Optimized Logarithmic Curve for Bitcoin (BTC/USD) by FICASHello everyone!
I'd like to share with you a handy tool that is incredibly useful for analyzing Bitcoin's price movements. This optimized logarithmic curve indicator is a refined version of the popular "My BTC log curve" indicator, originally created by @quantadelic.
We have made several improvements to enhance its predictive capabilities when it comes to identifying potential price bottoms for Bitcoin BTC/USD.
Description:
In this detailed analysis, we are excited to introduce you to an optimized version of the popular "My BTC log curve" indicator, originally created by @quantadelic. We have refined the indicator for enhanced predictive capabilities when it comes to identifying potential price bottoms for Bitcoin BTC/USD. By putting ourselves in the reader's shoes, we aim to provide a comprehensive and meaningful explanation of our analysis and predictions using this improved tool.
The logarithmic curve is a powerful tool for analyzing price movements in a non-linear fashion, allowing traders and investors to identify critical turning points and trends. With the optimized logarithmic curve, we can more accurately predict potential price bottoms, ultimately guiding better-informed trading and investment decisions.
Key Features of the Optimized Logarithmic Curve:
Improved predictive capabilities: The refined logarithmic curve has been optimized to provide more accurate predictions of potential price bottoms, enabling traders to make better-informed decisions.
Enhanced visualization: The optimized curve offers a clearer visual representation of Bitcoin's price movements, making it easier for traders to identify patterns and trends.
Adaptability: This indicator can be applied to various timeframes, providing insights for both short-term and long-term traders.
The optimized logarithmic curve indicator is based on a logarithmic regression of the USD price of Bitcoin, calculated according to the equation:
y = A * exp(beta * x^lambda + c) + m * x + b
where x is the number of days since the genesis block. All parameters are editable in the script options, allowing traders to customize the curve to their preferences.
Here are some of the key changes made to the original indicator to create the optimized logarithmic curve:
Midline Calculation: The optimized logarithmic curve utilizes an updated method for calculating the midline, which better represents the average price movement of Bitcoin over time. This improved midline calculation provides a more accurate representation of Bitcoin's historical price trajectory, making it easier to identify potential price bottoms.
Cross Line Calculation: We have modified the way cross lines are calculated in the optimized logarithmic curve. These new cross lines are derived from a combination of the updated midline calculation and historical support and resistance levels. This change allows traders to more accurately identify critical points in the market where price action is likely to reverse or continue its trend.
Table Display: a powerful visualization tool designed to provide a comprehensive overview of the relationships between various exponential curves and the Bitcoin price. This table display, integrated into the "FiCAS BTC log curve" indicator, enables traders and analysts to quickly compare and assess the impact of these curves on the market.
Our analysis using the optimized logarithmic curve suggests that Bitcoin might be at a critical price bottom, indicating that selling at this point may not be the most prudent course of action. Instead, traders and investors could consider taking advantage of the potential upswing as the market moves away from the identified price bottom.
Key highlights of this Optimized Logarithmic Curve for Bitcoin (BTC/USD) by FICAS:
Custom Pine Script: Pinescript code serves as the backbone of this strategy, providing a strong foundation for identifying potential opportunities based on the relationships between exponential curves and Bitcoin price.
MACD Indicator: The Moving Average Convergence Divergence (MACD) is integrated to help traders recognize trend reversals, bullish or bearish market conditions, and potential entry or exit points.
Momentum Indicator: By incorporating the Momentum (10, close) indicator, traders can identify the strength of price movements and potential trend continuations or reversals.
RSI and SMA: The Relative Strength Index (RSI) is used to assess overbought or oversold conditions, while the Simple Moving Average (SMA) with a period of 14 and an applied factor of 2 smoothens the data for better trend identification.
IMPORTANT:
While this indicator can be applied to traditional BTC/USD charts, we highly recommend using it on the following chart for optimal results in identifying price bottoms:
BITSTAMP:BTCUSD / CRYPTOCAP:BTC.D * 100
By employing the optimized logarithmic curve indicator on the recommended chart, traders can gain a more accurate perspective on potential price bottoms, leading to improved decision-making.
In conclusion, the optimized logarithmic curve indicator provides valuable insights into Bitcoin's price movements, allowing traders and investors to make more informed decisions. We encourage you to test this refined tool and share your thoughts in the comments section. Special thanks to @quantadelic, the first creator of this indicator, for inspiring us to develop this optimized version. If you have any questions or require further clarification, please feel free to ask. Wishing you success in your trading and investment endeavors!
