TTP Breaking PointThis signal uses information from BITFINEX:BTCUSDLONGS and BITFINEX:BTCUSDSHORTS to forecast tops and bottoms.
The idea behind is very simple.
We calculate the RSI of the ratio of longs vs shorts and find areas where both the SMA of this RSI and the RSI itself are overextended.
You might notice that the win rate is not high but most of the wins provide a decent move that, if combined with proper risk management, can be used to build profitable strategies.
The signal offers a backtesting stream: 1 for buy and 2 for sell.
Shortly I'll be adding new features including: alerts, support for other symbols, filters, etc.
Oscillatori
AlphaTrend - ScreenerScreener version of AlphaTrend indicator:
BUY / LONG when AlphaTrend line crosses above its 2 bars offsetted line, and there would be a green filling between them
SELL / SHORT when AlphaTrend line crosses below its 2 bars offsetted line, and filling would be red then.
Default values:
Coefficient: 1, which is the factor of the trailing ATR value
Common Period: 14, which is the length of ATR MFI and RSI
AlphaTrend default uses MFI in the calculation, and MFI (Money Flow Index) needs the volume data of the chart.
If your chart doesn't have the volume data, please select the "Change Calculation" option to use RSI instead of MFI.
Screener Panel:
You can explore 20 different and user-defined tickers, which can be changed from the SETTINGS (shares, crypto, commodities...) on this screener version.
The screener panel shows up right after the bars on the right side of the chart.
Tickers seen in green are the ones that are in an uptrend, according to AlphaTrend.
The ones that appear in red are those in the SELL signal, in a downtrend.
The numbers in front of each Ticker indicate how many bars passed after the last BUY or SELL signal of AlphaTrend.
For example, according to the indicator, when BTCUSDT appears in (3) and in GREEN, Bitcoin switched to BUY signal 3 bars ago.
MACD-AS MTF [JoseMetal]============
ENGLISH
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- Description:
This script is a modification of the Moving Average Convergence Divergence (MACD) of Thomas Aspray, and called as MACD-AS and you may get earlier signals than MACD.
On this (my version) you have several extra elements and customization.
Foremost (of course) you have the MACD-AS, which is the HISTOGRAM, also, it has a SIGNAL line (which smooths the MACD-AS), and finally, a higher timeframe oscillator based on one of the previous values (custom).
- Visuals, features, customization:
You can show/hide any of the components with a checkbox (MACD-AS, Signal and HTF Oscillator).
The timeframe for the higher timeframe oscillator is customizable, but by default is automatic and multiplies the chart timeframe by 3: 5m > 15m, 15m > 45m etc.
So we have the MACD-AS as a histogram, with 2 optional color schemes and custom transparency, it works similar to the original MACD, oscillating around the 0 level. Green colors (bull) if above 0, red (bear) below 0.
Smoothed MACD-AS makes the Signal line, going up (bull) shows green color, down (bear) red, changes from one to another also prints a colored dot. There's another feature which darkens the color when the momentum is losing strength, a strength filter input is available for that purpose but the default 0.5 works well.
The higher timeframe oscillator (it's called "oscillator" because you can pick if you want to show the MACD-AS or Signal line of the higher timeframe), is always shown as a line, colors work similar to the Signal line, but BLUE for bull and PINK for bear.
Finally, the background color just changes from green (bull) to red (bear) and vice versa if the Signal line is above or below the 0 line to show bull/bear trend too, this is slower than other indicator signals as well.
- Usage and recommendations:
You can use this script as default MACD, the difference is that you'll use the DOTs of the Signal line (when changing green to red and vice versa) as crossovers on the classic MACD.
You can also use the higher timeframe oscillator as a trend filter to not to trade against it, ex: if the HTF is bull, don't try to SHORT.
My favorite usage is to find DIVERGENCES with the MACD-AS (histogram) with the HTF MACD-AS histogram as well, having 2 confirmations, ex: 5m divergence + 15m divergence.
As always, suggestions are welcome.
Enjoy!
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ESPAÑOL
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- Descripción:
Este script es una modificación del Moving Average Convergence Divergence (MACD) de Thomas Aspray, y llamado como MACD-AS, se pueden obtener señales más tempranas que con el MACD.
En ésta (mi versión) tiene varios elementos adicionales y personalización.
En primer lugar (por supuesto) tienes el MACD-AS, que es el HISTOGRAMA, también, tiene una línea de SEÑAL (que suaviza el MACD-AS), y por último, un oscilador de marco de tiempo superior basado en uno de los valores anteriores (personalizado).
- Visuales, características, personalización:
Puedes mostrar/ocultar cualquiera de los componentes con un checkbox (MACD-AS, Señal y Oscilador HTF).
La temporalidad para el oscilador HTF es personalizable, pero por defecto es automático y multiplica la temporalidad del gráfico por 3: 5m > 15m, 15m > 45m etc.
