MACD AreaThis indicator calculates and displays the cumulative area for each region above and below the zero line in the MACD histogram. This area measurement serves as a momentum metric, where larger cumulative areas indicate stronger momentum. Divergences between the area and price can also potentially indicate an impending reversal. For example, when the stock price makes a higher high but the area makes a lower high, the current momentum may be unsustainable.
Расхождение
VWAP Divergence | Flux ChartsThe VWAP Divergence indicator aims to find divergences between price action and the VWAP indicator. It uses filters to filter out many of the false divergences and alert high quality, accurate signals.
Red dots above the candle represent bearish divergences, while green dots below the candle represent bullish divergences.
The main filter for divergences focuses on ATR and the price movement in the past candles up to the lookback period. Divergences are determined when a price movement over the lookback period is sharp enough to be greater/less than the ATR multiplier multiplied by the ATR.
Settings
Under "Divergence Settings", both the lookback period and ATR multiplier can be adjusted.
Due to the nature of the calculations, the ATR multiplier and the lookback period should be set lower on higher time frames. As price movements become more averaged, for example on the 15 minute chart, sharp price movements happen less frequently and are often contained in fewer candles as they happen on lower time frames. Less volatile stocks such as KO, CL, or BAC should also use lower ATR multipliers and lower lookback periods.
Under "Visual Settings", you can change the color of the VWAP line, show alternating VWAP colors, adjust divergence signal size, and show the VWAP line.
Investor Satisfaction/Price Divergence Pro [Ox_kali]The "Investor Satisfaction/Price Divergence" is an indicator designed to quantify and juxtapose the satisfaction of a group of investors with potential price divergences of the asset.
The primary goal of this indicator is to provide a reliable tool for gauging investor sentiment and identifying price divergences. These insights can be instrumental in predicting possible market trend reversals.
Key Features
Calculation of the highest and lowest prices over a user-defined period.
Computation of the average satisfaction of investors who have invested over a user-defined period.
Normalization of average satisfaction between 0 and 1 to provide a standardized measure of investor sentiment.
Identification of price divergence between the normalized satisfaction and the actual asset price.
Detection of anomalies in satisfaction change, which can suggest unusual market conditions.
Plotting histogram display of the difference between normalized satisfaction and price divergence.
Functionality Analysis:
This indicator begins by identifying the highest and lowest prices over a period defined by the user. It then calculates the average investor satisfaction based on the change in the closing price from the investment point to the current price, relative to the range between the highest and lowest prices.
This satisfaction measure is then normalized between 0 and 1, providing a uniform measure of investor sentiment. The indicator also identifies potential price divergence by comparing the normalized satisfaction with the normalized price. This divergence is then plotted as a histogram, with the color of the histogram bars indicating whether the market is oversold, overbought, or in a normal state. Anomalies in satisfaction change are highlighted in yellow, helping traders to spot unusual market behavior.
Trading Application
The "Investor Satisfaction & Price Divergence" indicator can be incorporated into a variety of trading strategies. A significant divergence between normalized satisfaction and the asset price can signal a potential market reversal. Additionally, a sudden drop or rise in investor satisfaction could indicate a sell-off or a buying spree, respectively. Additionally, the capability to spot irregularities in satisfaction change may be useful in recognizing unusual market conditions, possibly providing early indications of noteworthy market events
Please note that the investor Satisfaction/Price Divergence by Ox_kali is provided for educational purposes only and is not meant to constitute financial advice. This indicator is not a guarantee of future market performance and should be used in conjunction with proper risk management. Always ensure that you have a thorough understanding of the indicator’s methodology and its limitations before making any investment decisions. Additionally, past performance is not indicative of future results.
RSI + Divergences + Alerts [MisterMoTA]The indicator RSI + Divergences + Alerts by MisterMoTA is an RSI indicator that fills the RSI and RSI moving average with 4 different colors (growing up, falling up, falling down and rising down colors), users can customize colors from dashboard , also can be disabled the fill if the user want a standard RSI.
The dafault value of RSI is 14 and value of the moving average is 50 ( a dynamic 50 rsi line is better for trend identification than a standard 50 line) and users can change the values from indicator settings.
For detecting the divergences displayed in the indicator, I integrated in our script the default Divergences indicator from Tradingview, users can display, hide and change colors for regular and hidden divergences.
RSI indicator display also trend conditions for RSI and RSI MA, the RSI MA angle is calculated using ATR value, the slope of the RSI Noving Average can help to identify trend conditions too.
The script comes with 12 different alerts, if need different alerts please let me know in the comments and will update the script with your request:
Alert for Regular Bullish Divergence
Alert for Regular Bearish Divergence
Alert for Hidden Bullish Divergence
Alert for Hidden Bearish Divergence
Alert for RSI Overbought
Alert for RSI Extreme Overbought
"Alert for RSI Oversold
Alert for RSI Extreme Oversold
Alert for RSI Crossing Above RSI MA
Alert for RSI Crossing Bellow RSI MA
Alert for RSI Crossing Above 50
Alert for RSI Crossing Bellow 50
Please follow me for other script like this one.
Kind regards,
MisterMoTA
Adaptive MACD [LuxAlgo]The Adaptive MACD indicator is an adaptive version of the popular Moving Average Convergence Divergence (MACD) oscillator, returning longer-term variations during trending markets and cyclic variations during ranging markets while filtering out noisy variations.
🔶 USAGE
The proposed oscillator contains all the elements within a regular MACD, such as a signal line and histogram. A MACD value above 0 would indicate up-trending variations, while a value under 0 would be indicating down-trending variations.
Just like most oscillators, our proposed Adaptive MACD is able to return divergences with the price.
As we can see in the image above ranging markets will make the Adaptive MACD more conservative toward more cyclical conservations, filtering out both noise and longer-term variations. However, when longer-term variations (such as in a trending market) are prominent the oscillator will conserve longer-term variations.
The R2 Period setting determines when trending/ranging markets are detected, with higher values returning indications for longer intervals.
