Psychological levels [Kodologic]

Psychological levels [Kodologic]

Markets are not random, they are driven by human psychology and algorithmic order flow. A well-known phenomenon in trading is the "Whole Number Bias" — the tendency for price to react significantly at clean, round numbers (e.g., Bitcoin at $95,000 or EURUSD at 1.0500).

Manually drawing horizontal lines at every round number is tedious, clutters your object tree, and distracts you from analyzing price action.

Psychological levels Numbers is a workflow utility designed to solve this problem. It automatically projects a clean, customizable grid of key price levels onto your chart, helping you instantly identify areas where liquidity and orders are likely to cluster.

Why This Indicator Helps Traders :

Professional traders know that "00" and "50" levels act as magnets for price. Here is how this tool assists in your analysis:

1. Institutional Footprints : Large institutions and bank algorithms often execute orders at whole numbers to simplify accounting. This script highlights these potential liquidity zones automatically.

2. Support & Resistance Discovery: You will often notice price wicking or reversing exactly on these grid lines. This helps in spotting natural support and resistance without needing complex technical analysis.

3. Cognitive Load Reduction: Instead of calculating where the next "major level" is, the grid is visually present, allowing you to focus on candlestick patterns and market structure.

Features :

Dynamic Calculation : The grid updates automatically as price moves, you never have to redraw lines.

Zero Clutter : The lines are drawn using code, meaning they do not appear in your manual drawing tools list or clutter your object tree.

Fully Customizable Step : You define what constitutes a "Round Number" for your specific asset class (Forex, Crypto, Indices, or Stocks).

Visual Control : Adjust line styles (Solid, Dotted, Dashed), colors, and transparency to keep your chart aesthetic and readable.

How to Use in Your Strategy :

1. Target Setting (Take Profit)

If you are in a long position, use the next upper grid line as a logical Take Profit area. Price often gravitates toward these whole numbers before reversing or consolidating.

2. Stop Loss Placement

Avoid placing Stop Losses exactly on a round number, as these are often "stop hunted." Instead, use the grid to visualize the level and place your stop slightly *below* or *above* the round number for better protection.

3. Confluence Trading

Do not use these lines in isolation. Look for Confluence :

Example: If a Fibonacci 61.8% level lines up exactly with a Round Number grid line, that level becomes a high-probability reversal zone.

Settings Guide (Important)

Since every asset is priced differently, you must adjust the "levels Step Size" to match your instrument:

Forex (e.g., EURUSD, GBPUSD): Set Step Size to `0.0050` (50 pips) or `0.0100` (100 pips).

Crypto (e.g., BTCUSD): Set Step Size to `500` or `1000`.

Indices (e.g., US30, SPX500): Set Step Size to `100` or `500`.

Gold (XAUUSD):** Set Step Size to `10`.

Disclaimer: This tool is for educational and visual aid purposes only. It does not provide buy or sell signals. Always manage your risk.