 This indicator is a trend filter based on fibonacci retracement levels

- There are three filled zones --> red, yellow and green
- If the price is inside of red zone, there is a downtrend on the market
- If the price is inside the yellow zone, there is a sideways trend on the market
- If the price is inside the green zone, there is a uptrend on the market
- Also, candles are going to have a corresponding color based on the current trend

Calculations of the indicator:
1. Calculate distance between maximal and minimal price over the last "x" bars (choose value for "x" in inputs menu under the "Analysis period")
2. Use this distance for calculating two retracement levels (choose retracement levels in inputs menu)
3. These two retracement levels create an area of what is going to be considered as sideways market

Example:
- Lets say we chose Analysis period of 100, Lower Fibonacci Level as 0.382 and Upper Fibonacci Level as 0.618
- Maximum price over the last 100 bars was of 120 and minimum price was 20. That leaves us with the difference of 100 points
- Now we calculate the fibonacci levels --> 100*0.382 = 38.2 and 100*0.618 = 61.8
- The next step is to add the levels to the lowest price point --> 20 + 38.2 = 58.2 and 20 + 61.8 = 81.8
- And now we have our zones. If the price is going to be below the lower fibonacci level (in this case 58.2), we consider it as a bearish trend . If the price is between those fibonacci levels (58.2 and 81.8), we consider it as a sideways trend. And if the price is above the upper fibonacci level (81.8), we consider it as a bullish trend .

Inputs:
- Analysis period --> number of bars within which the system is going to look for max and min price
- Lower Fibonacci Level --> Choose from options and must be lower or the same as "Upper Fibonacci Level"
- Upper Fibonacci Level --> Choose from options and must be higher or the same as "Lower Fibonacci Level"
- Show Filling --> whether you wish to fill the areas with color
- Change Candle Color --> whether you wish to change the color of candles based on current trend.

Script open-source

Nello spirito di condivisione promosso da TradingView, l'autore (al quale vanno i nostri ringraziamenti) ha deciso di pubblicare questo script in modalità open-source, così che chiunque possa comprenderlo e testarlo. Puoi utilizzarlo gratuitamente, ma il riutilizzo del codice è subordinato al rispetto del Regolamento. Per aggiungerlo al grafico, mettilo tra i preferiti.

Declinazione di responsabilità

Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.

Vuoi usare questo script sui tuoi grafici?