The fast and slow settings will act similarly to the regular MACD, however, closer values will return more cyclical outputs.
The image above compares our proposed MACD (top) with a regular MACD (bottom), both using fast = 19 and slow = 20 .
🔶 DETAILS
It is common to be solely interested in the trend component when the market is trending, however, during a ranging market it is more common to observe a more prominent cyclical/noise component. We want to be able to preserve one of the components at the appropriate market conditions, however, the regular MACD lack the ability to preserve cyclical component with high accuracy.
The MACD is an IIR bandpass filter. In order to obtain a lower passband bandwidth and a more symmetrical magnitude response (which would allow to conserve more precise cyclical variations) we can directly change the system calculation:
y = (price - price ) × g + ((1 - a1) + (1 - a2)) × y - (1 - a1) × (1 - a2) × y
where:
a1 = 2/(fast + 1)
a2 = 2/(slow + 1)
g = a1 - a2
Using division instead of multiplication on the second feedback weight allows further weighting the 2 samples lagged output, returning a more desirable magnitude response with a higher degree of filtering on both ends of the spectrum as shown in the image below:
We are interested in conserving cycles during ranging markets, and longer-term variations during trending markets, we can do this by interpolating between our two filter coefficients:
α × + (1 - α) ×
where 1 > α > 0 . α is measuring if the market is trending or ranging, with values closer to 1 indicating a trending market. We see that for higher values of α the original coefficient of the MACD is used. The image below shows various magnitude responses given multiple values of α :
We use a rolling R-Squared as α , this measurement has the benefit of indicating if the market is trending or ranging, as well as being constrained within range (0, 1), and having a U-shaped distribution.
If you are interested to learn more about the MACD see:
🔶 SETTINGS
R2 Period: Calculation window of the R-Squared.
Fast: Fast period for the calculation of the Adaptive MACD, lower values will return more noisy results.
Slow: Slow period for the calculation of the Adaptive MACD, higher values will return result with longer-term conserved variations.
Signal: Period of the EMA applied to the Adaptive MACD.
QQE Weighted Oscillator [LuxAlgo]The QQE (Quantitative Qualitative Estimation) Weighted Oscillator improves on its original version by weighting the RSI based on the indications given by the trailing stop, requiring more effort in order for a cross with the trailing stop to occur.
🔶 USAGE
The QQE Weighted Oscillator is comprised of a smoothed RSI oscillator and a trailing stop derived from this same RSI. The oscillator can be used to indicate whether the market is overbought/oversold as well as an early indication of trend reversals thanks to the leading nature of the RSI.
Using higher Factor values will return a longer-term trailing stop.
Like with a regular RSI divergence can be indicative of a reversal.
Further weighting will control how much "effort" is required for the trailing stop to cross the RSI. For example. For example, an RSI above the trailing stop will require a higher degree of negative price variations in order for a potential cross to occur when using higher weights.
This can cause higher weightings to return more cyclical and smoother results.
🔶 SETTINGS
Length: Length of the RSI oscillator.
Factor: Multiplicative factor used for the trailing stop calculation.
Smooth: Degree of smoothness of the RSI oscillator.
Weight: Degree of weighting used for the RSI calculation.
multiple consecutive regular divergencesThis indicator helps you to display multiple consecutive regular divergences.
- Ability to detect single, double and triple divergences (consecutive divergences)
A (bearish) single divergence occurs when the price peaks higher than the previous peak, but the oscillator value (e.g. RSI) decreases.
These conditions are a sign of reduced demand and there is a possibility of a price drop.
Although a single divergence indicates a decrease in demand, it alone cannot be a strong signal of change in price direction.
Sometimes after a divergence, we see the formation of another divergence. The price continues to grow and experience a higher peak, while the RSI value continues to decrease.
The formation of the second divergence (double divergence) indicates a further decrease in buyers and this signal will be more reliable.
In addition to single divergence, this indicator can also identify double and triple divergences.
multiple divergences are shaping after one another and can potentially improve the signal quality, compared to single divergences.
The pivot at the beginning of each divergence coincides with the pivot at the end of the previous divergence.
Check the divergence between the current pivot and all previous pivots in the desired range and not being limited to the previous pivot
Most divergence detection indicators measure divergence conditions between the current peak (valley) and only the previous peak (valley), so some divergences may not be correctly detected due to some internal minor peaks (valleys).
But in this indicator, the current peak (valley) is compared with all previous peaks (valleys).
optional parameters
A candle is considered as a peak (valley) whose high (low) value is higher (lower) than 5 candles before and after it. This number ( pivot period ) can be changed from the indicator settings.
At the last peak to receive the signal, 5 candles should be formed after the peak to have a fixed peak, which may lead to a delay in the signal. For faster detection of divergence, the number of candles required to stabilize the last peak ( last pivot confirm candles ) is optional and can be considered different from the pivot period .
In order to eliminate divergences that occur between two very close or very far peaks (valleys), you can change the minimum and maximum allowed distance between two peaks (valleys).
The divergence line drawn between the two peaks may touch the candles between the two peaks.
If the rejected touch is in the candle mode, any collision of the divergence line with any middle candle will cause rejection of the divergence.
But if the rejected touch is in body mode, the collision of the divergence line with the shadow of the candles is ineffective in detecting the divergence, and only the collision of the divergence line with the body of the candles will reject the divergence.
Optional oscillator for divergence detection
Instead of RSI oscillator, you can also use CCI or MACD. The settings of each oscillator can also be changed.
Setting alarms and receiving alerts when divergence is confirmed
Draw three divergences in three different colors
Bullish Divergence Short-term Long Trade FinderThis script is a Bullish divergence trade finder built to find small periods where Bitcoin will likely rise from. It looks for bullish divergence followed by a higher low as long as the hour RSI value is below the 40 mark, if then it will enter an long. It marks out Buy signals on the RSI if the value dips below 'RSI Bull Condition Minimum' (Default 40) on the current time frame in view. It also marks out Sell signals found when the RSI is above the 'RSI Bearish Condition Minimum' (Default 50). The sell signals are bearish divergence that has occurred recently on the RSI. When a long is in play it will sell if it finds bearish divergence or the time frame in view reaches RSI value higher than the 'RSI Sell Value'(Default 75). You can set your stop loss value with the 'Stop loss Percentage' (default 5).
