Momentum ProfileProfile market behavior in horizontal zones
Profile Sidebar
Buckets pointing rightward indicate upward security movement in the lookahead window at that level, and buckets pointing leftward indicate downward movement in the lookahead window.
Green profile buckets indicate the security's behavior following an uptrend in the lookbehind window. Conversely, Red profile buckets show security's behavior following a downtrend in the lookbehind window. Yellow profile buckets show behavior following sideways movement.
Buckets length corelates with the amount of movement measured in that direction at that level.
Inputs
Length determines how many bars back are considered for the calculation. On most securities, this can be increased to just above 4000 without issues.
Rows determines the number of buckets that the securities range is divided into.
You can increase or decrease the threshold for which moves are considered sideways with the sideways_filter input: higher means more moves are considered sideways.
The lookbehind input determines the lookbehind window. Specifically, how many bars back are considered when determining whether a data point is considered green (uptrend), red (downtrend), or yellow (no significant trend).
The lookahead input determines how many bars after the current bar are considered when determining the length and direction of each bucket (leftward for downward moves, rightward for upward moves).
Profile_width and Profile_spacing are cosmetic choices.
Intrabar support is not current supported.
Region Highlighting
Regions highlighted green saw an upward move in the lookahead window for both lookbehind downtrends and uptrends. In other words, both red and green profile buckets pointed rightward.
Regions highlighted red saw a downward move in the lookahead window both for lookbehind downtrends and uptrends.
Regions highlighted brown indicate a reversal region: uptrends were followed by downtrends, and vice versa. These regions often indicate a chop range or sometimes support/resistance levels. On the profile, this means that green buckets pointed left, and red buckets pointed right.
Regions highlighted purple indicate that whatever direction the security was moving, it continued that way. On the profile, this means that green buckets pointed right, and red buckets pointed left in that region.
Cerca negli script per "support resistance"
EHRHART Algo Premium (V.2)EHRHART Algo Premium is a indicator designed to help traders analyze market flow. It work with multiple EMA for identifying the sentiment of market. It's very simple calculation but it's a good help for people who use price action. I think the visual of the chart is very important and and I wanted to create an indicator very visual. I'm price action lover like lots of people and I personally think it's very important to identify the flow of market because buying when the flow of market is up give you better chance to win your trade. It's not BUY and SELL signal, this indicator don't tell u when u need buy or when u need sell, it's principally here for helping the visual of trading chart (have a good clear chart). I decided to post this indicator because people were asking me how it worked and were curious about these colors, so here we go !
This indicator show:
The main flow ( green candle=buy pressure /red candle=seller pressure ), it's based on two EMA cross over, this two EMA are editable so u can take the combination you want depending on your trading strategy. When the first EMA is above the second EMA candle becoming green and when the second EMA is above the first EMA candle becoming red.
The trend of two EMA crossover (blue=bullish and violet=bearish), it's based on two EMA (two different than main flow) cross over, this two EMA are editable so u can take the combination you want depending on your trading strategy. When the first EMA is above the second EMA the trend becoming blue and when the second EMA is above the first EMA the trend becoming violet.
Potential trend reversals (violet candle), it's calculate with the two EMA of the main flow, when these two EMA becoming closer, the candle becoming violet. It meaning that the trend may reversals. I added sensitivity parameter, so u can adjust it depending on your trading strategy, the more sensitive it is, the more candle will be colored violet.
A system of RSI print on the chart, when the RSI becoming overbought (more than 75) a red triangle will pop up on the chart, and when the RSI becoming oversold (less than 25) a green triangle will pop up on the chart. U can show or hidden these setting.
Bullish candles are represented by hollow candles.
Bearish candles are represented by full candles.
You can use this indicator with multiple strategy, I personally use it with price action (support/resistance) and I made it for that (but it's your choice).
This is an example of how I'll use it:
Here we can see that the price is coming testing our weakly support, however the main flow is bullish (red candle), so I'm waiting my first signal (violet candle). When the first candle passed violet I decided to enter the trade because violet candle after red candle means that the two EMA start closed to themselves meaning that's the flow may turn green. My second signal will be candle passed green, because it meaning the two EMA start deviate from themselves, buyer are taking advantage. In this situation a green triangle on the support will be my third signal.
Hamilton - Wick Length PredictionWick Length Prediction is a Pine Script indicator crafted to empower traders by predicting the potential length and direction of the next candle's wick based on historical price action. By analyzing previous candles' wick sizes, this tool provides valuable foresight into future price dynamics, enhancing decision-making for traders.
Key Features:
Wick Percentage Analysis : Calculates the percentages of the upper and lower wicks from the previous candle relative to its total range, offering a predictive insight into the next wick’s potential direction and size.
Directional Bias Indicator : Identifies the longer wick between the previous candle's upper and lower wicks to suggest a directional bias—green indicates an upward prediction, while red suggests downward.
Targeted Plotting : Marks a horizontal line at the anticipated wick position for the forthcoming candle, aiding traders in identifying potential price rejection zones ahead of time.
Strategic Insights for Traders:
Understanding Market Pressure : Recognizes that wicks typically indicate pressure in the opposite direction of their occurrence, presenting potential targets for price movement towards the opposite side. This insight is invaluable for identifying reversal zones or continuation patterns.
Optimal for Scalping : Especially beneficial for scalpers, this tool helps in pinpointing precise entry and exit points by forecasting where the price might face opposition and potentially reverse or absorb the wick.
