reach the next round level;
3. Minor levels, having endings 20 and 80 (for example, 1.5380, 1.7420, etc.). Breaking the level ending at 20 is a good signal for buying (or level 80 for selling). If the price rebounds from the level of 80, then you can consider closing purchases.

Round levels work on all assets, including stocks and other trading instruments. However, they can have a completely different appearance depending on the value of the assets. Thus, for Gazprom shares, the value of which fluctuates between 120-160 rubles, round levels will be values ​​of 10, 20, 30, etc. For Norilsk Nickel shares, which are traded around 9,000 rubles, round levels are quotes that are multiples of 1000 and 500.

Round Level Strategy

Trading at round levels is no different from trading at other horizontal levels. There are the following round level strategies:

• Trade on ;
• Trade on ;
• Trading on a retest of a broken level.

If the round level is also supported by horizontal levels, then such a signal is very strong. It is necessary to understand that the round level is not a line, but a price range between the values ​​of 90 and 10. The picture below shows an example of a buy.

We see how the price first walked for a long time around the round level of 0.7000 (green dotted line), then broke through it, but hit the secondary level of 0.6980, which did not allow it to fall. As a result, the price turned around and broke through the level of 0.7020 (red dotted line), which is a signal to buy. We open a buy order immediately after the price breaks through the level of 0.7020, while placing a stop loss behind the level of 0.6980. Then the price confidently passed the intermediate round level of 0.7050 and reached the secondary level of 0.7080. Since the price could not break through it, it was better to close the deal with a small profit.

Let's look at another example of buying. The picture shows how the price declines and breaks through the round level of 1.0900, and then returns to an important level, breaks through it and rolls back again, resulting in the formation of a support zone. When the level of 1.0920 is broken, we enter into purchases, set a stop loss for the level of 1.0880, and a take profit just below the level of 1.0980, which is a strong resistance level.

Now let's look at an example of selling. We see how the price reached the round level of 1.0900, and then hovered between the levels of 1.0920 and 1.0880 for some time. To enter sales, you need to wait until the level of 1.0820 is broken. In this case, we set the stop loss beyond the level of 1.0920, and the take profit before the level of 1.0720.

Key Levels indicator

There is a convenient round levels indicator for MT4 Key Levels, which automatically draws round Forex levels on the chart. With it, you will not need to manually mark round levels on the chart; the Key Levels indicator will do everything itself. All that remains for you is to make simple indicator settings:

• Show_00_50_Levels – displays round levels on the chart ending at 00 and 50;
• Show_20_80_Levels – displays on the chart minor round levels ending at 20 and 80;
• Level_00/50/20/80 _Color – using this parameter you can set your own color for each level.

You will not be able to completely disable any of the levels, but you can set the color of the levels to match the background of the chart, and they will not be visible.

conclusions

In conclusion, we can say that round levels are a very powerful tool in the hands of a trader for conducting analysis and opening trades. They can easily be used as a stand-alone strategy for Forex trading, especially if you understand market psychology. But it is best to use them in conjunction with horizontal levels to confirm the signal.

Free download round levels indicator

Many traders, relying primarily on charts in their trading, have long noticed certain peculiarities in the behavior of price quotes near round levels, such as 1.2600, 1.3500 and similar.

This is primarily due to the psychological factor - people tend to reduce and simplify everything to the nearest whole number. For example, when someone asks a person how much his car costs, he is unlikely to say something like $99,343, but rather an approximate hundred thousand.

How important are round levels in Forex trading?

In Forex, everything happens exactly the same. Traders, the vast majority of them, do not think much about the prices they set for orders and restrictions, but do it at round levels. If you look at the statistics, you can get additional confirmation of these words - the largest number of open orders accumulate precisely near levels like 1.3000, in slightly smaller numbers near the half and quaternary levels. As a result, approaching the round level, the chart begins to behave in a more dynamic manner.

It is also worth noting that many market participants identify round levels with possible levels. And this is true, but only partly.

Since the activity of traders increases when the price quote approaches the round level, a large amount of funds is poured in, this can cause a rebound and price movement in the opposite direction.

This situation does not always occur, and the fact that round levels can become a source of additional information for a market participant is relevant here.

Review of the Key Levels indicator on Forex

Determining the level marks mentioned above visually is quite a tedious task, especially if you prefer to work on . Therefore, so that a trader can concentrate on the things that are really important to him, a special auxiliary tool was developed - the Key Levels round indicator, which is designed for MT4.

A trader just needs to download and configure the software product so that additional information is subsequently displayed on the chart, namely, round levels highlighted in the specified color.

At first glance at the connected indicator, you may get the impression that the level lines look almost invisible. But later the understanding comes that this is not a negative, but a positive moment. Such indicators should not be colorful or conspicuous. Their goal is to be visible to the user only at the moment when he needs to collect data for technical analysis.

How to install and configure the Key Levels indicator on Forex?

The first step is to find a trusted source from which you can download the necessary files to your computer. You're already there. When the archive is completely downloaded to your system, simply unzip it and copy the contents to the Indicators folder located inside the root directory of your platform. The tool is designed for MT4, which is now one of the most practical and convenient for traders.

