Realtime Divergence for Any Indicator - By John BartleThe main purpose of this script is to show historical and real-time divergences for any oscillating indicator. The secondary purpose is to give the user a lot of precise control over identifying divergences and determining what they are. This is an improved version of my other script which is similarly called "Realtime Divergence for Any Indicator"
There are four types of divergences that are offered:
Bull divergence
Hidden bull divergence
Bear divergence
Hidden Bear divergence
There are three types of potential(real-time) divergences which include:
1) Without right side bars for rightside pivots. Plus without waiting for the rightside pivot bar to complete
2) Without right side bars for rightside pivots. Plus with waiting for the rightside pivot bar to complete
3) With right side bars for rightside pivots. Plus without waiting for the rightside pivot right-most bar to complete
A definite divergence occurs when all specified bars are accounted for and fully formed.
Potential divergences use dashed lines and definite(historical) divergences use solid lines.
In addition to several other categories of settings to filter out unwanted divergences or manipulate the search process, this script also offers Alerts. Remember that alerts must not only be set within this scripts settings but also your "Alerts" panel on your right. It's strange but BOTH must be set for alerts to work...
Other interesting Things To Know:
1)I actually don't trade and so I have no need of a paid account. Unpaid accounts don't have the playback feature so I haven't really tested this script out very well. Sorry. Just let me know if something seems off and IF I have time I'll try to fix it.
2)Keep in mind that Pinescript limits the number of lines that can be shown at one time. This means that if your settings allow for a large number of divergence lines they will be removed from the leftward side of your chart but appear in the rightward side.
3) The time and the values for the price or oscillator are not the same things as each other nor are they physical things with physical space. This means that slopes of lines using the time as X and value as Y can not have definite angles. Consequently, under the setting "DIVERGENCES: SLOPE ANGLE EXCLUSION" YOU have to decide what slope equals what angle by using the setting called "Normalization Factor".
4) Remember that some individual settings apply to both the oscillator and price chart. This means that even if the setting's conditions are fulfilled in one they may not be fulfilled in the other.
5) Under the category "DIVERGENCES: INTERSECTION ALLOWANCE", if you set the "Measurement Type" to Relative Percentage then FYI any single given length will equate to an increasingly smaller percentage the further away from zero it is. Because of this, I think "Reletive Percentage" is probably only useful for price charts or oscillators with big values. Maybe >200 is OK ?
Errors:
1) If you get the error mentioning that the script must complete execution within X amount of time, this is because this is a big script and sometimes takes longer than your service plan's allotted time limit. You can just disable some of the settings to reduce the scripts amount of work and time. The biggest time savers will be to disable some lines and labels
2) If you get an error saying the script accessed a negative index(e.g. ) then try temporarily increasing the "Add More Array Elements" setting to 100-200. Sometimes it fixes the problem.
3) You may sometimes temporarily get an error that reads: "Pine cannot determine the referencing length of a series. Try using max_bars_back in the study or strategy function".
If this happens there are several things that you can do:
3A) Create a copy of my script. Then edit the section of code that looks like this ")//, max_bars_back = INSERT_YOUR_QUANTITY_HERE)" and transform it to look like this new code ", max_bars_back = INSERT_YOUR_QUANTITY_HERE)" then repeatedly try replacing "INSERT_YOUR_QUANTITY_HERE" with an increasingly larger number greater than 244 but less than 5000.
This method will increase your system resources and could cause other problems. Try changing the code back after a few hours and see if all is well again. It is a Pinescript limitation issue and happens when certain functions or variables don't get used at least once within the first 244 bars.
3B) Adjust your settings to hopefully find a divergence within the first 244 bars. If one is found then the problematic variables or functions should get used and the Pinescript 244 bar limitation should be temporarily resolved.
3C) Wait for X number of new bars to occur. If a divergence is eventually found within the first 244 bars that should solve the issue.
Tips:
1) If the amount that a setting changes value is undesirable for each time you click it then you can change that amount in the code. To do that, you'll need your own copy of my script. To make your own copy just click on "create a working copy" in the brown colored strip area above the code. Then within approximately the first 108 lines find the title of the setting you want to change. Then look to it's right to find the parameter called "step =". Change what the step equals to whatever you want. FYI, you can hover your mouse over the blue colored code and a popup will tell you what parameters(i.e. settings) that function(e.g. "input.int()") has available.
Графические паттерны
Engulfing Box & LinesThe "Engulfing Box & Lines" indicator aims to spot and highlight Engulfing candlestick patterns within a trend. These patterns can provide valuable indications of a possible trend reversal, and the indicator underlines them through the use of colored rectangles and horizontal lines. To fully understand the functioning and use of this indicator, let's explore its key elements and associated strategies.
Identification of Engulfing Patterns:
The indicator focuses on detecting two types of Engulfing candles:
Bullish Engulfing: Occurs when a bullish candle (open lower than close) completely encloses the body of the previous bearish candle. This could indicate a possible upside reversal.
Bearish Engulfing: Occurs when a bearish candle (opening higher than closing) entirely engulfs the body of the previous bullish candle. This could signal a potential bearish reversal.