Timeframe Flexibility : While best suited for higher timeframes, it also delivers on lower timeframes during aggressive market movements, making it a versatile addition to your trading arsenal.
Application Tips :
Leverage in combination with other indicators and support/resistance levels to refine your trading strategy.
Ideal for enhancing price action analysis, providing a clearer understanding of potential market movements.
Use as a strategic complement to your existing approach, mindful of its predictive nature to inform better trading decisions.
Disclaimer: Trading involves significant risk. This tool aims to support a diversified trading strategy, but it's crucial to perform your own analysis and adopt appropriate risk management practices.
Fibonacci Enhanced Bollinger BandsDiscover the synergistic power of Fibonacci ratios with traditional Bollinger Bands in the 'Fibonacci Enhanced Bollinger Bands' indicator. Ideal for traders seeking dynamic price levels for strategic entries and exits, this tool adds a unique Fibonacci twist to your technical analysis toolkit.
Introduction to Fibonacci Enhanced Bollinger Bands
'Fibonacci Enhanced Bollinger Bands' is a trading indicator that combines the classic Bollinger Bands approach with the powerful insights of Fibonacci ratios. By integrating these two concepts, this indicator offers traders a unique perspective on market volatility and potential support/resistance levels.
How It Works
Core Concept : The indicator calculates Bollinger Bands using a selected Fibonacci ratio. This ratio is applied to the standard deviation of the price series, providing a dynamic range around a Simple Moving Average (SMA).
Trading Strategies
Long Opportunities : The area below the lower band can be considered a potential zone for long positions. Prices in this zone may indicate an oversold market condition, suggesting a possible reversal or pullback.
Short Opportunities : Conversely, the area above the upper band might signal short-selling opportunities. Prices in this region could imply an overbought scenario, potentially leading to a price decline.
Versatility : Whether you're a day trader, swing trader, or long-term investor, this indicator adapts to various timeframes and assets, making it a versatile tool in your trading arsenal.
Conclusion
The 'Fibonacci Enhanced Bollinger Bands' indicator is designed for traders who wish to leverage the power of Fibonacci ratios in conjunction with the volatility insights provided by Bollinger Bands. It's an excellent tool for identifying potential reversal zones and refining entry and exit points. Try it out to enhance your market analysis and support your trading decisions with the combined wisdom of Fibonacci and Bollinger Bands.
Opening Range & Prior Day High/Low [Gorb]Introduction:
Opening Range & Prior Day High/Low indicator is an easy to use day traders tool. This indicator automatically plots the previous days high and low, as well as drawing a box from the opening range that the user specifies in the settings. These two together can help provide an indication of market sentiment and price trends for the day. They are often used as a trading strategy for day traders.
Overview:
The Opening Range , draws a box from the high to the low of the user defined time period and is extended until the end of the trading session. Most common are the 5/15/30min opening ranges.
Prior Day High/Low , draws lines from the previous days high and low that extend across the current session. These are used as support/resistance and also a marker to see market sentiment by crossing one of these levels.
The indicator is designed for all kinds of traders, offering a simple approach to automatically plot levels for you.
Features:
All skill-level friendly presets, easy to enable with one-click
Opening Range: Allows user to choose what time the range starts and ends to measure the high & low.
Extend Range Lines: allows the user to choose when the box stops extending according to the trading session time.
Enable Opening Range Box: allows the user to choose to plot the opening range or not.
ORB Border Color: allows the user to change the box border color.
ORB Box Shade Color: allows the user to change the background of the opening range box.
ORB Line Width: allows users to chose the width of the opening range box lines.
Enable Previous Day High: allows users to enable the previous days high to be plotted.
Enable Previous Day Low: allows users to enable the previous days high to be plotted.
Previous Day High Color: allows users to choose the color for this line.
Previous Day Low Color: allows users to choose the color for this line.
All colors are changeable for the user to customize to their liking.
Usage Demonstration
In the image below, we can see a basic example of how these 3 features function.
As explained above, the opening range is customizable to meet the users needs and can be disabled with one click. Same goes for the prior day high(green) and low(red) lines. All 3 are plotted each day automatically for the user if enabled.
In the image below, we can see an example of using the opening range break and prior day high together for a trading strategy.
This is a great example of using the prior day high with the opening range to use as a day trading strategy. It provides the trader with levels to watch for price to break out from for possible trade setups.
In this next image, we can see a failed breakdown from the opening range that results in a bullish breakout.
The first move was a fake breakdown with the failed rejection on the retest of the opening range lows. This led to a breakout above the range and a confirmation bounce on the breakout retest. Price did break above the prior day high and confirmed with a retest bounce on that level as well.
In the image below, we can see how previous days levels can act as resistance to use with the opening range.
Price didn't reject the opening range low, but it did reject the prior day high for the second time. This could be used as an entry or once price breaks down out of the opening range again.
Conclusion:
We believe in providing user-friendly tools to help speed up traders technical analysis and implement easy trading strategies. The goal is to provide a user-friendly indicator to automatically draw opening ranges and previous days levels to suit the users needs and trading style.
RISK DISCLAIMER
All content, tools, scripts & education provided by Monstanzer or Gorb Algo LLC are for informational & educational purposes only. Trading is risk and most lose their money, past performance does not guarantee future results.
ZigZag++ FibonacciAuto Fibonacci tools are powerful ways designed to simplify your technical analysis by automatically drawing Fibonacci retracement and extension levels on your chart. This indicator is built to enhance your trading experience with clearer market moves and informative insights.
