Description
The PZ Head and Shoulders Indicator is a technical tool for MetaTrader designed to detect and highlight head and shoulders chart patterns in real time. These formations consist of three peaks — the middle one (head) being the highest — and typically signal a bullish-to-bearish trend reversal. They are widely regarded as one of the most reliable reversal signals in technical analysis.
This indicator not only detects both classic and inverse head and shoulders patterns, but also confirms them through breakout signals and provides traders with actionable insights including suggested stop-loss and take-profit levels. It can also be used to detect continuation patterns, depending on market context.
The PZ Head and Shoulders Indicator is fully non-repainting and non-backpainting, making it a highly dependable tool for identifying trade setups as they occur. Once a pattern completes and a breakout occurs, a signal is issued along with SL/TP guidance. Additionally, a performance dashboard helps traders evaluate pattern accuracy.
Key Features
- Detects both head and shoulders and inverse head and shoulders patterns
- Displays breakout signals, stop-loss and take-profit levels
- Non-repainting and non-backpainting logic
- Includes statistics dashboard with pattern success rate
- Customizable visual settings for clarity and user preference
- Alerts via screen, email, push, and sound
- Works on all timeframes and instruments
- Ideal for trend reversals or continuation confirmations
Technical Notes
- Indicator is evaluated on bar close (not tick-by-tick)
- Breakout arrows confirm trade direction
- SL/TP levels are based on neckline structure
- Can be used with multiple instances for different amplitudes
- Compatible with any symbol and timeframe
Input Parameters
- Amplitude – The minimum number of bars between swing points. Increase to find larger patterns, decrease to find smaller ones. Multiple instances with different amplitudes can be loaded on one chart.
- Min. Retracement – Minimum required Fibonacci retracement percentage for a valid pattern. Set to 0 to ignore this condition.
- Max. Retracement – Maximum allowed Fibonacci retracement percentage for a valid pattern. Set to 0 to ignore this condition.
- Cup Flatness Ratio – Defines how flat the neckline must be relative to the height of the pattern. Higher values find stricter, cleaner patterns. Lower values allow more flexibility and frequency.
- Max History Bars – Number of bars to scan on indicator load. Reducing this can speed up chart loading.
- Display Stats – Toggle to show or hide the statistics dashboard that tracks the performance of the patterns.
- Display SL/TP Levels – Toggle to show or hide the automatic stop-loss and take-profit levels shown on each signal.
- Drawing Options – Customize line and label colors for bullish and bearish patterns, including font sizes and thickness.
- Breakouts – Customize the colors and sizes of breakout confirmation arrows.
- Alerts – Enable or disable all types of alerts (visual, email, push, sound)