Available inputs:
RSI Period: relative strength measurement length(Typically 14)
RSI Oversold Level: the bottom bar of the RSI (Typically 30)
RSI Overbought Level: the top bar of the RSI (Typically 70)
RSI Bearish Condition Minimum: The minimum value the script will use to look for a pivot high that starts the Bearish condition to Sell (Default 50)
RSI Bearish Condition Sell Min: the minimum value the script will accept a bearish condition (Default 60)
RSI Bull Condition Minimum: the minimum value it will consider a pivot low value in the RSI to find a divergence buy (Default 40)
Look Back this many candles: the amount of candles thee script will look back to find a low value in the RSI (Default 25)
RSI Sell Value: The RSI value of the exit condition for a long when value is reached (Default 75)
Stop loss Percentage: Percentage value for amount to lose (Default 5)
The formula to enter a long is stated below:
If price finds a lower low and there is a higher low found following a lower low and price has just made another dip and price closes lower than the last divergence and Relative strength index hour value is less than 40 enter a long.
The formula to exit a long is stated below:
If the value drops below the stop loss percentage OR (the RSI value is greater than the value of the parameter 'RSI Sell Value' or bearish divergence is found greater than the parameter 'RSI Bearish Condition Minimum' )
This script was built from much strategy testing on BTC but works with alts (occasionally) also. It is most successful to my knowledge using the 15 min and 7 min time frames with default values. Hope it helps! Follow for further possible updates to this script or other entry or exit strategies.
snapshot:
I only have a Pro trading view account so I cannot share a larger data set about this script because the buy signals happen pretty rarely. The most amount that I could find within a view for me was 40 trades within a viewable time. The suggested/default parameters that I have do not occur very often so it limits the data set. Adjustments can be made to the parameters so that trades can be entered more often. The scripts success is dependent on the values of the parameters set by the user. This script was written to be used for BTC/USD or BTC/USDT trading. I am unable to share a larger dataset without putting out results that are intended to fail or having a premium account so reaching the 100 trade minimum is not possible with my account.
Extreme Entry with Mean Reversion and Trend FilterThis non-repainting indicator is an improved version of my previous work, a more versatile tool designed to provide traders with dynamic and adaptive entry signals while incorporating a mean reversion and trend filtering mechanism. By combining RSI overbought/oversold, regular divergence and confirmatory momentum oscillator such as CCI or MOM, this indicator generates more precise and timely signals for entering trades.
The indicator offers a comprehensive set of entry conditions for both Buy and Sell entries:
• For Buy entries, it checks for oversold conditions based on RSI levels, and detects bullish divergence patterns while oversold and it identifies upward crossovers in the selected entry signal source (CCI or Momentum).
• Similarly, for Sell entries, it identifies downward crossovers of the CCI or Mom, after the recent overbought conditions, and bearish divergence patterns inside the overbought RSI.
To refine the entry signals even further, the indicator utilizes a mean reversion filter. Traders can choose to display signals that occur inside or outside the upper and lower mean reversion bands:
• Range Entries are indicating potential buying opportunities near the lower band and selling opportunities near the upper band. This is based on the concept of mean reversion, which suggests that prices tend to return to the average when they reach the upper or lower bands. By focusing on these signals, traders can take advantage of price movements that have a higher probability of reversing towards the mean.
• Extreme Entries, on the other hand, represent signals that occur outside of the bands, signaling potential pullbacks during strong trends. By entering positions only at extreme highs or lows, traders can avoid getting caught in the middle of the trend. This approach helps traders capitalize more favorable trading opportunities which have a high reward-risk ratio.
Trend Filter acts as a directional bias for the entry signals. When enabled, long and short entry conditions are filtered based on the relationship between the closing price and the EMA.
Traders have the flexibility to customize, tweak the indicator filter and values in the settings according to their preferences strategies and traded assets, tailoring the signals to their specific needs. The script sets alert conditions to trigger alerts for buy, sell, or both entry signals. This indicator can be used in conjunction with price action or other technical analysis tools for confirmation and better trading decisions.
I created this indicator for my own use, and I share this for informational purposes only. It does not constitute financial advice so use at your own risk and consider your financial situation before making any trading decisions. The indicator's accuracy is not guaranteed, and past performance is not indicative of future results.
I appreciate your feedback on this indicator. As I am new to script development, I am open to comments and suggestions to improve it. If you encounter any issues while using this indicator, please let me know in the comments section. If you find it helpful, I kindly ask for your support in boosting it. Thank you for your cooperation.
SMT @joshuuuSmart Money Tool / Smart Money Technique is a concept taught by ICT (The InnerCircleTrader).
It compares correlated assets and if the correlation gets disrupted, we call it a smt divergence.
Correlated assets are for example the nasdaq, the sp500 and the dow.
A bullish scenario would be if one of those three makes a lower low and the other two make a higher low. In this case, that would form a divergence.
Another example would be the dxy (dollar-index), the eurusd and gbpusd. what's special about dxy compared to eurusd or gbpusd, is that dxy is inversely correlated to eurusd and gbpusd.
For inversely correlated assets the script has the option to inverse symbols.
Besides the option to inverse symbols, the script is also able to track smts between the two other symbols, that are not on the current chart and it's possible to filter smts only for certain time periods.
Options for those time periods are
ICT Killzones (all mentioned times are in ny time)
London Killzone : 0200-0500
forex:
NewYork Killzone : 0700-1000
indices:
NYAM Killzone : 0830-1100
NYPM Killzone : 1330-1600
ICTs Index SMT Times
AM - 0500-0930
PM - 1200-1500
To detect smts, the script compares swing highs with previous swing highs and swing lows with previous swing lows on all three symbols. To determine swing points, the user is able to input the amount of
candles to detect swing points, usually 1-3 is enough.