You can easily spot your waves and patterns when the percentages are moving with you.
Key Features:
Automated Fibonacci Levels: Plots Fibonacci retracement and extension levels based on recent price movements.
Multi-Timeframe Support: This indicator is your versatile companion, offering multi-timeframe functionality. You can seamlessly track Fibonacci levels across different resolutions, providing a comprehensive view of the market.
Two Types of Fibs: Retracement and Timeframe extension Fibonacci levels. Use retracements to identify potential reversal points and extensions to anticipate price targets, giving you a well-rounded perspective on market movements.
Benefits:
Save Time: No more manual Fibonacci drawing; It does this for you in real-time.
Enhanced Analysis: Gain a deeper understanding of potential support, resistance, and price targets.
User-Friendly: Suitable for traders of all levels, this indicator simplifies complex technical analysis.
For the math lovers
I started creating the ZigZag++ based on the MT4 calculation as I found it better performing than the tradingview inbuilt one. I have revised the calculation couple of times and now the final calculation is simple yet more accurate for my analysis.
First, I observe the market direction for the last Depth setting by comparing the rate at which high values reduce and low values increase. When the number of ticks set by Deviation is crossed and the last cross is more than the Backstep candles, then we have our ZigZag points.
These are the points we use in our Fibonacci calculation.
Checkout ZigLib below to use the same logic in your scripts.
Sample usage
This is a 4 Hour configuration with the default settings.
When the trend reversed, some key points I watch are 0.618 and 0.5. The market retraced back and formed the new point for the next ZigZag line on that level. This market behaviour happens quite often on these Fibonacci points. I would be looking for reversal or a break in this zone to know the next step.
Resources
ZigZag++ Lib by me; for retrieving the line points.
Fibonacci Toolkit by Lux Algo; For drawing the Timeframe Fibs. Very Amazing script.
Swing BoxesHey, folks!
Sorry for not posting anything for such a long time. Don't have enough ideas and resources to get inspiration, so trying to brainstorm good stuff in my free time from university studies.
But despite my absence more I now have 300+ people subscribed to me! Thanks, guys, for keeping interest for my work, as I still do value each boost on my script, for real :)
So here is new script , enjoy!
Swing Boxes is pretty simple indicator, which plots signals with "boxes", that help you determine price targets.
What is the idea behind?
I wanted to make indicator, that could help me make swing trades with nice accuracy (as all we want, lol), and for signal criteria I decided to use highs and lows of the price . Then I started coding some ideas to see which of them could be worthy. And, actually, Swing Boxes appeared to be good. But the thing is, that I didn't intend to build them, they appeared as an anomaly from my code :)
I started to explore this anomaly (it looked super cool, but was repainting hard) to fix it and I succeeded, now Swng Boxes don't repaint.
The main idea is that when price goes above it's highest value of p-bars back or below it's lowest value p-bars back, then there is a some god probability, that price will continue to follow current direction.
And the things about Swing Boxes is that when there is a good trend movement, the boxes become super small to track price movement and when price breaks out in the counter-trend direction, then you will be able to almost perfectly catch a top or a bottom! But most of the signals won't be so high-quality, so don't think that is this some holy grail to trade swing-trading, because it is not.
Signal logic
Quick hint:
- epsilon(variable e ) = ATR * ATR_Factor . It is used to determine box's sensitivity to price changes.
If previous close is higher than variable, which contains previous HIGHEST value (variable h in the code), then update the this variable by taking up-to-date highest value and add epsilon( e ) to it;
If previous close is lower than variable, which contains previous LOWEST value (variable l in the code), then update the this variable by taking up-to-date lowest value and substract epsilon( e ) from it.
Variables decribed above ( h and l ) are box's top and bottom respectively, so if price cross them, it is logical to update it is value.
Settings and what is what
Swing Box Period - numbers fo bars in the past to find highest and lowest price from. The bigger the input, the bigger the boxes will be;
ATR Period;
ATR Factor - multiplier for ATR, determines sensitivity for price changes. The bigger this input, the more accurate signals will be, but less the probability that the signal will be on the top or a bottom.
Show Boxes? - when chosen, plots box's top and bottom. Used to determine price targets.
Show Baseline? - when chosen, plot's baseline, which midline between box's top and bottom.
How to use?
This indicator plots green and red triangles by default.
- Green triangle --> Buy ;
- Red triangle --> Sell ;
As I've said before, many signals from indicator will probably be garbage, so you need to tune settings for youself, so it could satisfy you .
You can enable showing boxes to see box's top and bottom. Box's bottom --> your entry, top --> your profit target.
If you find a way to sort bad signals, you will be able to trade with super cool RR, because the signal from Swing Boxes appear to be a good one, there is almost 95% probability, that price will not even come close to your stop loss, so you can trade with super small stop-losses! Smaller stop-loss --> smaller risk --> smaller loss --> bigger profit, it is that easy.
Also you can enable baseline to use at as your 1st TP, and box's top/bottom as 2nd TP, closing 25% on TP1 and the rest on TP2 (but that is just mine recommendation, you can use different RM (risk-management), if you want).
Also you can use baseline as your S/R (Support/Resistance) line, test it out on your charts.
And please, hear me out: as all other indicators out here on the TradingView, Swing Boxes ARE NOT meant to be traded in solo! Many bad signal can go in a row, so PLEASE find your way to filter out bad signals with other indicators.
You can see here the example of a garabge-class signal in a row, so be don't be deluded!