El MACD-AS (histograma), con 2 esquemas de color opcionales y transparencia personalizada, funciona de forma similar al MACD original, oscilando alrededor del nivel 0. Colores verdes (alcista) si está por encima de 0, rojo (bajista) por debajo de 0.
El suavizado del MACD-AS hace la línea de señal, subiendo (alcista) muestra color verde, bajando (bajista) rojo, cambios de uno a otro también imprime un punto de color. Hay otra característica que oscurece el color cuando el impulso está perdiendo fuerza, una entrada de filtro de fuerza está disponible para ese propósito, pero el valor predeterminado 0,5 funciona bien.
El oscilador de temporalidad superior (se llama "oscilador" porque puedes elegir si quieres mostrar el MACD-AS o la línea de señal), siempre se muestra como una línea, los colores funcionan de forma similar a la línea de señal, pero AZUL para alcista y ROSA para bajista.
Por último, el color de fondo sólo cambia de verde (alcista) a rojo (bajista) y viceversa si la línea de señal está por encima o por debajo de la línea 0 para mostrar la tendencia alcista / bajista también, eso si, resulta más lento que otros avisos del indicador.
- Uso y recomendaciones:
Puedes usar este script como el MACD clásico, la diferencia es que usarán los PUNTOS de la línea de Señal (cuando cambie de verde a rojo y viceversa) como cruces en el MACD clásico.
También puedes usar el oscilador de mayor temporalidad como filtro de tendencia para no operar en contra de ella, ej: si el HTF es alcista, no intentes SHORTs.
Mi uso favorito es encontrar DIVERGENCIAS con el MACD-AS (histograma) y el HTF MACD-AS, teniendo 2 confirmaciones, ej: 5m divergencia + 15m divergencia.
Como siempre, las sugerencias son bienvenidas.
¡Que lo disfrutéis!
Fierytrading: Volatility DepthDear Tradingview community,
I'd like to share one of my staple indicators with you. The volatility depth indicator calculates the volatility over a 7-day period and plots it on your chart.
This indicator only works for the DAILY chart on BTC/USD.
Colors
I've color coded the indicator as follows:
- Red: Extreme Volatility
- Orange: High Volatility
- Yellow: Normal Volatility
- Green: Low Volatility
Red: extreme changes in price. Often during local tops and bottoms.
Orange: higher than average moves in price. Often before or after a "red" period. Often seen in the middle of bear or bull markets.
Yellow: normal price action. Often seen during early stage bull-markets and late stage bear-markets.
Green: very low price movement. Often during times of indecision. Once this indicator becomes green, you can expect a big move in either direction. Low volatility is always followed by high volatility.
In a long-term uptrend, a green period often signals a bullish break out. In a long-term downtrend it often signals a bearish break out.
How to use
Save the indicator and apply it to your chart. You can change the length in the settings, but it's optimized for 7 days, so no need to change it.
I've build in alerts for all 4 different volatility periods. In most cases, the low volatility alert is enough.
Good luck!
Multi-indicator by TonyMontanovThe indicator was made at the request of the subscriber of the "The trader sometimes answers"
The indicator displays:
1. Anomalous spikes in volume (i.e. the value of the volume is greater than the moving average of the volume plus a few standard deviations
2. Crossing moving averages
3. Crossing the MRSI zero line
The user can change the settings:
1. Types of moving average
2. Length sliding average
3. Number of volume standard deviations
4. Display mode
5. Index ticker
Chuff by Monty V2This is the second version of the indicator ‘Chuff by Monty’ we made a while back.
This indicator uses multiple previously available indicators as well as some newly calculated scripts to provide information on chart that uses one indicator slot but is telling you more than what one indicator could’ve.
The indicator also includes alerts which can be used to find potential signals generated by the indicator, So be sure to check those out as well.
Features of the indicator:
Ichimoku Cloud
TK Crosses: Label on chart when the Conversion Line (Tenken Sen) and Base line (Kijun Sen) is crossing each other. There are five types of crosses that are marked in the indicator. Each will have Bullish or Bearish aspect but, you have to look at the image below to really understand which is worth considering signal.
TK Lines: This checkbox will enable the Conversion and Base line, the crosses of which are labeled through the TK Crosses Checkbox above.
Bullish TK: Now when the orange line crosses the red line to the up side which should be flat at that time, this generates a bullish signal showing that this can lead price to the upwards direction. And a label print as Bullish TK in red color.
Bearish TK: Now when the orange line crosses the red line to the down side which should be flat at that time, this generates a bearish signal showing that this can lead price to the downwards direction. And a label print as Bearish TK in Golden color.
Kumo Cloud: There are two types of clouds in the indicator as well, This is calculated with a bit different approach then conventional Ichimoku Cloud indicator. Both red and green Kumo cloud acts as resistance and support respectively.
Trading Edge to Edge: This phenomenon in ichimoku suggests that when there’s a close in the cloud as 1. For longs, Green candles should close in the red cloud and at that time, The other side of the cloud should be flat and 2. For shorts, Red candles should close in the green cloud and at that time, the other side of the cloud should be flat. This opens up the window for the price to go to the other flat side of the cloud after retesting the cloud through the inside. An example is shared in the snapshot.