Using the EMA 200:
The indicator uses the 200-period Exponential Moving Average (EMA) as a reference to determine the position of the candles with respect to the long-term trend. When the price is above the 200 EMA, the bullish Engulfing candles are highlighted with a green box, while below the 200 EMA, red boxes are shown for the bearish Engulfing candles.
Size of Boxes and Lines:
The colored boxes represent the size of the body of the candle that caused the Engulfing. Additionally, a horizontal line is drawn close to the body of the candle, serving as the fulcrum of the indicator.
Trading Strategies:
This indicator can be used for different trading strategies:
Trend Continuation: During a positive trend, the onset of an engulfing pattern suggests a possible continuation of the trend. The horizontal lines represent potential support areas, where the price could bounce. Traders might consider buying during such bounces.
Retracements and Entries: Lines can act as support or resistance zones, depending on the trend. When the price approaches a line, a retracement could occur. Traders might move to a lower timeframe to spot entry signals, using the line as a reference.
Closing Positions: Lines could also be used to define exit levels. For example, a trader might decide to exit a position when the price approaches a resistance line.
Confirmations with Other Indicators: The indicator could be used in conjunction with other technical tools, such as oscillators or candlestick analysis, to confirm signals and improve the accuracy of trading decisions.
Marubozu PatternsMarubozu Candlestick Patterns Indicator
This TradingView script identifies two types of Marubozu candlestick patterns: the bearish Marubozu and the bullish Marubozu. Marubozu patterns are characterized by a lack of shadows and a long body, indicating strong market sentiment. The indicator displays labels and triggers alerts when these patterns are detected on the price chart.
Features:
Identifies bearish Marubozu and bullish Marubozu candlestick patterns.
Alerts triggered for both patterns.
Labels displayed to highlight pattern occurrences on the chart.
How it works:
The script calculates various properties of candlesticks, such as body length, shadows, and body type. It then identifies both bearish and bullish Marubozu patterns based on specific conditions. When a pattern is detected, a label is shown on the chart with a corresponding tooltip description. Additionally, a background color change emphasizes the presence of detected patterns. Alerts are triggered for both pattern types, helping traders to quickly spot potential trading opportunities.
Note:
This script is designed for use on the TradingView platform using Pine Script. It aids traders in recognizing Marubozu candlestick patterns, providing visual cues and alerts for potential bullish and bearish market sentiments.
Bitcoin CME Gap TrackerCME Bitcoin Futures Gaps: What Are They and Why Are They Important?
Gaps are breaks between price candles on charts, illustrating the intervals between the closing price of the previous period and the opening price of the next. For Bitcoin on CME, these gaps arise due to the particular workings of this market.
Bitcoin and other cryptocurrencies trade 24/7 without breaks. However, CME Bitcoin Futures, like many other financial instruments on traditional exchanges, have weekends and trading pauses. When the Bitcoin market continues to move during weekends or CME closures, and then CME opens on the subsequent trading day, a price disparity can occur, perceived as a gap.
Several studies suggest that in most cases (approximately 70% and more), the market reverts to "close" these gaps. This phenomenon is observed because large liquidity is concentrated at these gap points. There are many unfilled orders in gap zones, placed at specific prices. When the price reaches these levels, it can swiftly react to this "clustering" of orders, potentially leading to the gap's closure.
Therefore, CME Bitcoin Futures gaps not only reflect crucial psychological moments in the market but can also serve as potential entry or exit points, considering the high liquidity in these zones.
Technical Description:
The script is designed to identify gaps in the Bitcoin Futures chart on CME. It automatically detects gaps that appear on Mondays (since CME is closed on weekends) and are larger than the user-specified percentage.
Key Features:
Identification of the weekday to detect gaps that arose on Monday.
Calculation of positive and negative gaps by comparing the highs and lows of the previous candles with the current ones.
Graphical representation of the gaps using lines and labels on the chart.
User Guide:
Add this script to your TradingView chart.
You can adjust the "Show gaps larger than %" parameter to determine the minimum gap size of interest.
Gaps will be automatically displayed on your chart with lines and labels.
KeitoFX Dynamic Indicator Free vers.This script represents a versatile dynamic indicator called "KeitoFX Dynamic Indicator Free version." It is developed by the author "KeitoFX" and operates as a custom indicator overlaying on financial charts. The indicator utilizes a unique algorithm to dynamically identify bullish and bearish candlestick patterns with specific criteria.
Key Features:
- The indicator visually marks bullish and bearish candlestick patterns using triangle shapes, providing quick visual cues to traders.
- Bullish patterns are detected when the closing price is higher than the opening price and the high and low prices of the candlestick form a narrow range.
- Bearish patterns are identified when the closing price is lower than the opening price, and the high and low prices also form a narrow range.
The indicator incorporates flexible settings that users can customize to fit their trading preferences:
- Users can choose the table's placement, either at the "Top Right," "Middle Right," or "Bottom Right" of the chart.
- Customizable dimensions for the width and height of the table are available.
- Adjustable text size settings ranging from "Auto" to "Huge" are provided for the displayed text.
- A descriptive table containing trading rules and conditions is optionally displayed below the price chart.
Additional Information:
- The indicator's color scheme is harmonious, with shades of purple and neutral tones.