Gradient Money Flow Divergence DetectorThe "Gradient Money Flow Divergence Detector" indicator has several use cases for traders. Let's explore the main use cases:
1. Money Flow Analysis : The primary purpose of this indicator is to analyze money flow in a particular asset. The Money Flow Index (MFI) is a momentum indicator that uses price and volume data to assess the buying and selling pressure in a market. Traders can use the MFI to identify overbought and oversold conditions, potential trend reversals, and divergences between the MFI and price movement.
2. Divergence Detection : The indicator incorporates a divergence detection mechanism for multiple timeframes (micro, sub-mid, mid, and macro). Divergence occurs when the price movement and an indicator (MFI in this case) move in opposite directions, signaling a potential shift in the price trend. Traders can use divergences to anticipate trend reversals or trend continuation.
3. Multiple Lookback Analysis : The indicator allows traders to assess divergences and money flow trends across various time horizons by providing divergence detection for different lengths. This can help traders identify confluence areas where divergences align on multiple timeframes, strengthening the potential signal.
4. Overbought and Oversold Conditions : The indicator plots horizontal lines at MFI levels of 20, 50, and 80. These levels can be used to identify overbought (MFI above 80) and oversold (MFI below 20) conditions. Traders may look for potential reversal signals when the MFI reaches extreme levels.
5. Confirmation of Price Trends : The indicator's color gradient visually represents the MFI value, which can help traders confirm the strength of a prevailing price trend. For example, an uptrend with a consistently high MFI might suggest strong buying pressure, reinforcing the bullish bias.
6. Fine-Tuning Divergence Signals : Traders can adjust the parameters of divergence detection (e.g., pivot points, rangeUpper, rangeLower) to fine-tune the sensitivity of the divergence signals. This allows for greater customization based on individual trading preferences.
7. Combining with Other Indicators : The indicator can be used in combination with other technical indicators or price action analysis to strengthen trading decisions. For example, traders may look for divergences in conjunction with support and resistance levels or chart patterns to increase the probability of successful trades.
8. Trend Reversal Confirmation : When a divergence is detected, it may indicate a potential trend reversal. Traders can use other confirmation signals (e.g., candlestick patterns, trendline breaks) to validate the reversal before making trading decisions.
Remember that no single indicator should be used in isolation, and it's essential to use the indicator in combination with other confirmations such as support and resistance, and analysis methods for more robust trading strategies. Additionally, thorough backtesting and practice in a demo environment are recommended before using the indicator in live trading.
Wilder's RSI + DivergencesWilder's RSI + Divergences
Description:
The Wilder's RSI + Divergences study is a powerful tool for traders using the TradingView platform. This custom Pine Script study combines Wilder's Relative Strength Index (RSI) with the identification of regular and hidden divergences, providing valuable insights into potential market reversals and trend changes. This comprehensive study includes the calculation of the RSI using Wilder's smoothing method, the plotting of the RSI and its Exponential Moving Average (EMA), and the detection of divergences based on pivot points.
Key Features:
Wilder's RSI Calculation: The study accurately calculates the RSI using J. Welles Wilder Jr.'s well-known smoothing method, providing a reliable measure of the asset's price strength or weakness.
Regular Divergence Identification: The study automatically detects regular bullish and bearish divergences. Regular bullish divergences occur when the RSI forms a lower low while the price forms a higher low. Regular bearish divergences occur when the RSI forms a higher high while the price forms a lower high. These divergences can indicate potential trend reversals or trend continuation possibilities.
Hidden Divergence Identification: The study also identifies hidden bullish and bearish divergences. Hidden bullish divergences occur when the RSI forms a higher low while the price forms a lower low. Hidden bearish divergences occur when the RSI forms a lower high while the price forms a higher high. Hidden divergences often signal the continuation of an existing trend.
Customizable Parameters: The study allows users to customize various parameters, including the length of RSI calculation, the length of the RSI's EMA, the lookback periods for identifying pivot points, and the range for considering pivot points. Users can adjust these parameters to suit their trading strategies and preferences.
Visual Representation: The study plots the RSI, its EMA, and the identified regular and hidden divergences directly on the chart. This visual representation provides traders with a clear and intuitive understanding of potential trading opportunities.
Protecting the Source Code:
The source code for this study is protected to ensure its originality and maintain the integrity of the algorithm. By safeguarding the code, it prevents unauthorized distribution or modification, preserving the study's uniqueness and value. This protection ensures that the study remains exclusive to the TradingView platform, enhancing the user experience and maintaining the trust of traders who rely on this tool for their analysis and decision-making.
Instructions for Use:
Add the Wilder's RSI + Divergences study to your chart.
Customize the study parameters, such as RSI length, EMA length, lookback periods, and range, to align with your trading preferences.
Analyze the chart to identify regular and hidden divergences in the RSI. Regular bullish and bearish divergences indicate potential trend reversals, while hidden divergences suggest trend continuation possibilities.
Adjust your trading strategy or make informed decisions based on the identified divergences and the overall market context.
Note: This study is designed to be a valuable tool in your technical analysis process. It is essential to combine it with other indicators, price action analysis, and risk management techniques for comprehensive trading decisions.
By utilizing the Wilder's RSI + Divergences study, traders can gain deeper insights into market dynamics, identify potential trading opportunities, and make more informed trading decisions.
Edri Extreme Points Buy & SellEDRI EXTREME POINTS BUY & SELL INDICATOR
This Buy and Sell (non-repainting) indicator uses signals based on the combined CCI/Momentum and RSI indicators and optional regular divergence.
The idea of the indicator is to look for a potential reversal after the price reached extreme points (overbought or oversold) and signals an entry when the price shows signs of momentum for reversal.
Optionally, it considers finding a divergence while RSI is at the extreme levels to improve the predictability of a possible reversal.
