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((Bearish)) Candle Above EMASGood Morning from the UK. Todays script is a simple vieweing of when candles close above a certain moving average - when the market is bearish conditions - candle which close above the moving average can be viewed as a bearish signal along with confluences such as price action. This script is best on the Daily and we can expect big price moves away from this area. The below example, we have a bearish set up with a break of trendline and then a break of a base which would 1) strong area as price is unlikely to go past this area which would make this a supply zone. This was then followed by the signal of the candle closing above the 100ema and the 50ema. The script is likened to my one of my previous scripts which portrays the bullish ema candle closes. I will be making a price action publish soon if that is of interest to the public.
Indicatore Pine Script®
di LuxTradeVenture
2
Chervolinos Ultrafast RMTA MACDDescription of a classic MACD: MACD, short for moving average convergence/divergence, is a trading indicator used in technical analysis of stock prices, created by Gerald Appel in the late 1970s. It is designed to reveal changes in the strength, direction, momentum, and duration of a trend in a stock's price. The MACD indicator (or "oscillator") is a collection of three time series calculated from historical price data, most often the closing price. These three series are: the MACD series proper, the "signal" or "average" series, and the "divergence" series which is the difference between the two. The MACD series is the difference between a "fast" (short period) exponential moving average (EMA), and a "slow" (longer period) EMA of the price series. The average series is an EMA of the MACD series itself. The MACD indicator thus depends on three time parameters, namely the time constants of the three EMAs. The notation "MACD" usually denotes the indicator where the MACD series is the difference of EMAs with characteristic times a and b, and the average series is an EMA of the MACD series with characteristic time c. These parameters are usually measured in days. The most commonly used values are 12, 26, and 9 days, that is, MACD. As true with most of the technical indicators, MACD also finds its period settings from the old days when technical analysis used to be mainly based on the daily charts. The reason was the lack of the modern trading platforms which show the changing prices every moment. As the working week used to be 6-days, the period settings of represent 2 weeks, 1 month and one and a half week. Now when the trading weeks have only 5 days, possibilities of changing the period settings cannot be overruled. However, it is always better to stick to the period settings which are used by the majority of traders as the buying and selling decisions based on the standard settings further push the prices in that direction. Description of the new Ultrafast RMTA MACD: Ultrafast RMTA MACD, short for moving average convergence/divergence, is a trading indicator used in technical analysis of stock prices, created by Chervolino. It is designed to reveal changes in the strength, direction, momentum, and duration of a trend in a stock's price. The RMTA MACD indicator (or "oscillator") is a collection of three time series calculated from historical price data, from the closing price. The RMTA MACD based on the THE RECURSIVE MOVING TRENDLINE SYSTEM technical.traders.com and is series is the difference between a "fast" (short period) Recursive Moving Trend Average, and a "slow" (longer period) Recursive Moving Trend Average of the price series. The average series is an EMA of the MACD series itself. The result is a non laging indicator, depends on the settings. special thanks to everget LonesomeTheBlue
Indicatore Pine Script®
di chervolino
TR_HighLow_LibLibrary "TR_HighLow_Lib" TODO: add library description here ShowLabel(_Text, _X, _Y, _Style, _Size, _Yloc, _Color)   TODO: Function to display labels   Parameters:      _Text : TODO: text (series string) Label text.      _X : TODO: x (series int) Bar index.      _Y : TODO: y (series int/float) Price of the label position.      _Style : TODO: style (series string) Label style.      _Size : TODO: size (series string) Label size.      _Yloc : TODO: yloc (series string) Possible values are yloc.price, yloc.abovebar, yloc.belowbar.      _Color : TODO: color (series color) Color of the label border and arrow   Returns: TODO: No return values GetColor(_Index)   TODO: Function to take out 12 colors in order   Parameters:      _Index : TODO: color number.   Returns: TODO: color code Tbl_position(_Pos)   TODO: Table display position function   Parameters:      _Pos : TODO: position.   Returns: TODO: Table position DeleteLine()   TODO: Delete Line   Parameters:      : TODO: No parameter   Returns: TODO: No return value DeleteLabel()   TODO: Delete Label   Parameters:      : TODO: No parameter   Returns: TODO: No return value ZigZag(_a_PHiLo, _a_IHiLo, _a_FHiLo, _a_DHiLo, _Histories, _Provisional_PHiLo, _Provisional_IHiLo, _Color1, _Width1, _Color2, _Width2, _ShowLabel, _ShowHighLowBar, _HighLowBarWidth, _HighLow_LabelSize)   TODO: Draw a zig-zag line.   Parameters:      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _a_FHiLo : TODO: High-Low flag array sequence 1:High 2:Low      _a_DHiLo : TODO: High-Low Price Differential Array      _Histories : TODO: Array size (High-Low length)      _Provisional_PHiLo : TODO: Provisional High-Low Price      _Provisional_IHiLo : TODO: Provisional High-Low INDEX      _Color1 : TODO: Normal High-Low color      _Width1 : TODO: Normal High-Low width      _Color2 : TODO: Provisional High-Low color      _Width2 : TODO: Provisional High-Low width      _ShowLabel : TODO: Label display flag True: Displayed False: Not displayed      _ShowHighLowBar : TODO: High-Low bar display flag True:Show False:Hide      _HighLowBarWidth : TODO: High-Low bar width      _HighLow_LabelSize : TODO: Label Size   Returns: TODO: No return value TrendLine(_a_PHiLo, _a_IHiLo, _Histories, _MultiLine, _StartWidth, _EndWidth, _IncreWidth, _StartTrans, _EndTrans, _IncreTrans, _ColorMode, _Color1_1, _Color1_2, _Color2_1, _Color2_2, _Top_High, _Top_Low, _Bottom_High, _Bottom_Low)   TODO: Draw a Trend Line   Parameters:      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _Histories : TODO: Array size (High-Low length)      _MultiLine : TODO: Draw a multiple Line.      _StartWidth : TODO: Line width start value      _EndWidth : TODO: Line width end value      _IncreWidth : TODO: Line width increment value      _StartTrans : TODO: Transparent rate start value      _EndTrans : TODO: Transparent rate finally      _IncreTrans : TODO: Transparent rate increase value      _ColorMode : TODO: 0:Nomal 1:Gradation      _Color1_1 : TODO: Gradation Color 1_1      _Color1_2 : TODO: Gradation Color 1_2      _Color2_1 : TODO: Gradation Color 2_1      _Color2_2 : TODO: Gradation Color 2_2      _Top_High : TODO: _Top_High Value for Gradation      _Top_Low : TODO: _Top_Low Value for Gradation      _Bottom_High : TODO: _Bottom_High Value for Gradation      _Bottom_Low : TODO: _Bottom_Low Value for Gradation   Returns: TODO: No return value Fibonacci(_a_Fibonacci, _a_PHiLo, _Provisional_PHiLo, _Index, _FrontMargin, _BackMargin)   TODO: Draw a Fibonacci line   Parameters:      _a_Fibonacci : TODO: Fibonacci Percentage Array      _a_PHiLo : TODO: High-Low price array      _Provisional_PHiLo : TODO: Provisional High-Low price (when _Index is 0)      _Index : TODO: Where to draw the Fibonacci line      _FrontMargin : TODO: Fibonacci line front-margin      _BackMargin : TODO: Fibonacci line back-margin   Returns: TODO: No return value Fibonacci(_a_Fibonacci, _a_PHiLo, _Provisional_PHiLo, _Index1, _FrontMargin1, _BackMargin1, _Transparent1, _Index2, _FrontMargin2, _BackMargin2, _Transparent2)   TODO: Draw a Fibonacci line   Parameters:      _a_Fibonacci : TODO: Fibonacci Percentage Array      _a_PHiLo : TODO: High-Low price array      _Provisional_PHiLo : TODO: Provisional High-Low price (when _Index is 0)      _Index1 : TODO: Where to draw the Fibonacci line 1      _FrontMargin1 : TODO: Fibonacci line front-margin 1      _BackMargin1 : TODO: Fibonacci line back-margin 1      _Transparent1 : TODO: Transparent rate 1      _Index2 : TODO: Where to draw the Fibonacci line 2      _FrontMargin2 : TODO: Fibonacci line front-margin 2      _BackMargin2 : TODO: Fibonacci line back-margin 2      _Transparent2 : TODO: Transparent rate 2   Returns: TODO: No return value High_Low_Judgment(_Length, _Extension, _Difference)   TODO: Judges High-Low   Parameters:      _Length : TODO: High-Low Confirmation Length      _Extension : TODO: Length of extension when the difference did not open      _Difference : TODO: Difference size   Returns: TODO: _HiLo=High-Low flag 0:Neither high nor low、1:High、2:Low、3:High-Low _PHi=high price、_PLo=low price、_IHi=High Price Index、_ILo=Low Price Index、 _Cnt=count、_ECnt=Extension count、 _DiffHi=Difference from Start(High)、_DiffLo=Difference from Start(Low)、 _StartHi=Start value(High)、_StartLo=Start value(Low) High_Low_Data_AddedAndUpdated(_HiLo, _Histories, _PHi, _PLo, _IHi, _ILo, _DiffHi, _DiffLo, _a_PHiLo, _a_IHiLo, _a_FHiLo, _a_DHiLo)   TODO: Adds and updates High-Low related arrays from given parameters   Parameters:      _HiLo : TODO: High-Low flag      _Histories : TODO: Array size (High-Low length)      _PHi : TODO: Price Hi      _PLo : TODO: Price Lo      _IHi : TODO: Index Hi      _ILo : TODO: Index Lo      _DiffHi : TODO: Difference in High      _DiffLo : TODO: Difference in Low      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _a_FHiLo : TODO: High-Low flag array 1:High 2:Low      _a_DHiLo : TODO: High-Low Price Differential Array   Returns: TODO: _PHiLo price array、_IHiLo indexed array、_FHiLo flag array、_DHiLo price-matching array、 Provisional_PHiLo Provisional price、Provisional_IHiLo 暫定インデックス High_Low(_a_PHiLo, _a_IHiLo, _a_FHiLo, _a_DHiLo, _a_Fibonacci, _Length, _Extension, _Difference, _Histories, _ShowZigZag, _ZigZagColor1, _ZigZagWidth1, _ZigZagColor2, _ZigZagWidth2, _ShowZigZagLabel, _ShowHighLowBar, _ShowTrendLine, _TrendMultiLine, _TrendStartWidth, _TrendEndWidth, _TrendIncreWidth, _TrendStartTrans, _TrendEndTrans, _TrendIncreTrans, _TrendColorMode, _TrendColor1_1, _TrendColor1_2, _TrendColor2_1, _TrendColor2_2, _ShowFibonacci1, _FibIndex1, _FibFrontMargin1, _FibBackMargin1, _FibTransparent1, _ShowFibonacci2, _FibIndex2, _FibFrontMargin2, _FibBackMargin2, _FibTransparent2, _ShowInfoTable1, _TablePosition1, _ShowInfoTable2, _TablePosition2)   TODO: Draw the contents of the High-Low array.   Parameters:      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _a_FHiLo : TODO: High-Low flag sequence 1:High 2:Low      _a_DHiLo : TODO: High-Low Price Differential Array      _a_Fibonacci : TODO: Fibonacci Gnar Matching      _Length : TODO: Length of confirmation      _Extension : TODO: Extension Length of extension when the difference did not open      _Difference : TODO: Difference size      _Histories : TODO: High-Low Length      _ShowZigZag : TODO: ZigZag Display      _ZigZagColor1 : TODO: Colors of ZigZag1      _ZigZagWidth1 : TODO: Width of ZigZag1      _ZigZagColor2 : TODO: Colors of ZigZag2      _ZigZagWidth2 : TODO: Width of ZigZag2      _ShowZigZagLabel : TODO: ZigZagLabel Display      _ShowHighLowBar : TODO: High-Low Bar Display      _ShowTrendLine : TODO: Trend Line Display      _TrendMultiLine : TODO: Trend Multi Line Display      _TrendStartWidth : TODO: Line width start value      _TrendEndWidth : TODO: Line width end value      _TrendIncreWidth : TODO: Line width increment value      _TrendStartTrans : TODO: Starting transmittance value      _TrendEndTrans : TODO: Transmittance End Value      _TrendIncreTrans : TODO: Increased transmittance value      _TrendColorMode : TODO: color mode      _TrendColor1_1 : TODO: Trend Color 1_1      _TrendColor1_2 : TODO: Trend Color 1_2      _TrendColor2_1 : TODO: Trend Color 2_1      _TrendColor2_2 : TODO: Trend Color 2_2      _ShowFibonacci1 : TODO: Fibonacci1 Display      _FibIndex1 : TODO: Fibonacci1 Index No.      _FibFrontMargin1 : TODO: Fibonacci1 Front margin      _FibBackMargin1 : TODO: Fibonacci1 Back Margin      _FibTransparent1 : TODO: Fibonacci1 Transmittance      _ShowFibonacci2 : TODO: Fibonacci2 Display      _FibIndex2 : TODO: Fibonacci2 Index No.      _FibFrontMargin2 : TODO: Fibonacci2 Front margin      _FibBackMargin2 : TODO: Fibonacci2 Back Margin      _FibTransparent2 : TODO: Fibonacci2 Transmittance      _ShowInfoTable1 : TODO: InfoTable1 Display      _TablePosition1 : TODO: InfoTable1 position      _ShowInfoTable2 : TODO: InfoTable2 Display      _TablePosition2 : TODO: InfoTable2 position   Returns: TODO: 無し