Divergences:
This part of the indicator uses 10 different types of oscillators including MACD, Histogram, RSI, Stochastic, CCI, Momentum, On-Balance Volume, Volume Weighted MACD, CMF, Money Flow Index and EXT to calculate divergences. By default, the indicator will show hidden and regular divergences at once, but you can choose to have just hidden or just regular divergences as per your liking. I specifically hard coded the indicator to calculate divergences from candle closes rather than from wicks, so that’s what it’s doing.
Harmonic Patterns:
I personally trade three and only three harmonics, these are bat, butterfly and Gartley. This part of indicator will analyze each swing and check if these swings are falling in any of those three harmonic pattern ranges. As we all know that these patterns don’t complete their retracement to the last digit exactly each time, so there’s a liberty range that has 10% error flexibility. Which means that if a retracement is supposed to be at 0.618, the error flexibility will check it in a range of +10% and -10% of 0.618 which comes out to be 0.556-0.678. Three of the harmonics, bullish (Green) and bearish (Red) is posted in the snapshot.
You can trade these harmonics by either waiting for the indicator to print them, either by putting an alert for each type of a harmonic pattern or by pre-predicting a harmonic which is taught in our community’s premium discord discord.gg .
Golden/Death cross:
Just like TK Crosses, this will print you Goldencross and Deathcross labels each time 55sma and 200sma cross each other. If the 55sma is crossing the 200sma to the upside, A Goldencross label will appear and if 55sma is crossing the 200sma to the downside, A Deathcross label will appear. Golden cross means the coin is turning bullish and can go high. Death cross shows that the coin is turning bearish and the price can fall.
Moving Averages:
Default lengths are 13EMA, 21EMA, 55SMA, 200SMA and 355SMA. You can change it as you like but I use these lengths for my analysis. One feature that this set of moving average has is that each MA is labeled as it’s length and the calculation method (SMA or EMA). So, when you are analyzing with multiple Moving Averages enabled, you can easily know which MA is which.
SR Band:
It has three mods. Fast/Weak which is going to be quick and sensitive to the price but will a weak support and resistance area. Slow/Strong which is going to be slow and less sensitive to the price but will be a very strong support and resistance area. The normal settings which is set as default is kind of in-between these two. You can use this SR band as a way of getting in and out of the trades as it represents Supports and resistances. The colors of the band changes when the price is above, below and is in the band.
Here’s an example trade using the confluences provided by the indicator.
This is how that trade would’ve looked like with indicator:
And this is how that trade would’ve looked like without the indicator:
Do ask questions in the comment section about the indicator or the trading strategy here if you feel like this is too complex. I’ll be glad to help.
All the settings and features which were worth customizing are customizable in this version of the indicator. Feel free to change those settings as per your liking.
Thank you.
Step RSI [Loxx]Enhanced Moving Average Calculation with Stepped Moving Average and the Advantages over Regular RSI
Technical analysis plays a crucial role in understanding and predicting market trends. One popular indicator used by traders and analysts is the Relative Strength Index (RSI). However, an enhanced approach called Stepped Moving Average, in combination with the Slow RSI function, offers several advantages over regular RSI calculations.
Stepped Moving Average and Moving Averages:
The Stepped Moving Average function serves as a crucial component in the calculation of moving averages. Moving averages smooth out price data over a specific period to identify trends and potential trading signals. By employing the Stepped Moving Average function, traders can enhance the accuracy of moving averages and make more informed decisions.
Stepped Moving Average takes two parameters: the current RSI value and a size parameter. It computes the next step in the moving average calculation by determining the upper and lower bounds of the moving average range. It accomplishes this by adjusting the values of smax and smin based on the given RSI and size.
Furthermore, Stepped Moving Average introduces the concept of a trend variable. By comparing the previous trend value with the current RSI and the previous upper and lower bounds, it updates the trend accordingly. This feature enables traders to identify potential shifts in market sentiment and make timely adjustments to their trading strategies.
Advantages over Regular RSI:
Enhanced Range Boundaries:
The inclusion of size parameters in Stepped Moving Average allows for more precise determination of the upper and lower bounds of the moving average range. This feature provides traders with a clearer understanding of the potential price levels that can influence market behavior. Consequently, it aids in setting more effective entry and exit points for trades.
Improved Trend Identification:
The trend variable in Stepped Moving Average helps traders identify changes in market trends more accurately. By considering the previous trend value and comparing it to the current RSI and previous bounds, Stepped Moving Average captures trend reversals with greater precision. This capability empowers traders to respond swiftly to market shifts and potentially capture more profitable trading opportunities.
Smoother Moving Averages:
Stepped Moving Average's ability to adjust the moving average range bounds based on trend changes and size parameters results in smoother moving averages. Regular RSI calculations may produce jagged or erratic results due to abrupt market movements. Stepped Moving Average mitigates this issue by dynamically adapting the range boundaries, thereby providing traders with more reliable and consistent moving average signals.
