TradeChartist Volatility Trader ™TradeChartist Volatility Trader is a Price Volatility based Trend indicator that uses simple to visualize Volatility steps and a Volatility Ribbon to trade volatility breakouts and price action based on lookback length.
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Features of ™TradeChartist Volatility Trader
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The Volatility steps consists of an Upper band, a Lower band and a Mean price line that are used for detecting the breakouts and also used in plotting the Volatility Ribbon based on the price action. The Mean Line is colour coded based on Bull/Bear Volatility and exhaustion based on Price action trend.
In addition to the system of Volatility Steps and Volatility Ribbon, ™TradeChartist Volatility Trader also plots Bull and Bear zones based on high probability volatility breakouts and divides the chart into Bull and Bear trade zones.
Use of External Filter is also possible by connecting an Oscillatory (like RSI, MACD, Stoch or any Oscillator) or a non-Oscillatory (Moving Average, Supertrend, any price scale based plots) Signal to confirm the Bull and Bear Trade zones. When the indicator detects the Volatility breakouts, it also checks if the connected external signal agrees with the trend before generating the Bull/Bear entries and plotting the trade zones.
Alerts can be created for Long and Short entries using Once per bar close .
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Note:
Higher the lookback length, higher the Risk/Reward from the trade zones.
This indicator does not repaint , but on the alert creation, a potential repaint warning would appear as the script uses security function. Users need not worry as this is normal on scripts that employs security functions. For trust and confidence using the indicator, users can do bar replay to check the plots/trade entries time stamps to make sure the plots and entries stay in the same place.
™TradeChartist Volatility Trader can be connected to ™TradeChartist Plug and Trade to generate Trade Entries, Targets etc by connecting Volatility Trader's Trend Identifier as Oscillatory Signal to Plug and Trade.
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Best Practice: Test with different settings first using Paper Trades before trading with real money
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This is not a free to use indicator. Get in touch with me (PM me directly if you would like trial access to test the indicator)
Premium Scripts - Trial access and Information
Trial access offered on all Premium scripts.
PM me directly to request trial access to the scripts or for more information.
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Volatilità storica
Candle Height in Percentage - ColumnsThis indicator calculates the difference in percentage between lows and highs of a candle. The orange bars show the height of the candle body (open/close) and the red/green on top show the percentage of the wicks (high/low). This assists in understanding the volatility of an asset. Showing this in percentages is more helpful in crypto. It also shows the Simple Moving Average of this data with the blue line.
Average Low/High Percentage DifferenceThis indicator calculates the Simple Moving Average of the difference in percentage between lows and highs of a candle. This assists in understanding the volatility of an asset. Showing this in percentages is more helpful in crypto.
Predictive Period Risk RangeThis script produces a band range that uses a stochastic volatility process to come up with maximum and minimum price ranges over the specified period (using the length variable).
The sample used to predict volatility can be modified using the VolLength parameter, and the extremes can be modified using the VolInflator parameter.
For example, a VolLength of 30 uses the prior thirty days to predict volatility , but that volatility prediction is then adjusted to the period of Length and still only applied to that range
Please PM me for a free trial and for pricing
ADR% - Average Daily Range % by MikeC (AKA TheScrutiniser)This applies a 'corrected' formula to the version created by alpine_trader (which is slightly off). It calculates the Average Daily Range (in percent) over the previous 20 periods and plots it in a chart.
I am grateful to GlinckEastwoot for the 'corrected' formula.
Volatility Price TargetsPrints lines on the chart marking the price points for the standard deviation move using historical volatility. This script was born out of a need to easily spot target points for the wings of my Iron Condor Options trades. The study only shows on the Daily chart. Volatility is calculated based on the standard deviation of the daily returns of price. Price targets are calculated off yesterday's closing price and will not reprint.
Inputs
Days to Expiration - allow you to enter the number of days to expiration for the option, default is 30 for those monthly options traders but can be adjusted to your desire.
Standard Deviation - you can enter the number of deviations for which to calculate the price points 1,2, or 3.
Days in Year - you can adjust the number of days in the year used to calculate the daily volatility multiplier.
OnTheMoveWith this plot one is able to compare the different % change in the given time frame. It calculates the sma of a given period (defval = 7) for the close/open.
Strategy would be to choose (trade) from one to other asset in order to get higher rates when pumping or lower when dumping.
The Symbol & exchange has to be specified.
defSymbols = BTC, ETH and LINK
defExchange = BINANCE
GBTC Fomo Panic PremiumIt is rumored that GBTC price action leads the Bitcoin market. This indicator compares GBTC fomo/panic levels to the (Binance) BTC spot market. Fomo is measured as large percentage moves of the high price from the min over a look-back period. Panic is measured as large percentage moves of the low price from the max over a look-back period. A prime example of this indicator's usage would be as a sell signal confirmation during the 2020 pre-Thanksgiving panic exhibited on the 1-hour chart while the 20 EMA was still above the 99 SMA.