Libreria Pine Script®
di Tommy_Rich
1
TR_HighLowLibrary "TR_HighLow" TODO: add library description here ShowLabel(_Text, _X, _Y, _Style, _Size, _Yloc, _Color)   TODO: Function to display labels   Parameters:      _Text : TODO: text (series string) Label text.      _X : TODO: x (series int) Bar index.      _Y : TODO: y (series int/float) Price of the label position.      _Style : TODO: style (series string) Label style.      _Size : TODO: size (series string) Label size.      _Yloc : TODO: yloc (series string) Possible values are yloc.price, yloc.abovebar, yloc.belowbar.      _Color : TODO: color (series color) Color of the label border and arrow   Returns: TODO: No return values GetColor(_Index)   TODO: Function to take out 12 colors in order   Parameters:      _Index : TODO: color number.   Returns: TODO: color code Tbl_position(_Pos)   TODO: Table display position function   Parameters:      _Pos : TODO: position.   Returns: TODO: Table position DeleteLine()   TODO: Delete Line   Parameters:      : TODO: No parameter   Returns: TODO: No return value DeleteLabel()   TODO: Delete Label   Parameters:      : TODO: No parameter   Returns: TODO: No return value ZigZag(_a_PHiLo, _a_IHiLo, _a_FHiLo, _a_DHiLo, _Histories, _Provisional_PHiLo, _Provisional_IHiLo, _Color1, _Width1, _Color2, _Width2, _ShowLabel, _ShowHighLowBar, _HighLowBarWidth, _HighLow_LabelSize)   TODO: Draw a zig-zag line.   Parameters:      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _a_FHiLo : TODO: High-Low flag array sequence 1:High 2:Low      _a_DHiLo : TODO: High-Low Price Differential Array      _Histories : TODO: Array size (High-Low length)      _Provisional_PHiLo : TODO: Provisional High-Low Price      _Provisional_IHiLo : TODO: Provisional High-Low INDEX      _Color1 : TODO: Normal High-Low color      _Width1 : TODO: Normal High-Low width      _Color2 : TODO: Provisional High-Low color      _Width2 : TODO: Provisional High-Low width      _ShowLabel : TODO: Label display flag True: Displayed False: Not displayed      _ShowHighLowBar : TODO: High-Low bar display flag True:Show False:Hide      _HighLowBarWidth : TODO: High-Low bar width      _HighLow_LabelSize : TODO: Label Size   Returns: TODO: No return value TrendLine(_a_PHiLo, _a_IHiLo, _Histories, _MultiLine, _StartWidth, _EndWidth, _IncreWidth, _StartTrans, _EndTrans, _IncreTrans, _ColorMode, _Color1_1, _Color1_2, _Color2_1, _Color2_2, _Top_High, _Top_Low, _Bottom_High, _Bottom_Low)   TODO: Draw a Trend Line   Parameters:      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _Histories : TODO: Array size (High-Low length)      _MultiLine : TODO: Draw a multiple Line.      _StartWidth : TODO: Line width start value      _EndWidth : TODO: Line width end value      _IncreWidth : TODO: Line width increment value      _StartTrans : TODO: Transparent rate start value      _EndTrans : TODO: Transparent rate finally      _IncreTrans : TODO: Transparent rate increase value      _ColorMode : TODO: 0:Nomal 1:Gradation      _Color1_1 : TODO: Gradation Color 1_1      _Color1_2 : TODO: Gradation Color 1_2      _Color2_1 : TODO: Gradation Color 2_1      _Color2_2 : TODO: Gradation Color 2_2      _Top_High : TODO: _Top_High Value for Gradation      _Top_Low : TODO: _Top_Low Value for Gradation      _Bottom_High : TODO: _Bottom_High Value for Gradation      _Bottom_Low : TODO: _Bottom_Low Value for Gradation   Returns: TODO: No return value Fibonacci(_a_Fibonacci, _a_PHiLo, _Provisional_PHiLo, _Index, _FrontMargin, _BackMargin)   TODO: Draw a Fibonacci line   Parameters:      _a_Fibonacci : TODO: Fibonacci Percentage Array      _a_PHiLo : TODO: High-Low price array      _Provisional_PHiLo : TODO: Provisional High-Low price (when _Index is 0)      _Index : TODO: Where to draw the Fibonacci line      _FrontMargin : TODO: Fibonacci line front-margin      _BackMargin : TODO: Fibonacci line back-margin   Returns: TODO: No return value Fibonacci(_a_Fibonacci, _a_PHiLo, _Provisional_PHiLo, _Index1, _FrontMargin1, _BackMargin1, _Transparent1, _Index2, _FrontMargin2, _BackMargin2, _Transparent2)   TODO: Draw a Fibonacci line   Parameters:      _a_Fibonacci : TODO: Fibonacci Percentage Array      _a_PHiLo : TODO: High-Low price array      _Provisional_PHiLo : TODO: Provisional High-Low price (when _Index is 0)      _Index1 : TODO: Where to draw the Fibonacci line 1      _FrontMargin1 : TODO: Fibonacci line front-margin 1      _BackMargin1 : TODO: Fibonacci line back-margin 1      _Transparent1 : TODO: Transparent rate 1      _Index2 : TODO: Where to draw the Fibonacci line 2      _FrontMargin2 : TODO: Fibonacci line front-margin 2      _BackMargin2 : TODO: Fibonacci line back-margin 2      _Transparent2 : TODO: Transparent rate 2   Returns: TODO: No return value High_Low_Judgment(_Length, _Extension, _Difference)   TODO: Judges High-Low   Parameters:      _Length : TODO: High-Low Confirmation Length      _Extension : TODO: Length of extension when the difference did not open      _Difference : TODO: Difference size   Returns: TODO: _HiLo=High-Low flag 0:Neither high nor low、1:High、2:Low、3:High-Low _PHi=high price、_PLo=low price、_IHi=High Price Index、_ILo=Low Price Index、 _Cnt=count、_ECnt=Extension count、 _DiffHi=Difference from Start(High)、_DiffLo=Difference from Start(Low)、 _StartHi=Start value(High)、_StartLo=Start value(Low) High_Low_Data_AddedAndUpdated(_HiLo, _Histories, _PHi, _PLo, _IHi, _ILo, _DiffHi, _DiffLo, _a_PHiLo, _a_IHiLo, _a_FHiLo, _a_DHiLo)   TODO: Adds and updates High-Low related arrays from given parameters   Parameters:      _HiLo : TODO: High-Low flag      _Histories : TODO: Array size (High-Low length)      _PHi : TODO: Price Hi      _PLo : TODO: Price Lo      _IHi : TODO: