[blackcat] L2 Ehlers High Pass Filter (2 pole)

31 mar 2022

Level:2

Background

The second-order high-pass filter (2 pole) is a classic JF Ehlers specification.

Function

I have found many places where the algorithms are not uniform and some are even wrong. So, I did some research and wrote a high pass filter that I think is correctly defined. This indicator is often used as one of the basic elements of other trading systems.

When you are using it, you need to enter the HPPeriod setting period.

Remarks

Free but Open Source

19 apr

Note di rilascio

OVERVIEW
The [blackcat] L2 Ehlers High Pass Filter (2 Pole) indicator applies John F. Ehlers' High Pass Filter technique to help traders identify trends and potential entry/exit points. This filter smoothes out noise while preserving trend information, allowing users to make more informed trading decisions. The indicator plots the filtered values on a separate pane and provides visual labels and alerts for buy/sell signals 📈💡.

FEATURES

Implements Ehlers High Pass Filter (2 pole) algorithm for trend identification 📊
User-customizable period for the high pass filter ⚙️
Plots the filtered values on a separate pane with dynamic coloring:
Yellow for upward movements
Fuchsia for downward movements
Provides clear buy ('BUY') and sell ('SELL') labels directly on the plot 🏷️
Generates alerts for buy and sell signals to keep users informed 🔔
HOW TO USE

Add the indicator to your TradingView chart by selecting it from the indicators list.
Adjust the "High Pass Period" setting according to your preference and timeframe.
Monitor the plotted line for changes in direction and observe the buy/sell labels.
Set up alerts based on the generated signals to receive notifications when conditions are met 📲.
Use the indicator alongside other tools for confirmation before executing trades.
LIMITATIONS

The indicator may generate false signals during choppy or ranging markets 🌪️.
Users should always combine this tool with other forms of analysis for better accuracy.
Optimal settings may vary depending on the asset and timeframe being traded.
NOTES

Ensure that you have sufficient historical data available for accurate filtering.
Test the indicator thoroughly on demo accounts before applying it to live trading 🔍.
Experiment with different periods to find what works best for your specific needs.