You can customize the leading and lagging markets and the length of the lookback period. I would love to hear what parameters, markets and timeframes work for you. Maybe there is a way to leave comments, or hit me up on Twitter: @thirdreplicator
May you profit and enjoy.
Volatility Prism [Nic]What is this
The volatility rainbow tracks divergences in a security and its volatility index. This can be used to identify periods of heightened implied (future) risk.
About Volatility
The volatility is calculated by looking at put / call ratios. When VIX goes up it means that puts are outpacing calls. This is a bearish signal.
About Correlation
When the security goes up while the VIX goes up, the divergence on the plot will increase and turn a color. This should be a warning.
Volatility Rainbow
This is a similar indicator, but this one merges all signals into a single line.
IV/HV Ratio's [Nic]IV is implied volatility
HV is historic realized volatility
Seneca teaches that we often suffer more in our minds than in reality, and the same is true with the stock market. This indicator can help identify when people are over paying for implied volatility relative to real volatility . This means that short sellers are over paying for puts and can be squeezed into covering their positions, resulting in a massive rally.
The indicator can track this spread over many time frames, when the short time frame is much higher than the lower time frames, consider it a signal-of-interest.
Divergence Indicator [Nic]This divergence indicator can track the correlation between one or more symbols. I use it to track the divergences between the VIX volatility index, gold, bonds, as well as other market leading indicators.
When using with Vix, lower coefficients can lead to false signals. When in a high vix bear market signals, there is more noise and more false (or missing) signals can occur. Please use with other technical tools.
True Range in %I like to look at volatility in percentage and not in numbers. This is exactly what this script provides. It calculates the true range of a candle in percentage to the current price (for finished candles it uses it's close price).
The script also allows you to compare open and close prices.
2HLA very simple, almost naive strategy, in which you buy on the lowest of the two previous candles and sell at the highest of the two previous candles. You can configure these highest and lowest lenght, in some assets two is too small of a number to make profit. You can also configure to exit the position after X, and I found that 7 (which is a week of working days) is a good number for that.
This is strategy is intended to be used as a swing trade. Your capital needs to be high enough so that it can pay the operaitonal costs, and reach it's target with a reasonable profit.
Since this is a volatility based strategy, assets that are more liquid won't work properly.
Pisani BandsThis indicator is based on Historical Volatility.
It's plot the simple moving average with a upper and a lower band.
The bands are calculated like this:
UpperBand = 20 Simple moving average + 20% * Historical volatility
LowerBand = 20 Simple moving average - 20% * Historical volatility
But, you can change the paramters. I use the 200SMA with 100% of Historical Volatility either.
How to use:
If the price are negociating out of the bands, it's dangerous to trade this stock.
Hope you like it.
© Investoz Volume/ATR/DailyRange/OHLC/Probability/VolatilityThe relationship between returns, volatility and trading volume has interested financial economists and analysts for a long time.
Is there any dynamic relationship between trading volume, returns and volatility in the financial markets?
In recent financial studies, the linkage between return, volatility and trading volume is a central issue as it provides insights into the microstructure of financial markets. The price-volume relationship is seen as it is related to the role of information in price formation. Trading volume is defined as the number of shares traded each day and is an important indicator in technical analysis as it is used to measure the worth of stock price movement
either up or down.
Investors' motive to trade is solely dependent on their trading activity; it may be to speculate on market information or portfolios diversification for risk sharing, or else the need for liquidity. These different motives to trade are a result of processing different available information. In consequence, trading volume may originate from any of the investors who may have different information sets. As various studies reported, the information flow into the market is linked to the trading volume and volatility. Thus, since the stock price changes when new information arrives, there exists a relation between prices, volatility and trading volumes.
Significant efforts have been made, empirically and theoretically, on the phenomenon of stock price and volume relationship. Although the majority of those findings have confirmed the existence of positive contemporaneous relationship between trading volume and returns, the study of different stock markets have given mixed results about the causal return-volume relationship.
So, if you think that price and volume is important, maybe this indicator full of information around this topic may help you or make it easier in many ways.
Let me briefly guide you through.
To the right you have all the information within a label directly on the chart. Inside the label you will see following information:
-Number of bars
-Volume
-Average true range
-Daily range
-OHLC
-Probability for tomorrow´s daily range
-Warning of increased volatility
In the chart, you will also see where the expected daily range is likely to be within, with high and low levels.
Finally, I like to say this:
I have put a lot of work into this script and let me know if you use the indicator and what you think of it. Also if it is of some help or maybe you who use it, have found something wrong that needs to be reviewed and changed or information that would be important to add?
Enjoy!