- The "Require FVG" setting influences the pattern detection's sensitivity.
- A dynamic standard deviation is calculated based on the selected displacement settings and historical candle ranges.
- A "FVG" condition enhances pattern accuracy.
- Bullish and bearish pattern detection includes overlapping with other predefined arrays to increase pattern significance.
Note:
This indicator is provided under the Mozilla Public License 2.0, as indicated by the source code comment at the beginning of the script. Users are encouraged to review and comply with the license terms when using this indicator in their trading activities.
Trend Confirmation StrategyThe profitability and uniqueness of a trading strategy depend on various factors including market conditions, risk management, and the strategy's ability to capitalize on price movements. I'll describe the strategy provided and highlight its potential benefits and differences compared to other strategies:
Strategy Overview:
The provided strategy combines three technical indicators: Supertrend, MACD, and VWAP. It aims to identify potential entry and exit points by confirming trend direction and considering the proximity to the VWAP level. The strategy also incorporates stop-loss and take-profit mechanisms, as well as a trailing stop.
Unique Aspects and Potential Benefits:
Trend Confirmation: The strategy uses both Supertrend and MACD to confirm the trend direction. This dual confirmation can increase the likelihood of accurate trend identification and filter out false signals.
VWAP Confirmation: The strategy considers the proximity of the price to the VWAP level. This dynamic level can act as a support or resistance and provide additional context for entry decisions.
Adaptive Stop Loss: The strategy sets a stop-loss range, which helps provide some tolerance for minor price fluctuations. This adaptive approach considers market volatility and helps prevent premature stop-loss triggers.
Trailing Stop: The strategy incorporates a trailing stop mechanism to lock in profits as the trade moves in the desired direction. This can potentially enhance profitability during strong trends.
Partial Profit Booking: While not explicitly implemented in the provided code, you could consider booking partial profits when the MACD shows a crossover in the opposite direction. This aspect could help secure gains while still keeping exposure to potential further price movements.
Key Differences from Other Strategies:
Dual Indicator Confirmation: The combination of Supertrend and MACD for trend confirmation is a unique aspect of this strategy. It adds an extra layer of filtering to enhance the accuracy of entry signals.
Dynamic VWAP: Incorporating the VWAP level into the decision-making process adds a dynamic element to the strategy. VWAP is often used by institutional traders, and its inclusion can provide insights into the market sentiment.
Adaptive Stop Loss and Trailing: The strategy's use of an adaptive stop-loss range and a trailing stop can help manage risk and protect profits more effectively during changing market conditions.
Partial Profit Booking: The suggestion to consider partial profit booking upon MACD crossovers in the opposite direction is a practical approach to secure gains while staying in the trade.
Caution and Considerations:
Backtesting: Before deploying any strategy in real trading, it's crucial to thoroughly backtest it on historical data to understand its performance under various market conditions.
Risk Management: While the strategy has built-in risk management mechanisms, it's essential to carefully manage position sizes and overall portfolio risk.
Market Conditions: No strategy works well in all market conditions. It's important to be flexible and adjust the strategy or refrain from trading during particularly volatile or unpredictable periods.
Continuous Monitoring: Even though the strategy includes automated components, continuous monitoring of the trades and market conditions is necessary.
Adaptability: Markets can change over time. Traders need to be prepared to adapt the strategy as necessary to stay aligned with evolving market dynamics.
Custom SMA Plot It creates a custom indicator named "Custom SMA Plot (CSP)" that overlays on a price chart. The indicator fetches the closing prices and calculates a 14-period simple moving average (SMA) of these prices. This SMA is then visually represented as a blue line, which starts from the SMA value of the bar 100 candles ago and extends to the current bar's SMA value. The line has a thickness of 1 unit.
When price breaks over wave go long.
When price breaks below wave go short.
Elliott Wave with Supertrend Exit - Strategy [presentTrading]## Introduction and How it is Different
The Elliott Wave with Supertrend Exit provides automated detection and validation of Elliott Wave patterns for algorithmic trading. It is designed to objectively identify high-probability wave formations and signal entries based on confirmed impulsive and corrective patterns.
* The Elliott part is mostly referenced from Elliott Wave by @LuxAlgo
Key advantages compared to discretionary Elliott Wave analysis:
- Wave Labeling and Counting: The strategy programmatically identifies swing pivot highs/lows with the Zigzag indicator and analyzes the waves between them. It labels the potential impulsive and corrective patterns as they form. This removes the subjectivity of manual wave counting.
- Pattern Validation: A rules-based engine confirms valid impulsive and corrective patterns by checking relative size relationships and fib ratios. Only confirmed wave counts are plotted and traded.
- Objective Entry Signals: Trades are entered systematically on the start of new impulsive waves in the direction of the trend. Pattern failures invalidate setups and stop out positions.
- Automated Trade Management: The strategy defines specific rules for profit targets at fib extensions, trailing stops at swing points, and exits on Supertrend reversals. This automates the entire trade lifecycle.
- Adaptability: The waveform recognition engine can be tuned by adjusting parameters like Zigzag depth and Supertrend settings. It adapts to evolving market conditions.