Additionally, the indicator includes a simple Mean Reversion visual on the chart to assist users in identifying extreme price levels and potential reversal opportunities. It features upper and lower bands that can be optionally plotted, showing calculated values where price bounces at those extreme levels.
The purpose of these bands is to help traders avoid getting trapped in the middle of a trend and to guide them to buy low and sell high. (It's important to note that this is purely a visual aid and does not impact the generation of trade signals.)
By utilizing the Mean Reversion bands alongside the entry conditions, traders can gain insights into potential price reversals and make more informed decisions about when to enter or exit trades.
Buy and Sell Entry conditions:
• The indicator looks at the CCI/Momentum indicator to turn positive (if buy) or negative (if sell) after the RSI was overbought or oversold in the recent past.
• It also checks if there is a 3-period regular bullish divergence in the RSI (if buy), or regular bearish divergence (if sell) and consider these in the entry condition.
• If these conditions are met, this indicator suggests that it may be a good time to enter a trade.
In summary this is how this indicator works:
• The indicator takes input settings such as the choice between using CCI or Momentum as the entry signal source, length parameters for CCI/Momentum, RSI levels for overbought and oversold conditions, RSI length, and options to plot mean reversion bands on the chart.
• It calculates the CCI and Momentum and RSI values based on user-defined length..
• It checks for regular bullish and bearish divergences (3 periods) in the RSI if the option is enabled.
• The script plots shapes on the chart to indicate the buy and sell signals based on the entry conditions.
• If the mean reversion bands option is enabled, it calculates the mean reversion, standard deviation, upper band, and lower band values.
• It also plots the upper band, mean reversion line, and lower band on the chart if the mean reversion bands option is enabled.
• This indicator includes alert conditions to generate alerts for the buy and sell signals.
• On top of that, users can opt to use only one alert for both buy and sell signals. (This can save Trading view subscribers with limited alerts.)
Important! Please do not consider everything you read here as financial advice. Additionally, do not rely solely on indicators for making your trading decisions. It is important to note that no indicator or strategy is perfect. Therefore, it is always recommended to backtest everything and practice proper risk management.
I appreciate your feedback on this indicator. As I am new to script development, I am open to comments and suggestions to improve it. If you encounter any issues while using this indicator, please let me know in the comments section. If you find it helpful, I kindly ask for your support in boosting it. Thank you for your cooperation.
Excalibur Trading System [Dare]✦ INTRODUCTION
The core goal in the Excalibur Trading System is attaining an optimal entry - fading the masses, selling others' buys, buying others' sells, and trading along true tops and bottoms where price manipulation commonly occurs. Executions are most successful intraday and when aligned with HTF price action while still maintaining a systematic approach in analysis and risk management. Use of this tool is not recommended for the uninitiated trader; it takes intense focus, dedicated practice, and unwavering confidence to wield this successfully. Please go through the guide I’ve provided which contains comprehensive coverage of all the elements below which, in the context of this post, are meant to depict a general idea of what the indicator is meant to accomplish.
✦ INDICATOR DETAILS
System Overview
System Components
Indicator Settings
Plotting Interpretation
Postscript
✦ SYSTEM OVERVIEW
Type of System
This is a mechanical system which requires zero discretion. While trading with an objective approach offers several advantages, it's important to note that it is not foolproof. Market conditions can change, and indicators can provide false signals. The accuracy is not 100% and even following it perfectly, as with any strategy, one will incur losses.
Objective Decision-making - No emotional bias, no fear.
Consistent - A repeatable approach that eliminates impulsivity.
Easily tested - Strategy performance can be measured universally no matter who is using it, in both forward and backtesting.
No Guesswork - Provides specific entry and exit signals with a systematic procedure.
Predefined Rules - Controls risk and enforces discipline.
Simple and Clear - Reduces complexity and confusion.
Performance in Various Market Conditions
Excalibur is meant to catch reversals and second-stage continuations, but trending days should be avoided. It has been tested and used in live market conditions in Index Futures, during the regular NY Session, on the 1m Timeframe, targeting ≥2.5RR Ratio. Outcomes will vary by trader due to factors such as risk tolerance, entry opportunities taken, human error and psychological barriers. Historical performance is not a guarantee of future results.
✦ SYSTEM COMPONENTS
Setup Schematic
The premise for all setups is the same. We are identifying manipulation above a previous high (bearish) or below a previous low (bullish) in anticipation of a reversal. This indicator is meant to be used as a measuring tool to quantify that manipulation taking place using Hi's and Lo's as identified by the Bar , which is based on a standard deviation calculation. The Fu tag is meant to be used to find Divergence at custom pivots, not predetermined lookback periods - this is similar to SMT - Smart Money Technique, but this Divergence references bodies vs. wicks and the execution of the trade is at the extreme pivot vs. the weak pivot.
Using the Bar as a guide, the trader will set the Hi/Lo tags and the indicator will automatically calculate the Threshold, the point beyond which one’s Entry resides when Divergence is also present. A valid entry plots as a Polaris star below (bullish) and above (bearish) the current bar in their respective scenarios.
Bullish Setup
(1) Place the Lo tag at the current threshold as signified by the Bar.
(2) Search for Divergence with price action below that threshold by using the Fu tag at extreme bodies of recent swing lows.
(3) Wait for a bullish Entry to plot, confirmed at candle close.
Bearish Setup
(1) Place the Hi tag at the current threshold as signified by the Bar.
(2) Search for Divergence with price action above that threshold by using the Fu tag at extreme bodies of recent swing highs.
(3) Wait for a bearish Entry to plot, confirmed at candle close.
The indicator collects the OHLC values of the target asset candles based on the trader’s Hi/Lo placement, compares them to up to two assets, and plots an entry depending on the context of the setup. The entry method, like the setup composition, is based on minute Divergences in price between the assets and other criteria related to how the candles close relative to each other.