Index Hi      _ILo : TODO: Index Lo      _DiffHi : TODO: Difference in High      _DiffLo : TODO: Difference in Low      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _a_FHiLo : TODO: High-Low flag array 1:High 2:Low      _a_DHiLo : TODO: High-Low Price Differential Array   Returns: TODO: _PHiLo price array、_IHiLo indexed array、_FHiLo flag array、_DHiLo price-matching array、 Provisional_PHiLo Provisional price、Provisional_IHiLo 暫定インデックス High_Low(_a_PHiLo, _a_IHiLo, _a_FHiLo, _a_DHiLo, _a_Fibonacci, _Length, _Extension, _Difference, _Histories, _ShowZigZag, _ZigZagColor1, _ZigZagWidth1, _ZigZagColor2, _ZigZagWidth2, _ShowZigZagLabel, _ShowHighLowBar, _ShowTrendLine, _TrendMultiLine, _TrendStartWidth, _TrendEndWidth, _TrendIncreWidth, _TrendStartTrans, _TrendEndTrans, _TrendIncreTrans, _TrendColorMode, _TrendColor1_1, _TrendColor1_2, _TrendColor2_1, _TrendColor2_2, _ShowFibonacci1, _FibIndex1, _FibFrontMargin1, _FibBackMargin1, _FibTransparent1, _ShowFibonacci2, _FibIndex2, _FibFrontMargin2, _FibBackMargin2, _FibTransparent2, _ShowInfoTable1, _TablePosition1, _ShowInfoTable2, _TablePosition2)   TODO: Draw the contents of the High-Low array.   Parameters:      _a_PHiLo : TODO: High-Low price array      _a_IHiLo : TODO: High-Low INDEX array      _a_FHiLo : TODO: High-Low flag sequence 1:High 2:Low      _a_DHiLo : TODO: High-Low Price Differential Array      _a_Fibonacci : TODO: Fibonacci Gnar Matching      _Length : TODO: Length of confirmation      _Extension : TODO: Extension Length of extension when the difference did not open      _Difference : TODO: Difference size      _Histories : TODO: High-Low Length      _ShowZigZag : TODO: ZigZag Display      _ZigZagColor1 : TODO: Colors of ZigZag1      _ZigZagWidth1 : TODO: Width of ZigZag1      _ZigZagColor2 : TODO: Colors of ZigZag2      _ZigZagWidth2 : TODO: Width of ZigZag2      _ShowZigZagLabel : TODO: ZigZagLabel Display      _ShowHighLowBar : TODO: High-Low Bar Display      _ShowTrendLine : TODO: Trend Line Display      _TrendMultiLine : TODO: Trend Multi Line Display      _TrendStartWidth : TODO: Line width start value      _TrendEndWidth : TODO: Line width end value      _TrendIncreWidth : TODO: Line width increment value      _TrendStartTrans : TODO: Starting transmittance value      _TrendEndTrans : TODO: Transmittance End Value      _TrendIncreTrans : TODO: Increased transmittance value      _TrendColorMode : TODO: color mode      _TrendColor1_1 : TODO: Trend Color 1_1      _TrendColor1_2 : TODO: Trend Color 1_2      _TrendColor2_1 : TODO: Trend Color 2_1      _TrendColor2_2 : TODO: Trend Color 2_2      _ShowFibonacci1 : TODO: Fibonacci1 Display      _FibIndex1 : TODO: Fibonacci1 Index No.      _FibFrontMargin1 : TODO: Fibonacci1 Front margin      _FibBackMargin1 : TODO: Fibonacci1 Back Margin      _FibTransparent1 : TODO: Fibonacci1 Transmittance      _ShowFibonacci2 : TODO: Fibonacci2 Display      _FibIndex2 : TODO: Fibonacci2 Index No.      _FibFrontMargin2 : TODO: Fibonacci2 Front margin      _FibBackMargin2 : TODO: Fibonacci2 Back Margin      _FibTransparent2 : TODO: Fibonacci2 Transmittance      _ShowInfoTable1 : TODO: InfoTable1 Display      _TablePosition1 : TODO: InfoTable1 position      _ShowInfoTable2 : TODO: InfoTable2 Display      _TablePosition2 : TODO: InfoTable2 position   Returns: TODO: 無し
Libreria Pine Script®
di Tommy_Rich
Auto Trendline Indicator (based on fractals)A tool that automatically draws out trend lines by connecting the most recent fractals. Description: The process of manual drawing out trend lines is highly subjective. Many times, we don’t trade what we see, but what we “want to see”. As a result, we draw lines pointing to the direction that we wishfully want price to move towards. While there are no right/wrong ways to draw trend lines, there are, however, systematic/unsystematic ways to draw trend lines. This tool will systematically draw out trend lines based on fractals. Additional feature: This tool will also plot out symbols (default symbol “X”) to signify points of crossings. This can be useful for traders considering to use trend lines as part of their trading strategies. Here is an interesting observation on the price actions of NASDAQ futures on a 5 second chart during regular trading hours on July 14, 2022. It’s a phenomenon. People like to see straight lines connecting HL/LH, etc., so it's possible for the market as a whole to psychologically react to these lines. However, it is important to note that is is impossible to predict the direction of price. In the case above, price could have tanked below auto-drawn trend line. Fractal based trend lines should only be taken as references and regarded as price levels. No studies have ever proven that the slope of trend lines can indicate price's future direction. More about fractals: To understand more about fractals: www.investopedia.com www.tradingview.com Contrary to what it sounds like, fractal in "technical analysis" does not refer to the recursive self-repeating patterns that appear in nature, such as the mesmerizing patterns found in snowflakes. The Fractal Markets Hypothesis claims that market prices exhibit fractal properties over time. Assuming this assertion to be true, then fractals can be used a tool to represent the chaotic movements of price is a simplified manner. The purpose of this exercise is to take a tool that is readily available (ie. in this case, TradingView’s built-in fractals tool), and to create a newer tool based on it. Parameters: Fractal period (denoted as ‘n’ in code): It is the number of bars bounding a high/low point that must be lower/higher than it, respectively, in order for fractal to be considered valid. Period ‘n’ can be adjusted in this tool. Traditionally, chartists pick the value of 5. The longer it is, the less noise seen on the chart, and the pivot point may also be exhibited in higher timeframes. The drawback is that it will increase the period of lag, and it will take more bars to confirm the printed fractal. Others: Intuitive parameters such as whether to draw historical trend lines, what color to use, which way to extend the lines, and whether or not to show points of crossings.