ETH 1hr chart
In summary, the strategy brings automation, objectivity and adaptability to Elliott Wave trading - removing subjective interpretation errors and emotional trading biases. It implements a rules-based, algorithmic approach for systematically trading Elliott Wave patterns across markets and timeframes.
## Trading Logic and Rules
The strategy follows specific trading rules based on the detected and validated Elliott Wave patterns.
Entry Rules
- Long entry when a new impulsive bullish (5-wave) pattern forms
- Short entry when a new impulsive bearish (5-wave) pattern forms
The key is entering on the start of a new potential trend wave rather than chasing.
Exit Rules
- Invalidation of wave pattern stops out the trade
- Close long trades on Supertrend downturn
- Close short trades on Supertrend upturn
- Use a stop loss of 10% of entry price (configurable)
Trade Management
- Scale out partial profits at Fibonacci levels
- Move stop to breakeven when price reaches 1.618 extension
- Trail stops below key swing points
- Target exits at next Fibonacci projection level
Risk Management
- Use stop losses on all trades
- Trade only highest probability setups
- Size positions according to chart timeframe
- Avoid overtrading when no clear patterns emerge
## Strategy - How it Works
The core logic follows these steps:
1. Find swing highs/lows with Zigzag indicator
2. Analyze pivot points to detect impulsive 5-wave patterns:
- Waves 1, 3, and 5 should not overlap
- Waves 3 and 5 must be longer than wave 1
- Confirm relative size relationships between waves
3. Validate corrective 3-wave patterns:
- Look for overlapping, choppy waves that retrace the prior impulsive wave
4. Plot validated waves and Fibonacci retracement levels
5. Signal entries when a new impulsive wave pattern forms
6. Manage exits based on pattern failures and Supertrend reversals
Impulsive Wave Validation
The strategy checks relative size relationships to confirm valid impulsive waves.
For uptrends, it ensures:
```
Copy code- Wave 3 is longer than wave 1
- Wave 5 is longer than wave 2
- Waves do not overlap
```
Corrective Wave Validation
The strategy identifies overlapping corrective patterns that retrace the prior impulsive wave within Fibonacci levels.
Pattern Failure Invalidation
If waves fail validation tests, the strategy invalidates the pattern and stops signaling trades.
## Trade Direction
The strategy detects impulsive and corrective patterns in both uptrends and downtrends. Entries are signaled in the direction of the validated wave pattern.
## Usage
- Use on charts showing clear Elliott Wave patterns
- Start with daily or weekly timeframes to gauge overall trend
- Optimize Zigzag and Supertrend settings as needed
- Consider combining with other indicators for confirmation
## Default Settings
- Zigzag Length: 4 bars
- Supertrend Length: 10 bars
- Supertrend Multiplier: 3
- Stop Loss: 10% of entry price
- Trading Direction: Both
OBV Oscillator Volume FilterOBV Oscillator Volume Filter
Introduction
The On-Balance Volume (OBV) is a widely-used technical indicator that aims to relate price and volume in trading. Price and volume are two of the most basic and yet crucial concepts in price movement. Together, they can reveal a lot about the instruments trends and the market's sentiment. This On Balance Volume (OBV) Oscillator incorporates enhanced features like a volume filter using a rolling window to detect outliers in accumulated volume, making it an advanced and more refined version of the standard OBV.
Interpreting the OBV Indicator
The primary function of the OBV is to accumulate volume. In simpler terms:
When the market closes higher than the previous candle, all of that candle's volume is considered 'up-volume'.
Conversely, when the market closes lower than the previous day, all of that candle's volume is considered 'down-volume'.
A rising OBV suggests that volume is being accumulated, indicating bullish market sentiment. A declining OBV, on the other hand, points to a bearish sentiment.
Features of the Script
1. Moving Averages Selection:
The script provides users with the option to select among six types of moving averages (EMA, DEMA, TEMA, SMA, WMA, HMA) to calculate the OBV. This feature offers flexibility and enables traders to choose an MA type they're most comfortable with or find the most effective.
2. Smoothing Option:
To reduce the inherent noise in the indicator, there's an option to apply smoothing. It uses a Simple Moving Average (SMA) to produce a clearer signal, making it easier for traders to interpret and respond to. If you don't want to use smoothing, just simply change the input length of smoothing to 1 in the settings.
3. Outlier Detection:
One of the standout features is the use of a rolling window to detect volume outliers. This ensures that the OBV only reacts to significant volume changes and isn't overly influenced by random spikes or drops. The volume filter is calculated based on a % of the highest OBV volume of X number of bars back. Users can adjust the time (# bars) and the sensitivity (%) of the volume filter. A longer timeperiode (# bars) and a higher % (sensitivity) in the settings result to less signals presented by the indicator.
4. Divergence Detection:
The script automatically highlights both regular and hidden divergences on the chart. Divergences can be a powerful signal of potential price reversals. This feature aids traders in spotting potential buy or sell opportunities based on divergences between price and OBV.
Regular Bullish Divergence: When the price makes lower lows, but the OBV makes higher lows.
Hidden Bullish Divergence: When the price makes higher lows, but the OBV makes lower lows.
Regular Bearish Divergence: When the price makes higher highs, but the OBV makes lower highs.
