Forex Indicator for Stop Loss Levels Calculation Using Bill Williams Technique

An indicator for Stop Loss levels calculation using Bill Willams technique. Bill Williams in his book “Trading Chaos: Applying Expert Techniques to Maximize Your Profits” (Chapter 7, Level One: Novice Trader, p.95) has described SL as follows:

“…We place the air bag one tick above/below the high/low of the second bar back on one significantly higher time frame (or the next bar further back that has both a higher high and a higher low or a lower high and lower low).

This is our air bag protection. Its purpose is to protect us against a drunken market that is moving against us. Remember, it is not necessiarly an entry signal; it is protection against major losses…”

 
The indicator calculates and shows Stop Loss levels (for Buy and Sell positions without installed SL) using this method.

 

 

int BAR = 200; // searching for in last BAR bar
int minSL = 25; // it is exposed when 2 bars are not found
bool show_bar = true; // show bars on which search for SL
show_info = true; // show active orders without SL
color color_BAR = DarkSlateGray; // colour bar on which search for SL
color color_Тек_BAR = Gray; // colour of the current bar
color color_SL = Gray; // colour of the marks

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•  SL Level is drawing on the right side of the current bar, set chart shift on:
• To make it clear, use show_bar=true
• Good Luck!

 

It is possible to show Stop Loss Levels in the history (SL_BW.mq4):

 

Forex Indicator for Stop Loss Levels Calculation Using Bill Williams Technique. Very Cool & Useful,i use it in my expert, Draw down now goes to 5% with this and profit is now better, thank you Cmillion.