Smart Reversal Signal Indicator | TCMaster

Smart Reversal Signal Indicator| TCMaster
The Smart Reversal Signal Indicator is a multi-factor technical indicator designed to detect potential market reversal points. It combines three powerful components:
Stochastic Oscillator (%K, %D)
Relative Strength Index (RSI)
Candlestick Reversal Patterns + Equal High/Low (EQH/EQL) zones
When these elements align, the indicator generates a buy or sell signal and highlights the chart background (green for buy, red for sell).
Technical Breakdown
1. Stochastic Oscillator
%K is calculated with a user-defined length and smoothed using a moving average.
%D is the SMA of %K with customizable smoothing.
Buy Signal (Stochastic): %K crosses above %D while below 20.
Sell Signal (Stochastic): %K crosses below %D while above 80.
2. RSI (Relative Strength Index)
Uses a customizable length and overbought/oversold levels.
Buy Signal (RSI): RSI crosses above the oversold threshold.
Sell Signal (RSI): RSI crosses below the overbought threshold.
3. EQH / EQL Zones (from Higher Timeframe)
Pulls high/low data from a higher timeframe (eq_tf) and checks the last eq_lookback bars.
EQH (Equal High): Price is near a recent high within eqh_tolerance %.
EQL (Equal Low): Price is near a recent low within eql_tolerance %.
4. Candlestick Reversal Patterns
Bullish Patterns:

Hammer

Morning Star
Bearish Patterns:

Hanging Man

Shooting Star

Evening Star
Signal Conditions
Buy Signal:
Stochastic bullish crossover
RSI crosses up from oversold
Price near EQL zone
Bullish candlestick reversal pattern
Sell Signal:
Stochastic bearish crossover
RSI crosses down from overbought
Price near EQH zone
Bearish candlestick reversal pattern
✅ Usage Guide
Step 1: Add to Chart
Open a chart on TradingView.
Choose your desired timeframe (e.g., 15m, 1h).
Paste the Pine Script into the Pine Editor.
Click “Add to Chart”.
Step 2: Customize Settings
Adjust input values for RSI, Stochastic, and EQH/EQL according to your strategy.
Tune the sensitivity for scalping, intraday, or swing trading.
Step 3: Trade the Signals
Green background: A strong confluence for a BUY signal — consider entering a long trade.
Red background: A strong confluence for a SELL signal — consider entering a short trade.
Combine with support/resistance zones or trendlines for greater accuracy.
Step 4: Set Alerts
Use TradingView Alerts with the conditions:
Buy Alert: when a buy signal is generated.
Sell Alert: when a sell signal is generated.
📌 Notes
This is an advanced reversal detection tool. It works best when used with price action or supply/demand zones.
More reliable in sideways or range-bound markets, or at major support/resistance areas.
Avoid using it alone in strong trending markets without confirmation from multiple timeframes.