Indicatore Pine Script®
di DojiEmoji
67
even_better_sinewave_mod Description: Even better sinewave was an indicator developed by John F. Ehlers (see Cycle Analytics for Trader, pg. 159), in which improvement to cycle measurements completely relies on strong normalization of the waveform. The indicator aims to create an artificially predictive indicator by transferring the cyclic data swings into a sine wave. In this indicator, the modified is on the weighted moving average as a smoothing function, instead of using the super smoother, aim to be more adaptive, and the default length is set to 55 bars. Sinewave smoothing = (7*hp + 6*hp_1 + 5*hp_2+ 4*hp_3 + 3*hp_4 + 2*hp5 + hp_6) /28 normalize = wave/sqrt(power) Notes: sinewave indicator crossing over -0.9 is considered to beginning of the cycle while crossing under 0.9 is considered as an end of the cycle line color turns to green considered as a confirmation of an uptrend, while turns red as a confirmation of a downtrend confidence of using indicator will be much in confirmation paired with another indicator such dynamic trendline e.g. moving average as cited within Ehlers book Cycle Analytic for Traders, the indicator will be useful if the satisfied market cycle mode and the period of the dominant cycle must be estimated with reasonable accuracy Other Example
Indicatore Pine Script®
di palitoj_endthen
4
Rate Of Change and rsi zonesHi, I played with the ROC ( Rate of change ) indicator. First of all I made it smooth. And came up with decent buy sell signals for long-term potential trades. It can be useful for DCA and profit booking in market tops ( before potential crash) Recommended time frame = 1 Daily , 3 Daily , Weekly. Usage : 1. Look for Buy and sell arrow signals. But don't jump straight away. Specially for sell. You might sell early. Instead you can move up your stop loss when you see a sell signal or profit book partially. if you wait and combine with your own supply and demand zones you can get some nice sell price. 2. Better to wait and look for a divergence in price and ROC. As price will slow down it will reflect on the ROC line. Which means market is exhausted and potentially a correction might happen. 3. You can draw trendline one the ROC and look for breakout. ( warning won't always work ) 4. You can also see the RSI in thick red/green color. It will help you determine oversold and overbought zones. Trick is don't sell when it's oversold ( red thick line) . Because it might be a start of a strong uptrend. So better is to wait and see when the signal is printing then execute. Best strategy is to DCA and sell in parts whenever you see such signals. I believe it will visually help us that when to be bull and when to be bear. Anyway if you find it useful let me know in the comment. Also if you have some idea to improve the code you can contribute as well. Thanks . Feedbacks are welcome.
Indicatore Pine Script®
di souvik0
10
ms hypersupertrendThis is a well-known strategy by using 3 different Supertrends and a trend-defining EMA, feel free to play around with the settings, a backtest on 8h ETHUSDT pair brought some good results using the 233EMA and investing 75% of a 10k start capital the idea is to have at least 2 super trends going green above the trend-EMA to go long and exit by turning 2 super trends red (idea: 1 super trend in red could initialize a take profit) shorts work vice versa The EMA shows in green for uptrends and in red for downtrends, if it is blue no Signal will be taken because the 3 super trends are not all above or below the trendline(EMA) //------------------------------------------------------------------------------------------------------------------------------------------------- Update 1: - Fixed a minor input error - Added ATR stoploss, and commented out the percentage stop loss - Added time window to backtest - Added exit on risk/reward is met - This version is only buy...wait for next update adding shorts and more As always, thanks for your ideas, likes, and support. Feel free to mess around with the settings and give me your feedback.
Strategia Pine Script®
di theasgard
6
moonshot hypertrender (supertrend strategy) This is a well-known strategy by using 3 different Supertrends and a trend-defining EMA, feel free to play around with the settings, a backtest on 8h ETHUSDT pair brought some good results using the 233EMA and investing 75% of a 10k start capital. The idea is to have at least 2 Supertrends going green above the trend-EMA to go into a long position. The exit will be triggered if 2 Supertrends change to red (idea: 1 super trend in red could initialize a take profit). Taking shorts works vice versa. The EMA shows in green for uptrends and in red for downtrends, if it is blue (ranging market) no Signal will be taken because the 3 Supertrends are not all above or below the trendline(EMA). I heard about this strategy on youtube but I can't get the promised 60% win-rate ;) any suggestions to improve it are welcome Hope you find it useful and it would be nice to get your feedback -theasgard-
Strategia Pine Script®
di theasgard
1
[DSPrated] Modified EMD for swing tradeModified Ehlers Empirical Mode Decomposition indicator for swing trade based on Butterworth 2nd order IIR filter Description This script is inspired by John Ehlers' TECHNICAL PAPERS - Truncating Indicators and Empirical Mode Decomposition. But instead of detecting trend it applies to finding swing regions. Also here is suggested canonical DSP approach for designing coefficients for Butterworth 2nd order IIR filters - bandpass and lowpass. Besides, truncated IIR filter with configurable length parameter is used. It worth mentioning, that although truncated filter is more robust than original IIR, it losses specified properties (bandpass) the more, the less is length parameter. Butterworth Bandpass Infinite Impulse Response (IIR) Filter This is the 2nd order Butterworth Bandpass Infinite Impulse Response (IIR) Filter based on the transform from the 1st order lowpass Based on the example 8.8 on p476 from book Digital Signal Processing: A Practical Approach 2nd Edition by Emmanuel C. Ifeachor (Author), Barrie W. Jervis (Author) It differs from Ehlers BandPass Filter only in the way you initialize input parameters. Here you can define cutoff periods of region of interest. For example on a timeframe, where one bar equals 1 hour you can define periods 18 and 22, which mean you'll see the swing intensity of price movement components within specified range. Parameters Source Period 1 - cutoff period of bandpass begining Period 2 - cutoff period of the end of bandpass length - IIR truncation length Concept of usage Within specified bandpass this indicator eliminates the Trend line according to Ehlers EMD. The bandpass periods is recommended to choose accordingly to personal comfortable trading style and timeframe. The trendline painted with 3 colors depending of the next modes: up tend - green cycling - black downtrend - red So the buy signal is generated when trend line in cycling mode and filtered component reaches it local minimum. And the sell signal is generated when trend line in cycling mode and filtered component reaches it local maximum. Secure long and short zones marked with color. --- // TO DO // - compare truncated and full version using signal generators // - apply zero lag filter modification fordetectig ternd and swing peroids // - implement strategy scripts // - implement somewhat "true" EMD with sevral IMFs(intrinsic mode function) // - better description? // - parameter optimization --- Please, feel free to report any issues and improvement suggestions.
Indicatore Pine Script®
di DSPrated
1
Trade finder signal (TFS)This signal is a "breakout signal" and should only be used when price breakout off a pattern / Trendline / resistance line. It can be used on all timeframes, but the higher the timeframe, the more power the signal has. Some rules. 1. Wait for a candle close / Period, on the timeframe you are using the signal on. This helps prevent fake signales. 2. If there has been a big drop / correction in price, there will be some delay on the signal on the bigger timeframes, since the indicators take time to turn bullish again. You can go down on a lower timeframe if your prefer to get in the trend quicker. 3. In some cases the signal will go off 1-2 candles before or after a breakout. If it is before, wait for a candle close of the breakout area before entering. 4. The patterns you use, must be drawn on 'candle bodies' and not 'Wicks' since the script is based and calculated on "Closing prices on candle bodies" Important!!! This signal is not the Holy Gral of TA, so it is highly recommended you are using Stoploss. The signal has been in alert, so use the alert on the coins you want to monitor and wait until the alert goes off. No need to watch the chart all the time before the alert goes of ;)
Indicatore Pine Script®
di SimonQuraishi
LPB MicroCycles StrategyWhat it is: We use the Hodrick-Prescott filter applied to the closing price, and then take the outputted trendline and apply a custom vwap, the time frame of which is based on user input, not the default 1 day vwap . Then we go long if the value 2 bars ago is greater then one bar ago. We sell and color the bars and lines when the if the value of 2 bars ago is less than one bar ago. Also included: GUI for backtesting ATR Based Stop Loss How to use: Go long when the indicators suggest it, and use the stop losses to reduce risk. Best if paired with a volatility measurement (inside candles, average true range , bollingerband%B)
Strategia Pine Script®
di tathal
1
Ehlers Average Error Filter [CC]The Average Error Filter was created by John Ehlers and this is a variation of a Zero Lag Exponential Moving Average that uses a Super Smoother to filter out the noise and then uses a second Super Smoother of the difference between the current price and the filtered data. This works well as a trendline and does give out a few false signals like all indicators inevitably do but most signals do a good job of keeping up with the trend and providing clear entries and exits when the trend changes. I have included strong buy and sell signals in addition to normal ones so like always darker colors are strong signals and lighter colors are normal ones. Buy when the line turns green and sell when it turns red. Let me know if there are any other scripts you would like to see me publish!
