Smart Money Concepts by WeloTradesThe "Smart Money Concepts by WeloTrades" indicator is designed to offer traders a comprehensive tool that integrates multiple advanced features to aid in market analysis. By combining order blocks, liquidity levels, fair value gaps, trendlines, and market structure analysis, the indicator provides a holistic approach to understanding market dynamics and making informed trading decisions.
Components and Their Integration:
Order Blocks and Breaker Blocks Detection
Functionality: Order blocks represent areas where significant buying or selling occurred, creating potential support or resistance zones. Breaker blocks signal potential reversals.
Integration: By detecting and visualizing these blocks, the indicator helps traders identify key levels where price might react, aiding in entry and exit decisions. The customizable settings allow traders to adjust the visibility and parameters to suit their specific trading strategy.
Liquidity Levels Analysis
Functionality: Liquidity levels indicate zones where significant price movements can occur due to the presence of large orders. These are areas where smart money might be executing trades.
Integration: By tracking these high-probability liquidity areas, traders can anticipate potential price movements. Customizable display limits and mitigation strategies ensure that the information is tailored to the trader’s needs, providing precise and actionable insights.
Fair Value Gaps (FVG)
Functionality: Fair value gaps highlight areas where there is an imbalance between buyers and sellers. These gaps often represent potential trading opportunities.
Integration: The ability to identify and analyze FVGs helps traders spot potential entries based on market inefficiencies. The touch and break detection functionalities provide further refinement, enhancing the precision of trading signals.
Trendlines
Functionality: Trendlines help in identifying the direction of the market and potential reversal points. The additional trendline adds a layer of confirmation for breaks or retests.
Integration: Automatically drawn trendlines assist traders in visualizing market trends and making decisions about potential entries and exits. The additional trendline for stronger confirmation reduces the risk of false signals, providing more reliable trading opportunities.
Market Structure Analysis
Functionality: Understanding market structure is crucial for identifying key support and resistance levels and overall market dynamics. This component displays internal, external, and composite market structures.
Integration: By automatically highlighting shifts in market structure, the indicator helps traders recognize important levels and potential changes in market direction. This analysis is critical for strategic planning and execution in trading.
Customizable Alerts
Functionality: Alerts ensure that traders do not miss significant market events, such as the formation or breach of order blocks, liquidity levels, and trendline interactions.
Integration: Customizable alerts enhance the user experience by providing timely notifications of key events. This feature ensures that traders can act quickly and efficiently, leveraging the insights provided by the indicator.
Interactive Visualization
Functionality: Customizable visual aspects of the indicator allow traders to tailor the display to their preferences and trading style.
Integration: This feature enhances user engagement and usability, making it easier for traders to interpret the data and make informed decisions. Personalization options like colors, styles, and display formats improve the overall effectiveness of the indicator.
How Components Work Together
Comprehensive Market Analysis
Each component of the indicator addresses a different aspect of market analysis. Order blocks and liquidity levels highlight potential support and resistance zones, while fair value gaps and trendlines provide additional context for potential entries and exits. Market structure analysis ties everything together by offering a broad view of market dynamics.
Synergistic Insights
The integration of multiple features allows for cross-validation of trading signals. For instance, an order block coinciding with a high-probability liquidity level and a fair value gap can provide a stronger signal than any of these features alone. This synergy enhances the reliability of the insights and trading signals generated by the indicator.
Enhanced Decision Making
By combining these advanced features into a single tool, traders are equipped with a powerful resource for making informed decisions. The customizable alerts and interactive visualization further support this by ensuring that traders can act quickly on the insights provided.
Order Blocks ( OB) & Breaker Blocks (BB) Visuals:
📝 OB Input Settings
📊 Timeframe #1
TF #1🕑: Enable or disable Timeframe 1.
What it is: A boolean input to toggle the use of the first timeframe.
What it does: Enables or disables Timeframe 1 for the OB settings.
How to use it: Check or uncheck the box to enable or disable.
📊 Timeframe 1 Selection
Timeframe #1🕑: Select the timeframe for Timeframe 1.
What it is: A dropdown to select the desired timeframe.
What it does: Sets the timeframe for Timeframe 1.
How to use it: Choose a timeframe from the dropdown list.
📊 Timeframe #2
TF #2🕑: Enable or disable Timeframe 2.
What it is: A boolean input to toggle the use of the second timeframe.
What it does: Enables or disables Timeframe 2 for the OB settings.
How to use it: Check or uncheck the box to enable or disable.
📊 Timeframe 2 Selection
Timeframe #2🕑: Select the timeframe for Timeframe 2.
What it is: A dropdown to select the desired timeframe.
What it does: Sets the timeframe for Timeframe 2.
How to use it: Choose a timeframe from the dropdown list.
Additional Info: Higher TF Chart & Lower TF Setting / Lower TF Chart & Higher TF Setting.
📏 Show OBs
OB (Length)📏: Toggle the display of Order Blocks.
What it is: A boolean input to enable or disable the display of Order Blocks.
What it does: Shows or hides Order Blocks based on the selected swing length.
How to use it: Check or uncheck the box to enable or disable.
📏 Swing Length Option
Swing Length Option: Select the swing length option.
What it is: A dropdown to choose between SHORT, MID, LONG, or CUSTOM.
What it does: Sets the length of swings for Order Blocks.
How to use it: Choose an option from the dropdown.
Additional Info: Default lengths are SHORT=10, MID=28, LONG=50.
🔧 Custom Swing Length
🔧custom: Specify a custom swing length.
What it is: An integer input for setting a custom swing length.
What it does: Overrides the default swing lengths if set to CUSTOM.
How to use it: Enter a custom integer value (only shown when CUSTOM is selected).
📛 Show BBs
BB (Method)📛: Toggle the display of Breaker Blocks.
What it is: A boolean input to enable or disable the display of Breaker Blocks.
What it does: Shows or hides Breaker Blocks.
How to use it: Check or uncheck the box to enable or disable.
📛 OB End Method
OB End Method: Select the method for determining the end of a Breaker Block.
What it is: A dropdown to choose between Wick and Close.
What it does: Sets the criteria for when a Breaker Block is considered mitigated.
How to use it: Choose an option from the dropdown.
Additional Info: Wicks: OB is mitigated when the price wicks through the OB Level. Close: OB is mitigated when the closing price is within the OB Level.
🔍 Max Bullish Zones
🔍Max Bullish: Set the maximum number of Bullish Order Blocks to display.
What it is: A dropdown to select the maximum number of Bullish Order Blocks.
What it does: Limits the number of Bullish Order Blocks shown on the chart.
How to use it: Choose a value from the dropdown (1-10).
🔍 Max Bearish Zones
🔍Max Bearish: Set the maximum number of Bearish Order Blocks to display.
What it is: A dropdown to select the maximum number of Bearish Order Blocks.
What it does: Limits the number of Bearish Order Blocks shown on the chart.
How to use it: Choose a value from the dropdown (1-10).
🟩 Bullish OB Color
Bullish OB Color: Set the color for Bullish Order Blocks.
What it is: A color picker to set the color of Bullish Order Blocks.
What it does: Changes the color of Bullish Order Blocks on the chart.
How to use it: Select a color from the color picker.
🟥 Bearish OB Color
Bearish OB Color: Set the color for Bearish Order Blocks.
What it is: A color picker to set the color of Bearish Order Blocks.
What it does: Changes the color of Bearish Order Blocks on the chart.
How to use it: Select a color from the color picker.
🔧 OB & BB Range
↔ OB & BB Range: Select the range option for OB and BB.
What it is: A dropdown to choose between RANGE and CUSTOM.
What it does: Sets how far the OB or BB should extend.
How to use it: Choose an option from the dropdown.
Additional Info: RANGE = Current price, CUSTOM = Adjustable Range.
🔧 Custom OB & BB Range
🔧Custom: Specify a custom range for OB and BB.
What it is: An integer input for setting a custom range.
What it does: Defines how far the OB or BB should go, based on a custom value.
How to use it: Enter a custom integer value (range: 1000-500000).
💬 Text Options
💬Text Options: Set text size and color for OB and BB.
What it is: A dropdown to select text size and a color picker to choose text color.
What it does: Changes the size and color of the text displayed for OB and BB.
How to use it: Select a size from the dropdown and a color from the color picker.
💬 Show Timeframe OB
Text: Toggle to display the timeframe of OB.
What it is: A boolean input to show or hide the timeframe text for OB.
What it does: Displays the timeframe information for Order Blocks on the chart.
How to use it: Check or uncheck the box to enable or disable.
💬 Show Volume
Volume: Toggle to display the volume of OB.
What it is: A boolean input to show or hide the volume information for Order Blocks.
What it does: Displays the volume information for Order Blocks on the chart.
How to use it: Check or uncheck the box to enable or disable.
Additional Info:
What it represents: The volume displayed represents the total trading volume that occurred during the formation of the Order Block. This can indicate the level of participation or interest in that price level.
How it's calculated: The volume is the sum of all traded volumes within the candles that form the Order Block.
What it means: Higher volume at an Order Block level may suggest stronger support or resistance. It shows the amount of trading activity and can be an indicator of the potential strength or validity of the Order Block.
Why it's shown: To give traders an idea of the market participation and to help assess the strength of the Order Block.
💬 Show Percentage
%: Toggle to display the percentage of OB.
What it is: A boolean input to show or hide the percentage information for Order Blocks.
What it does: Displays the percentage information for Order Blocks on the chart.
How to use it: Check or uncheck the box to enable or disable.
Additional Info:
What it represents: The percentage displayed usually represents the proportion of price movement relative to the Order Block.
How it's calculated: This can be the percentage move from the start to the end of the Order Block or the retracement level that price has reached relative to the Order Block's range.
What it means: It helps traders understand the extent of price movement within the Order Block and can indicate the significance of the price level.
Why it's shown: To provide a clearer understanding of the price dynamics and the importance of the Order Block within the overall price movement.
Additional Information
Volume Example: If an Order Block forms over three candles with volumes of 100, 150, and 200, the total volume displayed for that Order Block would be 450.
Percentage Example: If the price moves from 100 to 110 within an Order Block, and the total range of the Order Block is from 100 to 120, the percentage shown might be 50% (since the price has moved halfway through the Order Block's range).
Liquidity Levels visuals:
📊 Liquidity Levels Input Settings
📊 Current Timeframe
TF #1🕑: Enable or disable the current timeframe.
What it is: A boolean input to toggle the use of the current timeframe.
What it does: Enables or disables the display of liquidity levels for the current timeframe.
How to use it: Check or uncheck the box to enable or disable.
📊 Higher Timeframe
Higher Timeframe: Select the higher timeframe for liquidity levels.
What it is: A dropdown to select the desired higher timeframe.
What it does: Sets the higher timeframe for liquidity levels.
How to use it: Choose a timeframe from the dropdown list.
📏 Liquidity Length Option
📏Liquidity Length: Select the length for liquidity levels.
What it is: A dropdown to choose between SHORT, MID, LONG, or CUSTOM.
What it does: Sets the length of swings for liquidity levels.
How to use it: Choose an option from the dropdown.
Additional Info: Default lengths are SHORT=10, MID=28, LONG=50.
🔧 Custom Liquidity Length
🔧custom: Specify a custom length for liquidity levels.
What it is: An integer input for setting a custom swing length.
What it does: Overrides the default liquidity lengths if set to CUSTOM.
How to use it: Enter a custom integer value (only shown when CUSTOM is selected).
📛 Mitigation Method
📛Mitigation (Method): Select the method for determining the mitigation of liquidity levels.
What it is: A dropdown to choose between Close and Wick.
What it does: Sets the criteria for when a liquidity level is considered mitigated.
How to use it: Choose an option from the dropdown.
Additional Info:
Wick: Level is mitigated when the price wicks through the level.
Close: Level is mitigated when the closing price is within the level.
📛 Display Mitigated Levels
-: Select to display or hide mitigated levels.
What it is: A dropdown to choose between Remove and Show.
What it does: Displays or hides mitigated liquidity levels.
How to use it: Choose an option from the dropdown.
Additional Info:
Remove: Hide mitigated levels.
Show: Display mitigated levels.
🔍 Max Buy Side Liquidity
🔍Max Buy Side Liquidity: Set the maximum number of Buy Side Liquidity Levels to display.
What it is: An integer input to set the maximum number of Buy Side Liquidity Levels.
What it does: Limits the number of Buy Side Liquidity Levels shown on the chart.
How to use it: Enter a value between 0 and 50.
🟦 Buy Side Liquidity Color
Buy Side Liquidity Color: Set the color for Buy Side Liquidity Levels.
What it is: A color picker to set the color of Buy Side Liquidity Levels.
What it does: Changes the color of Buy Side Liquidity Levels on the chart.
How to use it: Select a color from the color picker.
Additional Info:
Tooltip: Set the maximum number of Buy Side Liquidity Levels to display. Default: 5, Min: 1, Max: 50.
If liquidity levels are not displayed as expected, try increasing the max count.
🔍 Max Sell Side Liquidity
🔍Max Sell Side Liquidity: Set the maximum number of Sell Side Liquidity Levels to display.
What it is: An integer input to set the maximum number of Sell Side Liquidity Levels.
What it does: Limits the number of Sell Side Liquidity Levels shown on the chart.
How to use it: Enter a value between 0 and 50.
🟥 Sell Side Liquidity Color
Sell Side Liquidity Color: Set the color for Sell Side Liquidity Levels.
What it is: A color picker to set the color of Sell Side Liquidity Levels.
What it does: Changes the color of Sell Side Liquidity Levels on the chart.
How to use it: Select a color from the color picker.
Additional Info:
Tooltip: Set the maximum number of Sell Side Liquidity Levels to display. Default: 5, Min: 1, Max: 50.
If liquidity levels are not displayed as expected, try increasing the max count.
✂ Box Style (Height)
✂ Box Style (↕): Set the box height style for liquidity levels.
What it is: A float input to set the height of the boxes.
What it does: Adjusts the height of the boxes displaying liquidity levels.
How to use it: Enter a value between -50 and 50.
Additional Info: Default value is -5.
📏 Box Length
b: Set the box length of liquidity levels.
What it is: An integer input to set the length of the boxes.
What it does: Adjusts the length of the boxes displaying liquidity levels.
How to use it: Enter a value between 0 and 500.
Additional Info: Default value is 20.
⏭ Extend Liquidity Levels
Extend ⏭: Toggle to extend liquidity levels beyond the current range.
What it is: A boolean input to enable or disable the extension of liquidity levels.
What it does: Extends liquidity levels beyond their default range.
How to use it: Check or uncheck the box to enable or disable.
Additional Info: Extend liquidity levels beyond the current range.
💬 Text Options
💬 Text Options: Set text size and color for liquidity levels.
What it is: A dropdown to select text size and a color picker to choose text color.
What it does: Changes the size and color of the text displayed for liquidity levels.
How to use it: Select a size from the dropdown and a color from the color picker.
💬 Show Text
Text: Toggle to display text for liquidity levels.
What it is: A boolean input to show or hide the text for liquidity levels.
What it does: Displays the text information for liquidity levels on the chart.
How to use it: Check or uncheck the box to enable or disable.
💬 Show Volume
Volume: Toggle to display the volume of liquidity levels.
What it is: A boolean input to show or hide the volume information for liquidity levels.
What it does: Displays the volume information for liquidity levels on the chart.
How to use it: Check or uncheck the box to enable or disable.
Additional Info:
What it represents: The volume displayed represents the total trading volume that occurred during the formation of the liquidity level. This can indicate the level of participation or interest in that price level.
How it's calculated: The volume is the sum of all traded volumes within the candles that form the liquidity level.
What it means: Higher volume at a liquidity level may suggest stronger support or resistance. It shows the amount of trading activity and can be an indicator of the potential strength or validity of the liquidity level.
Why it's shown: To give traders an idea of the market participation and to help assess the strength of the liquidity level.
💬 Show Percentage
%: Toggle to display the percentage of liquidity levels.
What it is: A boolean input to show or hide the percentage information for liquidity levels.
What it does: Displays the percentage information for liquidity levels on the chart.
How to use it: Check or uncheck the box to enable or disable.
Additional Info:
What it represents: The percentage displayed usually represents the proportion of price movement relative to the liquidity level.
How it's calculated: This can be the percentage move from the start to the end of the liquidity level or the retracement level that price has reached relative to the liquidity level's range.
What it means: It helps traders understand the extent of price movement within the liquidity level and can indicate the significance of the price level.
Why it's shown: To provide a clearer understanding of the price dynamics and the importance of the liquidity level within the overall price movement.
Fair Value Gaps visuals:
📊 Fair Value Gaps Input Settings
📊 Show FVG
TF #1🕑: Enable or disable Fair Value Gaps for Timeframe 1.
What it is: A boolean input to toggle the display of Fair Value Gaps.
What it does: Shows or hides Fair Value Gaps on the chart.
How to use it: Check or uncheck the box to enable or disable.
📊 Select Timeframe
Timeframe: Select the timeframe for Fair Value Gaps.
What it is: A dropdown to select the desired timeframe.
What it does: Sets the timeframe for Fair Value Gaps.
How to use it: Choose a timeframe from the dropdown list.
Additional Info: Higher TF Chart & Lower TF Setting or Lower TF Chart & Higher TF Setting.
📛 FVG Break Method
📛FVG Break (Method): Select the method for determining when an FVG is mitigated.
What it is: A dropdown to choose between Touch, Wicks, Close, or Average.
What it does: Sets the criteria for when a Fair Value Gap is considered mitigated.
How to use it: Choose an option from the dropdown.
Additional Info:
Touch: FVG is mitigated when the price touches the gap.
Wicks: FVG is mitigated when the price wicks through the gap.
Close: FVG is mitigated when the closing price is within the gap.
Average: FVG is mitigated when the average price (average of high and low) is within the gap.
📛 Show Mitigated FVG
show: Toggle to display mitigated FVGs.
What it is: A boolean input to show or hide mitigated Fair Value Gaps.
What it does: Displays or hides mitigated Fair Value Gaps.
How to use it: Check or uncheck the box to enable or disable.
📛 Fill FVG
Fill: Toggle to fill Fair Value Gaps.
What it is: A boolean input to fill the Fair Value Gaps with color.