✦ INDICATOR SETTINGS
Options
This line controls the colors of the Polaris (✦) and the squares in the Manipulation Bar. Manipulation can be measured using either mathematical calculation (ᴀʟᴘʜᴀ) or OHLC data-points (ʙᴇᴛᴀ). The Polaris denotes a time and price of possible reversal at an extreme low or high - deselect this line to hide it.
⋆ This line controls colors of the Tags and Candles - Bullish, Bearish, and All. To customize, switch to ᴄᴜsᴛᴏᴍ. If the Divergence Candles are not consistently visible, change the Visual Order to Front on the chart by selecting the indicator Title then More. To hide, deselect this line.'
The third and fourth lines controls the visibility of the Manipulation Bar, Matrix Tags, Advisor Arrows and Invalidation Labels.
Time
By default, the times for Hi, Lo and Fu are set to 09:00, 09:30 and 09:15 respectively. The date will need to be manually adjusted at the beginning of each trading day.
Price
By default, the charted Asset is assumed to be ES1! (E-Mini S&P 500 Continuous Contract) . If the trader would like to chart a different Asset, be sure to adjust Assets I and II to valid comparisons so that the indicator can accurately detect price divergences.
Risk
Input the account size and percentage one intends to risk. To pyramid, indicate the quantity the position to be divided into. In MT4 or 5, right-click a symbol then Specification. The Contract Size field contains the Units per Lot. Use the various options to customize the table format and visibility.
The tooltips (i) will be available in the UI in case the trader will ever need to refer to them for the information above.
✦ PLOTTING INTERPRETATION
Matrix Tags
Guided by the manipulation bar, the trader will use Hi and Lo tags to measure the manipulation threshold. The Fu tag measures either bullish or bearish divergences depending on the placement of the Hi/Lo tags.
Manipulation Bar
The squares plotted together form a bar and indicate whether a candle is or isn’t plotting a new manipulation threshold (creating a new Hi or Lo ). The trader should always use the current Hi or Lo .
Advisor Arrows
The arrows are meant to signify a possible valid entry in the temporary period of time between the candle open and close. They give advance notice that the trader should be looking for divergences using the Fu tag to attain a confirmed entry (Polaris) on that particular candle as it is forming.
Entry Signal
The Polaris denotes a time and price of trade execution. As long as the Matrix tags are placed correctly, this is a valid signal to place a position in the direction indicated. Entry price is at the candle close, regardless of the next candle’s open price.
Risk Labels and Table
This is an automatic calculation for Stop placement based on average true range (valid only for indices with a 0.25pt tick value. A future version may allow for customization of this feature for assets not based on ticks, like forex pairs). The table (by default at the bottom right) will display the trader's position size based on the inputs.
Divergence Candles
Using the Fu tag, the trader can select swing highs and lows to determine if divergence is occurring above and below them, respectively. Divergence is maintained as long as the colored candles are printed consecutively. Referring to the charts of Assets I and II in a separate layout window is recommended but not required.
✦ POSTSCRIPT
I forged this sword, Excalibur, in pursuit of my highest aspiration - to create a legacy and provide a gift to my friends, family, and all those burdened by obligations that limit them from living what they would consider to be a fulfilling life. Those free to pursue the ambitions they truly value are the ones who change their communities and even the world for the better.
~Dare.
Divergence Screener [Mr_Zed]Divergence Screener
This script allows you to scan multiple assets and timeframes for bullish and bearish divergences based on the RSI (Relative Strength Index) indicator.
Features
Supports up to 40 different assets and timeframes for simultaneous scanning.
Customizable settings for RSI period and source.
Adjustable lookback periods for identifying pivot highs and pivot lows.
Flexible range limits for filtering divergences based on the number of bars since the last pivot point.
Alerts for bullish and bearish divergences on confirmed bars.
RSI MTF [Market Yogi]The Multi-Time Frame RSI with Money Flow Index and Average is a powerful trading indicator designed to help traders identify overbought and oversold conditions across multiple time frames. It combines the Relative Strength Index (RSI) with the Money Flow Index (MFI) and provides an average value for better accuracy.
The Relative Strength Index (RSI) is a popular momentum oscillator that measures the speed and change of price movements. It oscillates between 0 and 100 and is used to identify overbought and oversold conditions in an asset. By incorporating the RSI across multiple time frames, this indicator offers a broader perspective on market sentiment.
In addition to the RSI, this indicator also includes the Money Flow Index (MFI). The MFI is a volume-based oscillator that measures the inflow and outflow of money into an asset. It takes into account both price and volume, providing insights into the strength and direction of buying and selling pressure.
By combining the RSI and MFI across multiple time frames, traders gain a comprehensive understanding of market dynamics. The indicator allows for comparing the RSI and MFI values across different time frames, enabling traders to identify divergences and potential trend reversals.
Furthermore, this indicator provides an average value of the multi-time frame RSI, offering a consolidated signal that helps filter out noise and enhance the accuracy of trading decisions.
Key Features:
1. Multi-Time Frame RSI: Combines the RSI across different time frames to provide a comprehensive view of market sentiment.
2. Money Flow Index (MFI): Incorporates the MFI to gauge buying and selling pressure based on both price and volume.
3. Average Calculation: Computes the average value of the multi-time frame RSI to generate a consolidated trading signal.
4. Divergence Detection: Enables traders to spot divergences between the RSI and MFI values, indicating potential trend reversals.
5. Overbought and Oversold Levels: Highlights overbought and oversold levels on the RSI, aiding in timing entry and exit points.
The Multi-Time Frame RSI with Money Flow Index and Average is a versatile tool that can be applied to various trading strategies, including trend following, swing trading, and mean reversion. Traders can adjust the time frame settings to suit their preferences and trading style.
Note: It's important to use this indicator in conjunction with other technical analysis tools and indicators to validate signals and make informed trading decisions.