Indicatore Pine Script®
di cheatcountry
1
Ehlers Market Mode Indicator [CC]The Market Mode Indicator was created by John Ehlers (Rocket Science For Traders pgs 114-117) and this is a handy tool that will tell you if the market is currently in a cycle or a trend. When the current market is in a cycle or choppy state then the indicator will read 0 and when it is in a trend then it will read 1. He uses some advanced digital signal processing to figure out the current trend and for how long it has been trending. I have included buy and sell signals using the trendline and so buy when the line turns green and sell when it turns red. Let me know if this indicator is useful for you. Let me know if there are any other indicators you would like to see me publish!
Indicatore Pine Script®
di cheatcountry
7
Best Bulls Bears Volume trend Breakout V2 [badshah_e_alam]This is a intraday indicator. Only to be used on timeframe less than daily charts. This indicator purely uses volume to plot the graph. The indicator helps in conforming a breakout strategy. This indicator is advanced version of my previously developed indicator you can check this link Total volume is made up of buying volume and selling volume . Buying volume is the number of shares, contracts, or lots that were associated with green bars, and selling volume is the number that were associated with red bars. The labels on the right side are the current bar value and that days bulls /bears weightage. the first value shows the current bar volume. second value show the bulls weight in % third value show the bears weightage throughout the day ( %) The Blue plot in graph keeps the track of bulls movement in intraday( %) The Red plot in graph keeps the track of bears movement in intraday ( %) X axis is time. Y axis ranges from 100 to -100 I use 1:2 risk to reward ratio. Do your own research. **not a financial advice** Example of price increasing, volume decreasing this indicator can be used for confirming a breakout strategy with bulls or bears in action. In the current example, the buyer’s volume percentage is reducing and the price is increasing throughout the day. Hence a breakout of the trendline is confirmation of a short trade. Example of Price reducing, volume decreasing example of price moving down , bears losing the grip Example of price decreasing volume increasing Thanks to nizar9599 for giving idea to improve my previous indicator. DISCLAIMER Any and all liability for risks resulting from investment transactions or other asset dispositions carried out by the user based on information received or a market analysis is expressly excluded by me. All the information made available here is generally provided to serve as an example only, without obligation and without specific recommendations for action. It does not constitute and cannot replace investment advice. We therefore recommend that you contact your personal financial advisor before carrying out specific transactions and investments. Do your own research, This is not a financial advice.
Indicatore Pine Script®
di TJalam
56
{Gunzo} Trend Sniper (WMA with coefficient)Trend Sniper is a trend-following indicator that sticks closer to the trend than others moving averages as it is using an upgraded weighted moving average implementation. OVERVIEW : It is typical to use a moving average indicator (SMA, EMA, WMA or TMA) to identify the trend of an asset. Standard moving averages indicators smooth the price and doesn’t stick very closely to the actual price, showing potential lagging information. CALCULATION : In order to have a trendline that sticks to the price, we are going to use a weighted moving average as it puts more weight on recent candles and less on past candles. The weight is usually calculated using the distance from current candle to the other candles used in the calculation. We have the following formula for the standard calculation as implemented in TradingView : WMA_standard = (Price1 * Weight1 + …… + PriceN * WeightN)) / (Weight1 + …… + WeightN) This “Trend Sniper” indicator uses an additional coefficient to alter even more the weight of each candle. WMA_with_coefficient = (Price1 * (Weight1 - Coefficient) + …… + PriceN * (WeightN - Coefficient)) / ((Weight1 - Coefficient) + …… + (WeightN - Coefficient)) SETTINGS : MA source : Source used for moving average calculation (ex : “close”) MA length : Length of the moving average. Higher values will give a smoother line, lower values will give a more reactive line. Use extra smoothing : Enable/disable usage of a EMA to extra smooth the line curve. If activated the indicator may be lagging, but it will also avoid many false buy/sell signals. MA extra smoothing length : Length of the moving average of the extra smoothing. Change candle colors : Enable/disable painting the candles of the chart with the colors of the weighted moving average. Display buy/sell signals : Display buy/sell signals (circles) when the moving average is changing direction VISUALIZATIONS : This indicator has 3 possible visualizations : Moving Average line : the line represents the weighted moving average that is following the price of the asset, when the line goes up we are in a uptrend (green line) when the line goes down we are in a downtrend (red line). Candle coloring : the color of the moving average line can be applied to the candles of the chart for better readability. Signals : Buy/Sell signals can be displayed at the bottom of the chart USAGE : This indicator can help analyze the trend directional changes : First of all, if the moving average line is under the price (or above the price), then we can assume that the uptrend is strong (or downtrend is strong). If the current candle crosses the moving average line, it is the first sign that the trend is weakening and possibly starting to revert. If the weighted moving average is changing direction, then the trend change is confirmed and the color of the line changes
Indicatore Pine Script®
di Gunzo_TV
14
Auto Fib Speed Resistance Fans by DGTFibonacci Speed and Resistance Fan is an analytical drawing tool used to indicate the support and resistance levels of an existing trend and the price level at which possible changes in the trend may occur. A Fibonacci Speed Resistance Fan consists of a trend line drawn between two extreme points - a trough and opposing peak or a peak and opposing trough - on which a set of sequential speed resistance lines are drawn above (which represents time) and below (which represents price). These lines are drawn based on time/price percentages of the distance between the beginning and the end of the trend line. Speed resistance lines not only help to measure trend corrections but also measure the speed of a trend (the rate at which a trendline ascends or descends) Traders can use the lines of the Fibonacci Speed and Resistance Fan to predict key points of resistance or support, at which they might expect price trends to reverse. Once a trader identifies patterns within a chart, they can use those patterns to predict future price movements and future levels of support and resistance. Traders use the predictions to time their trades. Key support and resistance levels tend to occur frequently at the 61.8-percent level on both uptrends and downtrends. Please check for further details in the education post that I will share shortly after this publication : Nobody appears to know whether Fibonacci tools work because markets exhibit some form of natural pattern or because many investors use Fibonacci ratios to predict price movements, making them a self-fulfilling prophecy. █ Study OPTIONS   Auto Fibonacci Speed and Resistance Fan , the main aim of the study     - Pivot threshold can be adjusted via “Deviation” and “Depth” input options ‏    - Historical Fans option will allow plotting of Speed and Resistance Fans on previous pivot high/lows     - Ability to set ALERTs for the Speed and Resistance Levels     - Price Grid Lines if extended it will result with Fib Retracement levels     - All lines, line levels are customizable, default values are set exactly to the same with the available Fib Speed and Resistance Fan drawing tool   Zig Zag – Derived from build-in Auto Fib Retracement with some customization options. Example Usages : Disclaimer : Trading success is all about following your trading strategy and the indicators should fit within your trading strategy, and not to be traded upon solely The script is for informational and educational purposes only. Use of the script does not constitute professional and/or financial advice. You alone have the sole responsibility of evaluating the script output and risks associated with the use of the script. In exchange for using the script, you agree not to hold dgtrd TradingView user liable for any possible claim for damages arising from any decision you make based on use of the script
Indicatore Pine Script®
di dgtrd
135
Volume Weighted Directional BiasThis indicator uses a series of five volume weighted moving averages cast out in successive powers of three to calculate a value which expresses the direction and momentum of a trend. It can be used as a contrary indicator to identify waning momentum at the top or bottom of a rally or selloff. It can be used to identify trendline divergence. It can also be used for trend confirmation. The length of the moving averages can be changed in the indicator inputs, but each should be longer than the previous. The problem with most trend indicators is that they are either too lagging or too noisy. This indicator seeks to combine smoothed data and a long lookback period with an exponentially forward weighted calculation, making it still very responsive to market changes without too much signal noise.