I do hope that somebody will suggest and idea to improve this thing, as I personally don't have enough time to think about it because of my university studies, but I will probably try it make this thing better throughout the time.
And that's it for now, folks! If you have any ideas for scripts, strategies or anything else, feel free to DM me or leave a comment, I will check it.
Hope you will find this script useful.
Take your profits!
- Tarasenko Fyodor
CPR - Central Pivot Range (by Alex L.)CPR or Central Pivot Range is a tool for identifying a trend, its volatility and its future targets for the price levels (in up or down directions).
What this indicator offers:
- Main purpose of this indicator is to display levels of support/resistance in a given trend as potentially good levels of entering into position or existing from a position. Entry levels are RED, resistance levels are in GREEN.
- You have the ability to view daily, weekly, monthly pivot levels, depending on what kind of trader you are.
- Unique to this indicator - you have the ability to view YEARLY pivot levels.
- Unique to this indicator - you have the "Pivots History" option to either show all history or just the recent piriod to make your chart clean of "noise".
- Unique to this indicator - you can view "future" pivot levels based on current price.
- You have the ability to view "future pivots" which can be useful as entry or exit levels for the current trend.
- You have the ability to view one, two, three or four pivor levels concurrently depending on how much information you want on your chart.
- You have the option to use "Compact View" to further reduce "noise" and make your chart event more clean.
- Open source.
Some guidelines:
- When current Central Pivot Range is higher than previous Central Pivot Range then the stock is in an uptrend and vice versa.
- Wide Central Pivot Range usually means the stock is in a "sideways trend" and volatility is low.
- Tight Central Pivot Range usually means the stock has a very low volatility and is about to explode (up or down). Switching to a higher timeframe can often give hints to what direction the stock is likely to go.
Default settings:
- Pivot Levels : "Two Pivot Levels"
- Filter/Hide Pivots: "Hide Pivot+BC+TC"
- Pivots History: "Few Months Back"
'V' Show Monthly Pivots
'V' Show Future Pivots
Calculations of pivot levels formula is according to book "Secrets of a Pivot Boss" by Franklin O. Ochoa.
Quote from the book: "The way to make money is to make it. The way to make big money is to be right at exactly the right time."
Open source.
Enjoy!
Session candles & reversals / quantifytools— Overview
Like traditional candles, session based candles are a visualization of open, high, low and close values, but based on session time periods instead of typical timeframes such as daily or weekly. Session candles are formed by fetching price at session start (open), highest price during session (high), lowest price during session (low) and price at session end (close). On top of candles, session based moving average is formed and session reversals detected. Session reversals are also backtested, using win rate and magnitude metrics to better understand what to expect from session reversals and which ones have historically performed the best.
By default, following session time periods are used:
Session #1: London (08:00 - 17:00, UTC)
Session #2: New York (13:00 - 22:00, UTC)
Session #3: Sydney (21:00 - 06:00, UTC)
Session #4: Tokyo (00:00 - 09:00, UTC)
Session time periods can be changed via input menu.
— Reversals
Session reversals are patterns that show a rapid change in direction during session. These formations are more familiarly known as wicks or engulfing candles. Following criteria must be met to qualify as a session reversal:
Wick up:
Lower high, lower low, close >= 65% of session range (0% being the very low, 100% being the very high) and open >= 40% of session range.
Wick down:
Higher high, higher low, close <= 35% of session range and open <= 60% of session range.
Engulfing up:
Higher high, lower low, close >= 65% of session range.
Engulfing down:
Higher high, lower low, close <= 35% of session range.
Session reversals are always based on prior corresponding session , e.g. to qualify as a NY session engulfing up, NY session must have a higher high and lower low relative to prior NY session , not just any session that has taken place in between. Session reversals should be viewed the same way wicks/engulfing formations are viewed on traditional timeframe based candles. Essentially, wick reversals (light green/red labels) tell you most of the motion during session was reversed. Engulfing reversals (dark green/red labels) on the other hand tell you all of the motion was reversed and new direction set.
— Backtesting
Session reversals are backtested using win rate and magnitude metrics. A session reversal is considered successful when next corresponding session closes higher/lower than session reversal close . Win rate is formed by dividing successful session reversal count with total reversal count, e.g. 5 successful reversals up / 10 reversals up total = 50% win rate. Win rate tells us what are the odds (historically) of session reversal producing a clean supporting move that was persistent enough to close that way too.
When a session reversal is successful, its magnitude is measured using percentage increase/decrease from session reversal close to next corresponding session high/low . If NY session closes higher than prior NY session that was a reversal up, the percentage increase from prior session close (reversal close) to current session high is measured. If NY session closes lower than prior NY session that was a reversal down, the percentage decrease from prior session close to current session low is measured.
Average magnitude is formed by dividing all percentage increases/decreases with total reversal count, e.g. 10 total reversals up with 1% increase each -> 10% net increase from all reversals -> 10% total increase / 10 total reversals up = 1% average magnitude. Magnitude metric supports win rate by indicating the depth of successful session reversal moves.
To better understand the backtesting calculations and more importantly to verify their validity, backtesting visuals for each session can be plotted on the chart:
All backtesting results are shown in the backtesting panel on top right corner, with highest win rates and magnitude metrics for both reversals up and down marked separately. Note that past performance is not a guarantee of future performance and session reversals as they are should not be viewed as a complete strategy for long/short plays. Always make sure reversal count is sufficient to draw reliable conclusions of performance.
