The Market Profile Trendlines Indicator for MT4/MT5 is a powerful technical tool that displays price density, value areas, control points, and important price zones based on time, volume, and tick data. Unlike traditional indicators that rely on lagging formulas, this indicator reads every single tick to show where the most meaningful price activity occurs in a trading session. For traders who want to understand market structure more deeply, the Market Profile Trendlines indicator offers exceptional clarity.
Originally developed by a Chicago Board of Trade (CBOT) trader, the Market Profile concept was meant to simplify how price and time interact. The Market Profile Trendlines indicator builds upon this concept by integrating trendlines with the histogram profile. Instead of drawing the traditional left-to-right profile, this version plots a right-aligned histogram focused on the current trading session—making it easy to monitor real-time price behavior.
The indicator combines tick count, time spent at each price level, and volume characteristics to construct a histogram that reveals where trading activity is most concentrated. These high-density price zones often act as powerful support and resistance areas.
The histogram highlights:
Value Area (VA): The region where most trading activity occurred.
Point of Control (POC) or Control Value: The price level with the highest market activity.
Upper and Lower Tails: Price levels where the market was rejected strongly.
Because the indicator processes each tick, it offers precise insights into where buyers or sellers dominated during a session. It works on all timeframes from M1 to D1 and is completely based on price action—no standard MT4/MT5 indicators are used in its calculation.
The value area is the core concept of Market Profile. It represents the equilibrium between supply and demand for the ongoing session. Prices tend to gravitate around this zone until new inputs shift the balance.
Outside the value area, the upper and lower tails reveal market rejection zones:
Bottom Tail: Strong buyer reaction
Top Tail: Strong seller reaction
These tails often act as early warning signals for reversals or strong breakouts.
Identify the bottom tail on the histogram.
Wait for bullish price action (engulfing candle, trendline break, etc).
Place a stop loss near the recent swing low.
Exit when the trend reverses or when price loses momentum near the upper value zone.
Locate the top tail on the profile.
Confirm bearish price action (bearish engulfing, rejection wick, etc).
Put the stop loss above the recent high.
Exit when the trend shifts or price approaches the lower value zone.
This strategy ensures you trade in alignment with market structure instead of relying solely on lagging indicators.
Identifies high-probability price zones
Shows where real trading interest occurs
Highlights market rejection areas
Reveals session-based support and resistance
Works on any timeframe
Suitable for intraday, swing, and position trading
When combined with tools like Simple Moving Averages (SMA) or trendlines, the accuracy of entry and exit points increases significantly.
The Market Profile Trendlines Indicator is a powerful addition to any trader’s toolkit. By showing value areas, control points, and session-based price activity, it helps traders understand where price is most likely to react. For best results, combine it with additional technical tools such as moving averages, trendlines, or candlestick patterns.
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Published:
Nov 30, 2025 01:45 AM
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