Indicatore Pine Script®
di iamroot
4
CT Reverse True Strength Indicator On ChartIntroducing the Caretakers “On Chart” Reverse True Strength Index. According to Wikipedia…. “The True Strength Index (TSI) is a technical indicator used in the analysis of financial markets that attempts to show both trend direction and overbought/oversold conditions. It was first published William Blau in 1991. The indicator uses moving averages of the underlying momentum of a financial instrument. Momentum is considered a leading indicator of price movements, and a moving average characteristically lags behind price. The TSI combines these characteristics to create an indication of price and direction more in sync with market turns than either momentum or moving average.” The TSI has a normal range of values between +100 and -100. Traditionally traders and analysts will consider: Positives values above 25 to indicate an “overbought” condition Negative values below -25 to indicate an “oversold” condition I have reverse engineered the True Strength Index formula to derive 2 new functions. 1) The reverse TSI function is dual purpose which can be used to calculate…. The chart price at which the TSI will reach a particular TSI scale value. The chart price at which the TSI will equal its previous value. 2) The reverse TSI signal cross function can be used to calculate the chart price at which the TSI will cross its signal line. I have employed these functions here to return the price levels where the True Strength Index would equal : Upper alert level ( default 25 ) Zero-Line Lower alert level ( default -25 ) Previous TSI (eq) value TSI signal line In this “On Chart” version of the reverse True Strength Index the crossover levels are displayed both as lines on the chart and via an optional info-box with choice of user selected info. Chart Line Colors Upper alert level... ( Fuchsia ) Zero-Line............ ( White ) Lower alert level... ( Aqua ) TSI (eq)...............( TSI (eq) > close..Orange, TSI (eq) < close..Lime ) TSI signal line........( Signal Cross Line > Close..Aqua, Signal Cross Line < Close..Fuchsia ) How to interpret the displayed prices returned from the TSI scale zero line and upper and lower alert levels. Closing exactly at the given price will cause the True Strength Index value to equal the scale value. Closing above the given price will cause the True Strength Index to cross above the scale value. Closing below the given price will cause the True Strength Index to cross below the scale value. How to interpret the displayed price returned from the TSI (eq) Closing exactly at the price will cause the True Strength Index value to equal the previous TSI value. Closing above the price will cause the True Strength Index value to increase. Closing below the price will cause the True Strength Index value to decrease. How to interpret the displayed price returned from the TSI signal line crossover. Closing exactly at the given price will cause the True Strength Index value to equal the signal line. Closing above the given price will cause the True Strength Index to cross above the signal line. Closing below the given price will cause the True Strength Index to cross below the signal line. Common methods to derive signals from the TSI : Zero-line crossovers When the CMO crosses above the zero-line, a buy signal is generated. When the CMO crosses below the zero-line, a sell signal is generated. “Overbought” and “Oversold” crossovers When the SMI crosses below -25 and then moves back above it, a buy signal is generated. When the SMI crosses above +25 and then moves back below it, a sell signal is generated. What Does the True Strength Index (TSI) Tell You? The indicator is primarily used to identify overbought and oversold conditions in an asset's price, spot divergence, identify trend direction and changes via the zero-line, and highlight short-term price momentum with signal line crossovers. Since the TSI is based on price movements, oversold and overbought levels will vary by the asset being traded. Some stocks may reach +30 and -30 before tending to see price reversals, while another stock may reverse near +20 and -20. Mark extreme TSI levels, on the asset being traded, to see where overbought and oversold is. Being oversold doesn't necessarily mean it is time to buy, and when an asset is overbought it doesn't necessarily mean it is time to sell. Traders will typically watch for other signals to trigger a trade decision. For example, they may wait for the price or TSI to start dropping before selling in overbought territory. Alternatively, they may wait for a signal line crossover. Signal Line Crossovers The true strength index has a signal line, which is usually a seven- to 13-period EMA of the TSI line. A signal line crossover occurs when the TSI line crosses the signal line. When the TSI crosses above the signal line from below, that may warrant a long position. When the TSI crosses below the signal line from above, that may warrant selling or short selling. Signal line crossovers occur frequently, so should be utilized only in conjunction with other signals from the TSI. For example, buy signals may be favoured when the TSI is above the zero-line. Or sell signals may be favoured when the TSI is in overbought territory. Zero-line Crossovers The zero-line crossover is another signal the TSI generates. Price momentum is positive when the indicator is above zero and negative when it is below zero. Some traders use the zero-line for a directional bias. For example, a trader may decide only to enter a long position if the indicator is above its zero-line. Conversely, the trader would be bearish and only consider short positions if the indicator's value is below zero. Breakouts and Divergence Traders can use support and resistance levels created by the true strength index to identify breakouts and price momentum shifts. For instance, if the indicator breaks below a trendline, the price may see continued selling. Divergence is another tool the TSI provides. If the price of an asset is moving higher, while the TSI is dropping, that is called bearish divergence and could result in a downside price move. If the TSI is rising while the price is falling, that could signal higher prices to come. This is called bullish divergence. Divergence is a poor timing signal, so it should only be used in conjunction with other signals generated by the TSI or other technical indicators. The Difference Between the True Strength Index (TSI) and the Moving Average Convergence Divergence (MACD) Indicator. The TSI is smoothing price changes to create a technical oscillator. The moving average convergence divergence (MACD) indicator is measuring the separation between two moving averages. Both indicators are used in similar ways for trading purposes, yet they are not calculated the same and will provide different signals at different times. The Limitations of Using the True Strength Index (TSI) Many of the signals provided by the TSI will be false signals. That means the price action will be different than expected following a trade signal. For example, during an uptrend, the TSI may cross below the zero-line several times, but then the price proceeds higher even though the TSI indicates momentum has shifted down. Signal line crossovers also occur so frequently that they may not provide a lot of trading benefit. Such signals need to be heavily filtered based on other elements of the indicator or through other forms of analysis. The TSI will also sometimes change direction without price changing direction, resulting in trade signals that look good on the TSI but continue to lose money based on price. Divergence also tends to unreliable on the indicator. Divergence can last so long that it provides little insight into when a reversal will actually occur. Also, divergence isn't always present when price reversals actually do occur. The TSI should only be used in conjunction with other forms of analysis, such as price action analysis and other technical indicators. This is not financial advice, use at your own risk.
