On-Balance Accumulation Distribution (Volume-Weighted)The On-Balance Accumulation Distribution (OBAD) indicator is designed to analyze the accumulation and distribution of assets based on volume-weighted price movements. The indicator helps traders identify periods of buying and selling pressure and assess the strength of market trends. By incorporating volume and price data, the OBAD indicator provides valuable insights into the flow of funds in the market.
To calculate the OBAD, the indicator multiplies the volume, price, and volume factor (user-defined) with the price change and aggregates the values over a specified length. This results in a histogram and a line plot representing the OBAD values. The OBAD signal line is derived by applying a simple moving average (SMA) to the OBAD values over a shorter period (9 by default). The crossover of the OBAD line and signal line can indicate potential entry or exit points.
The OBAD indicator utilizes coloration to enhance its visual representation and interpretation. The OBAD background is colored based on the relationship between the OBAD values and the OBAD signal line. When the OBAD values are above the signal line, the background is displayed in lime, suggesting a bullish accumulation scenario. Conversely, when the OBAD values are below the signal line, the background is colored fuchsia, indicating a bearish distribution pattern. The bar coloration is also applied to provide further visual cues, with lime representing bullish conditions and fuchsia denoting bearish conditions. When the OBAD signal line is above 0, it is colored green. Conversely, if the signal line is below 0, it is colored maroon.
The length parameter in the OBAD indicator determines the number of periods used in the calculation. Shorter lengths, such as 10 or 20, can make the indicator more responsive to recent price and volume changes, providing quicker signals. This can be beneficial for short-term traders or in fast-paced markets. Conversely, longer lengths, such as 50 or 100, smooth out the indicator and provide a broader view of accumulation and distribution over a more extended period. This may suit longer-term traders or when analyzing trends in less volatile markets. Traders should experiment with different lengths to find the optimal balance between responsiveness and smoothness that aligns with their trading goals.
The volume factor parameter allows traders to adjust the weighting of volume in the OBAD calculation. By modifying this factor, traders can emphasize the impact of volume on the indicator. Increasing the volume factor amplifies the influence of volume in the OBAD calculation, making it more sensitive to volume changes. This can be advantageous when volume is considered a significant driver of price movements, such as during news events or market catalysts. On the other hand, decreasing the volume factor reduces the impact of volume, making the indicator less sensitive to volume fluctuations. Traders can experiment with different volume factors to align the indicator's responsiveness with their analysis of volume patterns and its importance in their trading decisions.
The signal line period parameter determines the number of periods used to calculate the moving average of the OBAD values. Adjusting this parameter can help smooth out the indicator and filter out short-term noise or provide more timely signals. A shorter signal line period, such as 5 or 7, provides more sensitive and frequent crossovers with the OBAD values, potentially offering early entry or exit signals. This can be useful for traders seeking shorter-term trades or more agile trading strategies. Conversely, a longer signal line period, such as 9 or 14, smooths out the indicator and provides more stable signals. This may suit traders who prefer longer-term trends or a more conservative approach. Traders should consider their trading timeframe and the desired balance between responsiveness and stability when adjusting the signal line period.
The OBAD indicator can be applied in various trading strategies and scenarios. It helps traders identify potential trend reversals, confirm existing trends, and generate entry and exit signals. For example, when the OBAD histogram transitions from fuchsia to lime, it may suggest a shift from selling to buying pressure, signaling a potential buying opportunity. Traders can also use the OBAD indicator in conjunction with other technical analysis tools, such as trendlines or support/resistance levels, to confirm signals and make more informed trading decisions.
-- Trend Reversal Identification : The OBAD indicator can be useful in identifying potential trend reversals. When the OBAD values cross above the signal line after being below it, it may suggest a shift from bearish distribution to bullish accumulation. Conversely, when the OBAD values cross below the signal line after being above it, it may indicate a transition from bullish accumulation to bearish distribution. Traders can use these crossovers as potential signals to enter or exit trades in anticipation of a trend reversal.
-- Confirmation of Trend Strength : The OBAD indicator can act as a confirmation tool for assessing the strength of existing trends. When the OBAD values remain consistently above the signal line, it confirms the presence of strong bullish accumulation and validates the upward trend. Similarly, when the OBAD values stay consistently below the signal line, it confirms the presence of strong bearish distribution and validates the downward trend. Traders can use this confirmation to have more confidence in the prevailing trend and adjust their trading strategies accordingly.
-- Divergence Analysis : Divergence between the price and the OBAD indicator can provide valuable insights. Bullish divergence occurs when the price forms lower lows while the OBAD indicator forms higher lows, suggesting a potential trend reversal to the upside. Conversely, bearish divergence occurs when the price forms higher highs while the OBAD indicator forms lower highs, indicating a potential trend reversal to the downside. Traders can use these divergences as additional confirmation signals in their trading decisions.