TRADE WITH MACDThis indicator is used to identify the trend through the background color and by using the MACD indicator information and summarizing the moving average information and identifying the trend through the integration of information and then warning the fall and growth of the price of Bitcoin relative to the successful entry into any transaction by the trader. it helps
Some features of this indicator:
- The table draws the time frames in the desired time period quickly and accurately
- Identifying and inserting ascending and descending trends
- View the chart of five moving averages (9, 20, 50, 100, 200) at the same time
- Draw charts automatically or draw a chart with the desired interval length and desired start time
- Automatic updating of price data charts
- Changing the background color and warning in separate time frames from the current time frame as desired by the trader
MACD Normalized [ChartPrime]Overview of MACD Normalized Indicator
The MACD Normalized indicator, serves as an asset for traders seeking to harness the power of the moving average convergence divergence (MACD) combined with the advantages of the stochastic oscillator. This novel indicator introduces a normalized MACD, offering a potentially enhanced flexibility and adaptability to numerous market conditions and trading techniques.
This indicator stands out by normalizing the MACD to its average high and average low, also factoring in the deviation of the high-low position from the mean. This approach incorporates the high and low in the calculations, providing the benefits of stochastic without its common drawbacks, such as clipping problems. As a result, the indicator becomes exceptionally versatile and suitable for various trading strategies, including both faster and slower settings.
The MACD Normalized Indicator boasts a variety of options and settings. The features include:
Enable Ribbon: Toggle the display of the ribbon accompanying the MACD Normalized, as desired.
Fast Length: Determine the movement speed of the fast line to receive advance notice of potential market opportunities.
Slow Length: Control the movement pace of the slow line for smoother signals and a comprehensive outlook on market trends.
Average Length: Specify the length used to calculate the high and low averages, providing greater control over the indicator's granularity.
Upper Deviation: Establish the extent to which the high and low values deviate from the mean, ensuring adaptability to diverse market situations.
Inner Band (Middle Deviation): Adjust the balance between the high and low deviations to create an inner band signal, giving traders a secondary level of market analysis and decision-making support.
Enable Candle Color: Enable the coloring of candles based on the MACD Normalized value for effortless visualization of trading potential.
Use Cases for the MACD Normalized Indicator
In addition to analyzing market trends and identifying potential trading opportunities, ChartPrime's MACD Normalized Indicator offers a range of applications for traders. These use cases encompass distinct trading scenarios and strategies:
Overbought and Oversold Regions
One of the key applications of the MACD Normalized Indicator is identifying overbought and oversold regions. Overbought refers to a situation where an asset's price has risen significantly and is expected to face a downturn, while oversold indicates a price drop that may subsequently lead to a reversal.
By adjusting the indicator's parameters, such as the upper and inner deviation levels, traders can set precise boundaries to determine overbought and oversold areas. When the MACD moves into the upper region, it may signal that the asset is overbought and due for a price correction. Conversely, if the MACD enters the lower region, it possibly indicates an oversold condition with the potential for a price rebound.
Signal Line Crossovers
The MACD Normalized Indicator displays two lines: the fast line and the slow line (inner band). A common trading strategy involves observing the intersection of these two lines, known as a crossover. When the fast line crosses above the slow line, it may signify a bullish trend or a potential buying opportunity. Conversely, a crossover with the fast line moving below the slow line typically indicates a bearish trend or a selling opportunity.
Divergence and Convergence
Divergence occurs when the price movement of an asset does not align with the corresponding MACD values. If the price establishes a new high while the MACD fails to do the same, a bearish divergence emerges, suggesting a potential downtrend. Similarly, a bullish divergence takes place when the price forms a new low but the MACD does not follow suit, hinting at an upcoming uptrend.
Convergence, on the other hand, is represented by the MACD lines moving closer together. This movement signifies a potential change in the trend, providing traders with a timely opportunity to enter or exit the market.
Divergence V2This indicator is based on the concept of divergence. I recommend that you find out and study about this yourself as the concept of divergence will not be explained in depth in this description.
This indicator will show divergences between the asset price and the RSI oscillator. The indicator will look for divergent points between the rising highs and falling lows of the asset; and the rising lows and falling highs of the RSI.
The trend of the asset tends to follow the behavior of the oscillator when a divergence occurs. So if we find a divergence between the two, the price of the asset is likely to follow the trend of the oscillator.
This indicator looks for these types of divergences and will show (based on the RSI) if there is a bullish or bearish divergence.
If it is bullish, it will show a line joining those points in green and if it is bearish in red. In addition, it will show a label where you can see the number of occurrences that have been found from a certain point to another.
Note: this indicator can be complemented with the “Divergence RSI V2” indicator which is also found in my library.
Settings
Backtesting Bars: is the number of bars back that the indicator will check. No more than 1000 is recommended as this will slow down the search.
Tolerance: number of times a divergent line can cross a bar. If you place 0, no bar can be crossed by a diverging line.
Min Bars To detect: will only search for divergences (or lines) that have the minimum number of bars selected in this option. Default option is 30.
Min Bars To detect: it will only search for divergences (or lines) that have the maximum number of bars selected in this option. Default option is 100.
Source Highs: The high points will be based on the close of each bar. You can use as another alternative.
Source Lows: The low points will be based on the close of each bar. You can use as another alternative.
Use squeeze parameter : only look for divergences (bullish or bearish) at times when such an indicator is in favor of the trend or coincides with the corresponding RSI divergence.
Stochastic RSI with DivergencesThis indicator is Stochastic RSI using code loops* rather than pivot low/high functions.
The pivot low/high function provided by Pine Script requires a set number of bars to pass prior to locating a swing low/high.
This can mean large moves have occurred prior to a swing low having passed if the lookback range was set to five bars (5).
5 bars on a 2 hour chart is a long time and large moves may be missed.
As I don't use these functions, there is no requirement for a set number of bars to have passed prior to swing low/high positions to be identified.
This means it doesn't rely on a set number of bars to pass prior to finding a new pivot point.
* Code loops are a function which will check conditions in a range until a defined condition is met.
In this case a pivot low is a bar with no lower bars within 3 bars either side of the current checked bar.
Additional:
Lines will redraw and delete previous divergences to remove clutter on the indicator.