Indicatore Pine Script®
di The_Caretaker
1
CT Reverse True Strength IndicatorIntroducing the Caretakers Reverse True Strength Index. According to Wikipedia…. “The True Strength Index (TSI) is a technical indicator used in the analysis of financial markets that attempts to show both trend direction and overbought/oversold conditions. It was first published William Blau in 1991. The indicator uses moving averages of the underlying momentum of a financial instrument. Momentum is considered a leading indicator of price movements, and a moving average characteristically lags behind price. The TSI combines these characteristics to create an indication of price and direction more in sync with market turns than either momentum or moving average.” The TSI has a normal range of values between +100 and -100. Traditionally traders and analysts will consider: Positives values above 25 to indicate an “overbought” condition Negative values below -25 to indicate an “oversold” condition I have reverse engineered the True Strength Index formula to derive 2 new functions. The reverse TSI function is dual purpose which can be used to calculate…. The chart price at which the TSI will reach a particular TSI scale value. The chart price at which the TSI will equal its previous value. The reverse TSI signal cross function can be used to calculate the chart price at which the TSI will cross its signal line. I have employed these functions here to return the price levels where the True Strength Index would equal : Upper alert level ( default 25 ) Zero-Line Lower alert level ( default -25 ) Previous TSI (eq) value. TSI signal line These crossover levels are displayed via an optional info-box with choice of user selected info. How to interpret the displayed prices returned from the TSI scale zero line and upper and lower alert levels. Closing exactly at the given price will cause the True Strength Index value to equal the scale value. Closing above the given price will cause the True Strength Index to cross above the scale value. Closing below the given price will cause the True Strength Index to cross below the scale value. How to interpret the displayed price returned from the TSI (eq) Closing exactly at the price will cause the True Strength Index value to equal the previous TSI value. Closing above the price will cause the True Strength Index value to increase. Closing below the price will cause the True Strength Index value to decrease. How to interpret the displayed price returned from the TSI signal line crossover. Closing exactly at the given price will cause the True Strength Index value to equal the signal line. Closing above the given price will cause the True Strength Index to cross above the signal line. Closing below the given price will cause the True Strength Index to cross below the signal line. Common methods to derive signals from the TSI : Zero-line crossovers When the CMO crosses above the zero-line, a buy signal is generated. When the CMO crosses below the zero-line, a sell signal is generated. “Overbought” and “Oversold” crossover When the SMI crosses below -25 and then moves back above it, a buy signal is generated. When the SMI crosses above +25 and then moves back below it, a sell signal is generated. What Does the True Strength Index (TSI) Tell You? The indicator is primarily used to identify overbought and oversold conditions in an asset's price, spot divergence, identify trend direction and changes via the zero-line, and highlight short-term price momentum with signal line crossovers. Since the TSI is based on price movements, oversold and overbought levels will vary by the asset being traded. Some stocks may reach +30 and -30 before tending to see price reversals, while another stock may reverse near +20 and -20. Mark extreme TSI levels, on the asset being traded, to see where overbought and oversold is. Being oversold doesn't necessarily mean it is time to buy, and when an asset is overbought it doesn't necessarily mean it is time to sell. Traders will typically watch for other signals to trigger a trade decision. For example, they may wait for the price or TSI to start dropping before selling in overbought territory. Alternatively, they may wait for a signal line crossover. Signal Line Crossovers The true strength index has a signal line, which is usually a seven- to 13-period EMA of the TSI line. A signal line crossover occurs when the TSI line crosses the signal line. When the TSI crosses above the signal line from below, that may warrant a long position. When the TSI crosses below the signal line from above, that may warrant selling or short selling. Signal line crossovers occur frequently, so should be utilized only in conjunction with other signals from the TSI. For example, buy signals may be favoured when the TSI is above the zero-line. Or sell signals may be favoured when the TSI is in overbought territory. Zero-line Crossovers The zero-line crossover is another signal the TSI generates. Price momentum is positive when the indicator is above zero and negative when it is below zero. Some traders use the zero-line for a directional bias. For example, a trader may decide only to enter a long position if the indicator is above its zero-line. Conversely, the trader would be bearish and only consider short positions if the indicator's value is below zero. Breakouts and Divergence Traders can use support and resistance levels created by the true strength index to identify breakouts and price momentum shifts. For instance, if the indicator breaks below a trendline, the price may see continued selling. Divergence is another tool the TSI provides. If the price of an asset is moving higher, while the TSI is dropping, that is called bearish divergence and could result in a downside price move. If the TSI is rising while the price is falling, that could signal higher prices to come. This is called bullish divergence. Divergence is a poor timing signal, so it should only be used in conjunction with other signals generated by the TSI or other technical indicators. The Difference Between the True Strength Index (TSI) and the Moving Average Convergence Divergence (MACD) Indicator. The TSI is smoothing price changes to create a technical oscillator. The moving average convergence divergence (MACD) indicator is measuring the separation between two moving averages. Both indicators are used in similar ways for trading purposes, yet they are not calculated the same and will provide different signals at different times. The Limitations of Using the True Strength Index (TSI) Many of the signals provided by the TSI will be false signals. That means the price action will be different than expected following a trade signal. For example, during an uptrend, the TSI may cross below the zero-line several times, but then the price proceeds higher even though the TSI indicates momentum has shifted down. Signal line crossovers also occur so frequently that they may not provide a lot of trading benefit. Such signals need to be heavily filtered based on other elements of the indicator or through other forms of analysis. The TSI will also sometimes change direction without price changing direction, resulting in trade signals that look good on the TSI but continue to lose money based on price. Divergence also tends to unreliable on the indicator. Divergence can last so long that it provides little insight into when a reversal will actually occur. Also, divergence isn't always present when price reversals actually do occur. The TSI should only be used in conjunction with other forms of analysis, such as price action analysis and other technical indicators. This is not financial advice, use at your own risk.
Indicatore Pine Script®
di The_Caretaker
20