Forex doesn’t have a central exchange, so it doesn’t have real volume. What MT4 calls “Volumes” is actually tick volume — the count of price changes per bar. That’s not the same as the contracts traded that an equities or futures trader sees. But here’s the thing: on a good broker feed, tick volume correlates strongly with real activity, and it’s good enough for the volume confirmations that matter on most setups.
Below is what tick volume actually measures, why it works as a proxy on majors, and the spike-confirmation strategy I use to filter breakout entries.
What is Tick Volume?
A “tick” in MT4 is any update to bid or ask price. Every time the broker pushes a new quote, MT4 records a tick. The Volumes indicator counts how many ticks happened during each bar.
A high tick count means lots of price activity — usually associated with high real trading volume because more market participants generate more quote updates. A low tick count means quiet — typically low real volume too.
The correlation between MT4 tick volume and real interbank volume runs around 0.85-0.90 on EURUSD with major brokers. That’s high enough that tick volume serves as a usable volume proxy. It’s not perfect — exotic pairs and small brokers can produce noisy tick feeds — but for major-pair day trading it works.
How Tick Volume Works on MT4
On MT4, tick volume plots as a vertical histogram in a separate sub-window beneath the price chart. Bars are coloured (typically green for up-bars, red for down-bars based on the candle direction).
Three patterns matter for forex traders.
The first is volume spikes at session opens. London open (08:00 GMT), NY open (13:00 GMT), and Tokyo open (00:00 GMT) all produce visible tick-volume spikes on majors. Watching for these gives you context for whether you’re in an active trading window or a dead one.
The second is volume on breakouts. A breakout candle accompanied by a tick-volume bar that’s 2-3x the recent average is far more likely to follow through than a low-volume breakout. Low-volume breakouts are the classic fake-out pattern.
The third is volume on reversal candles. A pin bar or engulfing candle at a key level is meaningfully stronger when it prints with above-average tick volume — that signals real participation flipping the move, not just thin liquidity allowing price to wick.
Key Features
- Built into MT4 by default — Insert > Indicators > Volumes > Volumes
- Single histogram showing tick count per bar
- Bars coloured based on candle direction (up/down)
- Non-repainting once a bar closes
- Lightweight — adds zero perceptible load
- Works on every timeframe and instrument
Best Settings for Tick Volume
The built-in Volumes indicator has no configurable parameters. The decisions are which broker to use and what reference average to overlay.
| Use Case | Best Timeframe | Average Overlay | Spike Threshold |
|---|---|---|---|
| Scalping | M1 / M5 | 20-bar SMA on volume | 1.5x average |
| Day Trading | M15 / H1 | 20-bar SMA on volume | 2x average |
| Swing Trading | H4 / D1 | 20-bar SMA on volume | 2.5x average |
Recommended starting point: H1 chart with the standard Volumes indicator. Add a 20-bar SMA on the volume histogram as your reference line.
Pros and Cons
| Pros | Cons |
|---|---|
| Built into MT4, zero install friction | Tick volume ≠ real exchange volume |
| Strong correlation with real volume on majors with major brokers | Quality varies hugely by broker — small/exotic brokers feed noise |
| Useful for breakout confirmation and reversal validation | No directional information beyond candle colour |
| Visible session-open spikes give intraday context | Useless for absolute volume comparison across pairs |
How to Install Tick Volume on MT4
The Volumes indicator is built into MT4. No download needed.
Step 1: Open MT4 and select your chart.
Step 2: Click Insert > Indicators > Volumes > Volumes.
Step 3: Pick colours for up-volume and down-volume bars in the popup.
Step 4: Click OK. Volumes plots in a separate sub-window.
Step 5: To add a 20-bar reference average, drop a Moving Average indicator onto the Volumes sub-window (drag from Navigator) — set Apply To = “Previous Indicator’s Data”.
Trading Strategy: Volume Spike Breakout Confirmation
The cleanest tick-volume strategy. Best on H1 EURUSD, GBPUSD, and gold during London/NY sessions.
Setup: Volumes indicator with 20-bar SMA reference. Add price-action level identification (recent swing high/low or session high/low).
