MIndex
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This tool is designed to create a specialized visual indicator for MetaTrader that tracks a synthesized "USD Index." Rather than looking at a single currency pair, it calculates a weighted relationship between several major global currencies to provide a broader perspective on the value of the US Dollar relative to the rest of the market.
How the Logic Works
1. Data Collection The script simultaneously monitors the closing prices of seven different major currency pairs: EURUSD, GBPUSD, AUDUSD, USDCHF, USDJPY, NZDUSD, and USDCAD. By pulling this data in real-time, the tool gains a comprehensive view of how the Dollar is performing against various economic regions (such as Europe, Asia, and Oceania).
2. The Mathematical Synthesis The core of the script performs a geometric calculation. It combines all seven currency values into a single unified figure. By multiplying the "positive" pairings (where USD is the base) and dividing by the "inverse" pairings (where USD is the quote), it derives a balanced average price point. This mathematical approach ensures that the final index isn't skewed by just one volatile currency, but instead reflects a collective market sentiment.
3. Custom Currency Scaling One of the most useful features of this logic is its ability to adapt to your specific trading needs. While the internal "base" calculation is centered on the USD, the tool allows you to select a specific currency from a dropdown menu (such as EUR, GBP, JPY, etc.).
Depending on your selection:
- If you choose USD, the indicator displays the raw synthesized index.
- If you choose another currency (like EUR or JPY), the script automatically converts that base index into the value of your chosen currency.
Summary for Traders
In simple terms, this script acts as a "Weather Map" for the US Dollar. Instead of looking at a single "temperature" (one currency pair), it looks at the entire climate of the global forex market and presents it to you as a single, easy-to-read line on your chart. This helps traders identify broader trends and see where the overall strength or weakness of the Dollar lies across multiple markets simultaneously.
//+------------------------------------------------------------------+
//| MIndex.mq4 |
//| Copyright © 2005, Yuri Makarov. |
//| http://mak.tradersmind.com |
//+------------------------------------------------------------------+
#property copyright "Copyright © 2005, Yuri Makarov."
#property link "http://mak.tradersmind.com"
#property indicator_separate_window
#property indicator_buffers 1
#property indicator_color1 OrangeRed
extern string Curency = "USD";
double EurUsd[],UsdChf[],GbpUsd[],UsdJpy[],AudUsd[],NzdUsd[],UsdCad[];
double Idx[];
int init()
{
IndicatorShortName(Curency);
SetIndexStyle(0,DRAW_LINE);
SetIndexBuffer(0,Idx);
return(0);
}
void start()
{
ArrayCopySeries(EurUsd,MODE_CLOSE,"EURUSD");
ArrayCopySeries(GbpUsd,MODE_CLOSE,"GBPUSD");
ArrayCopySeries(AudUsd,MODE_CLOSE,"AUDUSD");
ArrayCopySeries(UsdChf,MODE_CLOSE,"USDCHF");
ArrayCopySeries(UsdJpy,MODE_CLOSE,"USDJPY");
ArrayCopySeries(NzdUsd,MODE_CLOSE,"NZDUSD");
ArrayCopySeries(UsdCad,MODE_CLOSE,"USDCAD");
int counted_bars=IndicatorCounted();
double USD;
if(counted_bars<0) return(-1);
if(counted_bars>0) counted_bars--;
int limit=Bars-counted_bars;
for(int i=0; i<limit; i++)
{
USD = MathPow(UsdChf[i]*UsdJpy[i]*UsdCad[i]/EurUsd[i]/GbpUsd[i]/NzdUsd[i]/AudUsd[i],1./8.);
if (Curency == "USD") Idx[i] = USD;
if (Curency == "EUR") Idx[i] = USD*EurUsd[i];
if (Curency == "GBP") Idx[i] = USD*GbpUsd[i];
if (Curency == "AUD") Idx[i] = USD*AudUsd[i];
if (Curency == "CHF") Idx[i] = USD/UsdChf[i];
if (Curency == "JPY") Idx[i] = USD/UsdJpy[i];
if (Curency == "NZD") Idx[i] = USD*NzdUsd[i];
if (Curency == "CAD") Idx[i] = USD/UsdCad[i];
}
}
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