Complementary Functionality with Slow RSI:
Stepped Moving Average and Slow RSI function in harmony to provide a comprehensive trading analysis toolkit. While Stepped Moving Average refines the moving average calculation process, Slow RSI offers a more accurate representation of market strength. The combination of these two functions facilitates a deeper understanding of market dynamics and assists traders in making better-informed decisions.
Extras
-Alerts
-Signals
Average Variation Bands OscillatorSimilar to how a donchian% of channel helps to visualize trend and volatility, this tool helps identify those same characteristics, if the oscillator is generally above the 50 mark, it is considered to be trending upwards, and the reverse if it is generally bellow 50.
Vaidotas Momentum ScoreHello Traders!
Discover Myfractalrange latest addition on TradingView, Vaidotas Segenis Momentum Score.
How people calculate Momentum is subjective and many people (even professionals) use different Momentum formulas depending on how they view it. This is sometimes confusing for traders.
The purpose of this indicator is to identify periods of strong price momentum relative to historical volatility. Higher momentum scores indicate stronger price trends, while lower scores suggest weaker trends. Traders and investors may use this indicator to identify potential buy or sell signals based on the strength of price movements. The formula Vaidotas uses calculate Momentum Score for different periods based on the price data.
There are 3 different look back periods in the script, you will find them in "Input":
Period 1 : 10 Days
Period 2 : 30 Days
Period 3 : 90 Days
Now let's go over the different steps of the formula:
Step 1 - Calculate the daily normal returns : this gives the daily percentage change in price
Step 2 - Calculate the standard deviation of the daily normal returns over a specific look back period (Default: 100 days) : the standard deviation measures the volatility or dispersion of the returns
Step 4 - Calculate the squared standard deviation multiplied by the square root of the respective period: This is done for three different periods (Period 1, Period 2, Period 3), it amplifies the standard deviation by the square root of the period, which gives more weight to recent price changes.
Step 5 - Calculate the normal returns for each period: This calculates the percentage change in price over the specified period
Step 5 - Calculate the momentum score for each period: This score represents the relative strength or momentum of the price change compared to the expected volatility.
Using the momentum indicator involves interpreting the values and considering certain thresholds to make trading decisions. While there is no definitive rule for all markets and assets, we can provide you with a general guideline on how traders may want to use the indicator and explain the significance of certain values:
1) Strong Trend: When the momentum score is significantly positive (above a certain threshold, such as +2), it suggests a strong upward price trend.
2) Weak Trend: Conversely, when the momentum score is significantly negative (below a certain threshold, such as -2), it indicates a strong downward price trend. Traders may interpret this as a potential signal to enter or maintain a short position, expecting the trend to continue.
3) Lack of Trend: When the momentum score is close to zero, it suggests a lack of significant trend or sideways movement in the price. Values around 0 indicate a potential range-bound market or consolidation.
However, it's important to note that the specific threshold values for defining significant trends or reversals may vary depending on the asset, timeframe, and market conditions. Traders often adjust these thresholds based on their own experience and backtesting results.
Here are a few more examples to illustrate the use of the momentum indicator:
- Example 1 - Strong Uptrend Confirmation :
The momentum score is consistently above +2, indicating a strong upward trend. Traders may consider this as a potential signal to enter or maintain a long position, expecting the trend to continue.
- Example 2 - Reversal Signal :
The momentum score has been positive for an extended period but starts to decline and eventually crosses below -2. This could be seen as a potential reversal signal, suggesting that the uptrend is losing strength and a bearish trend might develop. Traders may consider exiting long positions or even taking short positions based on this reversal signal.
- Example 3 - Sideways Market :
The momentum score fluctuates around 0, without displaying any significant positive or negative values. This indicates a lack of clear trend and suggests that the asset is trading in a range or consolidating. Traders may choose to avoid taking new positions until a stronger trend emerges.
Why is it interesting to use different look back periods?
The use of different look back periods in the momentum indicator formula allows traders to assess momentum across multiple timeframes. By comparing the momentum results for each period, traders can gain a broader perspective on the strength of the trend and potential opportunities. Here's how a trader might use the different look back periods and their corresponding momentum results:
1) Identifying Consistency: Traders can compare the momentum results for different periods to assess the consistency of the trend. If the momentum scores for all periods are consistently positive or negative, it suggests a strong and consistent trend across multiple timeframes. This can provide traders with higher confidence in the trend's strength and potential trading opportunities.
2) Convergence or Divergence: Traders can analyze the relationship between the momentum results for different periods. If the momentum scores for all periods are converging (moving closer together), it indicates a higher degree of agreement across different timeframes and strengthens the signal. Conversely, if the momentum scores for different periods diverge (move apart), it may suggest a weakening or conflicting trend. Traders should exercise caution when the momentum scores diverge as it may signal a potential reversal or market uncertainty.