What it does: Adds a color fill to the Fair Value Gaps.
How to use it: Check or uncheck the box to enable or disable.
📛 Shade FVG
Shade: Toggle to shade Fair Value Gaps.
What it is: A boolean input to shade the Fair Value Gaps.
What it does: Adds a shade effect to the Fair Value Gaps.
How to use it: Check or uncheck the box to enable or disable.
Additional Info: Select the method to break FVGs and toggle the visibility of FVG Breaks (fill FVG and/or shade FVG).
🔍 Max Bullish FVG
🔍Max Bullish FVG: Set the maximum number of Bullish Fair Value Gaps to display.
What it is: An integer input to set the maximum number of Bullish Fair Value Gaps.
What it does: Limits the number of Bullish Fair Value Gaps shown on the chart.
How to use it: Enter a value between 0 and 50.
🔍 Max Bearish FVG
🔍Max Bearish FVG: Set the maximum number of Bearish Fair Value Gaps to display.
What it is: An integer input to set the maximum number of Bearish Fair Value Gaps.
What it does: Limits the number of Bearish Fair Value Gaps shown on the chart.
How to use it: Enter a value between 0 and 50.
🟥 Bearish FVG Color
Bearish FVG Color: Set the color for Bearish Fair Value Gaps.
What it is: A color picker to set the color of Bearish Fair Value Gaps.
What it does: Changes the color of Bearish Fair Value Gaps on the chart.
How to use it: Select a color from the color picker.
Additional Info:
Tooltip: Set the maximum number of Bearish Fair Value Gaps to display. Default: 5, Min: 1, Max: 50.
If Fair Value Gaps are not displayed as expected, try increasing the max count.
🟦 Bullish FVG Color
Bullish FVG Color: Set the color for Bullish Fair Value Gaps.
What it is: A color picker to set the color of Bullish Fair Value Gaps.
What it does: Changes the color of Bullish Fair Value Gaps on the chart.
How to use it: Select a color from the color picker.
Additional Info:
Tooltip: Set the maximum number of Bullish Fair Value Gaps to display. Default: 5, Min: 1, Max: 50.
If Fair Value Gaps are not displayed as expected, try increasing the max count.
📏 FVG Range
↔ FVG Range: Set the range for Fair Value Gaps.
What it is: An integer input to set the range of the Fair Value Gaps.
What it does: Adjusts the range of the Fair Value Gaps displayed.
How to use it: Enter a value between 0 and 100.
Additional Info: Adjustable length only works when both RANGE & EXTEND display OFF. Range=current price, Extend=Full Range.
⏭ Extend FVG
Extend⏭: Toggle to extend Fair Value Gaps beyond the current range.
What it is: A boolean input to enable or disable the extension of Fair Value Gaps.
What it does: Extends Fair Value Gaps beyond their default range.
How to use it: Check or uncheck the box to enable or disable.
⏯ FVG Range
Range⏯: Toggle the range of Fair Value Gaps.
What it is: A boolean input to enable or disable the range display for Fair Value Gaps.
What it does: Sets the range of Fair Value Gaps displayed.
How to use it: Check or uncheck the box to enable or disable.
↕ Max Width
↕ Max Width: Set the maximum width of Fair Value Gaps.
What it is: A float input to set the maximum width of Fair Value Gaps.
What it does: Limits the width of Fair Value Gaps as a percentage of the price range.
How to use it: Enter a value between 0 and 5.0.
Additional Info: FVGs wider than this value will be ignored.
♻ Filter FVG
Filter FVG ♻: Toggle to filter out small Fair Value Gaps.
What it is: A boolean input to filter out small Fair Value Gaps.
What it does: Ignores Fair Value Gaps smaller than the specified max width.
How to use it: Check or uncheck the box to enable or disable.
➖ Mid Line Style
➖Mid Line Style: Select the style of the mid line for Fair Value Gaps.
What it is: A dropdown to choose between Solid, Dashed, or Dotted.
What it does: Sets the style of the mid line within Fair Value Gaps.
How to use it: Choose an option from the dropdown.
🎨 Mid Line Color
Mid Line Color: Set the color for the mid line within Fair Value Gaps.
What it is: A color picker to set the color of the mid line.
What it does: Changes the color of the mid line within Fair Value Gaps.
How to use it: Select a color from the color picker.
Additional Information
Mitigation Methods: Each method (Touch, Wicks, Close, Average) provides different criteria for when a Fair Value Gap is considered mitigated, helping traders to understand the dynamics of price movements within gaps.
Volume and Percentage: Displaying volume and percentage information for Fair Value Gaps helps traders gauge the strength and significance of these gaps in relation to trading activity and price movements.
Trendlines visuals:
📊 Trendlines Input Settings
📊 Show Trendlines
Trendlines & Trendlines Difference(%) ↕: Enable or disable trendlines and set the percentage difference from the first trendline.
What it is: A boolean input to toggle the display of trendlines.
What it does: Shows or hides trendlines on the chart and allows setting a percentage difference from the first trendline.
How to use it: Check or uncheck the box to enable or disable.
Additional Info: The percentage difference determines the distance of the second trendline from the first one.
📏 Trendline Length Option
📏Trendline Length: Select the length for trendlines.
What it is: A dropdown to choose between SHORT, MID, LONG, or CUSTOM.
What it does: Sets the length of trendlines.
How to use it: Choose an option from the dropdown.
Additional Info: Default lengths are SHORT=50, MID=100, LONG=200.
🔧 Custom Trendline Length
🔧custom: Specify a custom length for trendlines.
What it is: An integer input for setting a custom trendline length.
What it does: Overrides the default trendline lengths if set to CUSTOM.
How to use it: Enter a custom integer value (only shown when CUSTOM is selected).
🔍 Max Bearish Trendlines
🔍Max Trendlines Bearish: Set the maximum number of bearish trendlines to display.
What it is: A dropdown to select the maximum number of bearish trendlines.
What it does: Limits the number of bearish trendlines shown on the chart.
How to use it: Choose a value from the dropdown (2-20).
🟩 Bearish Trendline Color
Bearish Trendline Color: Set the color for bearish trendlines.
What it is: A color picker to set the color of bearish trendlines.
What it does: Changes the color of bearish trendlines on the chart.
How to use it: Select a color from the color picker.
Additional Info: Adjust to control how many bearish trendlines are displayed.
🔍 Max Bullish Trendlines
🔍Max Trendlines Bullish: Set the maximum number of bullish trendlines to display.
What it is: A dropdown to select the maximum number of bullish trendlines.
What it does: Limits the number of bullish trendlines shown on the chart.
How to use it: Choose a value from the dropdown (2-20).
🟥 Bullish Trendline Color
Bullish Trendline Color: Set the color for bullish trendlines.
What it is: A color picker to set the color of bullish trendlines.
What it does: Changes the color of bullish trendlines on the chart.
How to use it: Select a color from the color picker.
Additional Info: Adjust to control how many bullish trendlines are displayed.
📐 Degrees Text
📐Degrees ° (💬 Size): Enable or disable degrees text and set its size and color.
What it is: A boolean input to show or hide the degrees text for trendlines.
What it does: Displays the degrees text for trendlines.
How to use it: Check or uncheck the box to enable or disable.
📏 Text Size for Degrees
Text Size: Set the text size for degrees on trendlines.
What it is: A dropdown to select the size of the degrees text.
What it does: Changes the size of the degrees text displayed for trendlines.
How to use it: Choose a size from the dropdown (XS, S, M, L, XL).
🎨 Degrees Text Color
Degrees Text Color: Set the color for the degrees text on trendlines.
What it is: A color picker to set the color of the degrees text.
What it does: Changes the color of the degrees text on the chart.
How to use it: Select a color from the color picker.
♻ Filter Degrees
♻ Filter Degrees °: Enable or disable angle filtering and set the angle range.
What it is: A boolean input to filter trendlines by their angle.
What it does: Shows only trendlines within a specified angle range.
How to use it: Check or uncheck the box to enable or disable.
Additional Info: Angles outside this range will be filtered out.
🔢 Angle Range
Angle Range: Set the angle range for filtering trendlines.
What it is: Two float inputs to set the minimum and maximum angle for trendlines.
What it does: Defines the range of angles for which trendlines will be shown.
How to use it: Enter values for the minimum and maximum angles.
➖ Line Style
➖Style #1 & #2: Select the style of the primary and secondary trendlines.
What it is: Two dropdowns to choose between Solid, Dashed, or Dotted for the trendlines.
What it does: Sets the style of the primary and secondary trendlines.
How to use it: Choose a style from each dropdown.
📏 Line Thickness
: Set the thickness for the trendlines.
What it is: An integer input to set the thickness of the trendlines.
What it does: Adjusts the thickness of the trendlines displayed on the chart.
How to use it: Enter a value between 1 and 5.
Additional Information
Trendline Percentage Difference: Setting a percentage difference helps in analyzing the relative position and angle of trendlines.
Filtering by Angle: This feature allows focusing on trendlines within a specific angle range, enhancing the clarity of trend analysis.
BOS & CHOCH Market Structure visuals:
📊 BOS & CHOCH Market Structure Input Settings
📏 Market Structure Length Option
📏Market Structure: Select the market structure length option.
What it is: A dropdown to choose between INTERNAL, EXTERNAL, ALL, CUSTOM, or NONE.
What it does: Sets the type of market structure to be displayed.
How to use it: Choose an option from the dropdown.
Additional Info:
INTERNAL: Only internal structure.
EXTERNAL: Only external structure.
ALL: Both internal and external structures.
CUSTOM: Custom lengths.
NONE: No structure.
🔧 Custom Internal Length
🔧Custom Internal: Specify a custom length for internal market structure.
What it is: An integer input for setting a custom internal length.
What it does: Defines the length of internal market structures if CUSTOM is selected.
How to use it: Enter a custom integer value (only shown when CUSTOM is selected).
💬 Internal Label Size
💬Internal Label Size: Set the label size for internal market structures.
What it is: A dropdown to select the size of the labels.
What it does: Changes the size of the labels for internal market structures.
How to use it: Choose a size from the dropdown (XS, S, M, L, XL).
🟩 Internal Bullish Color
Internal Bullish Color: Set the color for bullish internal market structures.
What it is: A color picker to set the color of bullish internal market structures.
What it does: Changes the color of bullish internal market structures on the chart.
How to use it: Select a color from the color picker.
🟥 Internal Bearish Color
Internal Bearish Color: Set the color for bearish internal market structures.
What it is: A color picker to set the color of bearish internal market structures.
What it does: Changes the color of bearish internal market structures on the chart.
How to use it: Select a color from the color picker.
🔧 Custom External Length
🔧Custom External: Specify a custom length for external market structure.
What it is: An integer input for setting a custom external length.
What it does: Defines the length of external market structures if CUSTOM is selected.
How to use it: Enter a custom integer value (only shown when CUSTOM is selected).
💬 External Label Size
💬External Label Size: Set the label size for external market structures.
What it is: A dropdown to select the size of the labels.
What it does: Changes the size of the labels for external market structures.
How to use it: Choose a size from the dropdown (XS, S, M, L, XL).
🟩 External Bullish Color
External Bullish Color: Set the color for bullish external market structures.
What it is: A color picker to set the color of bullish external market structures.
What it does: Changes the color of bullish external market structures on the chart.
How to use it: Select a color from the color picker.
🟥 External Bearish Color
External Bearish Color: Set the color for bearish external market structures.
What it is: A color picker to set the color of bearish external market structures.
What it does: Changes the color of bearish external market structures on the chart.
How to use it: Select a color from the color picker.
📐 Show Equal Highs and Lows
EQL & EQH📐: Toggle visibility for equal highs and lows.
What it is: A boolean input to show or hide equal highs and lows.
What it does: Displays or hides equal highs and lows on the chart.
How to use it: Check or uncheck the box to enable or disable.
📏 Equal Highs and Lows Threshold
Equal Highs and Lows Threshold: Set the threshold for equal highs and lows.
What it is: A float input to set the threshold for equal highs and lows.
What it does: Defines the range within which highs and lows are considered equal.
How to use it: Enter a value between 0 and 10.
💬 Label Size for Equal Highs and Lows
💬Label Size for Equal Highs and Lows: Set the label size for equal highs and lows.
What it is: A dropdown to select the size of the labels.
What it does: Changes the size of the labels for equal highs and lows.
How to use it: Choose a size from the dropdown (XS, S, M, L, XL).
🟩 Bullish Color for Equal Highs and Lows
Bullish Color for Equal Highs and Lows: Set the color for bullish equal highs and lows.
What it is: A color picker to set the color of bullish equal highs and lows.
What it does: Changes the color of bullish equal highs and lows on the chart.
How to use it: Select a color from the color picker.
🟥 Bearish Color for Equal Highs and Lows
Bearish Color for Equal Highs and Lows: Set the color for bearish equal highs and lows.
What it is: A color picker to set the color of bearish equal highs and lows.
What it does: Changes the color of bearish equal highs and lows on the chart.
How to use it: Select a color from the color picker.
📏 Show Swing Points
Swing Points📏: Toggle visibility for swing points.
What it is: A boolean input to show or hide swing points.
What it does: Displays or hides swing points on the chart.
How to use it: Check or uncheck the box to enable or disable.
📏 Swing Points Length Option
Swing Points Length Option: Select the length for swing points.
What it is: A dropdown to choose between SHORT, MID, LONG, or CUSTOM.
What it does: Sets the length of swing points.
How to use it: Choose an option from the dropdown.
Additional Info: Default lengths are SHORT=10, MID=28, LONG=50.
💬 Swing Points Label Size
💬Swing Points Label Size: Set the label size for swing points.
What it is: A dropdown to select the size of the labels.
What it does: Changes the size of the labels for swing points.
How to use it: Choose a size from the dropdown (XS, S, M, L, XL).
🎨 Swing Points Color
Swing Points Color: Set the color for swing points.
What it is: A color picker to set the color of swing points.
What it does: Changes the color of swing points on the chart.
How to use it: Select a color from the color picker.
🔧 Custom Swing Points Length
🔧Custom Swings: Specify a custom length for swing points.
What it is: An integer input for setting a custom length for swing points.
What it does: Defines the length of swing points if CUSTOM is selected.
How to use it: Enter a custom integer value (only shown when CUSTOM is selected).
Additional Information
Market Structure Types: Understanding internal and external structures helps in analyzing different market behaviors.
Equal Highs and Lows: This feature identifies areas where price action is balanced, which can be significant for trading strategies.
Swing Points: Highlighting swing points aids in recognizing significant market reversals or continuations.
Benefits
Enhance your trading strategy by visualizing smart money's influence on price movements.
Make informed decisions with real-time data on significant market structures.
Reduce manual analysis with automated detection of key trading signals.
Ideal For
Traders looking for an edge in forex, equities, and cryptocurrency markets by understanding the underlying forces driving market dynamics.
Acknowledgements
Special thanks to these amazing creators for inspiration and their creations:
I want to thank these amazing creators for creating there amazing indicators , that inspired me and also gave me a head start by making this indicator! Without their amazing indicators it wouldn't be possible!
Flux Charts: Volumized Order Blocks
LuxAlgo: Trend Lines
UAlgo: Fair Value Gaps (FVG)
By Leviathan: Market Structure
Sonarlab: Liquidity Levels
Note
Remember to always backtest the indicator first before integrating it into your strategy! For any questions about the indicator, please feel free to ask for assistance.
Cerca negli script per "bear"
FVG (ICT) with Swing LevelsThis indicator, called "Fair Value Gaps (ICT) with Swing Levels", overlays on the main chart and does the following:
Initial Setup:
It defines user-adjustable parameters:
lookback: Lookback period to keep FVGs visible.
swingPeriod: Period for calculating swing highs and lows.
bullColor and bearColor: Colors for bullish and bearish FVGs.
Fair Value Gaps (FVGs) Detection:
Uses a function to identify FVGs by comparing candle high and low prices.
A bullish FVG forms when the low of two candles ago is higher than the high of the current candle.
A bearish FVG forms when the high of two candles ago is lower than the low of the current candle.
Swing Levels Calculation:
Calculates swing highs and lows over the specified period.
These swing levels define the current market range.
Current Range Verification:
Implements a function to check if an FVG is within the range defined by swing levels.
This ensures only the most relevant FVGs for the current market situation are displayed.
FVG Drawing:
When it detects an FVG (bullish or bearish) within the current range, it draws a box on the chart.
Boxes extend from the bar where the FVG formed to the current bar.
Bullish FVGs are drawn in green and bearish in red (colors are customizable).
Old FVGs Management:
On each new bar, the indicator checks all existing FVG boxes.
It removes boxes that are outside the specified lookback period.
It also removes boxes that are no longer within the current range of swing levels.
Swing Levels Visualization:
Draws lines on the chart to show swing highs (in blue) and swing lows (in purple).
These lines help visualize the current market range.
Continuous Update:
The indicator updates on each new candle, constantly refreshing FVGs and swing levels.
In summary, this indicator identifies and visualizes Fair Value Gaps according to the ICT methodology, filtering them based on higher timeframe swing levels. This helps traders focus on the most significant FVGs within the current market context, reducing visual noise and potentially improving trading decision-making.
Market Structure Targets Model [LuxAlgo]The Market Structure Targets Model indicator provides an algorithmic approach to setting targets from market structure shifts (MSS) and market structure breaks (MSB), two popular Smart Money Concept (SMC) concepts. Depending on the target % settings, they can be used as take profit, confirmation levels, or potential reversal points.
🔶 USAGE
Our Market Structure Targets Model scripts provide automated and customizable targets from MSS and MSB. Each displayed target can be used in several ways described in the sub-sections below:
🔹 Take Profit
The targets can be used as take profit levels, where the target distance can be set separately for bullish/bearish MSS/MSB respectively.
🔹 Confirmation Levels
Alternatively, targets can be used as an additional confirmation level of a trend reversal when set at a lower percentage, filtering out fake signals that might be given from market structures. In this way, targets can be used as potential entry levels.
🔹 Potential Reversal Points
In some circumstances, targets being reached can be indicative of trend reversals. The percentage of the targets would be typically set higher to allow for trend exhaustion.
The above examples highlight this usage for bearish reversal scenarios, while the image below highlights it for bullish reversal scenarios.
