Oliver Velez System Visual Helper [CocoChoco]

Not endorsed by or related to Oliver Velez himself.

🐘 Oliver Velez System Visual Helper [CocoChoco]

🎯 Overview
Unlock the power of Institutional Trading with this precision tool designed for followers of the Oliver Velez (OV) methodology. This indicator specializes in identifying the "Narrow State"—the coiled spring of the market—and highlighting the high-probability entry candles that signal institutional participation.

Unlike standard indicators that lag, this helper focuses on the transition from low to high volatility, giving you a front-row seat to the moves that matter.

🧩 The Core Philosophy: The Narrow State
According to Oliver Velez, the most explosive moves in the market occur when the 20 SMA and the 200 SMA converge into a Narrow State. This represents a moment of equilibrium where both short-term and long-term traders are in agreement, and the next move is likely to be a significant expansion.

This indicator automates that discovery by:
Measuring Distance: It calculates the exact percentage gap between the SMAs to find the "coil."
Verifying Parallelism: It ensures the SMAs are moving "somewhat horizontal" and parallel, filtering out chaotic crossovers.

Multi-Timeframe Confirmation: It checks your higher timeframe (e.g., 15m) to ensure the big players are aligned before you take a trade on the smaller timeframe.

⚡ Power Entry Highlights
Once a Narrow State is confirmed, the indicator "paints" the chart with specific Velez-style entry patterns. These bars only highlight when Price > 20 SMA > 200 SMA (Bullish) or Price < 20 SMA < 200 SMA (Bearish), ensuring you never trade against the trend.

EB (Elephant Bar): The "Institutional Footprint." Large, solid-bodied bars that represent massive buying or selling.

TB (Tail Bar): Bottoming and Topping tails that show clear rejection of the SMAs, signaling a reversal into the main trend.

180 (Bull/Bear 180): A two-bar reversal pattern where the current bar completely engulfs the body of the previous bar, effectively "flipping" the momentum.

🛠️ Key Features
Dynamic Cloud Ribbon: A solid visual zone between the 20 and 200 SMAs that appears only when the Narrow State and MTF alignment are perfect.
Smart Bar Coloring: Only the specific institutional breakout bars change color, keeping your chart clean and professional.
Dual Alert System:
Narrow State Start: Get notified the second the market begins to coil.
Entry Candle Close: Get a ping exactly when a valid EB, TB, or 180 closes.
Consolidated Style: A clean UI that allows you to manage all pattern colors with a single picker.

🚀 How to Use
Wait for the Cloud: When the ribbon appears between the SMAs, the market is in a Narrow State.
Look for the Color: Watch for an Aqua (default) candle to form.
Check the Label: Verify the entry type (EB, TB, or 180).
Execute: Per OV's rules, enter on the break of the entry bar’s high/low with a stop at the tail/low of the bar.

Disclaimer: Trading involves significant risk. This tool is a visual aid, and may be significantly different from Oliver Velez system, and does not constitute financial advice. Always practice proper risk management.