-- Volume Analysis : The OBAD indicator incorporates volume data, making it particularly useful for volume analysis. Traders can analyze the relationship between OBAD values and volume levels to gauge the strength and validity of price movements. Higher OBAD values accompanied by higher volume can indicate strong accumulation or distribution, providing confirmation for potential trade setups. On the other hand, lower OBAD values accompanied by low volume may suggest a lack of participation and potentially signal caution in trading decisions.
It is important to note that the OBAD indicator, like any other technical indicator, has certain limitations. It relies on historical price and volume data, which may not always accurately reflect current market conditions or future price movements. Traders should exercise caution and use the OBAD indicator in conjunction with other analysis techniques and risk management strategies. Additionally, customization of the OBAD parameters, such as adjusting the length or volume factor, can provide flexibility to adapt the indicator to different market conditions and trading preferences.
Overall, the OBAD indicator serves as a valuable tool for traders to gauge the accumulation and distribution patterns in the market. Its calculation based on volume-weighted price movements and the coloration enhancements make it visually appealing and intuitive to interpret. By incorporating the OBAD indicator into trading strategies and considering its limitations, traders can potentially improve their decision-making process and enhance their trading outcomes.
Accumulation
ICT Macros [LuxAlgo]The ICT Macros indicator aims to highlight & classify ICT Macros, which are time intervals where algorithmic trading takes place to interact with existing liquidity or to create new liquidity.
🔶 SETTINGS
🔹 Macros
Macro Time options (such as '09:50 AM 10:10'): Enable specific macro display.
Top Line , Mid Line , Bottom Line and Extending Lines options: Controls the lines for the specific macro.
🔹 Macro Classification
Length : A length to detect Market Structure Brakes and classify macro type based on detection.
Swing Area : Swing or Liquidity Area selection, highest/lowest of the wick or the candle bodies.
Accumulation , Manipulation and Expansion color options for the classified macros.
🔹 Others
Macro Texts : Controls both the size and the visibility of the macro text.
Alert Macro Times in Advance (Minutes) : This option will plot a vertical line presenting the start of the next macro time. The line will not appear all the time, but it will be there based on remaining minutes specified in the option.
Daylight Saving Time (DST) : Adjust time appropriate to Daylight Saving Time of the specific region.
🔶 USAGE
A macro is a way to automate a task or procedure which you perform on a regular basis.
In the context of ICT's teachings, a macro is a small program or set of instructions that unfolds within an algorithm, which influences price movements in the market. These macros operate at specific times and can be related to price runs from one level to another or certain market behaviors during specific time intervals. They help traders anticipate market movements and potential setups during specific time intervals.
To trade these effectively, it is important to understand the time of day when certain macros come into play, and it is strongly advised to introduce the concept of liquidity in your analysis.
Macros can be classified into three categories where the Macro classification is calculated based on the Market Structure prior to macro and the Market Structure during the macro duration:
Manipulation Macro
Manipulation macros are characterized by liquidity being swept both on the buyside and sellside.
Expansion Macro
Expansion macros are characterized by liquidity being swept only on the buyside or sellside. Prices within these macros are highly correlated with the overall trend.
Accumulation Macro
Accumulation macros are characterized by an accumulation of liquidity. Prices within these macros tend to range.
The script returns the maximum/minimum price values reached during the macro interval alongside the average between the maximum/minimum and extends them until a new macro starts. These levels can act as supports and resistances.
🔶 DETAILS
All required data for the macro detection and classification is retrieved using 1 minute data sets, this includes candles as well as pivot/swing highs and lows. This approach guarantees the visually presented objects are same (same highs/lows) on higher timeframes as well as the macro classification remain same as it is in 1 min charts.
8 Macros can be displayed by the script (4 are enabled by default):
02:33 AM 03:00 London Macro
04:03 AM 04:30 London Macro
08:50 AM 09:10 New York Macro
09:50 AM 10:10 New York Macro
10:50 AM 11:10 New York Macro
11:50 AM 12:10 New York Launch Macro
13:10 PM 13:40 New York Macro
15:15 PM 15:45 New York Macro
🔶 ALERTS
When an alert is configured, the user will have the ability to be notified in advance of the next Macro time, where the value specified in 'Alert Macro Times in Advance (Minutes)' option indicates how early to be notified.
🔶 LIMITATIONS
The script is supported on 1 min, 3 mins and 5 mins charts.
🔶 RELATED SCRIPTS
Institutional Patterns (Expo)█ Overview
The Institutional Patterns indicator is designed to identify and track trading patterns associated with accumulation and distribution primarily used by institutional traders. By analyzing the behavior of large institutional investors and their trading activity, the indicator provides valuable insights into the underlying forces driving the market.
█ How is calculated?
The indicator analyzes various elements such as accumulation/distribution, volume, price action, and liquidity levels to recognize patterns typical of institutional trading activities.
