ATR Exit MT5

The ATR Exit MT5 is a forex trading tool that utilizes the Average True Range (ATR) to optimize forex trades through trend tracking. This software, a part of the Universal Trailing Stop EA MT5 suite of 14 indicator-based trailing stops, offers a unique approach to tracking the forex market and making trade decisions.

How the ATR Exit MT5 Works

The ATR Exit MT5 uses the candle close plus the ATR value to plot trailing stop lines. These lines, displayed in orange for buys and magenta for sells, progress with the trend until the trend shifts. The software uses a multiple of the ATR, subtracting its value from the close on a buy and adding it to the close on a sell. This results in trailing stop lines that support the direction of the order, whether long or short.

In an upward trend, the long trailing stop line (shown in orange) appears and moves upward until the close crosses beneath the line. Conversely, in a downward trend, the short trailing stop line (magenta) appears and descends until the close crosses above the line. This trend tracking feature enables traders to better gauge the market and make informed trading decisions.

Additional Features of the ATR Exit MT5

The ATR Exit MT5 not only acts as a trailing stop, but it can also be employed in a volatility breakout strategy. Traders or trading algorithms (EAs) can choose to buy when the close crosses above the upper trail line and sell when the close crosses below the lower trail line.

This ATR exit trail offers an advantage over a fixed percentage method as its alterations are based on the volatility characteristics of the underlying instrument and time frame. As the trading range expands or contracts, the distance between the stop and the closing price automatically adjusts to an appropriate level. This balances the trader’s desire to protect profits with the necessity of allowing the instrument to move within its normal range.

Parameters of the ATR Exit MT5

The ATR Exit MT5 comes with several adjustable parameters. ‘AtrPer’ (14) is the indicator period. ‘Factor’ (3) is the factor for multiplying the ATR. This does not need to be an integer and can be fractional. ‘Shift’ (1) is the indicator shift. Lastly, ‘Show Channel’ (true/false) determines if the software displays a channel on both sides of the price. By default (false), it shows the orange line under buy in an upward trend and the magenta line over sell in a downward trend. If set to true, it shows a channel on both sides of the price.

Independent Testing of the ATR Exit MT5

For those interested in seeing the ATR Exit MT5 in action, independent testing of this product can be viewed on the forexroboteasy.com website. Subscriptions for updates on the testing results of this product are also available.

Share Your Experience

If you have experience using the ATR Exit MT5, we invite you to share your insights. User reviews and feedback contribute significantly to the continuous improvement and understanding of this forex trading tool.

FAQs

Is the ATR Exit MT5 a standalone product?

The ATR Exit MT5 is part of the Universal Trailing Stop EA MT5 suite but can function independently. It is a tool built into the suite but can be downloaded separately if you want to see how your trailing stop auto-adjusts to the indicator lines on the chart of UTS-EA when you set Apply indicator template=true.

How is the ATR Exit MT5 superior to using a fixed percentage?

The ATR Exit MT5 adjusts based on the volatility characteristics of the underlying instrument and time frame. This makes it superior to a fixed percentage method as the latter does not adjust to the changing market conditions.

Can I adjust the parameters of the ATR Exit MT5?

Yes, the ATR Exit MT5 comes with several adjustable parameters. You can adjust these to suit your specific trading strategy and requirements.

Conclusion

The ATR Exit MT5 is a tool that offers a unique approach to optimizing forex trades through trend tracking. With its ability to adjust to the volatility of the market, it provides a robust and adaptable solution for forex traders. Remember, this review is independent and is based on the features and capabilities of the product. Always do your due diligence before using any trading tool.