🔹 Support/Resistance Levels
The targets, being horizontal levels, can also serve as potential support/resistances, with breakouts potentially confirming new trends. It is important to remain observant of the market structure. An MSS or MSB in the opposite direction provides essential information to be included in future decisions.
Using multiple timeframes can help detect longer-term trends. Depending on the user's preference, they can choose the appropriate timeframe for their needs.
Note that Target lines will only be drawn when the Target Level exceeds the close value when it is drawn.
🔹 Maximum Target Duration
The Maximum Target Duration setting removes unreached target levels when the amount of bars since the associated market structure of that target exceeds the user set limit. This effectively allows the removal of any target that might no longer be relevant to newer trends.
🔹 Type: Switch/Hold
This setting is another way to control unreached target levels.
Switch: When a new MSS/MSB is found, the previous target level associated with a market structure with the same direction (bullish/bearish) is deleted if it hasn't been reached.
Hold: Target levels are retained and continuously evaluated when a new MSS/MSB is formed.
The target level will be removed in both cases when the Maximum Target Duration condition is applied.
The above example shows the case when the Type setting is set to Switch , while in the example below, it is set to Hold .
🔶 DETAILS
🔹 Market Structure
Market structures are commonly classified as follows:
Market Structure Shift (MSS), also referred to as Change of Character (CHoCH)
Market Structure Break (MSB), also referred to as Break of Structure (BOS)
MSS indicates a shift in the market trend, confirming trend reversals. Conversely, MSB occurs once a trend is already determined, confirming new higher highs/lower lows.
🔹 Targets
A: Highest/lowest between the extremities of the MSS/MSB line
B: Price value of the MSS/MSB line
The distance between A and B is projected on the opposite side of the MSS/MSB line, adjusted with a percentage that can be set by the user. The above example used 100% of the distance between A and B.
The Target Percentage of MSS and MSB can be set separately for bullish or bearish market structures.
🔶 SETTINGS
Swings: Period used for the swing detection, with higher values returning longer-term Swing Levels.
Type: the Switch/Hold setting controls unattained target levels
Maximum Target Duration: removes the target lines when the amount of bars since the drawing of the target exceeds the limit and the target has not been reached
🔹 Market Structure Shift (MSS)
Bullish: Toggle, color setting, % Target
Bearish: Toggle, color setting, % Target
🔹 Market Structure Break (MSB)
Bullish: Toggle, color setting, % Target
Bearish: Toggle, color setting, % Target
VolumeSpreadAnalysisLibrary "VolumeSpreadAnalysis"
A library for Volume Spread Analysis (VSA).
spread(_barIndex)
Calculates the spread of a bar.
Parameters:
_barIndex (int) : (int) The index of the bar.
Returns: (float) The spread of the bar.
volume(_barIndex)
Retrieves the volume of a bar.
Parameters:
_barIndex (int) : (int) The index of the bar.
Returns: (float) The volume of the bar.
body(_barIndex)
Calculates the body of a bar.
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (float) The body size of the bar.
wickUpper(_barIndex)
Calculates the upper wick of a bar (upper shadow).
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (float) The upper wick size of the bar.
wickLower(_barIndex)
Calculates the lower wick of a bar (lower shadow).
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (float) The lower wick size of the bar.
calcForecastedSMA(_source, _length, _forecastedLevel)
Calculates the forecasted Simple Moving Average (SMA).
Parameters:
_source (float) : (series float) Source data for calculation.
_length (simple int) : (int) The length of the SMA.
_forecastedLevel (float) : (float) The forecasted level to include in the calculation.
Returns: (float) The forecasted SMA value.
calcForecastedEMA(_source, _length, _forecastedLevel)
Calculates the forecasted Exponential Moving Average (EMA).
Parameters:
_source (float) : (series float) Source data for calculation.
_length (simple int) : (int) The length of the EMA.
_forecastedLevel (float) : (float) The forecasted level to include in the calculation.
Returns: (float) The forecasted EMA value.
calcForecastedRMA(_source, _length, _forecastedLevel)
Calculates the forecasted Relative Moving Average (RMA).
Parameters:
_source (float) : (series float) Source data for calculation.
_length (simple int) : (int) The length of the RMA.
_forecastedLevel (float) : (float) The forecasted level to include in the calculation.
Returns: (float) The forecasted RMA value.
calcForecastedWMA(_source, _length, _forecastedLevel)
Calculates the forecasted Weighted Moving Average (WMA).
Parameters:
_source (float) : (series float) Source data for calculation.
_length (simple int) : (int) The length of the WMA.
_forecastedLevel (float) : (float) The forecasted level to include in the calculation.
Returns: (float) The forecasted WMA value.
calcElapsedTimePercent()
Calculates the elapsed time percent of the current bar.
Returns: (float) The elapsed time percent.
calcForecastedSpread(multiplierAtMidpoints, multiplierAtPeaks)
Calculates the forecasted spread using elapsed time and dynamic multipliers, handling spread's non-linear nature.
Parameters:
multiplierAtMidpoints (float) : (float) The multiplier value at midpoints.
multiplierAtPeaks (float) : (float) The multiplier value at peaks.
Returns: (float) The forecasted spread value.
calcForecastedVolume()
Calculates the forecasted volume using elapsed time, satisfying volume's linear nature.
Returns: (float) The forecasted volume value.
calcForecastedMA(_source, _length, _forecastedSource, _type)
Calculates the forecasted Moving Average (MA) based on the specified type.
Parameters:
_source (float) : (series float) Source data for calculation.
_length (simple int) : (int) The length of the MA.
_forecastedSource (float) : (float) The forecasted level to include in the calculation.
_type (simple string) : (string) The type of the MA ("SMA", "EMA", "SMMA (RMA)", "WMA").
Returns: (float) The forecasted MA value.
calcMA(_source, _length, _type)
Calculates the Moving Average (MA) based on the specified type.
Parameters:
_source (float) : (series float) Source data for calculation.
_length (simple int) : (int) The length of the MA.
_type (simple string) : (string) The type of the MA ("SMA", "EMA", "SMMA (RMA)", "WMA").
Returns: (float) The MA value.
bullBar(_barIndex)
Determines if the bar is bullish.
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (bool) True if the bar is bullish, otherwise false.
bearBar(_barIndex)
Determines if the bar is bearish.
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (bool) True if the bar is bearish, otherwise false.
breakout(_barIndex)
Determines if there is a breakout above the previous bar.
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (bool) True if there is a breakout, otherwise false.
breakdown(_barIndex)
Determines if there is a breakdown below the previous bar.
Parameters:
_barIndex (simple int) : (int) The index of the bar.
Returns: (bool) True if there is a breakdown, otherwise false.
rejectionWickUpper(_rejectionWick)
Determines if the upper wick is a rejection wick.
Parameters:
_rejectionWick (simple float) : (float) The rejection wick percentage.
Returns: (bool) True if the upper wick is a rejection wick, otherwise false.
rejectionWickLower(_rejectionWick)
Determines if the lower wick is a rejection wick.
Parameters:
_rejectionWick (simple float) : (float) The rejection wick percentage.
Returns: (bool) True if the lower wick is a rejection wick, otherwise false.
setupDataVolume(_data, _mult_Low, _mult_High, _mult_Ultra, _maLengthVolume, _maTypeVolume)
Sets up data for volume levels.
Parameters:
_data (map) : (map) The map to store the levels.
_mult_Low (simple float) : (float) The multiplier for low level.
_mult_High (simple float) : (float) The multiplier for high level.
_mult_Ultra (simple float) : (float) The multiplier for ultra level.
_maLengthVolume (simple int) : (int) The length for MA.
_maTypeVolume (simple string) : (string) The type for MA.
Returns: (void) Nothing.
setupDataSpread(_data, _mult_Low, _mult_High, _mult_Ultra, _maLengthSpread, _maTypeSpread)
Sets up data for spread levels.
Parameters:
_data (map) : (map) The map to store the levels.
_mult_Low (simple float) : (float) The multiplier for low level.
_mult_High (simple float) : (float) The multiplier for high level.
_mult_Ultra (simple float) : (float) The multiplier for ultra level.
_maLengthSpread (simple int) : (int) The length for MA.
_maTypeSpread (simple string) : (string) The type for MA.
Returns: (void) Nothing.
setupDataForecastVolume(_dataForecast, _mult_Low, _mult_High, _mult_Ultra, _maLengthVolume, _predictedLevelVolume, _maTypeVolume)
Sets up data for volume and spread levels for forecast.
Parameters:
_dataForecast (map)
_mult_Low (simple float) : (float) The multiplier for low level.
_mult_High (simple float) : (float) The multiplier for high level.
_mult_Ultra (simple float) : (float) The multiplier for ultra level.
_maLengthVolume (simple int) : (int) The length for MA.
_predictedLevelVolume (float) : (float) The predicted level for MA.
_maTypeVolume (simple string) : (string) The type for MA.
Returns: (void) Nothing.
setupDataForecastSpread(_dataForecast, _mult_Low, _mult_High, _mult_Ultra, _maLengthSpread, _predictedLevelSpread, _maTypeSpread)
Sets up data for spread levels for forecast.
Parameters:
_dataForecast (map)
_mult_Low (simple float) : (float) The multiplier for low level.
_mult_High (simple float) : (float) The multiplier for high level.
_mult_Ultra (simple float) : (float) The multiplier for ultra level.
_maLengthSpread (simple int) : (int) The length for MA.
_predictedLevelSpread (float) : (float) The predicted level for MA.
_maTypeSpread (simple string) : (string) The type for MA.
Returns: (void) Nothing.
isVolumeLow(_data, _barIndex)
Determines if the volume is low.
Parameters:
_data (map) : (map) The data map with volume levels.
_barIndex (int)
Returns: (bool) True if the volume is low, otherwise false.
isVolumeNormal(_data, _barIndex)
Determines if the volume is normal.
Parameters:
_data (map) : (map) The data map with volume levels.
_barIndex (int)
Returns: (bool) True if the volume is normal, otherwise false.
isVolumeHigh(_data, _barIndex)
Determines if the volume is high.
Parameters:
_data (map) : (map) The data map with volume levels.
_barIndex (int)
Returns: (bool) True if the volume is high, otherwise false.
isVolumeUltra(_data, _barIndex)
Determines if the volume is ultra.
Parameters:
_data (map) : (map) The data map with volume levels.
_barIndex (int)
Returns: (bool) True if the volume is ultra, otherwise false.
isSpreadLow(_data, _barIndex)
Determines if the spread is low.
Parameters:
_data (map) : (map) The data map with spread levels.
_barIndex (int)
Returns: (bool) True if the spread is low, otherwise false.
isSpreadNormal(_data, _barIndex)
Determines if the spread is normal.
Parameters:
_data (map) : (map) The data map with spread levels.
_barIndex (int)
Returns: (bool) True if the spread is normal, otherwise false.
isSpreadHigh(_data, _barIndex)
Determines if the spread is high.
Parameters:
_data (map) : (map) The data map with spread levels.
_barIndex (int)
Returns: (bool) True if the spread is high, otherwise false.
isSpreadUltra(_data, _barIndex)
Determines if the spread is ultra.
Parameters:
_data (map) : (map) The data map with spread levels.
_barIndex (int)
Returns: (bool) True if the spread is ultra, otherwise false.
isVolumeText(_data)
Determines text string representing the volume area level.
Parameters:
_data (map) : (map) The data map with volume levels.
Returns: (string) Text string of Low, Normal, High, or Ultra.
isSpreadText(_data)
Determines text string representing the spread area level.
Parameters:
_data (map) : (map) The data map with spread levels.
Returns: (string) Text string of Low, Normal, High, or Ultra.
calcBarColor(_value, _level)
Calculates the color based level.
Parameters:
_value (float) : (float) The value to check.
_level (float) : (float) The value level for comparison.
Returns: (color) The color for the bar.
bullPinBar(_maxBodyPercent, _minWickPercent)
Determines if the bar is a bull pin bar.
Parameters:
_maxBodyPercent (simple float) : (float) The maximum body percentage.
_minWickPercent (simple float) : (float) The minimum wick percentage.
Returns: (bool) True if the bar is a bull pin bar, otherwise false.
bearPinBar(_maxBodyPercent, _minWickPercent)
Determines if the bar is a bear pin bar.
Parameters:
_maxBodyPercent (simple float) : (float) The maximum body percentage.
_minWickPercent (simple float) : (float) The minimum wick percentage.
Returns: (bool) True if the bar is a bear pin bar, otherwise false.
dojiBar(_maxBodyPercent)
Determines if the bar is a doji.
Parameters:
_maxBodyPercent (simple float) : (float) The maximum body percentage.
Returns: (bool) True if the bar is a doji, otherwise false.
spinningTopBar(_minWicksPercent, _emaLength)
Determines if the bar is a spinning top.
Parameters:
_minWicksPercent (simple float) : (float) The minimum wicks percentage.
_emaLength (simple int) : (int) The length for EMA calculation.
Returns: (bool) True if the bar is a spinning top, otherwise false.
highWaveBar(_minBodyPercent, _minWickPercent, _bars)
Determines if the bar is a high wave bar.
Parameters:
_minBodyPercent (simple float) : (float) The minimum body percentage.
_minWickPercent (simple float) : (float) The minimum wick percentage.
_bars (simple int) : (int) The number of bars for comparison.
Returns: (bool) True if the bar is a high wave bar, otherwise false.
consolidationBar(_data, _spread, _bars)
Determines if the bars are in consolidation.
Parameters:
_data (map) : (map) The data map with spread levels.
_spread (simple float) : (float) The spread percentage for comparison.
_bars (simple int) : (int) The number of bars for comparison.
Returns: (bool) True if the bars are in consolidation, otherwise false.
S_DownThrust(_data, _bullPinBarMaxBody, _bullPinBarMinWick)
Determines if there is a sign of strength (DownThrust).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_bullPinBarMaxBody (simple float) : (float) The maximum body percentage for bull pin bar.
_bullPinBarMinWick (simple float) : (float) The minimum wick percentage for bull pin bar.
Returns: (bool) True if there is a sign of strength (DownThrust), otherwise false.
S_SellingClimax(_data, _rejectionWick)
Determines if there is a sign of strength (Selling Climax).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_rejectionWick (simple float) : (float) The rejection wick percentage.
Returns: (bool) True if there is a sign of strength (Selling Climax), otherwise false.
S_NoEffortBearishResult()
Determines if there is a sign of strength (No Effort Bearish Result).
Returns: (bool) True if there is a sign of strength (No Effort Bearish Result), otherwise false.
S_BearishEffortNoResult()
Determines if there is a sign of strength (Bearish Effort No Result).
Returns: (bool) True if there is a sign of strength (Bearish Effort No Result), otherwise false.
S_InverseDownThrust(_data, _bearPinBarMaxBody, _bearPinBarMinWick)
Determines if there is a sign of strength (Inverse DownThrust).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_bearPinBarMaxBody (simple float) : (float) The maximum body percentage for bear pin bar.
_bearPinBarMinWick (simple float) : (float) The minimum wick percentage for bear pin bar.
Returns: (bool) True if there is a sign of strength (Inverse DownThrust), otherwise false.
S_FailedSellingClimax()
Determines if there is a sign of strength (Failed Selling Climax).
Returns: (bool) True if there is a sign of strength (Failed Selling Climax), otherwise false.
S_BullOutsideReversal(_data)
Determines if there is a sign of strength (Bull Outside Reversal).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
Returns: (bool) True if there is a sign of strength (Bull Outside Reversal), otherwise false.
S_EndOfFallingMarket(_data)
Determines if there is a sign of strength (End of Falling Market).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
Returns: (bool) True if there is a sign of strength (End of Falling Market), otherwise false.
S_PseudoDownThrust(_bullPinBarMaxBody, _bullPinBarMinWick)
Determines if there is a sign of strength (Pseudo DownThrust).
Parameters:
_bullPinBarMaxBody (simple float) : (float) The maximum body percentage for bull pin bar.
_bullPinBarMinWick (simple float) : (float) The minimum wick percentage for bull pin bar.
Returns: (bool) True if there is a sign of strength (Pseudo DownThrust), otherwise false.
S_NoSupply(_bullPinBarMaxBody, _bullPinBarMinWick)
Determines if there is a sign of strength (No Supply).
Parameters:
_bullPinBarMaxBody (simple float) : (float) The maximum body percentage for bull pin bar.
_bullPinBarMinWick (simple float) : (float) The minimum wick percentage for bull pin bar.
Returns: (bool) True if there is a sign of strength (No Supply), otherwise false.
W_UpThrust(_data, _bearPinBarMaxBody, _bearPinBarMinWick)
Determines if there is a sign of weakness (UpThrust).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_bearPinBarMaxBody (simple float) : (float) The maximum body percentage for bear pin bar.
_bearPinBarMinWick (simple float) : (float) The minimum wick percentage for bear pin bar.
Returns: (bool) True if there is a sign of weakness (UpThrust), otherwise false.
W_BuyingClimax(_data, _rejectionWick)
Determines if there is a sign of weakness (Buying Climax).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_rejectionWick (simple float) : (float) The rejection wick percentage.
Returns: (bool) True if there is a sign of weakness (Buying Climax), otherwise false.
W_NoEffortBullishResult()
Determines if there is a sign of weakness (No Effort Bullish Result).
Returns: (bool) True if there is a sign of weakness (No Effort Bullish Result), otherwise false.
W_BullishEffortNoResult()
Determines if there is a sign of weakness (Bullish Effort No Result).
Returns: (bool) True if there is a sign of weakness (Bullish Effort No Result), otherwise false.
W_InverseUpThrust(_data, _bullPinBarMaxBody, _bullPinBarMinWick)
Determines if there is a sign of weakness (Inverse UpThrust).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_bullPinBarMaxBody (simple float) : (float) The maximum body percentage for bull pin bar.
_bullPinBarMinWick (simple float) : (float) The minimum wick percentage for bull pin bar.
Returns: (bool) True if there is a sign of weakness (Inverse UpThrust), otherwise false.
W_FailedBuyingClimax()
Determines if there is a sign of weakness (Failed Buying Climax).
Returns: (bool) True if there is a sign of weakness (Failed Buying Climax), otherwise false.