█ How to use
Accumulation/Distribution Areas: The indicator identifies zones where large institutional players are accumulating or distributing their positions, providing users with a clearer understanding of the market's supply and demand dynamics.
Market Tops/Bottoms: The indicator can detect signs of market exhaustion or reversal, highlighting potential market tops and bottoms.
Trend Identification: The indicator analyzes the trading patterns of institutional investors to determine the overall market direction, allowing users to identify prevailing trends easily. By trading in the direction of the dominant trend, traders can increase their probability of success and improve their overall risk-reward ratio.
█ Features
Pre-institutional activity
Institutional Trend activity
Institutional Accumulation/Distribution activity
Institutional Reversal activity
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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!
True Accumulation/Distribution (TG fork)An accumulation/distribution indicator that works better against gaps and with trend coloring.
Accumulation/Distribution was developed by Marc Chaikin to provide insight into strength of a trend by measuring flow of buy and sell volume .
The fact that A/D only factors current period's range for calculating the volume multiplier causes problem with price gaps. They are ignored or even misinterpreted.
True Accumulation/Distribution solves the problem by using True Range instead of only relying on current period's high and low.
Most of the time, True A/D reverts to producing the same values as the original A/D. The difference between True A/D and original A/D can be better seen when a gap has occurred, True A/D has handles it better than Accumulation/Distribution which a bearish close in period's range cause it to misinterpret the strong buy pressure as sell volume
The Moving Average Cloud is simply the filling between the moving average and the True A/D. This feature was inspired by D7R ACC/DIST closed-source indicator, kudos to D7R for making such neat visual indicators (but unfortunately all closed source!).
This indicator was made to extend the original work by adding MTF support and a moving average cloud and coloring.
If you like this indicator, please show the original author RezzaHmt some love:
Consolidation BoxThis script aims to help identify sideways markets. Once price leaves the Box the market will usually start a trending phase. Users can set a percent range to detect markets moving sideways within the range.
Accumulation Manipulation PO3 and MMXMMuch is said about the market maker or manipulation of price, but there aren't many indicators that try to show this, until now.
Using an easily customisable, but intelligent algorithm, this indicator tries to find and highlight when price is 'ranging', or 'accumulating'. It does this by looking at changes in price and quantifying the strength of the change, based on current and historical changes, and can therfore decide if price is staying in range or breaking out. By showing this on the chart several approaches can be taken.
Simply, you can trade within the range, and also trade breakouts of the range, knowing that price will react at these range 'levels'.
Alternatively, you can use the accumulation boxes to try and identify MMXM models, that is Market Maker Buy and Market Maker Sell Models, where price moves in phases of consolidation, smart money reversal and re-accumulation.
Finally, using the manipulation detection option, you can try to identify when a sudden change in price is actually manipulation by institutions, and plan to trade the distribution phase accordingly. This accumulation, manipulation, distribution is also known as Power of 3, PO3.
This indicator does not try to teach any of these ideas, only help to visualise them on the chart, and as such should not be considered financial advice.
Accumulation Stage Identifier and Strategy around for TradingIn the psychology of trading at any market condition, there are four stage usually occurs on any tickers.
Stage 1 -> Neglect phase or consolidation phase
It occurs when the company does not produce the expected result and waiting for next result.
It can extend for days, weeks, months and years. Never give entry at this stage though that blue-chip told to be cheaper in price.
Stage 2 -> Accumulation
It occurs when the company's earning and sales consistently grows.
It can extend for days, weeks, months but should not expect the continues increase in price, as there will be potential pull-back which can be considered as opportunity to accumulate.
If the company fundamental is good, just give some space at the time of pullback.
Most of the time, the pullback volume will be low to compare to volume at the time of increase.
Usually, the stock that is going through accumulation stage will definitely trade above 200SMA and short term MA will be greater than long term moving average.
Continues the highest high and highest low along with volume.
Stage 3 -> Distribution
It occurs when the company's earning and sales stagnated due to certain reason.
It can extend for days, weeks while the price and volume highly volatile.
High volume while the price low
Typically, the stock that is going through distribution stage will certainly trade below 200SMA and short term MA will be lesser than long term moving average.
Continues the lowest high and lowest low along with volume.
Stage 4 -> Capitalization
Price reaches the 52W low while volume spikes on big down.
In each stage, the price & volume are perfect indicator to highlight the situation and the trader with proper discipline and patients can certainly reap the fruitful outcome of accumulation stage.
Based on this explanation, here is the strategy that is created with 50,90 & 200 Simple moving average and price volume trends (PVT) indicator applied on MACD to signal whenever the PVT convergence and divergence.
Note:
As the indicator designed to signal on the ticker that trade above 200 moving average, it is good to use this strategy on companies that are fundamental strong.
Whenever, there is pull back happens, the strategy might signal for exit, however, here comes the traders patient based on the conviction on the particular chosen stocks.