— Session moving average
Users can form a session based moving average with their preferred smoothing method (SMA , EMA , HMA , WMA , RMA) and length, as well as choose which sessions to include in the moving average. For example, a moving average based on New York and Tokyo sessions can be formed, leaving London and Sydney completely out of the calculation.
— Visuals
By default, script hides your candles/bars, although in the case of candles borders will still be visible. Switching to bars/line will make your regular chart visuals 100% hidden. This setting can be turned off via input menu. As some sessions overlap, each session candle can be separately offsetted forward, clearing the overlaps. Users can also choose which session candles to show/hide.
Session periods can be highlighted on the chart as a background color, applicable to only session candles that are activated. By default, session reversals are referred to as L (London), N (New York), S (Sydney) and T (Tokyo) in both reversal labels and backtesting table. By toggling on "Numerize sessions", these will be replaced with 1, 2, 3 and 4. This will be helpful when using a custom session that isn't any of the above.
Visual settings example:
Session candles are plotted in two formats, using boxes and lines as well as plotcandle() function. Session candles constructed using boxes and lines will be clear and much easier on the eyes, but will apply only to first 500 bars due to Tradingview related limitations. Rest of the session candles go back indefinitely, but won't be as clean:
All colors can be customized via input menu.
— Timeframe & session time period considerations
As a rule of thumb, session candles should be used on timeframes at or below 1H, as higher timeframes might not match with session period start/end, leading to incorrect plots. Using 1 hour timeframe will bring optimal results as greatest amount historical data is available without sacrificing accuracy of OHLC values. If you are using a custom session that is not based on hourly period (e.g. 08:00 - 15:00 vs. 08.00 - 15.15) make sure you are using a timeframe that allows correct plots.
Session time periods applied by default are rough estimates and might be out of bounds on some charts, like NYSE listed equities. This is rarely a problem on assets that have extensive trading hours, like futures or cryptocurrency. If a session is out of bounds (asset isn't traded during the set session time period) the script won't plot given session candle and its backtesting metrics will be NA. This can be fixed by changing the session time periods to match with given asset trading hours, although you will have to consider whether or not this defeats the purpose of having candles based on sessions.
— Practical guide
Whether based on traditional timeframes or sessions, reversals should always be considered as only one piece of evidence of price turning. Never react to them without considering other factors that might support the thesis, such as levels and multi-timeframe analysis. In short, same basic charting principles apply with session candles that apply with normal candles. Use discretion.
Example #1 : Focusing efforts on session reversals at distinct support/resistance levels
A reversal against a level holds more value than a reversal by itself, as you know it's a placement where liquidity can be expected. A reversal serves as a confirming reaction for this expectation.
Example #2 : Focusing efforts on highest performing reversals and avoiding poorly performing ones
As you have data backed evidence of session reversal performance, it makes sense to focus your efforts on the ones that perform best. If some session reversal is clearly performing poorly, you would want to avoid it, since there's nothing backing up its validity.
Example #3 : Reversal clusters
Two is better than one, three is better than two and so on. If there are rapid changes in direction within multiple sessions consecutively, there's heavier evidence of a dynamic shift in price. In such case, it makes sense to hold more confidence in price halting/turning.
T3 Striped [Loxx]Theory:
Although T3 is widely used, some of the details on how it is calculated are less known. T3 has, internally, 6 "levels" or "steps" that it uses for its calculation.
This version:
Instead of showing the final T3 value, this indicator shows those intermediate steps. This shows the "building steps" of T3 and can be used for trend assessment as well as for possible support / resistance values.
What is the T3 moving average?
Better Moving Averages Tim Tillson
November 1, 1998
Tim Tillson is a software project manager at Hewlett-Packard, with degrees in Mathematics and Computer Science. He has privately traded options and equities for 15 years.
Introduction
"Digital filtering includes the process of smoothing, predicting, differentiating, integrating, separation of signals, and removal of noise from a signal. Thus many people who do such things are actually using digital filters without realizing that they are; being unacquainted with the theory, they neither understand what they have done nor the possibilities of what they might have done."
This quote from R. W. Hamming applies to the vast majority of indicators in technical analysis . Moving averages, be they simple, weighted, or exponential, are lowpass filters; low frequency components in the signal pass through with little attenuation, while high frequencies are severely reduced.
"Oscillator" type indicators (such as MACD , Momentum, Relative Strength Index ) are another type of digital filter called a differentiator.
Tushar Chande has observed that many popular oscillators are highly correlated, which is sensible because they are trying to measure the rate of change of the underlying time series, i.e., are trying to be the first and second derivatives we all learned about in Calculus.
We use moving averages (lowpass filters) in technical analysis to remove the random noise from a time series, to discern the underlying trend or to determine prices at which we will take action. A perfect moving average would have two attributes:
It would be smooth, not sensitive to random noise in the underlying time series. Another way of saying this is that its derivative would not spuriously alternate between positive and negative values.
It would not lag behind the time series it is computed from. Lag, of course, produces late buy or sell signals that kill profits.
The only way one can compute a perfect moving average is to have knowledge of the future, and if we had that, we would buy one lottery ticket a week rather than trade!
Having said this, we can still improve on the conventional simple, weighted, or exponential moving averages. Here's how:
Two Interesting Moving Averages
We will examine two benchmark moving averages based on Linear Regression analysis.
In both cases, a Linear Regression line of length n is fitted to price data.