W_BearOutsideReversal(_data)
Determines if there is a sign of weakness (Bear Outside Reversal).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
Returns: (bool) True if there is a sign of weakness (Bear Outside Reversal), otherwise false.
W_EndOfRisingMarket(_data)
Determines if there is a sign of weakness (End of Rising Market).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
Returns: (bool) True if there is a sign of weakness (End of Rising Market), otherwise false.
W_PseudoUpThrust(_bearPinBarMaxBody, _bearPinBarMinWick)
Determines if there is a sign of weakness (Pseudo UpThrust).
Parameters:
_bearPinBarMaxBody (simple float) : (float) The maximum body percentage for bear pin bar.
_bearPinBarMinWick (simple float) : (float) The minimum wick percentage for bear pin bar.
Returns: (bool) True if there is a sign of weakness (Pseudo UpThrust), otherwise false.
W_NoDemand(_bearPinBarMaxBody, _bearPinBarMinWick)
Determines if there is a sign of weakness (No Demand).
Parameters:
_bearPinBarMaxBody (simple float) : (float) The maximum body percentage for bear pin bar.
_bearPinBarMinWick (simple float) : (float) The minimum wick percentage for bear pin bar.
Returns: (bool) True if there is a sign of weakness (No Demand), otherwise false.
N_QuietDoji(_dojiBarMaxBody)
Determines if there is a neutral signal (Quiet Doji).
Parameters:
_dojiBarMaxBody (simple float) : (float) The maximum body percentage for doji bar.
Returns: (bool) True if there is a neutral signal (Quiet Doji), otherwise false.
N_BalancedDoji(_data, _dojiBarMaxBody)
Determines if there is a neutral signal (Balanced Doji).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_dojiBarMaxBody (simple float) : (float) The maximum body percentage for doji bar.
Returns: (bool) True if there is a neutral signal (Balanced Doji), otherwise false.
N_StrongDoji(_dojiBarMaxBody)
Determines if there is a neutral signal (Strong Doji).
Parameters:
_dojiBarMaxBody (simple float) : (float) The maximum body percentage for doji bar.
Returns: (bool) True if there is a neutral signal (Strong Doji), otherwise false.
N_QuietSpinningTop(_spinningTopBarMinWicks, _spinningTopBarEmaLength)
Determines if there is a neutral signal (Quiet Spinning Top).
Parameters:
_spinningTopBarMinWicks (simple float) : (float) The minimum wicks percentage for spinning top bar.
_spinningTopBarEmaLength (simple int) : (int) The length for EMA calculation.
Returns: (bool) True if there is a neutral signal (Quiet Spinning Top), otherwise false.
N_BalancedSpinningTop(_data, _spinningTopBarMinWicks, _spinningTopBarEmaLength)
Determines if there is a neutral signal (Balanced Spinning Top).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_spinningTopBarMinWicks (simple float) : (float) The minimum wicks percentage for spinning top bar.
_spinningTopBarEmaLength (simple int) : (int) The length for EMA calculation.
Returns: (bool) True if there is a neutral signal (Balanced Spinning Top), otherwise false.
N_StrongSpinningTop(_spinningTopBarMinWicks, _spinningTopBarEmaLength)
Determines if there is a neutral signal (Strong Spinning Top).
Parameters:
_spinningTopBarMinWicks (simple float) : (float) The minimum wicks percentage for spinning top bar.
_spinningTopBarEmaLength (simple int) : (int) The length for EMA calculation.
Returns: (bool) True if there is a neutral signal (Strong Spinning Top), otherwise false.
N_QuietHighWave(_highWaveBarMinBody, _highWaveBarMinWick, _highWaveBarBars)
Determines if there is a neutral signal (Quiet High Wave).
Parameters:
_highWaveBarMinBody (simple float) : (float) The minimum body percentage for high wave bar.
_highWaveBarMinWick (simple float) : (float) The minimum wick percentage for high wave bar.
_highWaveBarBars (simple int) : (int) The number of bars for comparison.
Returns: (bool) True if there is a neutral signal (Quiet High Wave), otherwise false.
N_BalancedHighWave(_data, _highWaveBarMinBody, _highWaveBarMinWick, _highWaveBarBars)
Determines if there is a neutral signal (Balanced High Wave).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_highWaveBarMinBody (simple float) : (float) The minimum body percentage for high wave bar.
_highWaveBarMinWick (simple float) : (float) The minimum wick percentage for high wave bar.
_highWaveBarBars (simple int) : (int) The number of bars for comparison.
Returns: (bool) True if there is a neutral signal (Balanced High Wave), otherwise false.
N_StrongHighWave(_highWaveBarMinBody, _highWaveBarMinWick, _highWaveBarBars)
Determines if there is a neutral signal (Strong High Wave).
Parameters:
_highWaveBarMinBody (simple float) : (float) The minimum body percentage for high wave bar.
_highWaveBarMinWick (simple float) : (float) The minimum wick percentage for high wave bar.
_highWaveBarBars (simple int) : (int) The number of bars for comparison.
Returns: (bool) True if there is a neutral signal (Strong High Wave), otherwise false.
N_Consolidation(_data, _consolidationBarSpread, _consolidationBarBars)
Determines if there is a neutral signal (Consolidation).
Parameters:
_data (map) : (map) The data map with volume and spread levels.
_consolidationBarSpread (simple float) : (float) The spread percentage for consolidation bar.
_consolidationBarBars (simple int) : (int) The number of bars for comparison.
Returns: (bool) True if there is a neutral signal (Consolidation), otherwise false.
RSI ATR Range [SS]Hey everyone,
Over the course of the last year I had a bunch of requests to do something with RSI. I did do an RSI expected move plotter, but the requests were to overhaul RSI and make it better I guess.
So here is my attempt!
This is the RSI ATR plotter. Its similar to my RSI expected move plotter, however, it gives you the ATR ranges associated with the current RSI value. This allows you to conceptualize RSI in a different way. Instead of looking for "oversold" over "overbought", you can actually just see the expected high to open range and the expected open to low range based on the current RSI.
This will allow you to determine such things as:
a) Is it likely to be bullish?
b) Is it likely to be bearish?
c) The average move, in a dollar amount, associated with this RSI.
In addition to presenting RSI in terms of ranges as opposed to the actual RSI value, the indicator will also signal likely reversal areas. Whenever there is a huge spike in RSI and range, whether it be up or down, this generally corresponds to an imminent reversal. The indicator is programmed to recognize this and plot little grey circles to notify you of an impending reversal.
Let's take a look at some reversal examples using NVDA:
In the chart above, we can see that the RSI signaled a reversal. As it was part of a downtrend, the reversal was bullish.
Let's look at a top reversal:
The chart above shows a likely downside reversal.
And some little bounce reversals here and there:
In addition to showing you the ATR range and reversals, the indicator will show you the RSI in a bar graph format:
You won't be able to look for RSI divergences, if you are a believer of those. However, you can definitely visualize them in the ATR ranges which are directly affected by the RSI readings.
Aspects of the indicator:
Bull ranges are displayed in green.
Bear ranges are displayed in red.
When green is present we know its entering or currently in a bullish RSI range:
Inversely, when it starts to shift red, we know we are entering a bearish RSI range:
There is a border that circles the range. It will be green when we are in a bullish range and red when we are in a bearish range. In addition to these 2 signals, the RSI bar chart itself will turn green in bullish ranges, and red in bearish ranges.
Here is bullish:
Here is bearish:
Customizability
You can customize the Source input for the RSI (default is close). As well as the length (default is 14).
The ATR length is defaulted to 500. My suggestion is to leave this be. You can increase it but I would not suggest decreasing it as it may omit some of the RSI ranges from its history.
And that is the indicator my friends! Hope you enjoy!
As always, safe trades!
RSI Divergence AlertsIndicator Description: RSI Divergence Alerts
The RSI Divergence indicator is a technical analysis tool that identifies divergences between the Relative Strength Index (RSI) and the price of an asset. The RSI is a momentum indicator that measures the speed and magnitude of recent changes in an asset's price, while divergences occur when there is a disparity between price movements and the RSI.
Indicator Customization:
Overbought and Oversold: The indicator allows you to customize the overbought and oversold levels of the RSI. This allows traders to adjust parameters according to their preferences and the historical behavior of the asset in question.
Indicator Settings and Recommended Adjustments:
Max Bar Distance: This parameter determines the maximum distance allowed between two low or high points for a divergence to be recognized. A higher value may result in more signals, but may also increase the number of false signals. It is recommended to adjust this value based on the volatility of the asset and the time period in which it is being traded.
RSI Length: This is the time period used to calculate the RSI. A longer period smoothes the indicator, while a shorter period makes it more sensitive to price changes. The default value is 14, but traders can adjust it based on their trading strategy and the asset's volatility.
RSI Overbought and Oversold: These values determine the levels at which the RSI is considered overbought and oversold, respectively. The default value for overbought is 75 and for oversold is 35. Traders can adjust these values according to the asset's volatility and its historical analysis. For example, in more volatile assets, it may be useful to use more extreme levels, such as 80 for overbought and 20 for oversold.
When adjusting indicator settings, traders must consider the balance between sensitivity and accuracy. Careful tuning of these parameters can help filter out false signals and identify more reliable trading opportunities.
The alerts functionality in this RSI Divergence indicator is designed to notify traders when a bearish divergence or a bullish divergence is detected. Here's how it works:
Conditionally Triggered Alerts:
Alerts are triggered based on the boolean variables bearishDivergence and bullishDivergence.
If bearishDivergence is true, it indicates that a bearish divergence has been detected.
If bullishDivergence is true, it indicates that a bullish divergence has been detected.
Alert Message:
When a divergence is detected, an alert message is generated to inform the trader about the event.
The message includes details about the divergence, such as the difference in the RSI value between the two points forming the divergence.
For example, for a bearish divergence, the message will include the phrase "Bearish RSI Divergence Detected" and the RSI difference between the high and low points of the divergence.
Alert Frequency:
Alerts are configured to be triggered once per bar close (alert.freq_once_per_bar_close), which means the alert will only be sent once at the close of each bar.
This helps to avoid multiple alerts for the same divergence during the same time period.
Additional Alert Conditions:
In addition to conditionally triggered alert messages, alert conditions are defined for both bearish and bullish divergences.
These alert conditions are useful for configuring custom alerts on trading platforms that support running Pine Script code.
Overall, this alert functionality allows traders to stay informed about potential trading opportunities based on divergences detected by the indicator. This can help traders make faster and more informed decisions in their trading processes.
Session Sweeps [LuxAlgo]The Session Sweeps indicator combines ICT-based features for a complete trading methodology involving market sessions, market structure, and fair value gaps to find optimal entry conditions for trading price action.
Traders frequently tend to place stop/limit orders at the high and low points of major trading sessions such as Asian (Tokyo), European (London), and North American (New York), resulting in the establishment of liquidity pools at those particular levels. The Session Sweeps indicator is crafted to recognize and underscore occurrences of session sweeps or liquidity sweeps during these major trading sessions.
🔶 USAGE
Default settings utilize major forex trading sessions, yet users can select their preferred opening and closing times, rename the sessions, or adjust the colors. It's important to note that the specified times for each session align with the respective local timezones: Asian (Tokyo) UTC+9, European (London) UTC, and North American (New York) UTC-5.
If the price briefly crosses either the highest or lowest point of a market session. These movements, aiming at triggering stop losses, suggest potential shifts in the market direction. Detecting such movements is the fundamental purpose and core functionality of the script.
🔹Market Structure Shifts
A Market Structure Shift refers to a change in market direction, either from an uptrend to a downtrend or vice versa. A part of a common entry model when using session sweeps is waiting for the formation of a CHoCH after a session sweep.
🔹Fair Value Gaps
A Fair Value Gap (FVG) holds particular appeal for price action traders, emerging when there are inefficiencies or imbalances in the market, often a result of uneven buying and selling activity. The underlying concept of FVGs is that the market tends to revisit these inefficiencies before resuming its trajectory in alignment with the initial impulsive move.
After the formation of a CHoCH traders can enter a position when the price enters the area of a Fair Value Gap (FVG).
🔹Setup Examples
This entry setup is commonly used by ICT traders and is shared for informational & educational purposes only.
Long Positions (5-Minute Timeframe):
Wait for the previous session's low to be swept.
Look for a Bullish Choch.
Find a Bullish FVG formed by or before the Choch.
Entry Point: At the FVG.
Take Profit (TP): At the session high or aim for a 1:2 Risk-Reward Ratio.
Stop Loss (SL): At the session low or nearest Swing Low.
Take partial profits at intermediate swings, but don’t shift SL prematurely.
Short Positions (5-Minute Timeframe):
Wait for the previous session's high to be swept.
Look for a Bearish Choch.
Find a FVG formed by or before the Choch.
Entry Point: At the FVG.
Take Profit (TP): At the previous session's low or aim for a 1:2 RR.
Stop Loss (SL): At the session high or nearest Swing High.
Take partial profits at intermediate swings, but don’t shift SL prematurely.
🔶 SETTINGS
🔹Session Sweeps
Buyside Sweep Zones, Color, and Margin: toggles the visibility of bullside sweep zones, customizes the associated color, and sets the margin value defining the range of a bullside sweep zone.
Sellside Sweep Zones, Color, and Margin: toggles the visibility of sell-side sweep zones, customizes the associated color, and sets the margin value defining the range of a sell-side sweep zone.
Sweep Margin Length: specifies the maximum allowed length of a sweep zone invalidation, the length over which the price slightly invalidated the margin range.
Detect Sweeps Once per Session: if enabled will detect only once a sweep zone within a session.
Hide Fake Sweep Zones, and Color: controls the visibility and color of the fake sweep zones.
🔹Sessions
Session (Asia, London, New York AM, and New York PM), Start Time, and End Time: enables or disables the visibility of the named market session range, and customization of the session hours.
Color: color customization option of the named session.
Extend Max/Min: extends the highest and lowest price levels of the named session until the end of the next enabled session. This option is recommended to be enabled when sweep zone detection is activated to observe the relationship between the sweep zone and previous session extreme levels.
Extend Mid: extends the mean price levels of the named session until the end of the next enabled session. The extended line may serve as potential support and resistance levels.
Fill: enables/disables background coloring of the named session.
New York DST | London DST: enabling this option initiates Daylight Saving Time (DST) for New York or London. Note: Daylight Saving Time is not applied to the Asian (Tokyo) session.
Sessions Extreme Lines | Sessions Names: toggles the visibility of the highest and lowest price levels, as well as the names, for all market sessions.
Session Lines Width: sets the width of the lines for all sessions.
Session Fill Transparency: sets the background color transparency of the range for all sessions.
🔹Market Structure Shifts
Market Structure Shifts: toggles the visibility of market structure shifts, also known as change of character (CHoCH).
Detection Length: specifies the detection length.
Market Structure Shifts; Bull & Bear: color customization options.
🔹Fair Value Gaps
Fair Value Gaps: toggles the visibility of the fair value gaps.
Fair Value Gap Width Filter: specifies the filtering multiplier; additional details can be found in the tooltip of the respective input option.
Bullish & Bearish Imbalance: color customization options.
🔹Sessions Tabular View
Sessions Tabular View: toggles the visibility of the tabular view of the sessions, displaying date &time, status, and countdown counter.
Hide if not Forex Market Instrument: checks the market and automatically enables/disables the option based on the market instrument.
Table Text Size & Position: size and placement customization options
🔶 LIMITATIONS
Please be aware that fair value gap filtering cannot be applied to the initial 144 candles (with a fixed-length ATR) as the ATR value necessary for filtering won't be available during this period.
🔶 RELATED SCRIPTS
Buyside-Sellside-Liquidity
Sessions
Liquidity-Voids-FVG
Thank you to our community for the recommendation of this script. To explore additional conceptual scripts and related content, we invite you to visit >>> LuxAlgo-Scripts .
Supertrend Advance Pullback StrategyHandbook for the Supertrend Advance Strategy
1. Introduction
Purpose of the Handbook:
The main purpose of this handbook is to serve as a comprehensive guide for traders and investors who are looking to explore and harness the potential of the Supertrend Advance Strategy. In the rapidly changing financial market, having the right tools and strategies at one's disposal is crucial. Whether you're a beginner hoping to dive into the world of trading or a seasoned investor aiming to optimize and diversify your portfolio, this handbook offers the insights and methodologies you need. By the end of this guide, readers should have a clear understanding of how the Supertrend Advance Strategy works, its benefits, potential pitfalls, and practical application in various trading scenarios.
Overview of the Supertrend Advance Pullback Strategy:
At its core, the Supertrend Advance Strategy is an evolution of the popular Supertrend Indicator. Designed to generate buy and sell signals in trending markets, the Supertrend Indicator has been a favorite tool for many traders around the world. The Advance Strategy, however, builds upon this foundation by introducing enhanced mechanisms, filters, and methodologies to increase precision and reduce false signals.
1. Basic Concept:
The Supertrend Advance Strategy relies on a combination of price action and volatility to determine the potential trend direction. By assessing the average true range (ATR) in conjunction with specific price points, this strategy aims to highlight the potential starting and ending points of market trends.
2. Methodology:
Unlike the traditional Supertrend Indicator, which primarily focuses on closing prices and ATR, the Advance Strategy integrates other critical market variables, such as volume, momentum oscillators, and perhaps even fundamental data, to validate its signals. This multidimensional approach ensures that the generated signals are more reliable and are less prone to market noise.
3. Benefits:
One of the main benefits of the Supertrend Advance Strategy is its ability to filter out false breakouts and minor price fluctuations, which can often lead to premature exits or entries in the market. By waiting for a confluence of factors to align, traders using this advanced strategy can increase their chances of entering or exiting trades at optimal points.
4. Practical Applications:
The Supertrend Advance Strategy can be applied across various timeframes, from intraday trading to swing trading and even long-term investment scenarios. Furthermore, its flexible nature allows it to be tailored to different asset classes, be it stocks, commodities, forex, or cryptocurrencies.
In the subsequent sections of this handbook, we will delve deeper into the intricacies of this strategy, offering step-by-step guidelines on its application, case studies, and tips for maximizing its efficacy in the volatile world of trading.