3) Confirmation of Momentum: Traders can use the momentum results for different periods to confirm the strength of a trend. For example, if the momentum scores for shorter periods (e.g., Period 1) are significantly higher than those for longer periods (e.g., Period 2 and Period 3), it suggests a recent increase in momentum and a potentially stronger trend. This confirmation can assist traders in making more informed trading decisions and timing their entries or exits.
4) Multiple Timeframe Analysis: Traders often employ a multiple timeframe analysis approach to validate their trading decisions. By comparing the momentum results for different periods, traders can assess the alignment of momentum across various timeframes. For instance, if the momentum scores for shorter, medium, and longer periods all indicate a strong trend in the same direction, it reinforces the conviction in the trade.
As a conclusion, the momentum indicator can be useful to traders for several reasons:
1) Identifying Trend Strength: The momentum indicator helps traders assess the strength of a price trend. When the momentum score is high, it suggests that the trend is strong and likely to continue. This information can be valuable for trend-following strategies, as it helps traders identify potentially profitable opportunities and stay on the right side of the market.
2) Spotting Reversals: Momentum indicators can also help traders identify potential trend reversals. When the momentum score diverges from the price movement, it may indicate a weakening trend or an upcoming reversal. Traders can use this signal to adjust their positions or look for opportunities to enter or exit trades.
3) Confirming Breakouts: Breakout traders often use momentum indicators to confirm the validity of a breakout. If a price breaks above a resistance level, and the momentum score also increases significantly, it provides additional confirmation that the breakout is strong and may continue. This helps traders have more confidence in their breakout trades.
4) Setting Stop Loss and Take Profit Levels: By understanding the strength of a price trend through the momentum indicator, traders can set appropriate stop-loss and take-profit levels. A strong momentum score may indicate that a trend is likely to continue, allowing traders to set wider profit targets. Conversely, a weak momentum score may suggest that the trend is losing steam, prompting traders to set tighter stop-loss levels to protect their capital.
4) Divergence Analysis: Momentum indicators can be used in conjunction with other technical indicators to identify divergences. Divergence occurs when the price and momentum indicator move in opposite directions. It can signal potential trend reversals or shifts in market sentiment, providing traders with opportunities to adjust their positions.
It's important to note that while momentum indicators can be useful tools, they should not be relied upon solely for making trading decisions. It's recommended to use them in conjunction with other technical analysis tools and consider other factors such as market conditions, risk management, and fundamental analysis. Remember that the momentum indicator is just one tool among many, and it's important to consider other factors such as volume, trend, volatility, and overall market conditions when making trading decisions. Additionally, using stop-loss orders and proper risk management techniques is crucial to mitigate potential losses.
We hope that you will find these explanations useful, please contact us by private message for access.
Enjoy!
DISCLAIMER: No sharing, copying, reselling, modifying, or any other forms of use are authorised. This script is strictly for individual use and educational purposes only. This is not financial or investment advice. Investments are always made at your own risk and are based on your personal judgement. Myfractalrange is not responsible for any losses you may incur. Please invest wisely.
RSI Divergences on price chart - Open Source CodeHello Traders,
I have some exciting news to share with you all! Recently, I came across an incredible RSI divergences indicator developed by Socrate_FR. This indicator, in my opinion has an exceptional accuracy in detecting RSI divergences. However, during my exploration of other indicators in the TradingView library that display signals on the price chart, I found that many of them were often unreliable and missed out on important divergences.One such example is the Prices / RSI Divergences Detector by vtllr. Although vtllr did an amazing job with the indicator, I noticed that it didn't capture several relevant divergences accurately.
This observation inspired me to enhance the most accurate RSI divergences indicator available by showcasing the signals directly on the price chart. By doing so, I aimed to address the issue of unreliable and missed divergences in other price chart indicators. With this enhanced version, you can now effortlessly identify and track RSI regular divergences on the price chart itself:
-Regular bullish divergence occurs when the price forms lower lows while the RSI indicator forms higher lows. It suggests a potential bullish reversal (green line plot)
-Regular bearish divergence occurs when the price forms higher highs while the RSI indicator forms lower highs. It suggests a potential bearish reversal (red line plot)
Another key mofication:
This Indicator introduces a simpler approach compared to the original Socrate indicator. While Socrate differentiated divergences into eight types for both bullish and bearish scenarios, our enhanced version focuses on two distinct categories: small and big divergences. This decision was made to provide a clearer and more user-friendly experience. By condensing the divergence types into two groups, traders can easily identify and analyze the significance of the divergences without getting overwhelmed by excessive variations. The small divergences represent relatively minor divergences, while the big divergences indicate stronger and more significant signals.
-Small divergences represent relatively minor divergences (plotshape small circle)
-Big divergences indicate stronger signals (plotshape big circle)
I firmly believe that this enhanced RSI Divergences Indicator will be an invaluable tool for traders who rely on RSI analysis in their trading strategies. It combines the accuracy of Socrate_FR's original indicator with the enhanced visibility of signals on the price chart, ensuring you never miss any important divergences.