I call the first moving average ILRS, which stands for Integral of Linear Regression Slope. One simply integrates the slope of a linear regression line as it is successively fitted in a moving window of length n across the data, with the constant of integration being a simple moving average of the first n points. Put another way, the derivative of ILRS is the linear regression slope. Note that ILRS is not the same as a SMA ( simple moving average ) of length n, which is actually the midpoint of the linear regression line as it moves across the data.
We can measure the lag of moving averages with respect to a linear trend by computing how they behave when the input is a line with unit slope. Both SMA (n) and ILRS(n) have lag of n/2, but ILRS is much smoother than SMA .
Our second benchmark moving average is well known, called EPMA or End Point Moving Average. It is the endpoint of the linear regression line of length n as it is fitted across the data. EPMA hugs the data more closely than a simple or exponential moving average of the same length. The price we pay for this is that it is much noisier (less smooth) than ILRS, and it also has the annoying property that it overshoots the data when linear trends are present.
However, EPMA has a lag of 0 with respect to linear input! This makes sense because a linear regression line will fit linear input perfectly, and the endpoint of the LR line will be on the input line.
These two moving averages frame the tradeoffs that we are facing. On one extreme we have ILRS, which is very smooth and has considerable phase lag. EPMA has 0 phase lag, but is too noisy and overshoots. We would like to construct a better moving average which is as smooth as ILRS, but runs closer to where EPMA lies, without the overshoot.
A easy way to attempt this is to split the difference, i.e. use (ILRS(n)+EPMA(n))/2. This will give us a moving average (call it IE /2) which runs in between the two, has phase lag of n/4 but still inherits considerable noise from EPMA. IE /2 is inspirational, however. Can we build something that is comparable, but smoother? Figure 1 shows ILRS, EPMA, and IE /2.
Filter Techniques
Any thoughtful student of filter theory (or resolute experimenter) will have noticed that you can improve the smoothness of a filter by running it through itself multiple times, at the cost of increasing phase lag.
There is a complementary technique (called twicing by J.W. Tukey) which can be used to improve phase lag. If L stands for the operation of running data through a low pass filter, then twicing can be described by:
L' = L(time series) + L(time series - L(time series))
That is, we add a moving average of the difference between the input and the moving average to the moving average. This is algebraically equivalent to:
2L-L(L)
This is the Double Exponential Moving Average or DEMA , popularized by Patrick Mulloy in TASAC (January/February 1994).
In our taxonomy, DEMA has some phase lag (although it exponentially approaches 0) and is somewhat noisy, comparable to IE /2 indicator.
We will use these two techniques to construct our better moving average, after we explore the first one a little more closely.
Fixing Overshoot
An n-day EMA has smoothing constant alpha=2/(n+1) and a lag of (n-1)/2.
Thus EMA (3) has lag 1, and EMA (11) has lag 5. Figure 2 shows that, if I am willing to incur 5 days of lag, I get a smoother moving average if I run EMA (3) through itself 5 times than if I just take EMA (11) once.
This suggests that if EPMA and DEMA have 0 or low lag, why not run fast versions (eg DEMA (3)) through themselves many times to achieve a smooth result? The problem is that multiple runs though these filters increase their tendency to overshoot the data, giving an unusable result. This is because the amplitude response of DEMA and EPMA is greater than 1 at certain frequencies, giving a gain of much greater than 1 at these frequencies when run though themselves multiple times. Figure 3 shows DEMA (7) and EPMA(7) run through themselves 3 times. DEMA^3 has serious overshoot, and EPMA^3 is terrible.
The solution to the overshoot problem is to recall what we are doing with twicing:
DEMA (n) = EMA (n) + EMA (time series - EMA (n))
The second term is adding, in effect, a smooth version of the derivative to the EMA to achieve DEMA . The derivative term determines how hot the moving average's response to linear trends will be. We need to simply turn down the volume to achieve our basic building block:
EMA (n) + EMA (time series - EMA (n))*.7;
This is algebraically the same as:
EMA (n)*1.7-EMA( EMA (n))*.7;
I have chosen .7 as my volume factor, but the general formula (which I call "Generalized Dema") is:
GD (n,v) = EMA (n)*(1+v)-EMA( EMA (n))*v,
Where v ranges between 0 and 1. When v=0, GD is just an EMA , and when v=1, GD is DEMA . In between, GD is a cooler DEMA . By using a value for v less than 1 (I like .7), we cure the multiple DEMA overshoot problem, at the cost of accepting some additional phase delay. Now we can run GD through itself multiple times to define a new, smoother moving average T3 that does not overshoot the data:
T3(n) = GD ( GD ( GD (n)))
In filter theory parlance, T3 is a six-pole non-linear Kalman filter. Kalman filters are ones which use the error (in this case (time series - EMA (n)) to correct themselves. In Technical Analysis , these are called Adaptive Moving Averages; they track the time series more aggressively when it is making large moves.
Included
Alerts
Signals
Bar coloring
Loxx's Expanded Source Types
Institutional Price LevelsInstitutional price levels
(AKA round numbers, Perfect Price Levels-PPL)
Institutional Price Levels (IPL) script shows the closest round numbers from the current price.
Some traders uses round numbers as a support resistance levels.
For example: 0.000 0.500 1.000 levels. Additional levels are 0.200 0.800.
So I made a simple script that shows round numbers and the quarter levels(Not exactly quarter but minor levels)
Quarter level option is planned on next update.
Default range is 300 pips and you can extend until 500 pips range.
Time range is extandable to the right and left side. You can just extend the line by increasing the bar numbers.
Inputs:
Show levels - Can show and hide all levels. Level colors are optional.