Hidden Bearish Divergence: When the price makes lower highs, but the OBV makes higher highs.
5. Alerts for Trend Reversals:
The script incorporates alerts that notify traders when the OBV indicates potential trend reversals. This feature can be instrumental in catching early entries or exits.
Disclaimer
It's crucial to understand that no single indicator should be used in isolation. To increase the probability of making accurate market predictions, always use the OBV Oscillator in conjunction with other indicators and tools. Remember that all trading involves risk, and it's possible to lose your invested capital. Always seek advice from a financial advisor before making any trading decisions. By enhancing the OBV with features like the volume filter, multiple MA types, smoothing, and divergence detection, this script becomes a potent tool in a trader's arsenal. Use it wisely, and always ensure to maintain proper risk management.
TASC 2023.09 The Weekly Factor█ OVERVIEW
TASC's September 2023 edition of Traders' Tips features an article written by Andrea Unger titled “The Weekly Factor", discussing the application of price patterns as filters for trade entries. This script implements a sample trading strategy presented in the article for demonstration purposes only. It explores how the strategy's equity curve might benefit from filtering trade entries using a specific price pattern.
█ CONCEPTS
Pattern filters represent valuable tools that assess current market conditions based on price movements and determine when those conditions become more favorable for trade entries.
The filter used and tested in this article is a metric called the "weekly factor", which measures the price range over the last five trading days and compares it to the open of the session five days ago and the close of the session one day ago (i.e., the "body" of the five-day period). When the five-day body is small compared to the five-day range, this could indicate "indecision" or "compression", potentially followed by a price expansion. Thus, the weekly factor metric can help identify areas in the market where a period of compression might signal a potential breakout.
This script demonstrates the use of the weekly factor for a sample intraday trading strategy (intended for educational and exploratory purposes only). In this strategy, the entry signal is triggered when a 15-minute bar breaks out of the previous day's high-low range, and the position is closed at the end of the day.
█ CALCULATIONS
The script uses two timeframes:
• The strategy entries are processed on the 15-minute timeframe.
• The weekly factor is obtained from the daily timeframe using the request.security function and the following formula:
math.abs(open - close ) < RangeFilter * (ta.highest(5) - ta.lowest(5) )
Here, RangeFilter is an input that can be optimized to find the favorable ratio between the five-day body and the five-day range. Smaller RangeFilter values will lead to fewer trade entries. A RangeFilter value of 1 is equivalent to turning off the filtering altogether.
Historical Pattern Matcher [Trendoscope]Do you believe in patterns and think price movements are more likely to follow historical patterns? If yes, this is an indicator for you.
🎲 Concept
The patterns in this script are not a named or known pattern. But, it can be any pattern that happen to repeat again and again over a period of time.
The indicator collects the following information over a period of time.
Collects all possible patterns for specified number of pivots based on relation between each pivot prices. (Default 6)
Keeps track of all the possible patterns for the given pivots and number of occurrences of such patterns over a period of time.
Collects the movement of next pivot (in terms of retracement ratio) after the pattern has formed for each occurrence.
Keeps track of the last occurrence of each pattern collected
And the indicator presents on chart following information
Current Pattern drawing based on last confirmed pivot.
Current Pattern drawing based on current unconfirmed pivot in the opposite direction.
Projection range based on historical retracement ratio for both patterns
Detailed info on last occurrence and overall occurrences.
Last occurrence of both confirmed and unconfirmed pivot patterns.
Please note that, if the patterns have not been repeated over a period, then it will not be shown on the screen. Hence, it is perfectly normal to not see any projection. This can happen when the current pattern has not been repeated any time before.
🎲 Details
When you load the indicator on the chart, you may see the following patterns and projections.
You may also notice, in the pattern details, information about the last occurrence of the pattern. If you scroll on your chart to the left to the given data and time, you can observe how the past occurrence of the pattern has formed and the price movement past that point.
For example, last occurrence of pattern based on confirmed pivot happened on 02-Jun-2023 00:00 UTC time
And last occurrence of pattern based on unconfirmed pivot happened on 27-Apr-2023 22:00 UTC time
🎲 Settings
Settings are minimal, and here is the meaning of them.
Most important setting here is the number of pivots forming the pattern.
🎲 Caution
The indicator is designed to present the projection based on historical occurrences of similar price pattern. This does not necessarily mean the patterns are supposed to be bullish or bearish. But, it will certainly give users an idea of what happened when similar price action presented historically.
Note to developers This script makes use of new pine script feature - maps
Clownpumps Higher/Lower Close Analysis (HLCA) IndicatorThe Clownpumps Higher/Lower Close Analysis" (HLCA) indicator offers a visual breakdown of the weekly behavior of a market, illustrating how often it closes higher or lower than its opening price. This comprehensive tool assists traders and analysts in pinpointing recurrent patterns that pertain to specific weekdays, forming a solid basis for a systematic trading strategy.
Features and Interpretation:
Color-Coded Analysis: The HLCA uses two intuitive colors to depict the daily trend:
Green: Indicates that, on average, the market closes higher than its opening price more frequently on that day.
Red: Highlights days when the market generally closes lower than its opening price.
