OVERVIEW
This indicator helps automatically determine support and resistances on any chart across any time frame. You can therefore use this indicator for different purposes, to determine HTF S/R zones, LTF breakouts by combining various lookback periods. I'll try and provide examples below for both.
INPUTS
Let's review the inputs to start
"lookback ticks" - the number of historical ticks that you want to take into account to figure out supports and resistance levels for that period. For example, do you want to figure out the support and resistances for that past 250 chart ticks, 500, 750 etc.
"number of supports & resistances wanted" - This will output more or less resistances based on requested input. The supports and resistances are ordered by strongest to weakest, so 1 is the strongest support/resistance on the chart which is the blue line, 2 is the next strongest, 3 the next, etc.
"resistance color" - Simply the color for resistances you want to use on the chart
"support color" - Simply the color for supports you want to use on the chart
"automatically figure out increment" - if this is set to true the algorithm will automatically try and figure out the price range & price range increment sizes for the lookback period provided to determine zones of supports/resistance. When you can I would suggest putting in the increment yourself. Ill provide an example below as well
increment - the size of the support/resistance zones you want to use. Ideally this would be as small as possible to be most helpful.
Ex 1.
Let's say you want to use this indicator on ETH on the last 750 ticks of data and on that 750 ticks of data the price ranges from $1,200 to $1,400. You can choose to uncheck "automatically figure out increment" and keep increment at 1. It will then figure out the S/R zones based on $1 ticks of data.
Ex 2.
Let's say you want to use this indicator on BTC 1d chart on the last 750 ticks of data but you dont really want to figure out the price range for the past 750 days of data, well you can just check "automatically figure out increment" and leave the "increment" input as is and it will automatically figure out the increment sizes for you and the S/Rs for that automatically generated range.
BEST USING THE INDICATOR
When you are trying to figure out supports and resistances I would start with HTF first. You can use the 1d chart for this which typically works well. Each touch point or "level" provided by the blue line is considered a significant support or resistance. If there are many different levels provided by the blue line around a general area that would be considered a zone of support or resistance. The longer the blue line stayed in a historical level the stronger that level of support or resistance is. Using the blue line, you can extend the blue levels using the line tool on TradingView across the entire chart. You should now have your HTF supports and resistances outlined. You can see in the DOGE chart provided, the long standing blue lines of support (which created a zone) were discovered way before it was ever touched by DOGE and was the bottom for DOGE's movement in the bear market.
Once you have your HTF supports/resistances outlined you can move to LTF, and you can use the indicator on the 15m chart (where I think it works really well). You can figure out if the chart is breaking out if it clears all LTF resistances, and where it may hit its next major resistance from the outlined HTF resistances you already created. On the flip side, if the price has lost all major supports it may be a good opportunity to short.
If the price of the chart has gone way above the blue line on LTF but the blue line hasn't moved up around the current price, theres a good chance the price will come back down as it wasn't a strong enough push. You can use this as a way to wait to enter on moves up.
There is a lot of ways to use this indicator, and I implore you to mess around with it to get acclimated to how it functions to serve you in the best way possible.
NOTE - this indicator is computationally heavy, therefore if its not loading for you please reduce the number of lookback ticks or consider increasing the increment size in order for it to load.
This indicator helps automatically determine support and resistances on any chart across any time frame. You can therefore use this indicator for different purposes, to determine HTF S/R zones, LTF breakouts by combining various lookback periods. I'll try and provide examples below for both.
INPUTS
Let's review the inputs to start
"lookback ticks" - the number of historical ticks that you want to take into account to figure out supports and resistance levels for that period. For example, do you want to figure out the support and resistances for that past 250 chart ticks, 500, 750 etc.
"number of supports & resistances wanted" - This will output more or less resistances based on requested input. The supports and resistances are ordered by strongest to weakest, so 1 is the strongest support/resistance on the chart which is the blue line, 2 is the next strongest, 3 the next, etc.
"resistance color" - Simply the color for resistances you want to use on the chart
"support color" - Simply the color for supports you want to use on the chart
"automatically figure out increment" - if this is set to true the algorithm will automatically try and figure out the price range & price range increment sizes for the lookback period provided to determine zones of supports/resistance. When you can I would suggest putting in the increment yourself. Ill provide an example below as well
increment - the size of the support/resistance zones you want to use. Ideally this would be as small as possible to be most helpful.
Ex 1.
Let's say you want to use this indicator on ETH on the last 750 ticks of data and on that 750 ticks of data the price ranges from $1,200 to $1,400. You can choose to uncheck "automatically figure out increment" and keep increment at 1. It will then figure out the S/R zones based on $1 ticks of data.
Ex 2.
Let's say you want to use this indicator on BTC 1d chart on the last 750 ticks of data but you dont really want to figure out the price range for the past 750 days of data, well you can just check "automatically figure out increment" and leave the "increment" input as is and it will automatically figure out the increment sizes for you and the S/Rs for that automatically generated range.
BEST USING THE INDICATOR
When you are trying to figure out supports and resistances I would start with HTF first. You can use the 1d chart for this which typically works well. Each touch point or "level" provided by the blue line is considered a significant support or resistance. If there are many different levels provided by the blue line around a general area that would be considered a zone of support or resistance. The longer the blue line stayed in a historical level the stronger that level of support or resistance is. Using the blue line, you can extend the blue levels using the line tool on TradingView across the entire chart. You should now have your HTF supports and resistances outlined. You can see in the DOGE chart provided, the long standing blue lines of support (which created a zone) were discovered way before it was ever touched by DOGE and was the bottom for DOGE's movement in the bear market.
Once you have your HTF supports/resistances outlined you can move to LTF, and you can use the indicator on the 15m chart (where I think it works really well). You can figure out if the chart is breaking out if it clears all LTF resistances, and where it may hit its next major resistance from the outlined HTF resistances you already created. On the flip side, if the price has lost all major supports it may be a good opportunity to short.
If the price of the chart has gone way above the blue line on LTF but the blue line hasn't moved up around the current price, theres a good chance the price will come back down as it wasn't a strong enough push. You can use this as a way to wait to enter on moves up.
There is a lot of ways to use this indicator, and I implore you to mess around with it to get acclimated to how it functions to serve you in the best way possible.
NOTE - this indicator is computationally heavy, therefore if its not loading for you please reduce the number of lookback ticks or consider increasing the increment size in order for it to load.
Note di rilascio:
* Made the usage of the blue levels clearer. You no longer have to draw out the supports/resistances using the blue levels they'll automatically be shown to you. The more significant the blue zone the darker color it'll be.
* Blue zones and red/green zones won't appear together anymore. You can choose one or the other. I've called the red/green zones "developing supports and resistances" now.
* Made the offset totals default value 250 as its the most appropriate lookback period.
If you want to use the blue zones + the developing supports and resistances together you simply need to add the indicator twice to the same chart.
Blue zones should be considered the most significant S/R's for the chart being reviewed.
Developing supports and resistances should be considered the most significant S/R's based on the most recent data.
* Blue zones and red/green zones won't appear together anymore. You can choose one or the other. I've called the red/green zones "developing supports and resistances" now.
* Made the offset totals default value 250 as its the most appropriate lookback period.
If you want to use the blue zones + the developing supports and resistances together you simply need to add the indicator twice to the same chart.
Blue zones should be considered the most significant S/R's for the chart being reviewed.
Developing supports and resistances should be considered the most significant S/R's based on the most recent data.