Pineify Signals and Overlays

Indicator Theoretical Basis

Pineify Signals and Overlays is an invite-only trend-following and reversal-detection toolkit that fuses four well-known concepts—Dow-Theory trend phases, a multi-pair EMA cloud, QQE momentum, and ATR-based risk management—into a single, weight-balanced engine. An optional multi-time-frame (MTF) filter aligns lower-time-frame signals with higher-time-frame structure, helping traders avoid counter-trend setups. All components can be toggled from the settings panel, and a beginner “One-Click” preset loads a conservative profile out of the box.

Why it’s a single script: The algorithm scores every bar on three orthogonal axes—trend, momentum, and volatility—then issues context-aware arrows and coloured clouds only when the axes agree within user-defined tolerances. This inter-locking logic cannot be reproduced by simply stacking independent indicators on a chart, hence the need for an integrated implementation.

Trend Confirmation

Trend Confirmation: This indicator presents two types of market trends: the primary trend and the secondary trend. The primary trend is the long - term direction of the market and can last for days or months; the secondary trend is the adjustment phase within the primary trend.

This indicator uses the EMA (Exponential Moving Average) and visualizes the trend phases through color filling. The judgment of the trend is that blue plus green indicates a bullish trend, and yellow plus red indicates a bearish trend.

The primary trend of this indicator is visualized by two sets of moving averages through color filling. These two sets of moving averages are used to describe the short - term and long - term trends in the market.

The short - period moving averages and the long - period moving averages each consist of 4 moving averages, with a total of 8 moving averages, representing the short - term fluctuations and trends of the market.

Trend Persistence: Once the primary trend is formed, it will persist for a period of time. This indicator judges based on the Dow Theory. Short - term market fluctuations do not necessarily reflect changes in the primary trend. Therefore, the judgment direction of the primary trend is visualized through color.



The Signals of Buying, Selling and Closing

In the primary trend, we can see signals of trend reversal. This indicator incorporates the "Consecutive Candles". The indicator mainly identifies the overbought or oversold state of the market through a series of consecutive conditions, so as to predict the reversal point. The core of this indicator is to identify a series of consecutive price movements in the market trend and determine whether the market is about to reverse based on this sequence. We visualize the turning points through buy and sell signals.

The trend confirmation system utilizes four pairs of Exponential Moving Averages (EMAs) creating dynamic cloud formations that visualize market direction. Short-period EMAs (5, 8, 20, 34) interact with longer-period EMAs (9, 13, 21, 50) to generate color-coded trend clouds [1]. Blue and green clouds indicate bullish conditions, while yellow and red clouds signal bearish trends, providing immediate visual trend identification.



The presentation of buying and selling points, namely "Quantitative Qualitative Estimation", is a technical indicator that combines the concepts of the Relative Strength Index (RSI) and moving averages. It is used to evaluate market trends, overbought and oversold conditions, as well as potential trend reversal points. The oscillator has a relatively long smoothing period, making the indicator relatively stable, thus enabling the visualization of buy + and sell + signals for trading.

ATR Stop - Loss Line
ATR (Average True Range) is an indicator for measuring market volatility. By using the ATR value to set the stop - loss distance, the stop - loss level can be automatically adjusted according to market volatility, making the stop - loss more flexible.



Core principle

Trend-Cloud Engine

EMA Pairs (5, 8, 20, 34 vs 9, 13, 21, 50)—Two four-EMA sets form “fast” and “slow” envelopes. When the volume-weighted mean of the fast set sits above the slow set and both slopes are positive, the bar is tagged primary bullish; the inverse tags primary bearish. Cloud colours (blue/green vs yellow/red) mirror Dow Theory’s primary/secondary trend hierarchy.

Momentum & Exhaustion Layer

QQE Oscillator (RSI 14, factor 4.238) detects momentum extremes and smooths noise more than a raw RSI, making it better suited for multi-time-frame use.

Consecutive-Candle Counter (default 8) highlights potential exhaustion after extended unidirectional moves; reversal symbols appear only if QQE divergence also exists.

Volatility-Adjusted Risk Line

ATR Trailing Stop (ATR 21, dynamic multiplier) expands in high volatility and tightens in low volatility, offering an adaptive exit reference rather than a fixed-tick stop.

Multi-Time-Frame Confirmation

The script automatically chooses a higher aggregation (e.g., 4 × the chart timeframe) and requires primary-trend agreement before issuing “Long ▲+” or “Short ▼+” confirmations. This guards against false signals during counter-trend rebounds.


Recommended parameters

• RSI Length: 14 (QQE calculation base)
  
• QQE Factor: 4.238 (Fibonacci-based multiplier)
  
• ATR Period: 21 (volatility measurement)
  
• EMA Lengths: Configurable short (5,8,20,34) and long (9,13,21,50) periods
  
• Consecutive Candles: Selectable count (8)
  
• Multi-timeframe Filter: Filter is enabled by default, resulting in more accurate signals.
  

Filters

The multi-timeframe filter enhances signal reliability by confirming trends across higher timeframes. This prevents counter-trend trades by ensuring alignment between current chart timeframe and broader market direction. The filter automatically calculates appropriate higher timeframes for trend confirmation.

Signals & Alerts

The indicator system exports multiple alert signals, and you can easily alert for any signal.

• Up Trend: Primary long signal appears
  
• Long - ▲: Buy signal appears
  
• Long - ▲+: Confirmation buy signal appears
  
• Long - ●: Primary reversal signal appears
  
• Long - ☓: Secondary reversal signal appears
  
• Down Trend: Primary short signal appears
  
• Short - ▼: Sell signal appears
  
• Short - ▼+: Confirmation sell signal appears
  
• Short - ●: Primary reversal signal appears
  
• Short - ☓: Secondary reversal signal appears
  

Originality & Value for Traders

• Integrated scoring logic ensures signals fire only when trend, momentum, and volatility metrics corroborate, reducing “indicator conflict”.
  
• Auto-computed MTF pairs mean no manual timeframe juggling.
  
• Weight-balanced QQE/EMA blend creates smoother trend clouds than standard MA crosses, yet remains more responsive than Keltner or Donchian approaches.
  
• One-click beginner profile plus full parameter access supports both novice and advanced users.
  

Risk Disclaimer

Use with Caution: This indicator is provided for educational and informational purposes only and should not be considered as financial advice. Users should exercise caution and perform their own analysis before making trading decisions based on the indicator's signals.

Not Financial Advice: The information provided by this indicator does not constitute financial advice, and the creator (Pineify) shall not be held responsible for any trading losses incurred as a result of using this indicator.

Backtesting Recommended: Traders are encouraged to backtest the indicator thoroughly on historical data before using it in live trading to assess its performance and suitability for their trading strategies.

Risk Management: Trading involves inherent risks, and users should implement proper risk management strategies, including but not limited to stop-loss orders and position sizing, to mitigate potential losses.

No Guarantees: The accuracy and reliability of the indicator's signals cannot be guaranteed, as they are based on historical price data and past performance may not be indicative of future results.