If you're interested in trying out this enhanced version of the indicator, please feel free to access the open-source code. If you want to visit and try the original version of the code visit Socrate_FR profile.
www.tradingview.com
Keep attention!
It is important to note that no trading indicator or strategy is foolproof, and there is always a risk of losses in trading. While this indicator may provide useful information for making conclusions, it should not be used as the sole basis for making trading decisions. Traders should always use proper risk management techniques and consider multiple factors when making trading decisions.
Support us:)
If you find this new indicator helpful in your trading analysis, I would greatly appreciate your support! Please consider to follow, giving it a like, leaving feedback, or sharing it with your trading network. Your engagement will not only help me improve this tool but will also help other traders discover it and benefit from its features. Thank you for your support!
Chop and Trend Index (CTI)The Chop and Trend Index (CTI) is a unique indicator that provides a different perspective on market conditions compared to traditional oscillators. It is designed to identify periods of market chop and strong trends, and it does so by combining two key components: the number of halfback taps and the strength of the trend.
The CTI is calculated by first determining the number of halfback taps over a user-defined length of time. A halfback tap occurs when the high or low of a bar reaches the midpoint (halfback level) of the previous bar. This is a measure of market chop: the more halfback taps, the choppier the market. The fewer halfback taps, the stronger the trend.
The strength of the trend is determined using the Average Directional Index (ADX), a popular trend strength indicator. The ADX is calculated based on the directional movement of the market, with higher values indicating stronger trends.
The CTI combines these two components by multiplying the normalized number of halfback taps by the ADX value. This results in an indicator that rises during strong trends with few halfback taps (either up or down) and falls during periods of market chop.
The CTI is not a directional indicator. Unlike the Relative Strength Index (RSI) or other oscillators, high values do not indicate overbought conditions, and low values do not indicate oversold conditions. Instead, high values indicate a strong trend (and possibly trend exhaustion), while low values indicate strong chop (and possibly an impending breakout in either direction).
The CTI can be used on any market and any timeframe, but it may be particularly useful on longer timeframes where periods of chop and trend are more pronounced.
The CTI includes several user inputs :
Length : This determines the number of bars over which the number of halfback taps is calculated. Increasing this value will make the CTI less sensitive to recent market conditions, while decreasing it will make the CTI more sensitive.
Normalization Window Length : This determines the number of bars over which the CTI is normalized. The CTI is normalized to a scale of 0 to 100 to make it easier to compare across different markets and timeframes.
Chop Threshold : This is the CTI value below which an alert will be triggered indicating a period of severe chop. This could signal an impending breakout and potential upcoming volatility.
Trend Exhaustion Threshold : This is the CTI value above which an alert will be triggered indicating potential trend exhaustion. This could signal a possible mean reversion.
The CTI also includes four colored threshold lines at 10, 25, 75, and 90. These thresholds can be used as a guide to identify periods of chop and trend. For example, CTI values below 10 or above 90 could indicate extreme conditions.
The CTI provides two alert conditions :
Low Threshold Crossed : This alert is triggered when the CTI falls below the user-defined Chop Threshold. This could signal a period of severe chop and the potential for upcoming volatility.
High Threshold Crossed : This alert is triggered when the CTI rises above the user-defined Trend Exhaustion Threshold. This could signal potential trend exhaustion and the possibility of mean reversion.
In conclusion, the CTI is a unique and versatile indicator that can provide valuable insights into market conditions. By identifying periods of chop and trend, it can help traders anticipate potential breakouts and reversals, and adjust their strategies accordingly.
Intraday Intensity ModesIntraday Intensity Index was created by David Bostian and its use was later featured by John Bollinger in his book "Bollinger on Bollinger Bands" . It is categorically a volume indicator and considered to be a useful tool for analyzing supply and demand dynamics in the market. By measuring the level of buying and selling pressure within a given trading session it attempts to provide insights into the strength of market participants' interest and their aggressiveness in executing trades throughout the day. It can be used in conjunction with Bollinger Bands® or other envelope type indicators as a complimentary indicator to aid in trying to identify potential turning points or trends.
Intraday intensity is calculated based upon the relationship between the price change and the volume of shares traded during each daily interval. It aims to capture the level of buying or selling activity relative to the overall volume. A high intraday intensity value suggests a higher level of buying or selling pressure, indicating a more active and potentially volatile market. Conversely, a low intraday intensity value indicates less pronounced trading activity and a potentially quieter market. Overall, intraday intensity provides a concise description of the intensity of trading activity during a particular trading session, giving traders an additional perspective on market dynamics. Note that because the calculation uses volume this indicator will only work on symbols where volume is available.
While there are pre-existing versions within community scripts, none were found to have applied the calculations necessary for the various modes that are presented within this version, which are believed to be operating in the manner originally intended when first described by Bostian and again later by Bollinger. When operating in default modes on daily or lower chart timeframes the logic used within this script tracks the intraday high, low, close and volume for the day with each progressing intraday bar.