As you journey through this handbook, we encourage you to approach the Supertrend Advance Strategy with an open mind, testing and tweaking it as per your personal trading style and risk appetite. The ultimate goal is not just to provide you with a new tool but to empower you with a holistic strategy that can enhance your trading endeavors.
2. Getting Started
Navigating the financial markets can be a daunting task without the right tools. This section is dedicated to helping you set up the Supertrend Advance Strategy on one of the most popular charting platforms, TradingView. By following the steps below, you'll be able to integrate this strategy into your charts and start leveraging its insights in no time.
Setting up on TradingView:
TradingView is a web-based platform that offers a wide range of charting tools, social networking, and market data. Before you can apply the Supertrend Advance Strategy, you'll first need a TradingView account. If you haven't set one up yet, here's how:
1. Account Creation:
• Visit TradingView's official website.
• Click on the "Join for free" or "Sign up" button.
• Follow the registration process, providing the necessary details and setting up your login credentials.
2. Navigating the Dashboard:
• Once logged in, you'll be taken to your dashboard. Here, you'll see a variety of tools, including watchlists, alerts, and the main charting window.
• To begin charting, type in the name or ticker of the asset you're interested in the search bar at the top.
3. Configuring Chart Settings:
• Before integrating the Supertrend Advance Strategy, familiarize yourself with the chart settings. This can be accessed by clicking the 'gear' icon on the top right of the chart window.
• Adjust the chart type, time intervals, and other display settings to your preference.
Integrating the Strategy into a Chart:
Now that you're set up on TradingView, it's time to integrate the Supertrend Advance Strategy.
1. Accessing the Pine Script Editor:
• Located at the top-center of your screen, you'll find the "Pine Editor" tab. Click on it.
• This is where custom strategies and indicators are scripted or imported.
2. Loading the Supertrend Advance Strategy Script:
• Depending on whether you have the script or need to find it, there are two paths:
• If you have the script: Copy the Supertrend Advance Strategy script, and then paste it into the Pine Editor.
• If searching for the script: Click on the “Indicators” icon (looks like a flame) at the top of your screen, and then type “Supertrend Advance Strategy” in the search bar. If available, it will show up in the list. Simply click to add it to your chart.
3. Applying the Strategy:
• After pasting or selecting the Supertrend Advance Strategy in the Pine Editor, click on the “Add to Chart” button located at the top of the editor. This will overlay the strategy onto your main chart window.
4. Configuring Strategy Settings:
• Once the strategy is on your chart, you'll notice a small settings ('gear') icon next to its name in the top-left of the chart window. Click on this to access settings.
• Here, you can adjust various parameters of the Supertrend Advance Strategy to better fit your trading style or the specific asset you're analyzing.
5. Interpreting Signals:
• With the strategy applied, you'll now see buy/sell signals represented on your chart. Take time to familiarize yourself with how these look and behave over various timeframes and market conditions.
3. Strategy Overview
What is the Supertrend Advance Strategy?
The Supertrend Advance Strategy is a refined version of the classic Supertrend Indicator, which was developed to aid traders in spotting market trends. The strategy utilizes a combination of data points, including average true range (ATR) and price momentum, to generate buy and sell signals.
In essence, the Supertrend Advance Strategy can be visualized as a line that moves with the price. When the price is above the Supertrend line, it indicates an uptrend and suggests a potential buy position. Conversely, when the price is below the Supertrend line, it hints at a downtrend, suggesting a potential selling point.
Strategy Goals and Objectives:
1. Trend Identification: At the core of the Supertrend Advance Strategy is the goal to efficiently and consistently identify prevailing market trends. By recognizing these trends, traders can position themselves to capitalize on price movements in their favor.
2. Reducing Noise: Financial markets are often inundated with 'noise' - short-term price fluctuations that can mislead traders. The Supertrend Advance Strategy aims to filter out this noise, allowing for clearer decision-making.
3. Enhancing Risk Management: With clear buy and sell signals, traders can set more precise stop-loss and take-profit points. This leads to better risk management and potentially improved profitability.
4. Versatility: While primarily used for trend identification, the strategy can be integrated with other technical tools and indicators to create a comprehensive trading system.
Type of Assets/Markets to Apply the Strategy:
1. Equities: The Supertrend Advance Strategy is highly popular among stock traders. Its ability to capture long-term trends makes it particularly useful for those trading individual stocks or equity indices.
2. Forex: Given the 24-hour nature of the Forex market and its propensity for trends, the Supertrend Advance Strategy is a valuable tool for currency traders.
3. Commodities: Whether it's gold, oil, or agricultural products, commodities often move in extended trends. The strategy can help in identifying and capitalizing on these movements.
4. Cryptocurrencies: The volatile nature of cryptocurrencies means they can have pronounced trends. The Supertrend Advance Strategy can aid crypto traders in navigating these often tumultuous waters.
5. Futures & Options: Traders and investors in derivative markets can utilize the strategy to make more informed decisions about contract entries and exits.
It's important to note that while the Supertrend Advance Strategy can be applied across various assets and markets, its effectiveness might vary based on market conditions, timeframe, and the specific characteristics of the asset in question. As always, it's recommended to use the strategy in conjunction with other analytical tools and to backtest its effectiveness in specific scenarios before committing to trades.
4. Input Settings
Understanding and correctly configuring input settings is crucial for optimizing the Supertrend Advance Strategy for any specific market or asset. These settings, when tweaked correctly, can drastically impact the strategy's performance.
Grouping Inputs:
Before diving into individual input settings, it's important to group similar inputs. Grouping can simplify the user interface, making it easier to adjust settings related to a specific function or indicator.
Strategy Choice:
This input allows traders to select from various strategies that incorporate the Supertrend indicator. Options might include "Supertrend with RSI," "Supertrend with MACD," etc. By choosing a strategy, the associated input settings for that strategy become available.
Supertrend Settings:
1. Multiplier: Typically, a default value of 3 is used. This multiplier is used in the ATR calculation. Increasing it makes the Supertrend line further from prices, while decreasing it brings the line closer.
2. Period: The number of bars used in the ATR calculation. A common default is 7.
EMA Settings (Exponential Moving Average):
1. Period: Defines the number of previous bars used to calculate the EMA. Common periods are 9, 21, 50, and 200.
2. Source: Allows traders to choose which price (Open, Close, High, Low) to use in the EMA calculation.
RSI Settings (Relative Strength Index):
1. Length: Determines how many periods are used for RSI calculation. The standard setting is 14.
2. Overbought Level: The threshold at which the asset is considered overbought, typically set at 70.
3. Oversold Level: The threshold at which the asset is considered oversold, often at 30.
MACD Settings (Moving Average Convergence Divergence):
1. Short Period: The shorter EMA, usually set to 12.
2. Long Period: The longer EMA, commonly set to 26.
3. Signal Period: Defines the EMA of the MACD line, typically set at 9.
CCI Settings (Commodity Channel Index):
1. Period: The number of bars used in the CCI calculation, often set to 20.
2. Overbought Level: Typically set at +100, denoting overbought conditions.
3. Oversold Level: Usually set at -100, indicating oversold conditions.
SL/TP Settings (Stop Loss/Take Profit):
1. SL Multiplier: Defines the multiplier for the average true range (ATR) to set the stop loss.
2. TP Multiplier: Defines the multiplier for the average true range (ATR) to set the take profit.
Filtering Conditions:
This section allows traders to set conditions to filter out certain signals. For example, one might only want to take buy signals when the RSI is below 30, ensuring they buy during oversold conditions.
Trade Direction and Backtest Period:
1. Trade Direction: Allows traders to specify whether they want to take long trades, short trades, or both.
2. Backtest Period: Specifies the time range for backtesting the strategy. Traders can choose from options like 'Last 6 months,' 'Last 1 year,' etc.
It's essential to remember that while default settings are provided for many of these tools, optimal settings can vary based on the market, timeframe, and trading style. Always backtest new settings on historical data to gauge their potential efficacy.
5. Understanding Strategy Conditions
Developing an understanding of the conditions set within a trading strategy is essential for traders to maximize its potential. Here, we delve deep into the logic behind these conditions, using the Supertrend Advance Strategy as our focal point.
Basic Logic Behind Conditions:
Every strategy is built around a set of conditions that provide buy or sell signals. The conditions are based on mathematical or statistical methods and are rooted in the study of historical price data. The fundamental idea is to recognize patterns or behaviors that have been profitable in the past and might be profitable in the future.
Buy and Sell Conditions:
1. Buy Conditions: Usually formulated around bullish signals or indicators suggesting upward price momentum.
2. Sell Conditions: Centered on bearish signals or indicators indicating downward price momentum.
Simple Strategy:
The simple strategy could involve using just the Supertrend indicator. Here:
• Buy: When price closes above the Supertrend line.
• Sell: When price closes below the Supertrend line.
Pullback Strategy:
This strategy capitalizes on price retracements:
• Buy: When the price retraces to the Supertrend line after a bullish signal and is supported by another bullish indicator.
• Sell: When the price retraces to the Supertrend line after a bearish signal and is confirmed by another bearish indicator.
Indicators Used:
EMA (Exponential Moving Average):
• Logic: EMA gives more weight to recent prices, making it more responsive to current price movements. A shorter-period EMA crossing above a longer-period EMA can be a bullish sign, while the opposite is bearish.
RSI (Relative Strength Index):
• Logic: RSI measures the magnitude of recent price changes to analyze overbought or oversold conditions. Values above 70 are typically considered overbought, and values below 30 are considered oversold.
MACD (Moving Average Convergence Divergence):
• Logic: MACD assesses the relationship between two EMAs of a security’s price. The MACD line crossing above the signal line can be a bullish signal, while crossing below can be bearish.
CCI (Commodity Channel Index):
• Logic: CCI compares a security's average price change with its average price variation. A CCI value above +100 may mean the price is overbought, while below -100 might signify an oversold condition.
And others...
As the strategy expands or contracts, more indicators might be added or removed. The crucial point is to understand the core logic behind each, ensuring they align with the strategy's objectives.
Logic Behind Each Indicator:
1. EMA: Emphasizes recent price movements; provides dynamic support and resistance levels.
2. RSI: Indicates overbought and oversold conditions based on recent price changes.
3. MACD: Showcases momentum and direction of a trend by comparing two EMAs.
4. CCI: Measures the difference between a security's price change and its average price change.
Understanding strategy conditions is not just about knowing when to buy or sell but also about comprehending the underlying market dynamics that those conditions represent. As you familiarize yourself with each condition and indicator, you'll be better prepared to adapt and evolve with the ever-changing financial markets.
6. Trade Execution and Management
Trade execution and management are crucial aspects of any trading strategy. Efficient execution can significantly impact profitability, while effective management can preserve capital during adverse market conditions. In this section, we'll explore the nuances of position entry, exit strategies, and various Stop Loss (SL) and Take Profit (TP) methodologies within the Supertrend Advance Strategy.
Position Entry:
Effective trade entry revolves around:
1. Timing: Enter at a point where the risk-reward ratio is favorable. This often corresponds to confirmatory signals from multiple indicators.
2. Volume Analysis: Ensure there's adequate volume to support the movement. Volume can validate the strength of a signal.
3. Confirmation: Use multiple indicators or chart patterns to confirm the entry point. For instance, a buy signal from the Supertrend indicator can be confirmed with a bullish MACD crossover.
Position Exit Strategies:
A successful exit strategy will lock in profits and minimize losses. Here are some strategies:
1. Fixed Time Exit: Exiting after a predetermined period.
2. Percentage-based Profit Target: Exiting after a certain percentage gain.
3. Indicator-based Exit: Exiting when an indicator gives an opposing signal.
Percentage-based SL/TP:
• Stop Loss (SL): Set a fixed percentage below the entry price to limit potential losses.
• Example: A 2% SL on an entry at $100 would trigger a sell at $98.
• Take Profit (TP): Set a fixed percentage above the entry price to lock in gains.
• Example: A 5% TP on an entry at $100 would trigger a sell at $105.
Supertrend-based SL/TP:
• Stop Loss (SL): Position the SL at the Supertrend line. If the price breaches this line, it could indicate a trend reversal.
• Take Profit (TP): One could set the TP at a point where the Supertrend line flattens or turns, indicating a possible slowdown in momentum.
Swing high/low-based SL/TP:
• Stop Loss (SL): For a long position, set the SL just below the recent swing low. For a short position, set it just above the recent swing high.
• Take Profit (TP): For a long position, set the TP near a recent swing high or resistance. For a short position, near a swing low or support.
And other methods...
1. Trailing Stop Loss: This dynamic SL adjusts with the price movement, locking in profits as the trade moves in your favor.
2. Multiple Take Profits: Divide the position into segments and set multiple TP levels, securing profits in stages.
3. Opposite Signal Exit: Exit when another reliable indicator gives an opposite signal.
Trade execution and management are as much an art as they are a science. They require a blend of analytical skill, discipline, and intuition. Regularly reviewing and refining your strategies, especially in light of changing market conditions, is crucial to maintaining consistent trading performance.
7. Visual Representations
Visual tools are essential for traders, as they simplify complex data into an easily interpretable format. Properly analyzing and understanding the plots on a chart can provide actionable insights and a more intuitive grasp of market conditions. In this section, we’ll delve into various visual representations used in the Supertrend Advance Strategy and their significance.
Understanding Plots on the Chart:
Charts are the primary visual aids for traders. The arrangement of data points, lines, and colors on them tell a story about the market's past, present, and potential future moves.
1. Data Points: These represent individual price actions over a specific timeframe. For instance, a daily chart will have data points showing the opening, closing, high, and low prices for each day.
2. Colors: Used to indicate the nature of price movement. Commonly, green is used for bullish (upward) moves and red for bearish (downward) moves.
Trend Lines:
Trend lines are straight lines drawn on a chart that connect a series of price points. Their significance:
1. Uptrend Line: Drawn along the lows, representing support. A break below might indicate a trend reversal.
2. Downtrend Line: Drawn along the highs, indicating resistance. A break above might suggest the start of a bullish trend.
Filled Areas:
These represent a range between two values on a chart, usually shaded or colored. For instance:
1. Bollinger Bands: The area between the upper and lower band is filled, giving a visual representation of volatility.
2. Volume Profile: Can show a filled area representing the amount of trading activity at different price levels.
Stop Loss and Take Profit Lines:
These are horizontal lines representing pre-determined exit points for trades.
1. Stop Loss Line: Indicates the level at which a trade will be automatically closed to limit losses. Positioned according to the trader's risk tolerance.
2. Take Profit Line: Denotes the target level to lock in profits. Set according to potential resistance (for long trades) or support (for short trades) or other technical factors.
Trailing Stop Lines:
A trailing stop is a dynamic form of stop loss that moves with the price. On a chart:
1. For Long Trades: Starts below the entry price and moves up with the price but remains static if the price falls, ensuring profits are locked in.
2. For Short Trades: Starts above the entry price and moves down with the price but remains static if the price rises.
Visual representations offer traders a clear, organized view of market dynamics. Familiarity with these tools ensures that traders can quickly and accurately interpret chart data, leading to more informed decision-making. Always ensure that the visual aids used resonate with your trading style and strategy for the best results.
8. Backtesting
Backtesting is a fundamental process in strategy development, enabling traders to evaluate the efficacy of their strategy using historical data. It provides a snapshot of how the strategy would have performed in past market conditions, offering insights into its potential strengths and vulnerabilities. In this section, we'll explore the intricacies of setting up and analyzing backtest results and the caveats one must be aware of.
Setting Up Backtest Period:
1. Duration: Determine the timeframe for the backtest. It should be long enough to capture various market conditions (bullish, bearish, sideways). For instance, if you're testing a daily strategy, consider a period of several years.
2. Data Quality: Ensure the data source is reliable, offering high-resolution and clean data. This is vital to get accurate backtest results.
3. Segmentation: Instead of a continuous period, sometimes it's helpful to backtest over distinct market phases, like a particular bear or bull market, to see how the strategy holds up in different environments.
Analyzing Backtest Results:
1. Performance Metrics: Examine metrics like the total return, annualized return, maximum drawdown, Sharpe ratio, and others to gauge the strategy's efficiency.
2. Win Rate: It's the ratio of winning trades to total trades. A high win rate doesn't always signify a good strategy; it should be evaluated in conjunction with other metrics.
3. Risk/Reward: Understand the average profit versus the average loss per trade. A strategy might have a low win rate but still be profitable if the average gain far exceeds the average loss.
4. Drawdown Analysis: Review the periods of losses the strategy could incur and how long it takes, on average, to recover.
9. Tips and Best Practices
Successful trading requires more than just knowing how a strategy works. It necessitates an understanding of when to apply it, how to adjust it to varying market conditions, and the wisdom to recognize and avoid common pitfalls. This section offers insightful tips and best practices to enhance the application of the Supertrend Advance Strategy.
When to Use the Strategy:
1. Market Conditions: Ideally, employ the Supertrend Advance Strategy during trending market conditions. This strategy thrives when there are clear upward or downward trends. It might be less effective during consolidative or sideways markets.
2. News Events: Be cautious around significant news events, as they can cause extreme volatility. It might be wise to avoid trading immediately before and after high-impact news.
3. Liquidity: Ensure you are trading in assets/markets with sufficient liquidity. High liquidity ensures that the price movements are more reflective of genuine market sentiment and not due to thin volume.
Adjusting Settings for Different Markets/Timeframes:
1. Markets: Each market (stocks, forex, commodities) has its own characteristics. It's essential to adjust the strategy's parameters to align with the market's volatility and liquidity.
2. Timeframes: Shorter timeframes (like 1-minute or 5-minute charts) tend to have more noise. You might need to adjust the settings to filter out false signals. Conversely, for longer timeframes (like daily or weekly charts), you might need to be more responsive to genuine trend changes.
3. Customization: Regularly review and tweak the strategy's settings. Periodic adjustments can ensure the strategy remains optimized for the current market conditions.
10. Frequently Asked Questions (FAQs)
Given the complexities and nuances of the Supertrend Advance Strategy, it's only natural for traders, both new and seasoned, to have questions. This section addresses some of the most commonly asked questions regarding the strategy.