White being patient is good, disciplinary in following the strategy also important. Hence, consider the action when the stock goes opposite direction from your expectation.
Hope this strategy would help you find the profit.
Happy investing.
Trend Identifier StrategyTrend Identifier Strategy for 1D BTC.USD
The indicator smoothens a closely following moving average into a polynomial like plot and assumes 4 staged cycles based on the first and the second derivatives. This is an optimized strategy for long term buying and selling with a Sortino Ratio above 3. It is designed to be a more profitable alternative to HODLing. It can be combined with 'Accumulation/Distribution Bands & Signals' and 'Exponential Top and Bottom Finder'.
Money Flow LineWhat is this? The Money Flow Line (MFL) indicator is at its core a more even-tempered version of the Price-Volume-Trend (PVT). The primary difference is the usage of `hlc3` ((high + low + close) / 3) rather than `close` to use the "typical price" that it critical to the calculation of the Money Flow Index (MFI). Other similar indicators include the Accumulation Distribution Line (ADL) and the On Balance Volume (OBV) indicators. The purpose of all of these indicators is to attempt to measure the strength of the money flow by combining price and volume into a rolling measurement that can be compared over time to look for confirmations and divergences.
The indicator also includes an optional averaging (smoothing) line that can be enabled in the display settings. Enabling this smoothing line with a desired period allows for simpler trend comparisons and also allows the user to view how far the line has diverged from the mean. This creates an indicator very similar to Elder's Force Index (EFI), which is also a `close * volume` style indicator.
Why is this important? After an extreme movement or volume spike the MFI will "snap back" sharply as that bar eventually exits the set period. This produces a result that is meaningless and skews the indicator away from the market structure. Because of this behavior, range clamping, and the loss of comparative history I prefer to shy away from oscillator style indicators. The Money Flow Line instead gives you all of the history so you may compare and see the broader trend without sharp snaps in history based on an arbitrary period setting.
Why is this better? This produces a no-lag indicator that isn't subject to the harsh skewing produced by they Money Flow Index's period calculation. It doesn't lose history like MFI or EFI, is clear about the trend direction, and prefers a "typical price" (averaging the entire range of each bar) rather than whatever happens to be the closing price for a given bar.
How can I use it? The indicator is attempting to measure supply and demand in the markets. No indicator is perfect, but we can use all of the information we have available to make our best predictions. There are only 3 pieces of data the market gives us:
1. Price (action)
2. Volume
3. Time
The Money Flow Line combines all of these data points into a readable rolling data set that attempts to show subtle balance of power shifts based on changes in volume and "smart money" (or "big money") stepping in and out of the picture. Much like PVT, we look for the same things:
- Trend Identification: an up or down trend appears in the MFL
- Confirmations: the MFL agrees with price action in direction and magnitude
- Divergence: the MFL disagrees with price action, indicating a reversal may be coming soon
When applying the smoothing line we can also look for similar things we would with EFI. The primary case would be to look for the MFL to jump very far away from the mean (a high magnitude movement) which indicates that price may be reverting towards the mean soon (a "mean reversion"). On the other hand, it may indicate strength in the current price direction. All of these predictions depend heavily on price action and market structure. Good luck!
Trend IdentifierTrend Identifier for 1D BTC.USD
It smoothens a closely following moving average into a polynomial like plot.
And assumes 4 stage cycles based on the first and second derivatives.
Green: Bull / Exponential Rise
Yellow: Distribution
Red: Bear / Exponential Drop
Blue: Accumulation
Red --> Blue --> Green: indicates the start of a bull market
Green --> Yellow --> Red: indicates the start of a bear market
Green --> Yellow: Start of a distribution phase, take profits
Red --> Blue: Start of a accumulation phase, DCA
Treat Sideways👉 What is this indicator ?
Understanding the Sideways Trend is the best trading method, and we have written this script intending to make you a better sideways filter indicator. Treat Sideways helps you understand the sideways trend and trade in a risk free manner.
👉 On which coins can this indicator be used ?
This indicator is best used on all cryptocurrencies, stocks , forex markets
👉 How work this indicator ?
We understand the trend using our secret logic and price action, and After that, we mark the sideways movement in a box. The moving average line helps us to construct this indicator.
👉 Default Coin and Time Frame ?
XRPUSDT
Time Frame : 1 min
MA Line Color Details 👇
The Blue color of the MA line indicates the Sideways Trend
The Red color of the MA line indicates the Down Trend
The Green color of the MA line indicates the Up Trend
Indicator Settings 👇
Box Height : This setting can be used to set the size of the Sideways trend
Time Gap : This option is used to control unexpected down trend and up trend
Up Down Threshold : This option should be adjusted according to the time frame and voltality
Color :
Option to change the color of the box that appears in the sideways trend
Border Color : Option to change the color of the box border that appears in the sideways trend
Opacity : Option to change the opacity of the box border that appears in the sideways trend
Line Width : You can adjust the width of the MA line with this option
Breakout Accumulation/DistributionBasic modification of my SFP Momentum Indicator showing accumulation/distribution patterns based on breakouts above previous anchor points.