The BB indicator was included on the top main chart to help illustrate example usage as described below. The Intraday Intensity Modes indicator is pictured operating in three different modes beneath the main chart:
• The top pane beneath the main chart shows the indicator operating as a normalized 21 day II% oscillator. A potential use while in this mode would be to look for positive values as potential confirmation of strength when price tags the upper or lower Bollinger bands, and to look for negative values as potential confirmation of weakness when price tags the upper or lower Bollinger bands.
• The middle pane shows the indicator operating as an "open ended" cumulative sum of II. A potential use while in this mode would be to look for convergence or divergence of trend when price is making new highs or lows, or while price is walking the upper or lower Bollinger bands.
• The bottom pane shows the indicator operating in standard III mode, which provides independent values per session.
Indicator Settings: Inputs tab:
Osc Length : Set to 1 disables oscillation, values greater than 1 enables oscillation for II% (Intraday Intensity percent) mode.
Tootip : Hover mouse over (i) to show recommended example Settings for various modes.
Cumulative : When enabled values are cumulatively summed for the entire chart and indicator operates in II mode.
Normalized : When enabled a rolling window of Osc Length values are summed and normalized to the rolling window's volume.
Intrabar : When enabled price range and volume are evaluated for intensity per bar instead of per day which is a departure from the original
concept. Whenever this setting is enabled the indicator should be regarded as operating in an experimental mode.
Colors For Up Down : Sets the plot colors used, may be overridden in Settings:Style tab.
Styles / Width : Sets the plot style and width used, may be overridden in Settings:Style tab.
This indicator is designed to work with any chart timeframe, with the understanding that when used on timeframes higher than daily the indicator becomes "IntraPeriod" intensity, for example on weekly bars it would be "IntraWeek" intensity. On Daily or lower timeframes the indicator operates as "IntraDay" intensity and is being updated on each bar as each day progresses. If the experimental setting Intrabar is enabled then the indicator operates as "IntraBar" intensity and is no longer constrained to daily or higher evaluations, for example with Intrabar enabled on a 4H timeframe the indicator would operate as "Intra4H" intensity.
NOTICE: This is an example script and not meant to be used as an actual strategy. By using this script or any portion thereof, you acknowledge that you have read and understood that this is for research purposes only and I am not responsible for any financial losses you may incur by using this script!
Scalping Strategy (5min)This indicator is designed for scalping strategies on a 5-minute timeframe. It generates signals based on two RSI crossovers and incorporates moving averages to identify trends. Additionally, a Bollinger Band is included to eliminate the need for an additional Bollinger Band on the chart.
Please note that this indicator does not guarantee 100% accurate signals and may produce false signals. It is recommended to use this indicator in conjunction with other indicators such as Stochastic, MACD, SuperTrend, or any other suitable indicators to enhance the accuracy of trading decisions.
1) Signal Generation: The indicator generates buy and sell signals based on two RSI crossovers. A buy signal is generated when the fast RSI crosses above the slow RSI, indicating potential bullish momentum. Conversely, a sell signal is generated when the fast RSI crosses below the slow RSI, suggesting potential bearish momentum.
2) To adjust the indicator to your specific chart and trading preferences, you have the flexibility to modify the RSI and moving average (MA) values. By changing the RSI values (slow RSI length and fast RSI length), you can fine-tune the sensitivity of the RSI crossovers to suit different timeframes and market conditions. Similarly, adjusting the MA values (slow MA period and fast MA period) allows you to adapt the indicator to the desired trend identification and short-term trend confirmation.
3) Pay attention to trades that are confirmed by the short-term moving average (MA) aligning with the desired direction. For buy signals, ensure that the short MA is tending upward, indicating a potential uptrend. For sell signals, confirm that the short MA is trending downward, suggesting a potential downtrend.
4) Moving Averages: The indicator uses a 200-period moving average (MA) to identify the overall trend and a short-term MA for additional confirmation.
5) Bollinger Band: The included Bollinger Band is not directly used in the indicator's calculations. However, it is provided for convenience so that users don't need to add another Bollinger Band to their chart separately.
6) Exercise caution when the short MA is below the 200-period MA but showing signs of attempting an upward move. These situations may indicate a potential reversal or consolidation, and it is advisable to avoid taking trades solely based on the 200-period MA crossover in such cases.
Remember that these guidelines are intended to provide additional insights and should be used in combination with your trading judgment and analysis.
DB Zero Lag Smoothed Tops & Bottoms RSI (No Repaint)The DB ZPS RSI indicator is a designed to detect tops and bottoms using a zero lag smoothed RSI. This indicator has been specifically designed not to repaint by default. Which means the value at the opening of the bar will not change and can be used at the start of the period to make trading choices.
The RSI line has 4 different colors:
- Red = Sell Zone
- Maroon = Bear Zone
- Aqua = Trend Changing Upward
- Lime = Bull Zone
The indicator comes with zones outlined with horizontal lines. Typically when the ZPS RSI is above 90 the top is near. Typically when the ZPS RSI is below 10 the local bottom is near. However, at times the ZPS RSI may treat the 50 as the top depending on the amount of market momentum.