A table cells for alternate timeframe Stochastic RSI values so you don't need to swap between charts constantly.
How it works:
The first lookback finds an initial low/high within a small range of the current bar. (default of 10)
This low/high must be the lowest/highest point within 3 bars either side.
The second low/high must be over 5 bars prior to the recent low and a max range of previous lookback. (default of 30)
This low/high must be the lowest/highest point within 3 bars either side.
If a divergence is found, it will draw the divergence on the indicator and delete the prior line drawn.
Personal note:
Personally coded functions for my personal use, though others may find use with it.
CRYPTO DIVERGENCE FINDERThis indicator allows you to easily compare any ticker you're looking at with the ones I've found to work best over many years of studying the crypto market. For these reasons, the code of the script is hidden because that is exactly what makes it unique.
You can choose any cryptocurrency, but I recommend using only perpetuals on 'BINANCE' exchange.
If the comparison mode is enabled, the current ticker you are viewing is divided by the ticker selected in the indicator.
For example, if you are watching "SOLUSDT.P" you should open the settings of the indicator and write "SOLUSDT.P" in the ticker field. Then you will get the SOLUSDT.P correlation index with other crypto and currency pairs that are correlated (like I already said this is something that is product of many years of studying this market and this is exactly what is unique about the code so the source of the script have to stay protected).
If you are a beginer, you can just apply simple trend-breakout strategy after you spot the divergence.
For advanced traders, you can use this together with ICT's and SMC concepts as a confirmation upon your entry.
ADX Divergence IndicatorDescription:
The ADX Divergence Indicator (ADXDI) is a technical analysis tool designed to identify potential bullish and bearish signals based on the Average Directional Index (ADX), the Positive Directional Indicator (+DI), and the Negative Directional Indicator (-DI) lines. This overlay indicator plots circles on the chart to highlight these signals.
How it Works:
The ADXDI calculates the ADX, +DI, and -DI values using user-defined parameters. It then evaluates specific conditions to determine potential bullish and bearish signals. The indicator considers rising and falling trends of the +DI and -DI lines, as well as changes in the ADX values. Additionally, it detects a bounce condition when the current ADX is less than the previous ADX value and that ADX value is higher than the one previous to it.
Usage:
To effectively utilize the ADX Divergence Indicator, follow these steps:
1. Apply the ADX Divergence Indicator to your chart by adding it from the available indicators.
2. Observe the circles plotted on the chart:
- Bullish circles (green by default) indicate potential bullish signals.
- Bearish circles (red by default) indicate potential bearish signals.
4. Interpret the signals provided by the indicator:
- A bullish signal occurs when the +DI line rises and the -DI line falls.
- A bearish signal occurs when the -DI line rises and the +DI line falls.
- The presence of a bounce condition (ADX < ADX and ADX > ADX) further strengthens the signal.
5. Combine the signals from the ADX Signals indicator with other technical analysis tools, such as support and resistance levels, trend lines, or candlestick patterns, to confirm potential trade setups.
6. Customize the indicator's parameters, such as the lengths of the DI and ADX calculations or the colors of the plotted circles, to suit your trading preferences.
7. Implement appropriate risk management strategies, including setting stop-loss orders and position sizing, to manage your trades effectively and protect your capital.
Prime Oscillators Pro [ChartPrime]The Prime Oscillators Pro suite provides two unique oscillators that provide useful insights on divergences, overbought and over sold conditions, momentum reversals, confluence alerts, amongst a myriad of other features.
The Trend Fusion Oscillator
This oscillator uses an amalgamation of price and volume to give market participants useful insight into possible future price action. It is designed in the format of a classical oscillator to be recogniseable and have a easy learning curve.
The main features of the Trend Fusion Oscillator:
Trend mode: The price volume oscillator uses an adaptive calculation to signify when price is entering a downtrend or and uptrend. When the price volume oscillator intersects with the adaptive plot the color of the price volume band will change to signify an uptrend or a down trend. This is easy to interpret with red signifying a down trend and green signifying an uptrend.
Oversold or overbought conditions: A reasonable range calculation was implemented and normalized in order to extrapolate areas of overbought an oversold conditions.
Divergences: When the price volume oscillator ribbon peaks and valleys are diverging with price action a thin line will connect the two diverging peaks or vallyes to indicate to market participants that there is a higher probability of a reversal. Divergences can be used in a classical fashion for trading.
Areas of reversal: These signals incorporate an algorithm that takes the median length of the assets trends, average true range, price deviation, volatility, and gap conditions, to signal areas with high a probability of reversal.
Main Settings
Oscillator Mode: Select the desired type of oscillator via this dropdown
Bands On/Off: Display deviation bands on the oscillators
Bearish Divergences On/Off: Allow for toggling of bearish divergences
Hidden Bearish Divergences On/Off: Allow for toggling of hidden bearish divergences
Bullish Divergences On/Off: Allow for toggling of bullish divergences
Hidden Bullish Divergences On/Off: Allow for toggling of bullish divergences
Max disatance between points: Input to adjust the distances between divergences in terms of candles
Use cases
The Trend Fusion Oscillator can be used in a simple fashion using the red/green waves to idenfity market direction. Using the waves of the market, a trader can filter other indicators and build confluence. This can also apply to contrarian logic. Divergences and oversold/bought levels can be used in confluence with other factors such as classical SR or other user selected indicators.
The Prime oscillator
Reversal signals: These are in essence a contrarian signal predicting the reversal of the market and the oscillator.
The peak seekers are blue dots that analyse multiple indicators to deduce more accurate and confluence within divergences. Settings here are auto optimised depending on the user selected timeframe.
The momentum ribbon analyses market volatility and produces an actionable ribbon on which other calculations are deduced. When it twists it can indicate a shift in the trend.
Divergences are calculated so the indicator can catch the maxmimum number of divergences in order to avoid possible reversals being missed by the trader.
Risk Disclaimer
All content and developments created by ChartPrime are purely for informational & educational purposes only. Past performance does not guarantee future results.
