Overlay Chart Indicator for MT5

The Overlay Chart indicator for MT5 allows you to compare the price action of two currency pairs on the same chart.

It places the selected second pair over the main chart so you can see how both markets are moving relative to each other.

Along with price movement, the indicator can display the open, high, low, and close information of the overlaid pair.

This makes the indicator useful for studying Forex correlation and identifying situations where two related pairs are moving together or beginning to diverge.

Comparing correlated markets can provide additional context before entering a position, particularly during active intraday sessions.

Why traders use the Overlay Chart Indicator

Currency pairs often have relationships because they share currencies or are influenced by similar market conditions.

A positive correlation means two pairs tend to move in the same direction, while a negative correlation means their movements tend to be opposite.

The Overlay Chart Indicator makes these relationships easier to monitor visually.

For example, USD/CAD can be compared with USD/JPY to see whether both pairs are showing similar directional strength.

The second pair is displayed directly against the original price action, allowing changes in relative movement to be noticed without repeatedly switching between charts.

This is particularly useful for day trading and scalping because market relationships can change quickly.

A live comparison can help provide additional context when evaluating a short-term setup.

Indicator Chart Setup

The original currency pair remains the primary price chart while the selected SubSymbol is displayed as an overlay.

The two price movements can be compared through their candles and directional changes.

The overlaid pair uses colored bars to help distinguish bullish and bearish movement.

Green bars indicate bullish price action, while orange bars indicate bearish movement.

The display can be adjusted through the available style and color settings.

Core Features

• Compares two currency pairs on a single MT5 chart.
• Displays the price action of the selected SubSymbol.
• Provides open, high, low, and close information for the overlaid pair.
• Uses color-coded bars to distinguish bullish and bearish movement.
• Supports Forex correlation analysis.
• Includes a mirroring option for comparing directional movement.

Best for

• Comparing correlated currency pairs in real time.
• Identifying relative strength and weakness between markets.
• Monitoring divergence between two related pairs.
• Confirming the broader context of an intraday setup.
• Studying relationships between major and cross-currency pairs.

Best Markets

• USD/CAD and USD/JPY for comparing dollar-related price movement.
• EURUSD and GBPUSD when monitoring the relative behavior of major USD pairs.
• EURJPY and GBPJPY for comparing movements among yen crosses.
• EURUSD and USDCHF when studying pairs that can display contrasting dollar-related movement.
• Major Forex pairs during London and New York sessions when liquidity is typically higher.

Trading Styles

• Day trading on M15 and H1 charts where pair relationships can provide additional market context.
• Scalping on M1 and M5 when comparing fast-moving correlated pairs during active sessions.
• Intraday breakout trading by checking whether a related pair confirms the directional move.
• Short-term divergence setups when two normally related pairs begin moving differently.

How traders use it

A practical way to use the indicator is to select a related currency pair and monitor both price movements as the market develops.

For example, suppose you are watching USD/CAD and overlay USD/JPY.

If USD/JPY starts producing strong bullish bars while USD/CAD is also moving higher, the comparison shows that both pairs are displaying similar dollar-related momentum.

If USD/JPY continues higher while USD/CAD starts falling, the divergence becomes an area for further analysis rather than an automatic trading signal.

Day traders can use this information throughout the London or New York session to see whether a short-term move is supported by related market behavior.

Scalping example between EURUSD and GBPUSD

Scalpers can take the comparison down to M1 or M5 and watch the relationship in real time while evaluating a potential entry on the primary pair.

For example, a scalper monitoring EURUSD may overlay GBPUSD.

If both pairs break above nearby intraday resistance at approximately the same time and their bullish price action remains synchronized, the comparison provides additional confirmation of short-term USD weakness.

If EURUSD breaks higher while GBPUSD immediately reverses, the discrepancy can signal that the move deserves closer examination before entering.

Indicator Settings

• SubSymbol: Selects the second currency pair whose price action will be displayed over the primary chart.
• Mirroring: Controls whether the overlaid price movement is mirrored for comparison purposes.
• Colors: Controls the visual colors used by the overlay display.
• Style: Adjusts the visual presentation of the overlaid price action.

Important Notes

• Correlation is not fixed and can change according to market conditions, so the overlay should be used as analytical information rather than a standalone entry signal.
• The indicator can be particularly useful for day traders and scalpers because both price movements can be monitored simultaneously.
• Use M1 and M5 charts for fast comparisons and M15, H1, or higher timeframes for broader correlation analysis.
• RSI, MACD, price action, or other confirmation methods can be combined with the overlay when defining entries and exits.
• Test different currency-pair combinations to determine which relationships provide useful information for your trading approach.