1. What exactly is the Supertrend Advance Strategy?
The Supertrend Advance Strategy is an evolved version of the traditional Supertrend indicator. It's designed to provide clearer buy and sell signals by incorporating additional indicators like EMA, RSI, MACD, CCI, etc. The strategy aims to capitalize on market trends while minimizing false signals.
2. Can I use the Supertrend Advance Strategy for all asset types?
Yes, the strategy can be applied to various asset types like stocks, forex, commodities, and cryptocurrencies. However, it's crucial to adjust the settings accordingly to suit the specific characteristics and volatility of each asset type.
3. Is this strategy suitable for day trading?
Absolutely! The Supertrend Advance Strategy can be adjusted to suit various timeframes, making it versatile for both day trading and long-term trading. Remember to fine-tune the settings to align with the timeframe you're trading on.
4. How do I deal with false signals?
No strategy is immune to false signals. However, by combining the Supertrend with other indicators and adhering to strict risk management protocols, you can minimize the impact of false signals. Always use stop-loss orders and consider filtering trades with additional confirmation signals.
5. Do I need any prior trading experience to use this strategy?
While the Supertrend Advance Strategy is designed to be user-friendly, having a foundational understanding of trading and market analysis can greatly enhance your ability to employ the strategy effectively. If you're a beginner, consider pairing the strategy with further education and practice on demo accounts.
6. How often should I review and adjust the strategy settings?
There's no one-size-fits-all answer. Some traders adjust settings weekly, while others might do it monthly. The key is to remain responsive to changing market conditions. Regular backtesting can give insights into potential required adjustments.
7. Can the Supertrend Advance Strategy be automated?
Yes, many traders use algorithmic trading platforms to automate their strategies, including the Supertrend Advance Strategy. However, always monitor automated systems regularly to ensure they're operating as intended.
8. Are there any markets or conditions where the strategy shouldn't be used?
The strategy might generate more false signals in markets that are consolidative or range-bound. During significant news events or times of unexpected high volatility, it's advisable to tread with caution or stay out of the market.
9. How important is backtesting with this strategy?
Backtesting is crucial as it allows traders to understand how the strategy would have performed in the past, offering insights into potential profitability and areas of improvement. Always backtest any new setting or tweak before applying it to live trades.
10. What if the strategy isn't working for me?
No strategy guarantees consistent profits. If it's not working for you, consider reviewing your settings, seeking expert advice, or complementing the Supertrend Advance Strategy with other analysis methods. Remember, continuous learning and adaptation are the keys to trading success.
Other comments
Value of combining several indicators in this script and how they work together
Diversification of Signals: Just as diversifying an investment portfolio can reduce risk, using multiple indicators can offer varied perspectives on potential price movements. Each indicator can capture a different facet of the market, ensuring that traders are not overly reliant on a single data point.
Confirmation & Reduced False Signals: A common challenge with many indicators is the potential for false signals. By requiring confirmation from multiple indicators before acting, the chances of acting on a false signal can be significantly reduced.
Flexibility Across Market Conditions: Different indicators might perform better under different market conditions. For example, while moving averages might excel in trending markets, oscillators like RSI might be more useful during sideways or range-bound conditions. A mashup strategy can potentially adapt better to varying market scenarios.
Comprehensive Analysis: With multiple indicators, traders can gauge trend strength, momentum, volatility, and potential market reversals all at once, providing a holistic view of the market.
How do the different indicators in the Supertrend Advance Strategy work together?
Supertrend: This is primarily a trend-following indicator. It provides traders with buy and sell signals based on the volatility of the price. When combined with other indicators, it can filter out noise and give more weight to strong, confirmed trends.
EMA (Exponential Moving Average): EMA gives more weight to recent price data. It can be used to identify the direction and strength of a trend. When the price is above the EMA, it's generally considered bullish, and vice versa.
RSI (Relative Strength Index): An oscillator that measures the magnitude of recent price changes to evaluate overbought or oversold conditions. By cross-referencing with other indicators like EMA or MACD, traders can spot potential reversals or confirmations of a trend.
MACD (Moving Average Convergence Divergence): This indicator identifies changes in the strength, direction, momentum, and duration of a trend in a stock's price. When the MACD line crosses above the signal line, it can be a bullish sign, and when it crosses below, it can be bearish. Pairing MACD with Supertrend can provide dual confirmation of a trend.
CCI (Commodity Channel Index): Initially developed for commodities, CCI can indicate overbought or oversold conditions. It can be used in conjunction with other indicators to determine entry and exit points.
In essence, the synergy of these indicators provides a balanced, comprehensive approach to trading. Each indicator offers its unique lens into market conditions, and when they align, it can be a powerful indication of a trading opportunity. This combination not only reduces the potential drawbacks of each individual indicator but leverages their strengths, aiming for more consistent and informed trading decisions.
Backtesting and Default Settings
• This indicator has been optimized to be applied for 1 hour-charts. However, the underlying principles of this strategy are supply and demand in the financial markets and the strategy can be applied to all timeframes. Daytraders can use the 1min- or 5min charts, swing-traders can use the daily charts.
• This strategy has been designed to identify the most promising, highest probability entries and trades for each stock or other financial security.
• The combination of the qualifiers results in a highly selective strategy which only considers the most promising swing-trading entries. As a result, you will normally only find a low number of trades for each stock or other financial security per year in case you apply this strategy for the daily charts. Shorter timeframes will result in a higher number of trades / year.
• Consequently, traders need to apply this strategy for a full watchlist rather than just one financial security.
• Default properties: RSI on (length 14, RSI buy level 50, sell level 50), EMA, RSI, MACD on, type of strategy pullback, SL/TP type: ATR (length 10, factor 3), trade direction both, quantity 5, take profit swing hl 5.1, highest / lowest lookback 2, enable ATR trail (ATR length 10, SL ATR multiplier 1.4, TP multiplier 2.1, lookback = 4, trade direction = both).
Market Internals (TICK, ADD, VOLD, TRIN, VIX)OVERVIEW
This script allows you to perform data transformations on Market Internals, across exchanges, and specify signal parameters, to more easily identify sentiment extremes.
Notable transformations include:
1. Cumulative session values
2. Directional bull-bear Ratios and Percent Differences
3. Data Normalization
4. Noise Reduction
This kind of data interaction is very useful for understanding the relationship between two mutually exclusive metrics, which is the essence of Market Internals: Up vs. Down. Even so, they are not possible with symbol expressions alone. And the kind of symbol expression needed to produce baseline data that can be reliably transformed is opaque to most traders, made worse by the fact that prerequisite symbol expressions themselves are not uniform across symbols. It's very nuanced, and if this last bit was confusing … exactly.
All this to say, rather than forcing that burden onto you, I've baked the baseline symbol expressions into the indicator so: 1) the transform functions consistently ingest the baseline data in the correct format and 2) you don't have to spend time trying to figure it all out. Trading is hard. There's no need to make it harder.
INPUTS
Indicator
Allows you to specify the base Market Internal and Exchange data to use. The list of Market Internals is simplified to their fundamental representation (TICK, ADD, VOLD, TRIN, VIX, ABVD, TKCD), and the list of Exchange data is limited to the most common (NYSE, NASDAQ, All US Stocks). There are also options for basic exchange combinations (Sum or Average of NYSE & NASDAQ).
Mode
Short for "Plot Mode", this is where you specify the bars style (Candles, Bars, Line, Circles, Columns) and the source value (used for single value plots and plot color changes).
Scale
This is the first and second data transformation grouped together. The default is to show the origin data as it might appear on a chart. You can then specify if each bar should retain it's unique value (Bar Value) or be added to a running total (Cumulative). You can also specify if you would like the data to remain unaltered (Raw) or converted to a directional ratio (Ratio) or a percentage (Percent Diff). These options determine the scale of the plot.
Both Ratio and Percent Diff. convert a given symbol into a positive or negative number, where positive numbers are bullish and negative numbers are bearish.
Ratio will divide Bull values by Bear values, then further divide -1 by the quotient if it is less than 1. For example, if "0.5" was the quotient, the Ratio would be "-2".
Percent Diff. subtracts Bear values from Bull values, then divides that difference by the sum of Bull and Bear values multiplied by 100. If a Bull value was "3" and Bear value was "7", the difference would be "-4", the sum would be "10", and the Percent Diff. would be "-40", as the difference is both bearish and 40% of total.
Ratio Norm. Threshold
This is the third data transformation . While quotients can be less than 1, directional ratios are never less than 1. This can lead to barcode-like artifacts as plots transition between positive and negative values, visually suggesting the change is much larger than it actually is. Normalizing the data can resolve this artifact, but undermines the utility of ratios. If, however, only some of the data is normalized, the artifact can be resolved without jeopardizing its contextual usefulness.
The utility of ratios is how quickly they communicate proportional differences. For example, if one side is twice as big as the other, "2" communicates this efficiently. This necessarily means the numerical value of ratios is worth preserving. Also, below a certain threshold, the utility of ratios is diminished. For example, an equal distribution being represented as 0, 1, 1:1, 50/50, etc. are all equally useful. Thus, there is a threshold, above which we want values to be exact, and below which the utility of linear visual continuity is more important. This setting accounts for that threshold.
When this setting is enabled, a ratio will be normalized to 0 when 1:1, scaled linearly toward the specified threshold when greater than 1:1, and then retain its exact value when the threshold is crossed. For example, with a threshold of "2", 1:1 = 0, 1.5:1 = 1, 2:1 = 2, 3:1 = 3, etc.
With all this in mind, most traders will want to set the ratios threshold at a level where accuracy becomes more important than visual continuity. If this level is unknown, "2" is a good baseline.
Reset cumulative total with each new session
Cumulative totals can be retained indefinitely or be reset each session. When enabled, each session has its own cumulative total. When disabled, the cumulative total is maintained indefinitely.
Show Signal Ranges
Because everything in this script is designed to make identifying sentiment extremes easier, an obvious inclusion would be to not only display ranges that are considered extreme for each Market Internal, but to also change the color of the plot when it is within, or beyond, that range. That is exactly what this setting does.
Override Max & Min
While the min-max signal levels have reasonable defaults for each symbol and transformation type, the Override Max and Override Min options allow you to … (wait for it) … override the max … and min … signal levels. This may be useful should you find a different level to be more suitable for your exact configuration.
Reduce Noise
This is the fourth data transformation . While the previous Ratio Norm. Threshold linearly stretches values between a threshold and 0, this setting will exponentially squash values closer to 0 if below the lower signal level.
The purpose of this is to compress data below the signal range, then amplify it as it approaches the signal level. If we are trying to identify extremes (the signal), minimizing values that are not extreme (the noise) can help us visually focus on what matters.
Always keep both signal zones visible
Some traders like to zoom in close to the bars. Others prefer to keep a wider focus. For those that like to zoom in, if both signals were always visible, the bar values can appear squashed and difficult to discern. For those that keep a wider focus, if both signals were not always visible, it's possible to lose context if a signal zone is vertically beyond the pane. This setting allows you to decide which scenario is best for you.
Plot Colors
These define the default color, within signal color, and beyond signal color for Bullish and Bearish directions.
Plot colors should be relative to zero
When enabled, the plot will inherit Bullish colors when above zero and Bearish colors when below zero. When disabled and Directional Colors are enabled (below), the plot will inherit the default Bullish color when rising, and the default Bearish color when falling. Otherwise, the plot will use the default Bullish color for all directions.
Directional colors
When the plot colors should be relative to zero (above), this changes the opacity of a bars color if moving toward zero, where "100" percent is the full value of the original color and "0" is transparent. When the plot colors are NOT relative to zero, the plot will inherit Bullish colors when rising and Bearish colors when falling.
Differentiate RTH from ETH
Market Internal data is typically only available during regular trading hours. When this setting is enabled, the background color of the indicator will change as a reminder that data is not available outside regular trading hours (RTH), if the chart is showing electronic trading hours (ETH).
Show zero line
Similar to always keeping signal zones visible (further up), some traders prefer zooming in while others prefer a wider context. This setting allows you to specify the visibility of the zero line to best suit your trading style.
Linear Regression
Polynomial regressions are great for capturing non-linear patterns in data. TradingView offers a "linear regression curve", which this script is using as a substitute. If you're unfamiliar with either term, think of this like a better moving average.
Symbol
While the Market Internal symbol will display in the status line of the indicator, the status line can be small and require more than a quick glance to read properly. Enabling this setting allows you to specify if / where / how the symbol should display on the indicator to make distinguishing between Market Internals more efficient.
Speaking of symbols, this indicator is designed for, and limited to, the following …
TICK - The TICK subtracts the total number of stocks making a downtick from the total number of stocks making an uptick.
ADD - The Advance Decline Difference subtracts the total number of stocks below yesterdays close from the total number of stocks above yesterdays close.
VOLD - The Volume Difference subtracts the total declining volume from the total advancing volume.
TRIN - The Arms Index (aka. Trading Index) divides the ratio of Advancing Stocks / Volume by the ratio of Declining Stocks / Volume. Given the inverse correlation of this index to market movement, when transforming it to a Ratio or Percent Diff., its values are inverted to preserve the bull-bear sentiment of the transformations.
VIX - The CBOE Volatility Index is derived from SPX index option prices, generating a 30-day forward projection of volatility. Given the inverse correlation of this index to market movement, when transforming it to a Ratio or Percent Diff., its values are inverted and normalized to the sessions first bar to preserve the bull-bear sentiment of the transformations. Note: If you do not have a Cboe CGIF subscription , VIX data will be delayed and plot unexpectedly.
ABVD - The Above VWAP Difference is an unofficial index measuring all stocks above VWAP as a percent difference. For the purposes of this indicator (and brevity), TradingViews PCTABOVEVWAP has has been shortened to simply be ABVD.
TKCD - The Tick Cumulative Difference is an unofficial index that subtracts the total number of market downticks from the total number of market upticks. Where "the TICK" (further up) is a measurement of stocks ticking up and down, TKCD is a measurement of the ticks themselves. For the purposes of this indicator (and brevity), TradingViews UPTKS and DNTKS symbols have been shorted to simply be TKCD.
INSPIRATION
I recently made an indicator automatically identifying / drawing daily percentage levels , based on 4 assumptions. One of these assumptions is about trend days. While trend days do not represent the majority of days, they can have big moves worth understanding, for both capitalization and risk mitigation.
To this end, I discovered:
• Article by Linda Bradford Raschke about Capturing Trend Days.
• Video of Garrett Drinon about Trend Day Trading.
• Videos of Ryan Trost about How To Use ADD and TICK.
• Article by Jason Ruchel about Overview of Key Market Internals.
• Including links to resources outside of TradingView violates the House Rules, but they're not hard to find, if interested.
These discoveries inspired me adopt the underlying symbols in my own trading. I also found myself wanting to make using them easier, the net result being this script.
While coding everything, I also discovered a few symbols I believe warrant serious consideration. Specifically the Percent Above VWAP symbols and the Up Ticks / Down Ticks symbols (referenced as ABVD and TKCD in this indicator, for brevity). I found transforming ABVD or TKCD into a Ratio or Percent Diff. to be an incredibly useful and worthy inclusion.
ABVD is a Market Breadth cousin to Brian Shannon's work, and TKCD is like the 3rd dimension of the TICKs geometry. Enjoy.
MACDh with divergences & impulse system (overlayed on prices)-----------------------------------------------------------------
General Description:
This indicator ( the one on the top panel above ) consists on some lines, arrows and labels drawn over the price bars/candles indicating the detection of regular divergences between price and the classic MACD histogram (shown on the low panel). This script is special because it can be adjusted to fit several criteria when trading divergences filtering them according to the "height" and "width" of the patterns. The script also includes the "extra features" Impulse System and Keltner Channels, which you will hardly find anywhere else in similar classic MACD histogram divergence indicators.
The indicator helps to find trend reversals, and it works on any market, any instrument, any timeframe, and any market condition (except against really strong trends that do not show any other sign of reversion yet).
Please take on consideration that divergences should be taken with caution.
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Definition of classic Bullish and Bearish divergences:
* Bearish divergences occur in uptrends identifying market tops. A classical or regular bearish divergence occurs when prices reach a new high and then pull back, with an oscillator (MACD histogram in this case) dropping below its zero line. Prices stabilize and rally to a higher high, but the oscillator reaches a lower peak than it did on a previous rally.
In the chart above (weekly charts of NKE, Nike, Inc.), in area X (around August 2021), NKE rallied to a new bull market high and MACD-Histogram rallied with it, rising above its previous peak and showing that bulls were extremely strong. In area Y, MACD-H fell below its centerline and at the same time prices punched below the zone between the two moving averages. In area Z, NKE rallied to a new bull market high, but the rally of MACD-H was feeble, reflecting the bulls’ weakness. Its downtick from peak Z completed a bearish divergence, giving a strong sell signal and auguring a nasty bear market.
* Bullish divergences , in the other hand, occur towards the ends of downtrends identifying market bottoms. A classical (also called regular) bullish divergence occurs when prices and an oscillator (MACD histogram in this case) both fall to a new low, rally, with the oscillator rising above its zero line, then both fall again. This time, prices drop to a lower low, but the oscillator traces a higher bottom than during its previous decline.
In the example in the chart above (weekly charts of NKE, Nike, Inc.), you see a bearish divergence that signaled the October 2022 bear market bottom, giving a strong buy signal right near the lows. In area A, NKE (weekly charts) appeared in a free fall. The record low A of MACD-H indicated that bears were extremely strong. In area B, MACD-H rallied above its centerline. Notice the brief rally of prices at that moment. In area C, NKE slid to a new bear market low, but MACD-H traced a much more shallow low. Its uptick completed a bullish divergence, giving a strong buy signal.
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Some cool features included in this indicator:
1. This indicator also includes the “ Impulse System ”. The Impulse System is based on two indicators, a 13-day exponential moving average and the MACD-Histogram, and identifies inflection points where a trend speeds up or slows down. The moving average identifies the trend, while the MACD-Histogram measures momentum. This unique indicator combination is color coded into the price bars for easy reference.
Calculation:
Green Price Bar: (13-period EMA > previous 13-period EMA) and
(MACD-Histogram > previous period's MACD-Histogram)
Red Price Bar: (13-period EMA < previous 13-period EMA) and
(MACD-Histogram < previous period's MACD-Histogram)
Price bars are colored blue when conditions for a Red Price Bar or Green Price Bar are not met. The MACD-Histogram is based on MACD(12,26,9).