Identifying Recurrent Patterns: Using the HLCA can reveal if a specific weekday consistently sees an asset closing higher or lower. For example, a consistent bullish sentiment on Mondays for a particular stock becomes easily observable.
Comparative Analysis: Deploying the HLCA across a range of assets can uncover trends that are either sector-wide or unique to individual stocks or cryptocurrencies.
Strategic Entry & Exit Points: Knowledge of which days an asset generally closes higher can guide traders in timing their market entries and exits.
Complementary to Other Tools: While the HLCA is a robust tool in itself, its true potential is unlocked when used in tandem with other market indicators. Pairing the daily closing patterns with volume data, for instance, can shed light on the strength of the observed trends.
Cautionary Notes:
Past behavior doesn't predict future performance. Always remember that correlation doesn't guarantee causation, especially when external market-shifting events come into play.
It's recommended to backtest any insights on historical data before committing to live trades.
EMA Deviation ReboundThe " EMA Deviation Rebound " indicator I've created utilizes calculations involving the standard deviation of closing prices and exponential moving averages (EMA) to generate a line. The color of this line changes based on whether the EMA value is above or below the current closing price. This can be interpreted as an indicator for potential buy or sell signals:
Buy Signal: If the price crosses the indicator from bottom to top, this can be considered a buy signal. This could indicate that the price has overcome a resistance and a potential upward movement may be forthcoming.
Sell Signal: If the price crosses the indicator from top to bottom, this could serve as a sell signal. This might suggest that the price has broken a support downward and possibly indicates an impending downward movement.
The indicator is named "EMA Deviation Rebound" because I use it to identify potential resistance and support levels. When the price rebounds at the indicator, this could signify a price movement in the opposite direction.
It's important to use such indicators in conjunction with other analysis techniques and market information to make informed trading decisions.
MTF Break of Structure(BOS) & Market Structure Shift(MSS)Brief Introduction
Hello fellow traders and coders, let me introduce to you the ultimate multi time-frame market structure indicator to cater to all your market structure needs. The script is extremely customizable with a maximum of 3 time-frames since I love top down analysis as I’m sure you do to, so without wasting any more time here are the available features.
List of Features
A maximum of 3 time-frames that can all be customized independently.
The ability to change individual swing lengths that create the market structure plots, all time-frames will come set at 7, you can however set this to whatever you are comfortable with.
BOS (Break of Structure) and MSS (Market Structure Shift) functionality fo all the individual time-frames.
The option to show market structure in the form of HH (Higher highs), HL (Higher Lows), LL (Lower Lows) and LH(Lower Highs).
The ability to either use (highs and lows) or closes for breaks of structure and market structure shifts, meaning a break of structure will only be valid if either a high or close (depending on your chosen input) crosses above the previous high for a bullish structural break.
The ability to change lines types for BOS and MSS.
The ability to change text sizes for the all the plots.
The ability to change the colors for nearly anything on the chart independently of any other line or plot.
The ability to change any time-frame to the chart’s time-frame.
The ability to prevent lower time frame structure from showing on higher time frames which I don’t advice as it will provide you with an inaccurate perception of the lower time frame structure hence I’ve made the feature available but set it to false.
The script also has a section called general settings that will allow you to hide all the market structure plots as well as all the lines on the chart and on all time-frames using just one input.
General Settings Functionality.
Input 1 if true will hide all market structure if true
Input 2 if true will hide all structural breaks (BOS and MSS)
Input 3 if false will show lower time frame structure on a higher time frame. High advice using it while its true as I work on this feature as it provide an innacurate depiction of structure.
Bull and Bear Market '20% IndicatorThis indicator uses the somewhat crude method of calculating bear/bull markets using the following popular ' 20% rule ':
A bear market begins when an asset trades 20% below its recent high for more than two months, a bear market ends when an asset trades 20% above its recent low for one month or more.
The 1d time-frame should be used, here's why:
"A bear market begins when an asset trades 20% below its recent high for more than two months."
If we take the standard trading month to be around 20-22 days (excluding weekends), then two months would be approximately 40-44 days. This is why we set the `bearDuration` to 60 days in the script to capture the "more than two months" criteria. Using a daily timeframe, 60 bars represent roughly 3 months (since markets are not open every day due to weekends and holidays).
"...a bear market ends when an asset trades 20% above its recent low for one month or more."
This is why the `bullDuration` is set to 20 days in the script, which represents roughly one trading month on a daily timeframe.
So, to capture the mentioned bear and bull market definitions, you'd want to apply the script on a daily (1d/1D) chart.
Candles In Row (Expo)█ Overview
The Candles In Row (Expo) indicator is a powerful tool designed to track and visualize sequences of consecutive candlesticks in a price chart. Whether you're looking to gauge momentum or determine the prevailing trend, this indicator offers versatile functionality tailored to the needs of active traders. The Candles In Row indicator can be an integral part of a multi-timeframe trading strategy, allowing traders to understand market momentum, and set trading bias. By recognizing the patterns and likelihood of future price movements, traders can make more informed decisions and align their trades with the overall market direction.
█ How to use
The indicator enhances traders' understanding of the consecutive candle patterns, helping them to uncover trends and momentum. Consecutive candles in the same direction may indicate a strong trend. The Candles In Row indicator can be an essential tool for traders employing a multiple timeframes strategy.