Candles are colored based on whether accumulation or distribution was last.
Best if used at HTF then confirmed at LTF.
Accumulation Distribution Volume Oscillator (ADVO) [JoseMetal]============
ENGLISH
============
- Description:
This indicator has 2 features (currently):
It shows the net volume in a histogram (buy volume in the upper part, sell volume in the bottom part).
Also calculates the difference between accumulation / distribution in a fast vs slow period to plot 2 moving averages and trigger crossovers.
It has an option to ignore the wicks, which sometimes makes it more accurate.
- Visual:
So first of all is the net volume, in the upper part of the histogram the buy volume is printed in green, if the volume keeps going up the histogram bars gets lighter, darker if the volume goes down.
Similarly, we have the sell volume in the bottom part, in red, it also gets lighter if the sell volume increases, and otherwise it gets darker.
And then we have 2 lines, one for the fast and other for the slow period, both shows the DIFFERENCE of the accumulation vs distribution, which can gives us clues about how the market is heading.
The background color changes depending on the status and crossovers:
Fast moving average crossovers the slow = GREEN, if the opposite happens = RED.
The rest of the time it depends on the position of the moving averages and if the fast is above or below the 0 line:
GREEN: FAST > SLOW and FAST > 0
OLIVE: FAST > SLOW but FAST < 0
RED: FAST < SLOW and FAST < 0
ORANGE: FAST < SLOW but FAST > 0
- Usage and recommendations:
Depending on the timeframe, the default 12 and 26 periods (fast / slow) are good, but i noticed that checking lower timeframes with higher settings it gives a better direction of the higher timeframe, example: you want to trade in 1h, but you check the 5 min timeframe with 25 / 100 periods.
That's because the smaller timeframe gives you a more "realistic" volume, more "detailed" volume I'd say.
In fact, in the real testings, I took a wonderful short by checking the 1 minute timeframe with 50 and 200 periods to decide if the 4h was making an accumulation or distribution.
Finally, there's an option to ignore wicks for the moving averages, sometimes it shows better results because ignoring volume within the wicks gives faster results, but I recommend checking both with and without.
- Customization:
So almost everything is customizable, colors, periods... there's an option for the histogram color scheme, but you can change every single color if you want.
You can also pick the moving average type, sometimes WMA is better, but I got better results with the EMA (which is the default).
============
ESPAÑOL
============
- Descripción:
Este indicador tiene 2 características (actualmente):
Muestra el volumen neto en un histograma (volumen de compra en la parte superior, volumen de venta en la parte inferior).
También calcula la diferencia entre acumulación/distribución en un periodo rápido vs lento para trazar 2 medias móviles y generar cruces.
Tiene una opción para ignorar las mechas, lo que a veces lo hace más preciso.
- Visual:
En primer lugar está el volumen neto, en la parte superior del histograma se muestra en verde el volumen de compra, si el volumen sigue subiendo las barras del histograma se hacen más claras, más oscuras si el volumen baja.
Del mismo modo, tenemos el volumen de venta en la parte inferior, en rojo, también se aclara si el volumen de venta aumenta, y de lo contrario se oscurece.
Y luego tenemos 2 líneas, una para el periodo rápido y otro para el lento, ambos muestran la DIFERENCIA entre la acumulación y distribución en su período, que nos puede dar pistas sobre la dirección del mercado.
El color del fondo cambia según el estado y los cruces:
La media móvil rápida cruza la lenta = VERDE, si ocurre lo contrario = ROJO.
El resto del tiempo depende de la posición de las medias móviles y de si la rápida está por encima o por debajo del punto 0:
VERDE: RÁPIDO > LENTO y RÁPIDO > 0
OLIVA: RÁPIDO > LENTO pero RÁPIDO < 0
ROJO: RÁPIDO < LENTO y RÁPIDO < 0
NARANJA: RÁPIDO < LENTO pero RÁPIDO > 0
- Uso y recomendaciones:
Dependiendo del marco de tiempo, los 12 y 26 períodos por defecto (rápido / lento) van bien, pero me di cuenta de que vigilar temporalidades más bajas con períodos más largos da una mejor dirección de la temporalidad superior, ejemplo: queremos operar en 1h, pero miramos el de 5 min con 25 / 100 períodos.
Eso es porque el marco de tiempo más pequeño le da un volumen más "realista", más "detallado" en mi opinión.
De hecho, en las pruebas reales, operé un estupendo short comprobando el marco de tiempo de 1 minuto con 50 y 200 períodos para decidir si el 4h estaba haciendo una acumulación o distribución.