The Impulse System works more like a censorship system. Green price bars show that the bulls are in control of both trend and momentum as both the 13-day EMA and MACD-Histogram are rising (you don't have permission to sell). A red price bar indicates that the bears have taken control because the 13-day EMA and MACD Histogram are falling (you don't have permission to buy). A blue price bar indicates mixed technical signals, with neither buying nor selling pressure predominating (either both buying or selling are permitted).
2. Another "extra feature" included here is the " Keltner Channels ". Keltner Channels are volatility-based envelopes set above and below an exponential moving average.
3. It were also included a couple of EMAs.
Everything can be removed from the chart any time.
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Options/adjustments for this indicator:
*Horizontal Distance (width) between two tops/bottoms criteria.
Refers to the horizontal distance between the MACH histogram peaks involved in the divergence
*Height of tops/bottoms criteria (for Histogram).
Refers to the difference/relation/vertical distance between the MACH HISTOGRAM peaks involved in the divergence: 1st Histogram Peak is X times the 2nd.
*Height/Vertical deviation of tops/bottoms criteria (for Price).
Deviation refers to the difference/relation/vertical distance between the PRICE peaks involved in the divergence.
*Plot Regular Bullish Divergences?.
*Plot Regular Bearish Divergences?.
*Delete Previous Cancelled Divergences?.
*Shows a pair of EMAs.
*Shows Keltner Channels (using ATR)
Keltner Channels are volatility-based envelopes set above and below an exponential moving average.
*This indicator also has the option to show the Impulse System over the price bars/candles.
MACDh with divergences & impulse system-----------------------------------------------------------------
General Description:
This indicator ( the one on the low panel ) is a classic MACD that also shows regular divergences between its histogram and the prices. This script is special because it can be adjusted to fit several criteria when trading divergences filtering them according to the "height" and "width" of the patterns. The script also includes the "extra feature" Impulse System, which you will hardly find anywhere else in similar classic MACD histogram divergence indicators.
The indicator helps to find trend reversals, and it works on any market, any instrument, any timeframe, and any market condition (except against really strong trends that do not show any other sign of reversion yet).
Please take on consideration that divergences should be taken with caution.
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Definition of classic Bullish and Bearish divergences:
* Bearish divergences occur in uptrends identifying market tops. A classical or regular bearish divergence occurs when prices reach a new high and then pull back, with an oscillator (MACD histogram in this case) dropping below its zero line. Prices stabilize and rally to a higher high, but the oscillator reaches a lower peak than it did on a previous rally.
In the chart above (weekly charts of NKE, Nike, Inc.), in area X (around August 2021), NKE rallied to a new bull market high and MACD-Histogram rallied with it, rising above its previous peak and showing that bulls were extremely strong. In area Y, MACD-H fell below its centerline and at the same time prices punched below the zone between the two moving averages. In area Z, NKE rallied to a new bull market high, but the rally of MACD-H was feeble, reflecting the bulls’ weakness. Its downtick from peak Z completed a bearish divergence, giving a strong sell signal and auguring a nasty bear market.
* Bullish divergences , in the other hand, occur towards the ends of downtrends identifying market bottoms. A classical (also called regular) bullish divergence occurs when prices and an oscillator (MACD histogram in this case) both fall to a new low, rally, with the oscillator rising above its zero line, then both fall again. This time, prices drop to a lower low, but the oscillator traces a higher bottom than during its previous decline.
In the example in the chart above (weekly charts of NKE, Nike, Inc.), you see a bearish divergence that signaled the October 2022 bear market bottom, giving a strong buy signal right near the lows. In area A, NKE (weekly charts) appeared in a free fall. The record low A of MACD-H indicated that bears were extremely strong. In area B, MACD-H rallied above its centerline. Notice the brief rally of prices at that moment. In area C, NKE slid to a new bear market low, but MACD-H traced a much more shallow low. Its uptick completed a bullish divergence, giving a strong buy signal.
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Extra feature: Impulse System
This indicator also includes the “ Impulse System ”. The Impulse System is based on two indicators, a 13-day exponential moving average and the MACD-Histogram, and identifies inflection points where a trend speeds up or slows down. The moving average identifies the trend, while the MACD-Histogram measures momentum. This unique indicator combination is color coded into the price bars or macd histogram bars for easy reference.
Calculation:
Green Price Bar: (13-period EMA > previous 13-period EMA) and
(MACD-Histogram > previous period's MACD-Histogram)
Red Price Bar: (13-period EMA < previous 13-period EMA) and
(MACD-Histogram < previous period's MACD-Histogram)
Histogram bars are colored blue when conditions for a Red Histogram Bar or Green Histogram Bar are not met. The MACD-Histogram is based on MACD(12,26,9).
The Impulse System works more like a censorship system. Green histogram bars show that the bulls are in control of both trend and momentum as both the 13-day EMA and MACD-Histogram are rising (you don't have permission to sell). A red histogram bar indicates that the bears have taken control because the 13-day EMA and MACD Histogram are falling (you don't have permission to buy). A blue histogram bar indicates mixed technical signals, with neither buying nor selling pressure predominating (either both buying or selling are permitted).
The impulse system can be removed from the chart any time.
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Options/adjustments for this indicator:
*Horizontal Distance (width) between two tops/bottoms criteria.
Refers to the horizontal distance between the MACH histogram peaks involved in the divergence
*Height of tops/bottoms criteria (for Histogram).
Refers to the difference/relation/vertical distance between the MACH HISTOGRAM peaks involved in the divergence: 1st Histogram Peak is X times the 2nd.
*Height/Vertical deviation of tops/bottoms criteria (for Price).
Deviation refers to the difference/relation/vertical distance between the PRICE peaks involved in the divergence.
*Plot Regular Bullish Divergences?.
*Plot Regular Bearish Divergences?.
*Delete Previous Cancelled Divergences?.
*This indicator also has the option to show the Impulse System over the MACD histogram bars
Candle Color OverlayDescription:
The Candle Color Overlay (CCO) indicator is a powerful tool for visualizing price movements on a chart. It overlays the chart with customizable colors, highlighting bullish and bearish candles based on their open and close values. This indicator helps traders quickly identify the direction of price movements and assess market sentiment.
How it Works:
The Candle Color Overlay indicator performs the following steps:
1. Calculation of the OHLC (Open, High, Low, Close) values for each candle based on the selected timeframe.
2. Classification of each candle as bullish or bearish:
- A bullish candle is when the closing price is greater than or equal to the opening price.
- A bearish candle is when the closing price is lower than the opening price.
3. Overlaying colors on the chart:
- The indicator applies a bullish color to the background when candles are classified as bullish and a bearish color to the background when candles classified as bearish. This overlay provides a visual representation of price movements.
4. Optional display of price movement labels:
- If enabled, the indicator shows a text label at the bottom of the current candle, indicating the percentage increase or decrease in price during a bullish or bearish background period.
Usage:
To effectively use the Candle Color Overlay indicator, follow these steps:
1. Add the indicator to your chart from the list of available indicators.
2. Configure the indicator's inputs:
- Choose the desired color for bullish candles using the "Bullish Color" input.
- Select the preferred color for bearish candles using the "Bearish Color" input.
- Specify the timeframe for analysis using the "Time Frame" input (default is 1 hour).
- Optionally enable the "Show Background Price Movement" input to display the percentage increase or decrease in price during each background period.
3. Analyze the colored overlay:
- Bullish colors represent candles where the closing price is greater than or equal to the opening price, indicating bullish sentiment.
- Bearish colors represent candles where the closing price is lower than the opening price, indicating bearish sentiment.
4. If enabled, observe the price movement labels
5. Combine the insights from the colored overlay and the price movement labels with other technical analysis tools, such as trend lines, support and resistance levels, or candlestick patterns, to make well-informed trading decisions.
[blackcat] L3 Aroon ZoneLevel 3
Background
The Aroon indicator developed by Tushar Chanand indicates whether there is a trend price or is located in a trading area.
Function
Classical Aroon can also show the beginning of a new trend, its strength and expectation of changes from trade areas to trends. However, it produces too much noise when is bull or bear during sideways. In this improved version, I use bars without "blur cross" to classify bull, bear and sideways, which could look better to know the status of current market.
Since Chinese uses red for bull, green for bear, while others use green for bull and red for bear, i try to avoid to use red or green, which may be confusing. I use my style of color for bull and bear:
Yellow --> Bull
Fuchsia --> Bear
Gray --> Sideways
Remarks
Feedbacks are appreciated.
ahpuhelperLibrary "ahpuhelper"
Helper Library for Auto Harmonic Patterns UltimateX. It is not meaningful for others. This is supposed to be private library. But, publishing it to make sure that I don't delete accidentally. Some functions may be useful for coders.
insert_open_trades_table_column(showOpenTrades, table_id, column, colors, values, intStatus, harmonicTrailingStartState, lblSizeOpenTrades)
add data to open trades table column
Parameters:
showOpenTrades : flag to show open trades table
table_id : Table Id
column : refers to pattern data
colors : backgroud and text color array
values : cell values
intStatus : status as integer
harmonicTrailingStartState : trailing Start state as per configs
lblSizeOpenTrades : text size
Returns: nextColumn
populate_closed_stats(ClosedStatsPosition, bullishCounts, bearishCounts, bullishRetouchCounts, bearishRetouchCounts, bullishSizeMatrix, bearishSizeMatrix, bullishRR, bearishRR, allPatternLabels, flags, rowMain, rowHeaders)
populate closed stats for harmonic patterns
Parameters:
ClosedStatsPosition : Table position for closed stats
bullishCounts : Matrix containing bullish trade stats
bearishCounts : Matrix containing bearish trade stats
bullishRetouchCounts : Matrix containing bullish trade stats for those which retouched entry
bearishRetouchCounts : Matrix containing bearish trade stats for those which retouched entry
bullishSizeMatrix : Matrix containing data about size of bullish patterns
bearishSizeMatrix : Matrix containing data about size of bearish patterns
bullishRR : Matrix containing Risk Reward data of bullish patterns
bearishRR : Matrix containing Risk Reward data of bearish patterns
allPatternLabels : array containing pattern labels
flags : display flags
rowMain : Pattern header data
rowHeaders : header grouping data
Returns: void
get_rr_details(patternTradeDetails, harmonicTrailingStartState, disableTrail, breakEvenTrail)
calculate and return risk reward based on targets and stops
Parameters:
patternTradeDetails : array containing stop, entry and targets
harmonicTrailingStartState : trailing point
disableTrail : If set, ignores trailing point
breakEvenTrail : If set, trailing does not go beyond breakeven.
Returns: nextColumn
Options Scalping by harsh gbychi this is my script.
Bank Nifty Live OI Change Chart can give very useful clues for intraday support and resistance levels for Bank Nifty. If there is more addition in Open Interest at 12200 Calls, that would mean most market players are comfortable writing call options at this level because they believe it to be a strong resistance. That would be bearish indication for BankNifty.
Similarly is there is highest writing in 12000 Puts that would indicate strong intraday support at that level.
Third Scenario: There is good amount of Open Interest increase in 12000 PE and 12200 CE –> this means we should expect a range bound session for the day, as both bears and bulls are comfortable holding the 12200 and 12000 levels respectively.
Following factors could improve reliability of BankNifty OI Change analysis:
1) Put Call Ratio: Higher PCR means bullishness. If there is more writing at 12000PE and PCR is high and increasing during the day that would add to bullish scenario
If the PCR is declining for the day and more writing happening at 12200CE then this adds to bearishness.
2) Close to expiry: The closer to expiry we are, the more reliable the ‘Open Interest’ analysis. Early in the series, the OI analysis is less reliable.
3) More Players: As the number of players increase, the OI analysis become more reliable.
4) Bid-ask Spread: The lower the bid-ask spread the more reliable the OI analysis.
5) Technical Indicators: The best trades are found by combining OI analysis with other technical indicators. MACD, RSI, Channel lines and EW count give best results with Open Interest Analysis.
Rollover LTEThis indicator shows where price needs to be and when in order to cause the 20-sma and 50-sma moving averages to change directions. A change in direction requires the slope of a moving average to change from negative to positive or from positive to negative. When a moving average changes direction, it can be said that it has “rolled over” or “rolled up,” with the latter only applying if slope went from negative to positive.
Theory:
In order to solve for the price of the current bar that will cause the moving average to roll up, the slope from the previous bar’s average to the current bar’s average must be set equal to zero which is to say that the averages must be the same.
For the 20-sma, the equation simply stated in words is as follows:
Current MA as a function of current price and previous 19 values = previous MA which is fixed based on previous 20 values
The denominators which are both 20 cancel and the previous 19 values cancel. What’s left is current price on the left side and the value from 20 bars ago on the right.
Current price = value from 20 bars ago
and since the equation was set up for solving for the price of the current bar that will cause the MA to roll over
Rollover price = value from 20 bars ago
This makes plotting rollover price, both current and forecasted, fairly simple, as it’s merely the closing price plotted with an offset to the right the same distance as the moving average length.
Application:
The 20-sma and 50-sma rollover prices are plotted because they are considered to be the two most important moving averages for rollover analysis. Moving average lengths can be modified in the indicator settings. The 20-sma and 20-sma rollover price are both plotted in white and the 50-sma and 50-sma rollover price are both plotted in blue. There are two rollover prices because the 20-sma rollover price is the price that will cause the 20-sma to roll over and the 50-sma rollover price is the price that will cause the 50-sma to roll over. The one that's vertically furthest away from the current price is the one that will cause both to rollover, as should become clearer upon reading the explanation below.
The distance between the current price and the 20-sma rollover price is referred to as the “rollover strength” of the price relative to the 20-sma. A large disparity between the current price and the rollover price suggests bearishness (negative rollover strength) if the rollover price is overhead because price would need to travel all that distance in order to cause the moving average to roll up. If the rollover price and price are converging, as is often the case, a change in moving average and price direction becomes more plausible. The rollover strengths of the 20-sma and 50-sma are added together to calculate the Rollover Strength and if a negative number is the result then the background color of the plot cloud turns red. If the result is positive, it turns green. Rollover Strength is plotted below price as a separate indicator in this publication for reference only and it's not part of this indicator. It does not look much different from momentum indicators. The code is below if anybody wants to try to use it. The important thing is that the distances between the rollover prices and the price action are kept in mind as having shrinking, growing, or neutral bearish and bullish effects on current and forecasted price direction. Trades should not be entered based on cloud colorization changes alone.
If you are about to crash into a wall of the 20-sma rollover price, as is indicated on the chart by the green arrow, you might consider going long so long as the rollover strength, both current and forecasted, of the 50-sma isn’t questionably bearish. This is subject to analysis and interpretation. There was a 20-sma rollover wall as indicated with yellow arrow, but the bearish rollover strength of the 50-sma was growing and forecasted to remain strong for a while at that time so a long entry would have not been suggested by both rollover prices. If you are about to crash into both the 20-sma and 50-sma rollover prices at the same time (not shown on this chart), that’s a good time to place a trade in anticipation of both slopes changing direction. You may, in the case of this chart, see that a 20-sma rollover wall precedes a 50-sma rollover convergence with price and anticipate a cascade which turned out to be the case with this recent NQ rally.
Price exiting the cloud entirely to either the upside or downside has strong implications. When exiting to the downside, the 20-sma and 50-sma have both rolled over and price is below both of them. The same is true for upside exits. Re-entering the cloud after a rally may indicate a reversal is near, especially if the forecasted rollover prices, particularly the 50-sma, agree.
This indicator should be used in conjunction with other technical analysis tools.
Additional Notes:
The original version of this script which will not be published was much heavier, cluttered, and is not as useful. This is the light version, hence the “LTE” suffix.
LTE stands for “long-term evolution” in telecommunications, not “light.”
Bar colorization (red, yellow, and green bars) was added using the MACD Hybrid BSH script which is another script I’ve published.
If you’re not sure what a bar is, it’s the same thing as a candle or a data point on a line chart. Every vertical line showing price action on the chart above is a bar and it is a bar chart.
sma = simple moving average
Rollover Strength Script:
// This source code is subject to the terms of the Mozilla Public License 2.0 at mozilla.org
// © Skipper86
//@version=5
indicator(title="Rollover Strength", shorttitle="Rollover Strength", overlay=false)
source = input.source(close)
length1 = input.int(20, "Length 1", minval=1)
length2 = input.int(50, "Length 2", minval=1)
RolloverPrice1 = source
RolloverPrice2 = source
RolloverStrength1 = source-RolloverPrice1
RolloverStrength2 = source-RolloverPrice2
RolloverStrength = RolloverStrength1 + RolloverStrength2
Color1 = color.rgb(155, 155, 155, 0)
Color2 = color.rgb(0, 0, 200, 0)
Color3 = color.rgb(0, 200, 0, 0)
plot(RolloverStrength, title="Rollover Strength", color=Color3)
hline(0, "Middle Band", color=Color1)
//End of Rollover Strength Script
Oxy CandlestickOxymoronic (oxy) candlesticks often appear at significant levels in a chart and can indicate increased probabilities of directional moves.
Typically, green candles are hollow and red candles are filled. An oxymoronic candle is colored bullishly but filled bearishly (solid green) or vice versa (hollow red).
Oxy flags occur when:
1) Price gaps up and closes lower than the open but above the last close. A solid green (or black) candle is bearish.
2) Price gaps down and closes higher than the open but below the last close. A hollow red candle is bullish.
An oxy candle indicates one of three things:
1) Price is going up (bullish oxy)
2) Price is going down (bearish oxy)
3) Price will return to this level (either)
#1 and #2 are the default meaning. If those don't play out then look for #3.
As is the case with most indicators, it is best not to use this indicator in isolation, but to combine it with other forms of analysis to increase your probabilities and to identify significant levels.