There will be no problems with the settings either - in the window with input parameters, which will be displayed immediately after connecting the indicator, there will be a list of options for fine-tuning the tool to suit your needs:

A little advice. Since there is no option to completely disable any levels on the chart, you can resort to a little trick. If the color identified with them matches the background color, they simply will not be visible.

How to use the round levels indicator in practice?

As we already understood, the indicator of round levels for MT4 performs one single function - it highlights these same round levels, as well as half (ending with 50) and quarter (ending with 25). These are psychological marks, a kind of zone of increased interest, forcing both small players and influential market participants - banks, financial companies, etc. - to become more active. But how the market will react to reaching a level, there is no clear answer to this question. The price can either rebound or break through the round mark.

Let's consider two opposite situations and their interpretation:

• Let's say the Euro is trading at a price of about 1.3 dollars per unit of currency and the chart is preparing to approach the round mark. Many traders may consider that $1.3 would be an excellent price to sell and open orders accordingly.
• The second situation, which occurs with much more frequent probability, is a massive opening of traders to buy with take profit set at round levels. Sell ​​orders begin to accumulate en masse, therefore, as soon as the price collides with the level, it triggers and creates surpluses in the market. And this naturally leads to a price rebound.

A completely logical question is brewing - why then is a Forex round levels indicator needed at all if the market behaves unpredictably?

This may be partly true - if you use only round levels when analyzing the market and choose a more likely rebound, you will not get much income (even with manual trading, even if using an automatic advisor built on this principle). But as a fulcrum, in combination with this and a number of other tools, it is very useful.

Is the round levels indicator effective and is it worth using?

People's opinions about round levels are divided. Some traders consider them to be an extremely useful tool that can be effectively used for market analysis no worse than support/resistance levels.

Others, on the contrary, consider the techniques associated with them to be overly promoted and doubt the advisability of using CG in fast and chaotic Forex. One way or another, no one will dispute the fact that the round level is taken into account by large players (market makers), and this is already a prerequisite for possible changes.

Unlike most tools with similar purposes, the round levels indicator will not draw a place where it would be profitable for a trader to open a new position - it will leave the right to the market participant to decide for himself what to do in a particular situation. Accordingly, it is best used in trading as additional confirmation, identifying possible support/resistance zones.

Setting up the Key Levels indicator

A round level is nothing more than a price with a beautiful value in which several numbers coincide and most often these are zeros and every half hundred, for example 1.0000, 1.1000, 1500, 1600, etc. It works for the simple reason that all traders “know about them” and believe that the price will bounce back from them.

And most often this is exactly what happens. The price really bounces off the round levels, because nothing can influence the quotes as much as the traders themselves. There are many examples in history when people specifically invented some event (the closure of a large company), started rumors, and the company’s shares began to lose billions of dollars.

Many Forex indicators work on this principle, including Pivot levels and often even Fibonacci levels.

Most often, round levels are used as price turning points, and from this we can conclude that they can be used as take profit and stop loss trading targets.

Just look at how often the price bounces off the levels (the screenshot uses the Grid Builder indicator from the GridSpace 500 parameters, described below). If we also apply this to these levels, then in fact this turns out to be one of the best and most common trading techniques!

When trading round levels, keep in mind that the price does not always have to touch point to point of the round level; sometimes it happens that just a few points are missing and the price flies off.

Also, as you can see from the screenshot above, the price can sometimes break through them, and only then the rollback begins. Therefore the advice— open a position only after the reversal has begun.

You can also use these levels as an additional filter; when opening a position, make sure that there is a large distance to the next price level.

GridBuilder indicator

The indicator marks levels through a specified number of points. Very simple and easy to use. An example of trading with this indicator is shown in the screenshot above.

Settings

• GridSpace - the number of points through which to draw the level (in the screenshot above, the value 500 is used, this value is recommended to be used by many traders).

The indicator will display all the most important key price levels, from which a rollback is more likely to occur, and will mark such price levels as: 0,20,50,80. Very simple and easy to set up.

Settings

• Show_00_50_Levels — true/false — display lines at prices ending with: 00 and 50 (recommended)
• Show_20_80_Levels — true/false — display lines at prices ending with: 20 and 80 (optional)
• Level_00_Color — line color at price 00
• Level_00_Color — line color at price 50
• Level_20_Color — line color at price 20
• Level_80_Color — line color at price 80

Psycho Levels indicator

This option is perfect for those who want to save space on the chart. Round levels are drawn only on the right side of the chart. The indicator allows you to draw lines at any price set in the settings.

Settings

• ebDrawHorizontalLine - true/false - do not show lines
• eiHorizontalLinePoint1 - first price level
• eiHorizontalLinePoint2 - second price level
• eiHorizontalLinePoint3 - third price level
• eiHorizontalLinePoint4 - fourth price level
• eiHorizontalLinePoint5 - fifth price level

You can leave the number of levels you need, for example, set eiHorizontalLinePoint1 to 100, set eiHorizontalLinePoint2 to 50, and from 3 to 5 set to 0, in which case the lines will be drawn every 500 points. The remaining settings are related to the display of levels (color, width, etc.).