Por último, hay una opción para ignorar las mechas para las medias móviles, a veces muestra mejores resultados ya que ignorar el volumen dentro de las mismas da resultados más rápidos, pero recomiendo comprobar el indicador de ambas formas para hacernos una idea general.
- Personalización:
Casi todo es personalizable, los colores, los periodos... hay una opción para el esquema de colores del histograma, pero puedes cambiar todos los colores si quieres.
También puedes elegir el tipo de media móvil, a veces es mejor la WMA, pero yo obtuve mejores resultados con la EMA (que es la que viene por defecto).
Accumulation_&_Distribution_Aka_ConsolidationZone - BasicDear Traders,
It so happens to the traders that once in their lifetime journey they be sure to here the below statement.
1. I got struck in the consolidation zone
2. Signals from technical indicators failed because prices were consolidating.
3. Its pretty tuff to detect consolidation zone. (programmatically)
I don't know about other but I have heard this throughout my trading journey. Hence I started to debug the above 3 statements and came up with this indicator which detects consolidation zones in the chart.
there are 3 inputs settings
1. ATR multiplier = can be used to filter the consolidation box height. higher the value bigger the box (vertical view) and smaller the value smaller the box height.
2. Show Last No of Zones = set the No of previous zones you would like to see.
3. Consolidation Size = If set to small. all kind of sizes will be plotted ( majorly works for day trading) if set to wide, script looks for major consolidation zones (majorly works for higher timeframes). if set to medium, script looks medium size to wide size zones majorly for timeframe with more than 30 min.
What's this indicator is taking into account?
1. Moving Averages
2. Linear Regression curves
3. ATR
4. BB
5. BBW
6. Couple of Math calculation to support the zone identification.
Note: Plz do suggest for any kind of improvements or feedbacks.
Regards
[UPRIGHT Trading] OrderZones - Supply & Demand (Predictive) (cc)Hello Traders,
This is one that I've been working on a very, Very long time. As easy as it is to draw after the fact, as someone well versed in Supply and Demand; it's a bit more difficult to create all the calculations to show them, code them out, and then I went a step further — attempting to predict future ones as well.
Let's talk about what Supply & Demand Zones are. They are a pattern and technical analysis technique used in day and swing trading. Demand zone represents the area with strongest buying pressure and Supply zone represents selling pressure. Often these zones will show Institutional/Large buyers and sellers executing their orders causing price to move up or down very quickly, creating a long wick on a small and sometimes momentum that feeds into the larger timeframes. Therefore, in the simplest terms, the Supply and Demand Orderzones are the zones the price often gets rejected from or returned to; when Demand exceeds Supply, price jumps up and vice versa.
Unlike lines of support and resistance , these are zones more closely than precise lines, but can help gauge Support and Resistance on the fly.
Richard Wykoff was one of the first market analysts to explain the interaction of these phases, giving them four labels. It is in the understanding of Wyckoff's explanation of market price action, that supply and demand zones are also known as Accumulation and Distribution zones (Accumulation, Markup, Distribution, Markdown).
Shows potential entries on break from zone. Pivots. Large breakdowns or breakouts signalling possible trend change.
Super Fast Real-time Orderzone creation. Resistance line at Supply, shows multiple dimensions of each zone when large enough.
Different calculation, line, transparency settings
Minimalist mode with autobox
Features:
Multiple calculation modes with different lengths and displays.
AutoBox (Predictive Orderzones).
Buy/Sell Highlights.
UPRIGHT – Ultimate Reversals (Support/Resistance version).
Breakouts/Breakdowns + Signals.
Pivot Labels (HH, HL, etc).
Pivot Bar.
Pivot Buy /Sell Signals.
Fully Customizable—Change line types, transparency, colors, etc).
I am still working on the calculations for one more addition, but as it is, this should help anyone automate their S/D technical analysis.
Please see author instructions for access.
Cheers,
Mike
(UPRIGHT Trading)
SFP MomentumCustom swing fail detector with levels and breakouts both major and minor plus colored candles based on SFP momentum.
IBP_AccDistThis indicator plots distribution / accumulation.
Distribution is when price falls by 0.2% and volume is 1.25 times the 20 day average volume.
Opposite is accumulation.
If there are 5 distibution days in a span of 20 days then market direction is confirmed down.
William O Neils method. Parameters tweaked based on Indian markets and my experience.
Cyatophilum Accumulation StrategyAn indicator to backtest and automate accumulation/pyramiding custom strategies.
The goal of the strategy is to buy several times when the price is low and sell all when the position is in profit.
Configure your strategy using the entry options and entry filters, then set your Take Profit and StopLoss.
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█ HOW IT WORKS
The strategy has pyramiding enabled, which means it can open several deals in a row.
It will keep buying until the Take Profit target is reached.
The indicator plots the Take Profit and Break Even line which are recalculated at each new deal.
The target corresponds to the average entry price plus a configurable percentage.
We can see the average entry price line drop lower at each Long Entry.