Show quarter - Can show and hide minor levels which is 0.800 0.200 levels. Colors are optional
Show more levels - Can show and hide more levels. Default range is 300 pips. Additional 200 pips range is optional.
Extend right bars - Can set length of levels to the right side.
Extend left bars - Can set length of levels to the left side.
Thank you.
SUPRESHi Dears!
I hope that you enjoyed my "FLEX KDJ IND" till today!
Here, I want to publish one of my other golden indicators for you!
Contents:
+ SUPRES
+ SUPERTREND
+ T.O Line
- SUPRES (SUPPORT/RESISTANCE) is sensitive to trading volumes and with "BACHWARD" you can adjust the length of previous indices in investigation and "MEMORY" is an argument for calling maximum lines that have to be kept for "SUPPORT" and "RESIST".
- SUPERTREND is the normal prepared indicator which is defined in "TRADING VIEW"
-T.O is my suggestion instead of "EMA" to check the phase of session.
I hope that you enjoy this Indicator, please do not forgot to "Warm-It-UP"!
Happy trading,
Shakib
Volume Histogram [SpiritualHealer117]This indicator is a histogram produced with Pinescript's boxes and is helpful for spotting support, resistance, and key levels. The indicator shows the volume executed at each source price over a customizable time period. The "Key Level" in this indicator is the price at which the most volume was executed, and the "Major Levels" are levels where volume was over a percentile threshold, which you can customize in settings. Feel free to give any feedback on the indicator or make a copy for yourself!
Titans Empirical LevelsThis indicator marks key pivot levels across two higher timeframes, longer term, and medium term.
When a pivot high or low is detected at the higher timeframe, a line is plotted in the future.
The user may select timeframes and pivot sensitivities in the indicator settings.
As no calculation is involved, the levels are identified purely from historical precedent.
Overlapping lines could imply strength of recent support/resistance at that level.
This indicator should be used in combination with other indicators.
The user is advised to use this indicator at his own risk.
Bitcoin Support BandsSMA and EMA support/resistance bands for Bitcoin. Based on 4 week multiples; 1 month, 3 month, 6 month, 1 year, 2 year, 4 year.
Volume Profile PremiumHello, my friends, this is a new fine-grained volume profile indicator. As is known to all, the volume profile indicator is a charting tool that shows how much volume has occurred at each price throughout the trading session. The volume profile indicates the prices favored by the market or those ignored by the market, which can give traders clues as to where prices are likely to go shortly.
(1) Indicator description
This indicator is based on the function "request.security_lower_tf". See the related usage note for details if you need it.
Support for obtaining volume from a lower timeframe than the current chart and calculating a more fine-grained volume distribution
Due to the increased complexity of the calculation, you need to set a reasonable timeframe to avoid calculation timeout.
(2) Key parameters
- Support/Resistance Clustering
Max of Lookback Forward: The maximum number of historical K-lines
Min Resolution (Minute): lower timeframe, unit: minute
Display Volume Profile: ways to display volume profile
Rows of Volume Profile: rows of volume profile
Placement of Volume Profile: location of volume profile
Width of Volume Profile: width of volume profile
Horizontal Offset: horizontal offset of volume profile
Happy trading, and enjoy your life!
————————————————————————————————————————
各位朋友大家好，这是一个具有更高细粒度的成交量分布指标。众所周知，成交量分布是一种图表分析工具（或指标），它显示了在整个交易时段内每个价格上发生了多少成交量。 成交量分布指出了受到市场青睐的价格以及被市场忽略的价格，这可以为交易者提供有关近期价格可能走向何方的线索。
(1) 指标说明
该指标基于 request.security_lower_tf 函数，详情可以查看相关使用说明
支持从比当前图表分辨率更低的时间周期获取成交量，并计算更加细粒度的成交量分布
由于增加了计算复杂度，您需要设置合理的时间周期以避免计算超时
(2) 关键参数
- Volume Profile Parameters
Max of Lookback Forward: 用于统计成交量分布的最大回顾的K线数量
Min Resolution (Minute): 细粒度的时间周期
Display Volume Profile: 展示成交量分布的方式
Rows of Volume Profile: 成交量分布的行数
Placement of Volume Profile: 成交量分布的位置
Width of Volume Profile: 成交量分布的宽度
Horizontal Offset: 成交量分布的水平偏移
祝大家交易愉快
Price Clouds (PS)Price could shows you dynamic support resistance levels. It also displays two bands (ie clouds) that show you where the trend is. If the price hits the bottom of the high band thats a buy and if it hits the top of the high band its a sell. During times of volatility the price can break support but you will find that the opposite band will work as the next level. I added tool tips for every option to help explain what everything does and I also left suggestions for other settings.
This works great on everything! That being said I have this setup in a general way that works really well for 20m forex. If you are scalping you might want to speed up the indicator. This is also true if you want go to the daily chart or above. Adjust the Stdev to match the market.. and I mean really play around with.. dont be shy! With all that out of the way this really will work out of the box. If you like this indicator its actually the same thing as my (PBS) but this one is an overlay on the chart. (Also as of publishing this script the code for this version is way cleaner. In fact I plan on replacing PBS with this as its base)
If you find this indicator is useful to you, Star it, Follow, Donate, Like and Share.
Your support is a highly motivation for me.
