Red to Green / Green to Red Tracker

# Red to Green / Green to Red Tracker - Quick Reference

## Core Concept

```
PRIOR CLOSE = Yesterday's closing price = The "zero line" for today

Above Prior Close = 🟢 GREEN (profitable for yesterday's buyers)
Below Prior Close = 🔴 RED (losing for yesterday's buyers)
```

---

## The Two Key Moves

### 🟢 Red to Green (R2G)
```
OPEN: Below prior close (RED)
↓
CROSS: Price moves above prior close
↓
RESULT: Now GREEN - Bullish signal
```

**Why it matters:**
- Bears who shorted get squeezed
- Creates FOMO buying
- Momentum often continues

---

### 🔴 Green to Red (G2R)
```
OPEN: Above prior close (GREEN)
↓
CROSS: Price moves below prior close
↓
RESULT: Now RED - Bearish signal
```

**Why it matters:**
- Longs who bought get trapped
- Triggers stop losses
- Panic selling follows

---

## Signals Explained

| Signal | Shape | Location | Meaning |
|--------|-------|----------|---------|
| R2G | ▲ Green Triangle | Below bar | Crossed to green |
| G2R | ▼ Red Triangle | Above bar | Crossed to red |

---

## Level Lines

| Line | Color | Style | What It Is |
|------|-------|-------|------------|
| Prior Close | Orange | Solid | KEY R2G/G2R level |
| Prior High | Green | Dashed | Yesterday's high |
| Prior Low | Red | Dashed | Yesterday's low |
| Today Open | White | Dotted | Gap reference |

---

## Info Table Reference

| Field | What It Shows |
|-------|---------------|
| Status | 🟢 GREEN / 🔴 RED / ⚪ FLAT |
| Day Change | % change from prior close |
| Prior Close | The key level price |
| Distance | How far from prior close |
| Opened | Did today open green or red |
| R2G | R2G status + price if triggered |
| G2R | G2R status + price if triggered |
| Rel Vol | Current relative volume |
| Prior High | Yesterday's high + distance |
| Prior Low | Yesterday's low + distance |

---

## Trading R2G (Long Setup)

### Entry Checklist
- [ ] Stock opened RED (below prior close)
- [ ] R2G cross signal triggered (green triangle)
- [ ] Volume confirmation (1.5x+ preferred, 2x+ ideal)
- [ ] Price holding above prior close
- [ ] Overall market not tanking

### Entry Method
1. **Aggressive:** Enter immediately on R2G cross
2. **Conservative:** Wait for pullback to prior close (now support)

### Stop Loss
- Below the R2G cross candle low
- OR below prior close (tighter)

### Target
- Prior day high (first target)
- 2:1 risk-reward minimum

---

## Trading G2R (Short Setup)

### Entry Checklist
- [ ] Stock opened GREEN (above prior close)
- [ ] G2R cross signal triggered (red triangle)
- [ ] Volume confirmation
- [ ] Price staying below prior close
- [ ] Overall market not ripping

### Entry Method
1. **Aggressive:** Enter immediately on G2R cross
2. **Conservative:** Wait for bounce to prior close (now resistance)

### Stop Loss
- Above the G2R cross candle high
- OR above prior close (tighter)

### Target
- Prior day low (first target)
- Gap fill (if gapped up)

---

## Signal Quality

### High Quality R2G ✓
- Opened significantly red (-2% or more)
- Strong volume on cross (2x+)
- First R2G of the day
- Market trending up
- News catalyst present

### Low Quality R2G ✗
- Opened barely red (-0.5%)
- Low volume cross
- Multiple R2G/G2R already today (choppy)
- Fighting market direction
- No clear catalyst

---

## Common Patterns

### Clean R2G (Best)
```
Open red → Steady climb → Cross prior close → Continue higher
```

### Failed R2G (Avoid/Exit)
```
Open red → Cross to green → Immediately fail back to red
```

### Choppy R2G/G2R (Avoid)
```
Multiple crosses back and forth = Indecision, no clear direction
```

---

## First Cross Rule

**The FIRST R2G or G2R of the day is usually the most significant.**

Why?
- Catches traders off guard
- Largest reaction from market
- Sets tone for rest of day

If you miss the first cross, be more selective on subsequent crosses.

---

## Volume Guide

| Rel Volume | Quality | Action |
|------------|---------|--------|
| < 1.0x | Weak | Skip or small size |
| 1.0-1.5x | Average | Standard position |
| 1.5-2.0x | Good | Full position |
| 2.0x+ | Strong | High conviction |

---

## Settings Recommendations

### Default (Balanced)
```
Require Opposite Open: ON
Require Volume: ON (1.5x)
Candle Close Confirm: OFF
Min Cross %: 0
```

### Conservative (Fewer, Better Signals)
```
Require Opposite Open: ON
Require Volume: ON (2.0x)
Candle Close Confirm: ON
Min Cross %: 0.5
```

### Aggressive (More Signals)
```
Require Opposite Open: OFF
Require Volume: OFF
Candle Close Confirm: OFF
Min Cross %: 0
```

---

## Alert Setup

### Essential Alerts
1. **First R2G of Day** - Highest value alert
2. **R2G with Strong Volume** - High conviction

### How to Set
1. Right-click chart → Add Alert
2. Condition: R2G/G2R Tracker
3. Select alert type
4. Set notification method

---

## Combining with Other Indicators

| Indicator | How to Use |
|-----------|------------|
| **Gap & Go** | R2G on gap-down stock = strong reversal |
| **Bull Flag** | Look for bull flag after R2G confirmation |
| **Float Rotation** | R2G + high rotation = explosive potential |
| **VWAP** | R2G above VWAP = strongest setup |

---

## Common Mistakes

❌ **Chasing late R2G**
- If price is already 3-5% green, you missed the move
- Wait for pullback or next setup

❌ **Ignoring volume**
- Low volume R2G often fails
- Always check relative volume

❌ **Fighting the market**
- R2G in a tanking market often fails
- G2R in a ripping market often fails

❌ **No stop loss**
- Failed R2G can reverse hard
- Always have a defined stop

❌ **Overtrading choppy stocks**
- Multiple R2G/G2R = no clear direction
- Skip stocks that keep crossing back and forth

---

## Quick Decision Framework

```
1. Did it open opposite color? (Red for R2G, Green for G2R)
- NO → Lower probability, be cautious
- YES → Continue

2. Is volume confirming? (1.5x+ relative volume)
- NO → Skip or small size
- YES → Continue

3. Is this the first cross of the day?
- YES → Higher probability
- NO → Be more selective

4. Is market direction supportive?
- NO → Skip
- YES → Take the trade

5. Can you define risk? (Clear stop level)
- NO → Skip
- YES → Execute
```

---

## Key Takeaways

1. **Prior close is THE key level** - everyone watches it
2. **First cross matters most** - sets daily tone
3. **Volume confirms** - low volume crosses often fail
4. **Failed crosses reverse hard** - always use stops
5. **Don't overtrade choppy action** - multiple crosses = stay out

---

Happy Trading! 🟢🔴