█ HOW TO USE
Choose a pair that you want to hold/invest in.
Pick a chart time frame that you like, according to how often you want the strategy to place orders. A benefit of this strategy is that it can work on low time frames as well as high time frames. Just keep in mind that the smaller the time frame, the bigger the impact of fees and slippage will be on the strategy results.
Configure your entry condition . You can combine several technical indicators to trigger an entry, such as Top & Bottom, Higher Lows and RSI divergences.
Example with double bottoms:
Filter your entry signal . Add filters to strengthen your entry signal.
Configure your profit target
Use the Take Profit feature to set a target in percentage of price. You can also make it trail.
There is a Trailing Stop Loss feature but the goal of the strategy is to never sell in loss, so it is turned off by default.
Check your backtest parameters
Make sure that the initial capital and order size make sense. Since it is a pyramiding strategy, the sum of all deals should not be bigger than the initial capital.
In this example: Initial capital is 10 k, max active deals is 10, so the max order size is 1 k.
If you use % equity as order size, please note that it will create compounding.
Check the fees, by default they are set to 0.1%.
I also recommend to set a slippage that corresponds to your exchange's spread.
Note: the pyramiding parameter has to be equal to the "Max Active deals" input.
█ FEATURES
• Entry settings
Configure wether to go long or short, or both.
Choose the Max Active deals : the maximum number of deals that you want to open at once.
The Minimum bar delay between deals parameter will help putting space between deals.
• Trend Filter
The trend filter will fitler off long deals when the trend is bearish, and short deals when it is bullish.
Choose a trend line from a list, or any external trend line you can find.
The Trend condition allows to choose wether the trend should switch from slope change or price cross.
• MTF Trend Filter
A secondary trend line, Multi Time Frame.
• Volume Filter
The volume filter will check the bar volume and prevent the entry if it is too low.
• Stop Loss and Take Profit
Configure your stop loss and take profit for long and short trades.
You can also make a trailing stoploss and a trailing take profit.
• Backtest Settings
Choose a backtest period, longs or shorts, wether to use limit orders or not.
An option to close open orders at the current bar if you have multiple open orders and are wondering what it would result to close them now.
Graphics
A Configuration panel with all the indicator settings, useful for sharing/saving a strategy.
A Backtest Results panel with additional information from the strategy tester.
█ ALERTS
The indicator is using the alert() calls: it only uses 1 alert slot to send order messages for each event. This means free TV plans can create 1 complete strategy.
To set your alert messages, open the indicator settings and scroll to the bottom of the "inputs" tab.
Create your alert after you set the messages in the indicator settings, and make sure "Any alert() function call" is set in the alert option.
█ LIMITATIONS
Things to keep in mind when using this strategy.
• No Stop loss
When trading without stop loss, your equity can drop without limit, and it can take a while until price recovers.
This is why when backtesting I recommend to keep an eye on the "Max # Days in trades" statistic which tells the maximum days a trade took to close in profit.
• Spot markets only
Obviously, trading without stop loss means no leverage.
█ BACKTEST RESULTS
The backtest settings used in this snapshot are the following:
Initial Capital: 10 000€
Order size: 1 000 €
Commission: 0.1€ per order
Slippage : 10 ticks
Please read the author instructions below for access and automation.
WhaleCrew AccumulationThis script was built for the BTC weekly chart.
Purpose: Accumulation of longterm (spot) holdings.
Bull Market Support-Band:
Bundle of the 20 EMA & SMA
Often acted as support during previous bullmarkets
Some people like to trade retests/breaks of this band
Accumulation-Band (+ alerts):
Green: Possible Accumulation/DCA Opportunity
Color might change while candle is still open (e.g. Weekly Candle - 19 Jul '21, flipped green -> closed red)
Labels (+ alerts):
Break of the 200 Weekly EMA
Oversold RSI (< 30)
LebahFX AccDist_CandlesLebahFX Indicator that showing Accumulation and Distribution Signal in HTF Candlestick
Price Moving Average Ratio & PercentileIntroducing the Price Moving Average Ratio & Percentile indicator
A simple indicator which calculates :
The ratio between a chosen source price and a user defined moving average ( PMAR ) or
The percentile of the ratio between the chosen source price and a user defined moving average over an adjustable lookback period ( PMARP )
It then displays either the PMAR or PMARP as a line plot with optional user defined signal moving average.
It also plots an optional Visual Alert Level line and background signal bars.
Indicator Settings
Main Properties :
Source Price .. choice of price values or external value from another indicator ( default )
Line Plot Type .. choice between PMAR or PMARP ( default PMAR )
Price Moving Average Ratio Settings :
PMAR Length ..The time period to be used in calculating the Moving Average for the Price Moving Average Ratio and the PMAR component of the PMARP. ( default )
PMAR Type ..The type of Moving Average which creates the MA for the Price Moving Average Ratio and the PMAR component of the PMARP. ( default )
Price Moving Average Ratio Percentile Settings :
PMARP Lookback .. The lookback period to be used in calculating the Price Moving Average Ratio Percentile.