Magnum PivotsThis script will automatically plot levels for ES and the NQ, which this script is ONLY meant for. It will take the overnight highs and lows, from 6pm to 6am EST, and subtract/add 110 for NQ and 33 for ES, add a middle line that is the average of those two lines, and then deviations inbetween, built in support for up to 7, of deviation lines (13.75 point difference for each value on the NQ, and 4 for the ES). This lines become support/resistance depending on price action.
Main MAs and EMAs multi-timeframe for supportObjective is to map out different multi-timeframe support/resistance , all at once. Includes weekly, daily and 4H EMAs and MAs, as per the follow (allowing customization)
WEEKLY (in pink/purple variations):
- 13 EMA
- 21 EMA
- 34 EMA
- 50 M.A
DAILY (in green variations):
- 21 EMA
- 50 EMA
- 120 M.A.
- 200 M.A.
4H (in yellow/golden colors):
- 400 EMA
- 500 EMA
- 675 EMA
- 715 EMA
- 920 EMA
- 1150 EMA
Notes:
- Quite useful to all types of assets; crypto, commodities , stocks, etc...
- Ideally not to be visible all the time, as it can "pollute" the charts. But very helpful in moments of great volatility
MrBB:BullBear Support BandVery simple and effective S/R band. Created bycombining the weekly 21EMA and weekly 20SMA, it provides strong support/resistance depending on market direction, and works as a basing area for retraces during parabolic (and normal) bull markets.
TMO with TTM SqueezeApplication of the TTM squeeze and the short-term momentum TTM Wave A in action. This is an example where the short-term wave will react faster than the TTM to give you a signal to start building your positions.
This indicator needs to be combined with "TTM Wave A" (add to existing pane).
The TTM Squeeze works like a better MACD. There is a zeroline and histogram bars above / below represent positive and negative momo. As the height of the bar decreases when above the zeroline, that is called decreasingly positive momo and as the height of the bar decreases when below the zeroline, that is called decreasingly negative momo. The dots on the TTM Squeeze: Red dots represent consolidation where Bollingers are inside the Keltner Channels and green dots represent a move out of consolidation or "squeeze fire". As price action comes out of consolidation there is a bigger move up/down depending on where momo is heading and where prices are (key support/resistance levels, fib areas). You want to use the TTM Squeeze and A wave TOGETHER - TTM Squeeze is your main momo and your A wave is a short-term momo wave that reacts faster and works as a leading gauge. You need to use them TOGETHER to gauge where price action may be heading. When the TTM Squeeze and A wave move lockstep together, let's say both are decreasingly positive, there is a good probability it continues to move in that direction to the next support levels. TWO bars on the TTM Squeeze of different heights is confirmation that in most cases means it will move in the direction of those bars. So if decreasingly positive, you'll see two darker bars. By the time you get your 2nd bar on the TTM Squeeze, it is often too late or you're losing profit. Way to counter that is after you get one darker bar in the opposite direction of current trend, use A wave to "predict" the next wave, the more A wave histogram bars going towards the other direction, the higher the certainty it will hit. Lastly, using these waves together works best when you look at it on MULTIPLE TIME FRAMES. (Credit for this details goes to Brady from Atlas).
TTM Wave AApplication of the TTM squeeze and the short-term momentum TTM Wave A in action. This is an example where the short-term wave will react faster than the TTM to give you a signal to start building your positions.
This indicator needs to be combined with "TMO with TTM Squeeze" (add to existing pane).
The TTM Squeeze works like a better MACD. There is a zeroline and histogram bars above / below represent positive and negative momo. As the height of the bar decreases when above the zeroline, that is called decreasingly positive momo and as the height of the bar decreases when below the zeroline, that is called decreasingly negative momo. The dots on the TTM Squeeze: Red dots represent consolidation where Bollingers are inside the Keltner Channels and green dots represent a move out of consolidation or "squeeze fire". As price action comes out of consolidation there is a bigger move up/down depending on where momo is heading and where prices are (key support/resistance levels, fib areas). You want to use the TTM Squeeze and A wave TOGETHER - TTM Squeeze is your main momo and your A wave is a short-term momo wave that reacts faster and works as a leading gauge. You need to use them TOGETHER to gauge where price action may be heading. When the TTM Squeeze and A wave move lockstep together, let's say both are decreasingly positive, there is a good probability it continues to move in that direction to the next support levels. TWO bars on the TTM Squeeze of different heights is confirmation that in most cases means it will move in the direction of those bars. So if decreasingly positive, you'll see two darker bars. By the time you get your 2nd bar on the TTM Squeeze, it is often too late or you're losing profit. Way to counter that is after you get one darker bar in the opposite direction of current trend, use A wave to "predict" the next wave, the more A wave histogram bars going towards the other direction, the higher the certainty it will hit. Lastly, using these waves together works best when you look at it on MULTIPLE TIME FRAMES. (Credit for this details goes to Brady from Atlas).
[ST] S/R density study v3This algorithm draws supports/resistance levels automatically based on historic candle density at each height. The basic idea is the levels where price is rejected quickly is likely to have fewer candles in the past than the levels above and below. This does not take volume into account. The lookback and number of levels has to be kept low to prevent too many calculations. I haven't looked if there's new pinescript features to let me do this more efficiently yet.
It checks for candle density to decrease once or twice and then increase once or twice before it draws a line at that lowest level. There's an option to draw more lines by only checking for a single decrease and increase.
It likely won't catch all the levels but it seems to get a good amount to help me position stops on other side of S/R or exits on the trade side of S/R.
I've been meaning to share more scripts but keep forgetting. Keeping my scripts free but feel free to like or tip haha.