Long/Short Margin Ratio for cryptocurrenciesBTCUSDSHORTS and BTCUSDLONGS are like datasets provided by Bitfinex exchange. They record the number of margined for longs and shorts and they are measured in BTC (in case using BTCUSD ).
Margin is Like any loan, the borrower may pay interest while the loan is outstanding, and must eventually pay the loan back.
Red Area: More short margin than long margin.
Green Area: More long margin than short margin.
Note: Can only be used with cryptocurrencies that have such dataset within Bitfinex exchange like BTCUSD , ETHUSD , XRPUSD and a few more.
3 Leg Short Strangle BandsDraws 3 leg bands along with safe zone(green lines) based on input
1) Input ATR, Week Day, Current Market Close
2) Input ATR - Previous day 1H Max ATR
3) ADX < 25
4) Input Current Market Close
5) Trading Day - Mon/Tue/Wed/Thu/Fri - Bands distance calculated based on day M/Tu/F 2*(Max ATR), W/Th 1.5(ATR)
6) Safe zone green lines - CMPCls +/- (1.5 * Max ATR)
7) Leg 1 Upper Lower Legs - M/Tu/F - CMPCls +/-(2 * Max ATR), W/Th - CMPCls +/-(1.5 * ATR)
8) Leg 2 & 3 Calculates based on Leg 2 = Leg 1 +/- 100 pts distance, Leg 3 = Leg 2 +/- 100 pts distance'
9) All figures rounded to nearest 100's
10) Safe zone broken exit all positions
This is a popular technic used by Profitable traders on sideway markets for Intraday
One can keep 3K as SL per 1 set of 3 legs for better R:R
NIFTY VIX Bands1) The script takes current INDIA VIX as input Daily time frame for NIFTY
2) Used a Formula VIX Value / Square root of Time Period
3) Change Timeframe input accordingly 1 Year = 1, Monthly = 12, Weekly = 52, Daily = 365
4) based point 2 formula with 1 standard deviation it creates upper & lower range bands
5) This is generally used for option selling by big traders they go and sell above the band strikes
Standard Deviation Volatility HelperHere is a simple Standard Deviation Line based on supply and demand that will help you to find expected move easily. 3 Standart Deviation merged line available. Number of days and adjustable length.
Geometric Brownian Motion BandIf you are an option trader, who are constantly searching opportunities to set up inverse iron condor position or other strategies, you must be familiar in estimating the range induced by Geometric Brownian Motion (GBM), or Lognormal distribution someone may call.
The theory behind is adopted in the Black Scholes Option Pricing model, this assumes the asset price follows the GBM, shown below, and estimates the range where the price will fall into on the specific date and probability.
dS = a dt + v dW
Assuming the drift term is zero, this GBM Band applies the same model and helps you to quickly assess the suitable range to set up your option strategies with simple setting:
Length – number of bars covered
Vol Multiple - the z-score of the probability
Default values of the Length and Vol Multiple are set to 20 bars and 2.0 z-score respectively.
You can find an example how the GMB Band work.
You can also applies this GMB Band like how Bollinger's Band does for swing trade or breakaway trade.
If you find this indicator is useful to you, Star it, Follow, Donate, Like and Share.
Your support is a highly motivation for me.
Historical Volatility Percentile: Price and VolumeThis is an expansion of the Historical Volatility scripts to include both price and volume volatility.
As Tradingview states :
Historical Volatility is a measure of how much price (and now volume ) deviates from its average in a specific time period that can be set. The more price (or/and volume ) fluctuates, the higher the indicator value. Please note it does not measure the direction of price (and volume ) changes, just how volatile price/ volume has become. There are several reasons to care about volatility but it's mainly a risk measure. As volatility increases, so does risk and uncertainty and vice versa. Traders can use the indicator to flag instruments with high volatility which could point to a trend change. It is often used in combination with other signals.
Example options
Example formats
Link back to some other great ideas:
@Cheatcountry with his prolific sharing , what a great inspiration.
@Picte and his inspired idea .
@Balipour and his great script
Comparing this to other significant HVP indicators
Dexie Indicator v1.0The Dexie Indicator is a Forex indicator system built for the 5 min chart. It is suitable for Forex traders and Nadex users and provides BUY/SELL signals with alerts and comes with a series of 8 custom built Moving Averages designed to reduce the need for chart drawing.
This indicator can be used by beginners out of the box and requires very little trading experience to be successful.
The more advanced trader can work with this tool to greatly increase their success rate and make for a much more enjoyable trading experience.
Please contact for more details.
Dexie Indicator with BUY/SELL signals displayed only:
Dexie Indicator with BUY/SELL signals, Bollinger Bands and custom Moving Averages:
Dexie Indicator with all custom Moving Averages displayed:
Dexie Indicator slower Moving average bull cross example:
Dexie Indicator slower Moving average bear cross example:
