Currency Barometer Indicator

The Currency Barometer indicator is a unique tool that measures the strength of two currencies represented in the pair and compares the difference between them. The result is shown as a histogram where you can simply identify which currency is the strongest.

This indicator is designed to measure the strengths and weaknesses of eight major currencies (USD, EUR, GBP, CHF, CAD, JPY, AUD, and NZD) and works on 28 currency pairs.

The indicator uses the CI method (Commodity Channel Index) to calculate currencies’ strength and weakness.

Interpretation of the Indicator

Because the Currency Barometer compares the first currency in the pair against the second one, it is better to use a sophisticated scale.

Extremely Strong - ForestGreen.
Very Strong - LimeGreen.
Strong - GreenYelow.
Neutral - Yellow.
Weak - Orange.
Very Weak - OrangeRed.
Extremely Weak - Crimson.

How to Use the Currency Barometer?

We are sure there are many ways to use our Currency Barometer. For example, you can trade divergences between the price and the indicator.

Of course, you can also trade the classical trend strategy – buy a strong currency and sell a weak one. However, never use this strategy if Currency Barometer is in the extreme zone. Conversely, this is often an opportunity to trade in the opposite direction (reverse strategy).

Main Features

A simple comparison of the strength of two currencies.
The indicator works with 28 pairs.
Automatic recognition of the currency pair.
Overbought and oversold area for entering or exiting the trades.
Works on every timeframe (M1, M5, M15, M30, H1, H4, D1, W1, MN).
The indicator works with prefixes and suffixes of symbols as well (EURUSD.m, EURUSD-pro...).
Ready for backtesting (customizable look-back period).
Customizable parameters (Colors, Line thickness, Period...).
High-speed calculation.
Can be used for creating EA (Expert Advisor).
Available for MT4 and MT5.
The indicator is non-repainting.

Input Parameters

Bars_Ago - Number of bars displayed by the indicator. If the Bars_Ago parameter is set to 0, all bars in the chart have been displayed.
CCI_Period - A period for the Commodity Channel Index calculation.
Weighted_Mode - Allows choosing between the weighted or unweighted calculation.
Smoothed_Mode - Allows choosing between the raw or smoothed curve.
Smoothed_Method- Allows choosing the type of smoothing method.
Smoothed_Period - A period for the calculation of smoothed curve.
Text_Size - The text size of labels.
Histogram_Thickness - Thickness of the histogram.
Weight_USD - USD weight coefficient.
Weight_EUR - EUR weight coefficient.
Weight_GBP - GBP weight coefficient.
Weight_CHF - CHF weight coefficient.
Weight_CAD - CAD weight coefficient.
Weight_JPY - JPY weight coefficient.
Weight_AUD - AUD weight coefficient.
Weight_NZD - NZD weight coefficient.
Visibility_Label - Allows enabling or disabling of displaying the Currency Barometer's labels.
Color_Text - Color of the indicator's text.
Color_Extremely_Weak - Color of the extremely weak histogram.
Color_Very_Weak - Color of the very weak histogram.
Color_Weak - Color of the weak histogram.
Color_Neutral - Color of the neutral histogram.
Color_Strong - Color of the strong histogram.
Color_Very_Strong - Color of the very strong histogram.
Color_Extremely_Strong - Color of the extremely strong histogram.

Output Parameters

Barometer Value - Display values of the Currency Barometer.
Extremely Weak - Display values of the Currency Barometer when the first currency is extremely weaker than the second currency. Otherwise, the value equals zero.
Very Weak - Display values of the Currency Barometer when the first currency is significantly weaker than the second currency. Otherwise, the value equals zero.
Weak - Display values of Currency Barometer when the first currency is weaker than the second currency. Otherwise, the value equals zero.
Neutral - Display values of the Currency Barometer when the first and the second currency are in an equal state. Otherwise value equals zero.
Strong - Display values of the Currency Barometer when the first currency is stronger than the second currency. Otherwise, the value equals zero.
Very Strong - Display values of the Currency Barometer when the first currency is significantly stronger than the second currency. Otherwise, the value equals zero.
Extremely Strong - Display values of the Currency Barometer when the first currency is extremely stronger than the second currency. Otherwise, the value equals zero.