Relative Strength Index (OSC)Hello everyone, I'm sorry that the previous open-source version was hidden due to the house rules, I've re-edited the description and re-posted it
(1) Indicator introduction
This is RSI indicator with original divergence algorithm
This indicator is plotted on the RSI and can display the divergence locations and corresponding divergence intensity
The tolerance of N Klines at the top or bottom positions for price and indicator is supported, which is set by the "Tolerant Kline Number"
Support the display of divergence intensity, that is, the REG/HID value displayed on the label, which is less than 0. The smaller the intensity value, the more obvious divergence
Support the filtering of divergence intensity, which is set by "Cov Threshold". The divergence that REG/HID divergence intensity greater than this value will be ignored
In the label, REG indicates regular top/bottom divergence while HID indicates hidden top/bottom divergence
In the label, SRC(x-y) indicates a divergence occurred from the x-th kline to the y-th kline
In the label, OSC(x-y) indicates a divergence occurred from the indicator corresponding to the x-th kline to the y-th kline
(2) Parameter introduction
- RSI Settings
Source: The source to calculate RSI, close by default
RSI Length: The length of RSI, 14 by default
- RSI Divergence
Pivot Lookback Right: Number of K-line bars recalling the pivot top/bottom point to the right
Pivot Lookback Left: Number of K-line bars recalling the pivot top/bottom point to the left
Max of Lookback Range: Maximum number of retracing K-line bars to find the pivot top/bottom point
Min of Lookback Range: Minimum number of retracing K-line bars to find the pivot top/bottom point
Tolerant Kline Number: Maximum tolerance in indexing top/bottom points of Klines and indicators
Cov Threshold: Divergence intensity, which is less than 0. The smaller the intensity value, the more obvious divergence
Plot Bullish: Whether to draw regular bullish divergence label
Plot Hidden Bullish: Whether to draw hidden bullish divergence label
Plot Bearish: Whether to draw regular bearish divergence label
Plot Hidden Bearish: Whether to draw hidden bearish divergence label
Happy trading and enjoy your life!
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各位朋友大家好，很抱歉之前的开源版本因为规则原因被隐藏，我已经重新编辑了说明并重新发布
(1) 指标说明
该指标绘制于 RSI 上，并在对应位置显示背离点以及背离程度
支持顶底位置 N 根K线的容差，由 Tolerant Kline Number 参数设置
支持背离强度的显示，即标签上显示的 REG/HID 值，该值小于 0，且越小说明背离程度越大
支持背离强度的过滤，由 Cov Threshold 参数设置， REG/HID 值大于这个值的背离会被忽略
标签中，REG 表示常规顶/低背离，而 HID 表示隐藏顶/底背离
标签中，SRC(x-y) 表示从当前第 x 根 bar 开始到第 y 跟 bar 出现背离
标签中，OSC(x-y) 表示从当前第 x 根 bar 所对应的指标开始到第 y 跟 bar 所对应的指标出现背离
(2) 参数说明
- RSI Settings
Source: 计算 RSI 指标的 source，默认为 close
RSI Length: 计算 RSI 指标的长度，默认为 14
- RSI Divergence
Pivot Lookback Right: 枢纽顶/底点往右回顾的 K线 bar 数量
Pivot Lookback Left: 枢纽顶/底点往左回顾的 K线 bar 数量
Max of Lookback Range: 回寻找枢纽顶/底点的最大回溯 K线 bar 数量
Min of Lookback Range: 回寻找枢纽顶/底点的最小回溯 K线 bar 数量
Tolerant Kline Number: K线和指标的顶/底点索引的最大误差
Cov Threshold: 背离程度，该值小于 0，且越小说明背离程度越大
Plot Bullish: 是否绘制常规底背离提示
Plot Hidden Bullish: 是否绘制隐藏底背离提示
Plot Bearish: 是否绘制常规顶背离提示
Plot Hidden Bearish: 是否绘制隐藏顶背离提示
祝大家交易愉快
Relative Strength Index (SRC)Hello everyone, I'm sorry that the previous open-source version was hidden due to the house rules, I've re-edited the description and re-posted it
(1) Indicator introduction
This is RSI indicator with original divergence algorithm
This indicator is plotted on the klines and can display the divergence locations and corresponding divergence intensity
The tolerance of N Klines at the top or bottom positions for price and indicator is supported, which is set by the "Tolerant Kline Number"
Support the display of divergence intensity, that is, the REG/HID value displayed on the label, which is less than 0. The smaller the intensity value, the more obvious divergence
Support the filtering of divergence intensity, which is set by "Cov Threshold". The divergence that REG/HID divergence intensity greater than this value will be ignored
In the label, REG indicates regular top/bottom divergence while HID indicates hidden top/bottom divergence
In the label, SRC(x-y) indicates a divergence occurred from the x-th kline to the y-th kline
In the label, OSC(x-y) indicates a divergence occurred from the indicator corresponding to the x-th kline to the y-th kline
(2) Parameter introduction
- RSI Settings
Source: The source to calculate RSI, close by default
RSI Length: The length of RSI, 14 by default
- RSI Divergence
Pivot Lookback Right: Number of K-line bars recalling the pivot top/bottom point to the right
Pivot Lookback Left: Number of K-line bars recalling the pivot top/bottom point to the left
Max of Lookback Range: Maximum number of retracing K-line bars to find the pivot top/bottom point
Min of Lookback Range: Minimum number of retracing K-line bars to find the pivot top/bottom point
Tolerant Kline Number: Maximum tolerance in indexing top/bottom points of Klines and indicators
Cov Threshold: Divergence intensity, which is less than 0. The smaller the intensity value, the more obvious divergence
Plot Bullish: Whether to draw regular bullish divergence label
Plot Hidden Bullish: Whether to draw hidden bullish divergence label
Plot Bearish: Whether to draw regular bearish divergence label
Plot Hidden Bearish: Whether to draw hidden bearish divergence label
Happy trading and enjoy your life!
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各位朋友大家好，很抱歉之前的开源版本因为规则原因被隐藏，我已经重新编辑了说明并重新发布
(1) 指标说明
该指标绘制于 K线 上，并在对应位置显示背离点以及背离程度
支持顶底位置 N 根K线的容差，由 Tolerant Kline Number 参数设置
支持背离强度的显示，即标签上显示的 REG/HID 值，该值小于 0，且越小说明背离程度越大
支持背离强度的过滤，由 Cov Threshold 参数设置， REG/HID 值大于这个值的背离会被忽略
标签中，REG 表示常规顶/低背离，而 HID 表示隐藏顶/底背离
标签中，SRC(x-y) 表示从当前第 x 根 bar 开始到第 y 跟 bar 出现背离
标签中，OSC(x-y) 表示从当前第 x 根 bar 所对应的指标开始到第 y 跟 bar 所对应的指标出现背离
(2) 参数说明
- RSI Settings
Source: 计算 RSI 指标的 source，默认为 close
RSI Length: 计算 RSI 指标的长度，默认为 14
- RSI Divergence
Pivot Lookback Right: 枢纽顶/底点往右回顾的 K线 bar 数量
Pivot Lookback Left: 枢纽顶/底点往左回顾的 K线 bar 数量
Max of Lookback Range: 回寻找枢纽顶/底点的最大回溯 K线 bar 数量
Min of Lookback Range: 回寻找枢纽顶/底点的最小回溯 K线 bar 数量
Tolerant Kline Number: K线和指标的顶/底点索引的最大误差
Cov Threshold: 背离程度，该值小于 0，且越小说明背离程度越大
Plot Bullish: 是否绘制常规底背离提示
Plot Hidden Bullish: 是否绘制隐藏底背离提示
Plot Bearish: 是否绘制常规顶背离提示
Plot Hidden Bearish: 是否绘制隐藏顶背离提示
祝大家交易愉快
On Balance Volume wi Normalization (OSC)Hello everyone, I'm sorry that the previous open-source version was hidden due to the house rules, I've re-edited the description and re-posted it
(1) Indicator introduction
This indicator is a normalized OBV that never dulls and has a better divergence accuracy than RSI
This indicator is plotted on the Normalized OBV and can display the divergence locations and corresponding divergence intensity
The tolerance of N Klines at the top or bottom positions for price and indicator is supported, which is set by the "Tolerant Kline Number"
Support the display of divergence intensity, that is, the REG/HID value displayed on the label, which is less than 0. The smaller the intensity value, the more obvious divergence
Support the filtering of divergence intensity, which is set by "Cov Threshold". The divergence that REG/HID divergence intensity greater than this value will be ignored
In the label, REG indicates regular top/bottom divergence while HID indicates hidden top/bottom divergence
In the label, SRC(x-y) indicates a divergence occurred from the x-th kline to the y-th kline
In the label, OSC(x-y) indicates a divergence occurred from the indicator corresponding to the x-th kline to the y-th kline
(2) Parameter introduction
- Normalized On Balance Volume
MA Type: Type of moving average for calculating the normalized OBV, default is SMA
MA Period: Period of moving average of normalized OBV, which is SMA14 by default
NOBV Sigma: Upper and lower range of normalized OBV
- Normalized On Balance Volume Divergence
Pivot Lookback Right: Number of K-line bars recalling the pivot top/bottom point to the right
Pivot Lookback Left: Number of K-line bars recalling the pivot top/bottom point to the left
Max of Lookback Range: Maximum number of retracing K-line bars to find the pivot top/bottom point
Min of Lookback Range: Minimum number of retracing K-line bars to find the pivot top/bottom point
Tolerant Kline Number: Maximum tolerance in indexing top/bottom points of Klines and indicators
Cov Threshold: Divergence intensity, which is less than 0. The smaller the intensity value, the more obvious divergence
Plot Bullish: Whether to draw regular bullish divergence label
Plot Hidden Bullish: Whether to draw hidden bullish divergence label
Plot Bearish: Whether to draw regular bearish divergence label
Plot Hidden Bearish: Whether to draw hidden bearish divergence label
Happy trading and enjoy your life!
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各位朋友大家好，很抱歉之前的开源版本因为规则原因被隐藏，我已经重新编辑了说明并重新发布
(1) 指标说明
该指标是 OBV 的归一化版本，永不钝化，背离准确率高于 RSI
该指标绘制于 归一化OBV 上，并在对应位置显示背离点以及背离程度
支持顶底位置 N 根K线的容差，由 Tolerant Kline Number 参数设置
支持背离强度的显示，即标签上显示的 REG/HID 值，该值小于 0，且越小说明背离程度越大
支持背离强度的过滤，由 Cov Threshold 参数设置， REG/HID 值大于这个值的背离会被忽略
标签中，REG 表示常规顶/低背离，而 HID 表示隐藏顶/底背离
标签中，SRC(x-y) 表示从当前第 x 根 bar 开始到第 y 跟 bar 出现背离
标签中，OSC(x-y) 表示从当前第 x 根 bar 所对应的指标开始到第 y 跟 bar 所对应的指标出现背离
(2) 参数说明
- Normalized On Balance Volume
MA Type: 计算归一化 OBV 的移动平均的类型，默认为 SMA
MA Period: 计算归一化 OBV 的移动平均的周期，默认为 SMA14
NOBV Sigma: 归一化 OBV 的过滤区间
- Normalized On Balance Volume Divergence
Pivot Lookback Right: 枢纽顶/底点往右回顾的 K线 bar 数量
Pivot Lookback Left: 枢纽顶/底点往左回顾的 K线 bar 数量
Max of Lookback Range: 回寻找枢纽顶/底点的最大回溯 K线 bar 数量
Min of Lookback Range: 回寻找枢纽顶/底点的最小回溯 K线 bar 数量
Tolerant Kline Number: K线和指标的顶/底点索引的最大误差
Cov Threshold: 背离程度，该值小于 0，且越小说明背离程度越大
Plot Bullish: 是否绘制常规底背离提示
Plot Hidden Bullish: 是否绘制隐藏底背离提示
Plot Bearish: 是否绘制常规顶背离提示
Plot Hidden Bearish: 是否绘制隐藏顶背离提示
祝大家交易愉快
On Balance Volume wi Normalization (SRC)Hello everyone, I'm sorry that the previous open-source version was hidden due to the house rules, I've re-edited the description and re-posted it
(1) Indicator introduction
This indicator is a normalized OBV that never dulls and has a better divergence accuracy than RSI
This indicator is plotted on the klines and can display the divergence locations and corresponding divergence intensity
The tolerance of N Klines at the top or bottom positions for price and indicator is supported, which is set by the "Tolerant Kline Number"
Support the display of divergence intensity, that is, the REG/HID value displayed on the label, which is less than 0. The smaller the intensity value, the more obvious divergence
Support the filtering of divergence intensity, which is set by "Cov Threshold". The divergence that REG/HID divergence intensity greater than this value will be ignored
In the label, REG indicates regular top/bottom divergence while HID indicates hidden top/bottom divergence
In the label, SRC(x-y) indicates a divergence occurred from the x-th kline to the y-th kline
In the label, OSC(x-y) indicates a divergence occurred from the indicator corresponding to the x-th kline to the y-th kline
(2) Parameter introduction
- Normalized On Balance Volume
MA Type: Type of moving average for calculating the normalized OBV, default is SMA
MA Period: Period of moving average of normalized OBV, which is SMA14 by default
NOBV Sigma: Upper and lower range of normalized OBV, but the function is reserved
- Normalized On Balance Volume Divergence
Pivot Lookback Right: Number of K-line bars recalling the pivot top/bottom point to the right
Pivot Lookback Left: Number of K-line bars recalling the pivot top/bottom point to the left
Max of Lookback Range: Maximum number of retracing K-line bars to find the pivot top/bottom point
Min of Lookback Range: Minimum number of retracing K-line bars to find the pivot top/bottom point
Tolerant Kline Number: Maximum tolerance in indexing top/bottom points of Klines and indicators
Cov Threshold: Divergence intensity, which is less than 0. The smaller the intensity value, the more obvious divergence
Plot Bullish: Whether to draw regular bullish divergence label
Plot Hidden Bullish: Whether to draw hidden bullish divergence label
Plot Bearish: Whether to draw regular bearish divergence label
Plot Hidden Bearish: Whether to draw hidden bearish divergence label
Happy trading and enjoy your life!
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各位朋友大家好，很抱歉之前的开源版本因为规则原因被隐藏，我已经重新编辑了说明并重新发布
(1) 指标说明
该指标是 OBV 的归一化版本，永不钝化，背离准确率高于 RSI
该指标绘制于 K线 上，并在对应位置显示背离点以及背离程度
支持顶底位置 N 根K线的容差，由 Tolerant Kline Number 参数设置
支持背离强度的显示，即标签上显示的 REG/HID 值，该值小于 0，且越小说明背离程度越大
支持背离强度的过滤，由 Cov Threshold 参数设置， REG/HID 值大于这个值的背离会被忽略
标签中，REG 表示常规顶/低背离，而 HID 表示隐藏顶/底背离
标签中，SRC(x-y) 表示从当前第 x 根 bar 开始到第 y 跟 bar 出现背离
标签中，OSC(x-y) 表示从当前第 x 根 bar 所对应的指标开始到第 y 跟 bar 所对应的指标出现背离
(2) 参数说明
- Normalized On Balance Volume
MA Type: 计算归一化 OBV 的移动平均的类型，默认为 SMA
MA Period: 计算归一化 OBV 的移动平均的周期，默认为 SMA14
NOBV Sigma: 归一化 OBV 的过滤区间，其功能暂时保留
- Normalized On Balance Volume Divergence
Pivot Lookback Right: 枢纽顶/底点往右回顾的 K线 bar 数量
Pivot Lookback Left: 枢纽顶/底点往左回顾的 K线 bar 数量
Max of Lookback Range: 回寻找枢纽顶/底点的最大回溯 K线 bar 数量
Min of Lookback Range: 回寻找枢纽顶/底点的最小回溯 K线 bar 数量
Tolerant Kline Number: K线和指标的顶/底点索引的最大误差
Cov Threshold: 背离程度，该值小于 0，且越小说明背离程度越大
Plot Bullish: 是否绘制常规底背离提示
Plot Hidden Bullish: 是否绘制隐藏底背离提示
Plot Bearish: 是否绘制常规顶背离提示
Plot Hidden Bearish: 是否绘制隐藏顶背离提示
祝大家交易愉快
EMA Options Clouds With SignalsEMA Clouds for Options!
This indicator can help you confidently open and close options positions. Note that you should set stop a little below midline EMA . Risk reward for good signals is fairly consistent in profit. Most of the simulations I ran got between 1:2 and 1:4 profits. The losers usually can be avoided by making sure you are not in a choppy trading channel. Wait for EMAs to start separating and don't blindly follow every buy/sell.
3 wave EMA + Clouds:
Defaults:
EMA 8/32/64
Signals (off by default - turn on in settings):
Buy Call/Sell Call (open/exit call positions)
Buy Put/Sell Put (open/exit put positions)
Enter signals bullish:
Close over Middle EMA AND Short EMA > Middle EMA > Long EMA
Exit signals bullish:
Close under Middle EMA OR trend turns bearish (Short EMA < Middle EMA < Long EMA )
Enter signals bearish:
Close under Middle EMA AND Short EMA < Middle EMA < Long EMA
Exit signals bearish:
Close over Middle EMA OR Short EMA > Middle EMA > Long EMA
Cloud Colors (Default)
Green: Bullish
Red: Bearish
White: Chop/Transition
EMA Confirmations & RejectionsWant to know how the bulls and bears are doing? Use this to see the attempts made for making big moves and their outcomes to feel more confident in your entry or exit and know when the tides are turning. Do not read a single arrow or cross on the chart and think it means one thing. Take in the big picture and detect patterns and frequency of good or bad signals to determine the likelihood of the future being bullish or bearish. For example, more green arrows than orange arrows in a consolidation period would suggest a break to the upside is more likely.
There are 4 different signals this indicator can print:
1. A green arrow indicates a move of strength to the upside has begun. Could be a bull trap or the start of a long lasting bullish move.
2. An orange arrow indicates a move of strength to the downside has begun. Could be a bear trap or the start of a long lasting bearish move.
3. A blue cross is printed above if the break was to the upside, or below if it was to the downside. Indicates a failed attempt to change the trend and bullish price action is more likely in the next few candles.
4. A red cross is printed above if the break was to the upside, or below if it was to the downside. Indicates a failed attempt to change the trend and bearish price action is more likely in the next few candles.
The location of the cross is more important than the colour. Above means pressure downwards, and below means pressure upwards.
Pro Tip: Green arrows below 50 on the RSI are more meaningful than when above. This also works for orange arrows when above 50.
