RSI & MACD + D/S Zones

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Overview
This strategy is a hybrid trading system that combines Institutional Supply & Demand concepts with a strict Momentum Validation Engine.

Supply & Demand indicators trigger signals the moment price touches a zone, often leading to "catching a falling knife." This script solves that problem by decoupling the "Zone Hit" from the "Trade Entry." It identifies key market structures first but only triggers a trade when momentum (MACD + RSI) explicitly confirms a reversal in the direction of the dominant trend.

How It Works

1. The Map: Supply & Demand Zones
The script automatically identifies zones based on the "Boring Candle + Explosive Move" pattern.

Creation: A zone is formed when a low-volatility "Boring Candle" (base) is followed by a high-volatility "Explosive Candle" (breakout).
Consumption: Zones are dynamic. If price wicks into a zone, the zone "shrinks" to reflect consumed orders. If price breaks through completely, the zone is removed.
Visuals:
Demand Zones: Faint Green (20% Opacity).
Supply Zones: Faint Red (20% Opacity).
"HIT" Labels: clearly identify when price tests a zone (Green for Demand, Orange for Supply).

2. The Filter: Trend & Safety
200 EMA (Red Line): Acts as the hard trend filter.
Longs are only taken above the Red Line.
Shorts are only taken below the Red Line.

RSI "Safe Zone" (35–65): The script filters out trades where RSI is overbought (>65) or oversold (<35), ensuring entries have room to run.

3. The Trigger: 2-Bar Momentum Confirmation
A trade is NOT taken just because a zone is hit. The script waits for a confirmed momentum shift:

MACD Logic: It requires two consecutive bars of expanding histogram momentum (e.g., for a Long, the histogram must be Green and rising for 2 bars).
Signal Decoupling: The "Buy" or "Sell" signal may appear 1-3 bars after the zone hit, ensuring the bounce is real.

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Visual Guide

* 🔵 Buy Label (Sky Blue): A confirmed Long entry (Trend Up + RSI Safe + Momentum Rising).
* 🟣 Sell Label (Hot Pink): A confirmed Short entry (Trend Down + RSI Safe + momentum falling).
* 🔴 Red Line: The 200 EMA Trend Filter.
* 🟢 Green "Hit Demand": Price has touched a valid Demand Zone.
* 🟠 Orange "Hit Supply": Price has touched a valid Supply Zone.

Settings & Inputs
Zone Settings: Adjust `Boring Candle %` to filter which bases are detected.
Strategy Settings:
`EMA Trend Filter`: Defaults to 200.
`RSI Min/Max`: Defaults to 35/65 to avoid extremes.

Risk Disclaimer
This script is a technical analysis tool. Past performance does not guarantee future results. Always use proper risk management and stop losses when trading real capital.

l’altro ieri

Note di rilascio

Overview
This strategy is a hybrid trading system that combines Institutional Supply & Demand concepts with a strict Momentum Validation Engine.

Supply & Demand indicators trigger signals the moment price touches a zone, often leading to "catching a falling knife." This script solves that problem by decoupling the "Zone Hit" from the "Trade Entry." It identifies key market structures first but only triggers a trade when momentum (MACD + RSI) explicitly confirms a reversal in the direction of the dominant trend.

How It Works

1. The Map: Supply & Demand Zones
The script automatically identifies zones based on the "Boring Candle + Explosive Move" pattern.

Creation: A zone is formed when a low-volatility "Boring Candle" (base) is followed by a high-volatility "Explosive Candle" (breakout).
Consumption: Zones are dynamic. If price wicks into a zone, the zone "shrinks" to reflect consumed orders. If price breaks through completely, the zone is removed.
Visuals:
Demand Zones: Faint Green (20% Opacity).
Supply Zones: Faint Red (20% Opacity).
"HIT" Labels: clearly identify when price tests a zone (Green for Demand, Orange for Supply).

2. The Filter: Trend & Safety
200 EMA (Red Line): Acts as the hard trend filter.
Longs are only taken above the Red Line.
Shorts are only taken below the Red Line.

RSI "Safe Zone" (35–65): The script filters out trades where RSI is overbought (>65) or oversold (<35), ensuring entries have room to run.

3. The Trigger: 2-Bar Momentum Confirmation
A trade is NOT taken just because a zone is hit. The script waits for a confirmed momentum shift:

MACD Logic: It requires two consecutive bars of expanding histogram momentum (e.g., for a Long, the histogram must be Green and rising for 2 bars).
Signal Decoupling: The "Buy" or "Sell" signal may appear 1-3 bars after the zone hit, ensuring the bounce is real.

---
Visual Guide

* 🔵 Buy Label (Sky Blue): A confirmed Long entry (Trend Up + RSI Safe + Momentum Rising).
* 🟣 Sell Label (Hot Pink): A confirmed Short entry (Trend Down + RSI Safe + momentum falling).
* 🔴 Red Line: The 200 EMA Trend Filter.
* 🟢 Green "Hit Demand": Price has touched a valid Demand Zone.
* 🟠 Orange "Hit Supply": Price has touched a valid Supply Zone.

Settings & Inputs
Zone Settings: Adjust `Boring Candle %` to filter which bases are detected.
Strategy Settings:
`EMA Trend Filter`: Defaults to 200.
`RSI Min/Max`: Defaults to 35/65 to avoid extremes.

Risk Disclaimer
This script is a technical analysis tool. Past performance does not guarantee future results. Always use proper risk management and stop losses when trading real capital.