Long Breakout Entry:
1. Identify a clear horizontal resistance from a recent swing high
2. Wait for a bullish breakout candle that closes above resistance
3. Confirm: the breakout bar’s tick volume is at least 2x the 20-bar average
4. Enter long on the close of the breakout candle
5. Stop loss below the breakout level (typically 20-30 pips on H1 EURUSD)
Short Breakout Entry:
1. Identify support from a recent swing low
2. Wait for a bearish breakout candle that closes below support
3. Confirm: tick volume on the breakout bar is at least 2x the 20-bar average
4. Enter short on the close
5. Stop loss above the broken support
Take Profit: Target a 2:1 reward-to-risk minimum. Trail with structure once 1R hits.
The discipline that matters: skip breakouts that print with below-average tick volume. Those are the fakes. The single rule “no spike, no trade” filters out the majority of failed breakouts in my testing.
Tick Volume vs Real Exchange Volume
The honest answer to the most-asked question.
| Feature | Tick Volume (MT4) | Real Exchange Volume |
|---|---|---|
| Source | Broker quote-update count | Centralised exchange (futures, equities) |
| Available on | Forex, CFDs (MT4) | Stocks, futures, options |
| Correlation with real volume | 0.85-0.90 on majors | 1.00 (it IS real volume) |
| Reliability | Depends on broker quality | Universal |
Verdict: Tick volume is a usable proxy on major forex pairs from a quality broker. For full real-volume context, you’d need a futures broker (CME EUR/USD futures volume is the closest real-volume proxy for EURUSD spot).
Frequently Asked Questions
Is the tick volume indicator free?
Yes. Volumes is built into every copy of MT4.
Does tick volume repaint?
The current bar’s tick count updates in real time. Closed bars never change.
Why is forex tick volume different across brokers?
Each broker aggregates quotes from different liquidity providers. Bigger brokers with more LPs typically show higher tick counts. The correlation with real volume is what matters, not the absolute number.
Can I trust MT4 tick volume on exotic pairs?
Less so. On exotics with thin liquidity, tick volume can spike from a single LP repricing. Use it cautiously and confirm with structure.
What’s the best timeframe for tick volume?
H1 and H4 give the cleanest reads. M1 and M5 tick volume is too noisy for anything except scalping spike-detection during major news events.
Download Enhanced Tick Volume Indicator for MT4 – Free
The standard Volumes ships with MT4. Our enhanced version adds:
- Built-in 20-bar average overlay — see spikes vs context immediately
- Spike highlighting — bars exceeding 2x average drawn in a different colour
- Spike alerts — popup, email, push when volume exceeds threshold
- Configurable spike multiplier (default 2.0)
Platform: MT4 (Build 1000+)
File type: .ex4
File size: 13 KB
Version: 1.0
Last updated: May 2026
Download the Tick Volume Indicator – Free Instant Access
No payment. No catch. Enter your email below and the Tick Volume Indicator file lands in your inbox within 60 seconds. Here’s everything you get:
- The non-repainting Tick Volume Indicator file (.ex4) – install in 30 seconds
- Step-by-step installation guide with chart screenshots
- Best-performing settings for scalping, day trading, and swing trading
- The exact spike-confirmation breakout rules I use in live trading
- Weekly trading insights from a developer with 16+ years of market experience
Download the Tick Volume Indicator – Free Instant Access
No payment. No catch. Enter your email below and the Tick Volume Indicator file lands in your inbox within 60 seconds. Here’s everything you get:
- The non-repainting Tick Volume Indicator file (.ex4) – install in 30 seconds
- Step-by-step installation guide with chart screenshots
- Best-performing settings for scalping, day trading, and swing trading
- The exact entry and exit rules Dom uses in live trading
- Weekly trading insights from a developer with 16+ years of market experience
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Overall Rating: 4.2/5
| Category | Rating |
|---|---|
| Accuracy | 4.0/5 |
| Ease of Use | 4.7/5 |
| Features | 4.0/5 |
| Value | 4.5/5 |
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