Analyzing a Higher Timeframe:
Understanding Momentum: By analyzing consecutive green or red candles in a higher timeframe, traders can identify the prevailing momentum in the market. A series of green candles would suggest an upward trend, while a series of red candles would indicate a downward trend.
Predicting Next Candle: The indicator's predictive feature calculates the likelihood of the next candle being green or red based on historical patterns. This probability helps traders gauge the potential continuation of the trend.
Setting the Trading Bias: If the likelihood of the next candle being green is high, the trader may decide to focus on long (buy) opportunities. Conversely, if the likelihood of the next candle being red is high, the trader may look for short (sell) opportunities.
In this example, we are using the Heikin Ashi candles.
Moving to a Lower Timeframe:
Finding Entry Points: Once the trading bias is set based on the higher timeframe analysis, traders can switch to a lower timeframe to look for entry points in the direction of the bias. For example, if the higher timeframe suggests a high likelihood of a green candle, traders may look for buy opportunities in the lower timeframe.
Combining Timeframes for a Comprehensive Strategy:
Confirmation and Alignment: By analyzing the higher timeframe and confirming the direction in the lower timeframe, traders can ensure that they are trading in alignment with the broader trend.
Avoiding False Signals: By using a higher timeframe to set the trading bias and a lower timeframe to find entries, traders can avoid false signals and whipsaws that might be present in a single timeframe analysis.
█ Settings
Price Input Selection: Choose between regular open and close prices or Heikin Ashi candles as the basis for calculation.
Data Window Control: Decide between displaying the full data window or only the active data. You can also enable a counter that keeps track of the number of candles.
Alert Configuration: Set the desired number and color of consecutive candles that must occur in a row to trigger an alert.
Table Display Customization: Customize the location and size of the display table according to your preferences.
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Disclaimer
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
VWAP, AVWAP and MVWAP - Omkar BanneThis indicator plots the VWAP, MVWAP and Anchored VWAP.
AVWAP: Anchored VWAP sometimes doesn't work the way it should. In such times, trades can use the default AVWAP on the right ribbon.
MVWAP: Moving average length can be changed; the default is 10.
Weekly BoxThe indicator shows a box based on the high and low of the previous week that extends into the current week. The box is used to monitor breakouts or break downs of the price with respect to the previous week levels.
The box is colored:
- green, if there is a breakout above the previous week high; or
- red, if there is a break down below the previous week low; or
- yellow, if the price stays inside of the box.
during the current week.
Labels for the box top and bottom prices can be enabled or disabled in the settings.
True Range/Expected MoveThis indicator plots the ratio of True Range/Expected Move of SPX. True Range is simple the high-low range of any period. Expected move is the amount that SPX is predicted to increase or decrease from its current price based on the current level of implied volatility. There are several choices of volatility indexes to choose from. The shift in color from red to green is set by default to 1 but can be adjusted in the settings.
Red bars indicate the true range was below the expected move and green bars indicate it was above. Because markets tend to overprice volatility it is expected that there would be more red bars than green. If you sell SPX or SPY option premium red days tend to be successful while green days tend to get stopped out. On a 1D chart it is interesting to look at the clusters of bar colors.
Brake Of Structure (BOS) By GadatasThis indicator is designed to identify and track swing highs and lows in a given market on any timeframe. It plots these swing highs and lows as solid lines on the chart. The indicator allows for customization of the line color and width and using another timeframe.
The indicator follows specific rules to determine when a new high or low is created. If the current range is considered bullish (meaning the most recent breakout was to the topside), the indicator will only update the low if a candle's body falls below the current low. However, if the current range is bearish (most recent breakout to the downside), the indicator will only update the high if a candle's body rises above the current high.
When a range is identified as bullish, the indicator will continue updating the high until a swing high is formed, denoting the high of the range. The high will only change if a candle's body surpasses the previous high. The low, on the other hand, will be updated based on the last time a candle's body falls below a previous candle's low. The lowest low after this condition is met will be assigned as the low of the range.
Conversely, when a range is identified as bearish, the indicator will continue updating the low until a swing low is formed, denoting the low of the range. The low will only change if a candle's body falls below the previous low. The high, in this case, will be updated based on the last time a candle's body rises above a previous candle's high. The highest high after this condition is met will be assigned as the high of the range.
Swing highs are determined by having lower highs to the left and right, while swing lows have higher lows to the left and right. These swings are used to determine the final high or low of a bullish or bearish range, respectively.
Tis Indicator differs from other indicators by incorporating this concept to track market structure. The indicator assumes that significant market players sell before making heavy purchases in bullish ranges and buy before selling heavily in bearish ranges. The lines on the chart represent prior highs and lows, as well as the current updated highs and lows based on this theory. By using this indicator, one can gain insights into the structure of price movement and potentially identify bullish or bearish continuations. It can also provide confluence when analyzing multiple timeframes to validate trend-following strategies.
SMC Structures and FVGThe SMC Structures and FVG indicator allows the user to easily identify trend continuations (Break Of Structure) or trend changes (CHange Of CHaracter) on any time frame. In addition, it display all FVG areas, whether they are bullish, bearish, or even mitigated.
