BOS Pullback + CVD Clustering - Prop Firm EditionBOS Pullback + CVD Clustering
Overview
The BOS Pullback + CVD Clustering system is a professional-grade toolkit designed for high-precision intraday trading. It is specifically built for traders aiming to pass or manage Prop Firm accounts, where risk management and trend alignment are non-negotiable.
This script moves beyond basic price action by integrating Order Flow (CVD Z-Score Clustering), Market Structure (BOS), and Multi-Timeframe Momentum (SMI) into a single, cohesive execution engine.
Core Pillars of the Strategy
1. Market Structure & BOS Logic
The script automatically tracks Market Structure using dynamic pivots.
BOS Detection: When price closes above a recent high (Bullish) or below a recent low (Bearish), it identifies a Break of Structure (BOS).
The Pullback Zone: Signals do not fire on the breakout (chasing). Instead, the script waits for a pullback to the silver BOS Level within an ATR-optimized buffer.
2. CVD Z-Score Clustering (Order Flow)
This is the heart of the engine. It categorizes every bar into one of 9 clusters by comparing Volume and Cumulative Volume Delta (CVD) against their statistical Z-Scores.
Institutional Conviction: Signals are filtered to only allow entries during high-conviction clusters (High/Avg Volume + High Delta).
Absorption Filter: It prevents you from buying a pullback if the CVD shows aggressive selling, even if the price is at a support level.
3. Multi-Timeframe (HTF) SMI Filter & Squeeze Detection
To protect you from "choppy" environments, the script monitors a Higher Timeframe (HTF) Stochastic Momentum Index.
Trend Filter: Longs only fire if the HTF SMI is trending above its signal line.
The Squeeze (Gray Background): When the HTF SMI and its signal line converge (within 5 points), the background turns gray. This indicates a low-volatility "Squeeze" or trend exhaustion—a high-risk environment for breakouts where Prop Firm traders should stay sidelined.
Dual-Layer Momentum HUD
The script features two distinct momentum measurements to ensure both the "Trend" and the "Execution Bar" are powerful.
Internal Acceptance Score (UI Table): Ranging from -4 to +4, this measures Trend Quality (consecutive candle colors and volatility expansion). You can set the threshold (1-4) in the inputs to filter for only the most aggressive trend moves.
Micro-Momentum Gauge (Bottom Left): Ranging from -10 to +10, this tracks Immediate Velocity. It analyzes closing strength and range expansion of the last two candles. A score of ±6 or higher confirms a high-velocity execution bar.
Built-in Prop Firm Risk Management
Supply & Demand Zones: Automatically plots institutional "Premium" (Red) and "Discount" (Green) zones based on the current swing range.
ATR Trailing Stop: A dynamic orange line that follows price to protect capital.
Automated Break-Even: Once price hits a user-defined ATR target, the active stop is moved to the entry price.
Prior Day Levels: Automatic plotting of PDH and PDL for critical daily bias context.
How to Trade with this System
Bias: Check the Trend Dir in the internal table and ensure the background is not gray.
Setup: Wait for price to return to the silver BOS Level.
Trigger: A signal (Triangle) appears when HTF Trend, CVD Order Flow, and Momentum (Acceptance Score) align.
Execution: Confirm the Micro-Momentum Gauge shows high velocity (±6 or more) for the highest probability entries.
Manage: Target the Lime Green TP line while the Orange Trailing Stop protects your drawdown.
Disclaimer
This indicator is a tool to assist in market entry analysis and does not guarantee profits. Always use proper risk management, especially when trading with Prop Firm capital.