Since this indicator (by default) does not repaint, this means traders can use this to make market entry or exit choices at the start of the period.
For example, trader may decide to enter a long when the ZPS RSI is below 2 and the ZPS RSI color is aqua or lime at the OPEN of the bar period. A trader may choose exit a trade when the ZPS RSI is above 95 or the ZPS RSI color is maroon at the OPEN of the bar period. No waiting. Remember it does not repaint.
For example, trader may decide to enter a short when the ZPS RSI crosses under 95 on the OPEN of the bar period. The trader may then choose to close the short when the ZPS RSI color turn aqua at the OPEN of the bar period.
For those traders who live on the wild side. You may disable the no-repaint mode in the settings (not recommended). With no repaint disabled, the ZPS RSI will be subject to change as the price changes during the current period. However, for those who are willing to take this risk, you could take the example above and then enter/exit (or short) in the current bar as the example conditions are present (not recommended).
The indicator includes a simple threshold buy/sell setting and the ability to display buy sell signals (triangles, disabled by default). Additionally, the indicator has alerts for threshold levels and the different ZPS RSI color changes.
The default ZPS RSI length in the settings is 10 but can be changed.
Hope you enjoy!
p.s. ZPS RSI stands for Zero Lag Percent Change Smoothed Sum RSI
N-Rho To Noise (Reinforcement Learning)N-Rho To Noise is a ratio of 2 components. Rho is my own calculation of a signal that is differenced (force time series stationary, allowing for more predictability) and its relation to a unit of a measure of noise. N is the amount of times it is differenced. Using a simplified q-learning reinforcement learning agent, the length of the ratio is calibrated to its optimal value.
- Purple indicates the undifferenced signal is above the RMSE error bands
- Red indicates both the differenced and undifferenced signals are above the threshold for a strong positive deviation, suggesting a short
- Blue indicates the undifferenced signal is below the RMSE error bands
- Green indicates both the differenced and undifferenced signals are below the threshold for a negative strong deviation, suggesting a long
- Strong long signal when you have both an undifferenced Rho and differenced Rho giving you local agreement (blue bar followed by green)
- Strong short signal when you have an undifferenced and differenced Rho giving you identical signals (purple bar followed by red)
Optimal length: the parameter of the length that the model configures to be the best parameter
Optimal reward: the reward corresponding to the optimal length (green=strong value, orange=intermediate strength, red=poor)
Average reward: the average reward of the set of lengths used over all episodes (green=strong value, orange=intermediate strength, red=poor)
Cumulative reward: the sum of all the rewards
Variance: a measure of how varied the data is (too much variance can suggest it cannot generalize too well to unseen data)
Market Cycle IndicatorThe Market Cycle Indicator is a tool that integrates the elements of RSI, Stochastic RSI, and Donchian Channels. It is designed to detect market cycles, enabling traders to enter and exit the market at the most opportune times.
This indicator provides a unique perspective on the market, combining multiple strategies into one unified and weighted approach. By factoring in the inputs from each of these popular technical analysis methods, it offers a more holistic view of the market trends and cycles.
Parameter Details:
Donchian Channels (DCO):
- donchianPeriod: Sets the period for the Donchian Channel calculation. Default is set to 14.
- donchianSmoothing: Sets the smoothing factor for the Donchian Channel calculation. Default is set to 3.
- donchianPrice: Selects the price type to be used in the Donchian Channel calculation. Default is set to the closing price.
Relative Strength Index (RSI):
- rsiPeriod: Sets the period for the RSI calculation. Default is set to 14.
- rsiSmoothing: Sets the smoothing factor for the RSI calculation. Default is set to 3.
- rsiPrice: Selects the price type to be used in the RSI calculation. Default is set to the closing price.
Stochastic RSI (StochRSI):
- srsiPeriod: Sets the period for the Stochastic RSI calculation. Default is set to 20.
- srsiSmoothing: Sets the smoothing factor for the Stochastic RSI calculation. Default is set to 3.
- srsiK: Sets the period for the %K line in the Stochastic RSI calculation. Default is set to 5.
- srsiD: Sets the period for the %D line in the Stochastic RSI calculation. Default is set to 5.
- srsiPrice: Selects the price type to be used in the Stochastic RSI calculation. Default is set to the closing price.
Weights:
- rsiWeight: Sets the weight for the RSI in the final aggregate calculation. Default is set to 1.
- srsiWeight: Sets the weight for the Stochastic RSI in the final aggregate calculation. Default is set to 1.
- dcoWeight: Sets the weight for the Donchian Channel in the final aggregate calculation. Default is set to 1.
Limits:
- limitHigh: Sets the upper limit for the indicator. Default is set to 80.
- limitLow: Sets the lower limit for the indicator. Default is set to 20.
By customizing these parameters, users can tweak the indicator to align with their own trading strategies and risk tolerance levels. Whether you're a novice or an experienced trader, the Comprehensive Market Cycle Indicator provides valuable insights into the market's behavior.
Uses library HelperTA