Fair Value Gap :
The FVG process shows every bullish, bearish or even mitigated FVG liquidity area. When a FVG is fully mitigated it will directly be removed of the chart.
There is an history of FVG to show. By selecting specific number of FVG to show in the chart, the user can focus its analysis on lasts liquidity area.
Here's the rules for FVG color :
Green when it's a bullish FVG and has not been mitigated
Red when it's a bearish FVG and has not been mitigated
Gray when the bullish / bearish FVG has been mitigated
Removed when the FVG has been fully mitigated
Structures analysis:
The Structure process show BOS in grey lines and CHoCH in yellow lines. It shows to the user the lasts price action pattern.
The blue lines are the high value and the low value of the current structure.
TrendGuard Flag Finder - Strategy [presentTrading]
Introduction and How It Is Different
In the vast world of trading strategies, the TrendGuard Flag Finder stands out as a unique blend of traditional flag pattern detection and the renowned SuperTrend indicator.
- A significant portion of the Flag Pattern detection is inspired by the "Flag Finder" code by @Amphibiantrading, which serves as one of foundational element of this strategy.
- While many strategies focus on either trend-following or pattern recognition, this strategy harmoniously combines both, offering traders a more holistic view of the market.
- The integration of the SuperTrend indicator not only provides a clear direction of the prevailing trend but also offers potential stop-loss levels, enhancing the strategy's risk management capabilities.
AAPL 1D chart
ETHBTC 6hr chart
Strategy: How It Works
The TrendGuard Flag Finder is primarily built on two pillars:
1. Flag Pattern Detection : At its core, the strategy identifies flag patterns, which are continuation patterns suggesting that the prevailing trend will resume after a brief consolidation. The strategy meticulously detects both bullish and bearish flags, ensuring traders can capitalize on opportunities in both rising and falling markets.
What is a Flag Pattern? A flag pattern consists of two main components:
1.1 The Pole : This is the initial strong price move, which can be either upwards (for bullish flags) or downwards (for bearish flags). The pole represents a strong surge in price in a particular direction, driven by significant buying or selling momentum.
1.2 The Flag : Following the pole, the price starts consolidating, moving against the initial trend. This consolidation forms a rectangular shape and is characterized by parallel trendlines. In a bullish flag, the consolidation will have a slight downward tilt, while in a bearish flag, it will have a slight upward tilt.
How the Strategy Detects Flags:
Identifying the Pole: The strategy first identifies a strong price movement over a user-defined number of bars. This movement should meet a certain percentage change to qualify as a pole.
Spotting the Flag: After the pole is identified, the strategy looks for a consolidation phase. The consolidation should be counter to the prevailing trend and should be contained within parallel lines. The depth (for bullish flags) or rally (for bearish flags) of this consolidation is calculated to ensure it meets user-defined criteria.
2. SuperTrend Integration : The SuperTrend indicator, known for its simplicity and effectiveness, is integrated into the strategy. It provides a dynamic line on the chart, signaling the prevailing trend. When prices are above the SuperTrend line, it's an indication of an uptrend, and vice versa. This not only confirms the flag pattern's direction but also offers a potential stop-loss level for trades.
When combined, these components allow traders to identify potential breakout (for bullish flags) or breakdown (for bearish flags) scenarios, backed by the momentum indicated by the SuperTrend.
Usage
To use the SuperTrend Enhanced Flag Finder:
- Inputs : Begin by setting the desired parameters. The strategy offers a range of user-controlled settings, allowing for customization based on individual trading preferences and risk tolerance.
- Visualization : Once the parameters are set, the strategy will identify and visually represent flag patterns on the chart. Bullish flags are represented in green, while bearish flags are in red.
- Trade Execution : When a breakout or breakdown is identified, the strategy provides entry signals. It also offers exit signals based on the SuperTrend, ensuring that traders can capitalize on the momentum while managing risk.
Default Settings
The strategy comes with a set of default settings optimized for general use:
- SuperTrend Parameters: Length set to 10 and Factor set to 5.0.
- Bull Flag Criteria: Max Flag Depth at 7, Max Flag Length at 10 bars, Min Flag Length at 3 bars, Prior Uptrend Minimum at 9%, and Flag Pole Length between 7 to 13 bars.
- Bear Flag Criteria: Similar settings adjusted for bearish patterns.
- Display Options: By default, both bullish and bearish flags are displayed, with breakout and breakdown points highlighted.
MTF FVGThis script finds Imbalance (Fair Value Gap (FVG)) on multi timeframes.
If needed all TF can be used at once: 1, 3, 5, 15, 30, 45, 60, 120, 180, 240, D, W.
It finds FVG on any desired TF that is greater or equal than TF on the chart.
FVG stands for fair value gap, which is a three-candle structure that indicates an imbalance or inefficiency in the market. An imbalance means that the buying and selling is not equal, and there is a gap between the fair value and the market value of an asset. A bullish FVG shows that the market value is lower than the fair value, and a bearish FVG shows the opposite.
FVG takes place in a series of 3 candles when the middle candle gaps up or down. This signals strong buying or selling pressure in the direction of the gap. When a gap occurs the wicks of the candles do not overlap each other.