Line Plot Color Settings :
Gives a choice between a user defined solid color, and a choice of "Blue Green Red", or "Blue Red" spectrum palettes.
Signal Moving Average Settings :
Signal MA Length ..The time period to be used in calculating the Signal Moving Average for the Line Plot ( default )
Signal MA Type ..The type of Moving Average which creates the Signal Moving Average for the Line Plot ( default )
Signal Moving Average Color Settings :
Gives a choice between a user defined solid color, and a choice of "Blue Green Red", or "Blue Red" spectrum palettes.
Visual Alert Level Settings :
Alert level .. Level which activates the background signal bars ( default )
Typical Use case for the Price Moving Average Ratio
Traders and Technical Analysts will typically use the PMAR as an accumulation signal generator.
To do this....
Set a level below 1 where it has been historically profitable to accumulate the asset in question on the chosen timeframe.
Typical Use case for the Price Moving Average Ratio Percentile
Traders and Technical Analysts will look at the PMARP to judge how far away current PA is away from the defined MA based on a statistical measure of the lookback period in a percentile format.
Traders and Technical Analysts will typically use the PMAR as an accumulation signal generator.
To do this...
Set a low level where it has been historically profitable to accumulate the asset in question on the chosen timeframe.
Note : The default settings are specifically set up for use on the daily timeframe with a MA of 140 equating (approximately) to the 20 week moving average.
This is not a stand alone indicator and should be used in combination with volatility and momentum indicators for a more effective trading edge.
Ants - Momentum, Volume and Price (MVP)The Ants indicator is based on the research of David Ryan, three-time winner of the U.S. Investing Championship. David came up with the idea for the indicator while managing the New USA Growth Fund at William O’Neil + Company. David was interested to understand what drove some stocks higher once they were extended from their most recent base, while others had only moderate moves up.
What David found during his research was that stocks making the biggest moves often had consistent buying on volume over a period of 12 to 15 trading days. Stocks with these characteristics may be under institutional accumulation, where it may take days to weeks to fill a position.
— Momentum, Volume And Price (MVP) —
The Ants indicator looks for the following:
■ Momentum - The stock is up at least 12 of the past 15 days.
■ Volume - The volume has increased over the past 15 days by 20% to 25%.
■ Price - The price is up at least 20% over the past 15 days.
— Why Is The Indicator Called Ants? —
The "Ants" reference comes from the original implementation at William O'Neil where small black marks were placed above price bars when the MVP criteria were met.
— Ant Colors —
When the indicator was created at William O'Neil, Ants were shown only when all three MVP requirements had been met. You may find it helpful to see Ants when momentum and volume or momentum and price are detected. With that in mind, the Ants indicator supports the following:
■ Gray Ants - Momentum requirement met.
■ Blue Ants - Momentum and price requirements met.
■ Yellow Ants - Momentum and volume requirements met.
■ Green Ants - Momentum, volume and price requirements met.
— What Does It Mean If More Than 15 Ants Are Shown? —
It is possible that two or more consecutive series of Ants overlap. For example, you may have one series of 15 bars that meet all the MVP requirements. Somewhere within that series, another run of 15 bars may begin that also meets the MVP requirements. In situations such as this, once each run of 15 Ants is displayed, the total number of consecutive Ants shown will be greater than 15.
— Acknowledgement —
Many thanks to David Ryan for his time to clarify the details of the MVP requirements and providing feedback and suggestions during the development of the Ants indicator.
Average Dollar VolumeDollar volume is simply the volume traded multiplied times the cost of the stock.
Dollar volume is an extremely important metric for finding stocks with enough liquidity for market makers to position themselves in. Market Liquidity is defined as market's feature whereby an individual or firm can quickly purchase or sell an asset without causing a drastic change in the asset's price. The key concept you want to understand is that these big instructions with billions of dollars need liquidity in a stock in order to even think about buying it, and therefore these institutions will demand a large dollar volume. A good dollar volume amount, that represents a pretty liquid name, is typically above 100 million $ average. Why are institutions important? Simple because they are the ones who make stocks move, and I mean really move. If you want to see large growth from a stock in a short amount of time, you need institutions wielding billions of dollars to be fighting one another to buy more shares. Institutions are the ones who make or break a stock, this is why we call them market makers.
My script calculates average dollar volume using four averages: the 50, the 30, the 20, and the 10 period. I use multiple averages in order to provide the accurate and up to date information to you. It then selects the minimum of these averages and divides this value by 1 million and displays this number to you.
TL;DR? If you want monster moves from your stocks, you need to pick names with average high liquidity(dollar volume >= $100 million). The number presented to you is in millions of whatever currency the name is traded in.