Please ensure you understand and abide by the TradingView House Rules when using this indicator: www.tradingview.com
"crypto" için komut dosyalarını ara
Simple Dominance Momentum IndicatorThe Simple Dominance Momentum Indicator is a powerful tool for tracking market trends in the world of cryptocurrency. By analyzing the relationship between dominance and market movement, this indicator helps traders identify when money is flowing into or out of the market.
Using the pane structure on TradingView, the Dominance Momentum Indicator makes it easy to visualize and track data from CryptoCap charts. Whether you're a seasoned investor or starting out, this indicator can help you make more informed trading decisions.
All this indicator does is create the pane with a line chart using the Dominance charts to allow you to see the data with one button instead of doing it all manually. However with the addition to allow it to toggle between crypto and stables, so if you are using a /BTC pair, you don't have to add a new pane on, it automatically converts. If you are looking at USDT pairs for example, it will highlight that one for you.
While it can work under any conditions, the Dominance Momentum Indicator is particularly effective on higher timeframes, providing valuable insight into the overall plot of the market trend. With a 55EMA and a faster-moving average of 21EMA, this indicator is designed to help you stay ahead of the curve and make smarter trading decisions.
Remember the golden rule for stablecoin dominance. Down = good, and up = bad; however, you can just invert the indicator, so it flows with the market.
When it comes to the dominance of individual cryptocurrencies, for example, DOT.D, you might find that it going up = increasing dominance is STRENGTH. If the dominance of that is increasing it means it's growing.
Creator Credit: Jamie Goodland
robotrading body-limitThis is a very simple and universal strategy. Good for crypto. For BTC/USD, shitcoin/BTC .
Strategy
Long positions only. If the candle is falling and the candle body is 3 or more times the average candle body, then open a long position by limit order.
If the candle is rising, we should close a long position.
Short positions are not used.
This is a counter-trend strategy.
The average body of a candlestick is the arithmetic average of the bodies of the previous 100 bodies.
Parameters
The multiplier is the number of times the candlestick body should be bigger than the average candlestick body to get a signal to open a long position.
Recommended
- A timeframe of 4 hours to 1 day
- Cryptocurrencies with large market capitalization
- you can use coin/USD, coin/USDT, coin/BTC , coin/ETH, etc
High-Low IndexHello All,
High-Low Index is a breadth indicator based on Record High Percent (RHP). RHP is based on new 52-week highs and new 52-week lows. RHP => 100 * (new highs) / (new highs + new lows). High-Low Index is a 10-day Simple Moving Average of the RHP, which makes it a smoothed version of RHP. You can find many articles about High-Low Index on the net.
High-Low Index above 50 indicates that there are more new highs than new lows, and considered as Bullish.
High-Low Index below 50 indicates that there are more new lows than new highs, and considered as Bearish.
High-Low Index = 0 indicates there is no new highs (0% new highs).
High-Low Index = 100 indicates that there is at least 1 new high and no new lows.
and High-Low Index = 50 indicates that new highs and new lows is equal.
by default 40 cryptos are used in the script and shows High-Low Index for these cryptos. but you can change them as you wish. for example you can set all of them as stocks and see High-Low Index for these stocks.
You can set " Time frame " and the " Length " using the options. For example; if you set " Time frame " = 1 Week and the " Length " = 52 then it finds High-Low Index for 52weeks .
or another example; if you set " Time frame " = 1 Day and the " Length " = 22 the High-Low Indexn it finds High-Low Index for 22days.
You can enable/disable Record High Percent or Simple Moving Average of High-Low Index. Some traders use High-Low Index with its SMA, for example; High-Low Index generates a buy signal when it crosses above its moving average, and a sell signal when it crosses below its moving average.
Optionally you can see the securities in a table on the left bottom, you can change table size by usşng the options.
In the Table, for each security/cell;
=> if background is green then it has New High
=> if background is red then it has New Low
=> if background is gray then no New High, no New Low
=> if background is back then Data is not available for the security
As you can see in the screenshot below, the securities were changed and stocks are used instead of cryptos, so it calculates & shows High-Low Index for these stocks.
you can also find explanation in this screenshot:
Enjoy!
TradingGroundhog - Strategy & Fractal V1#-- Public Strategy - No Repaint - Fractals -- Short term
Here I come with another script, more simple than Wavetrend V1. You will love it.
#-- Synopsis --
Another simple idea, on a small time frame (15 min) we buy when the opening price goes below a Bottom fractals and sell when it goes over a Top fractals, but as this script do not use Wavetrends. You should stop by your self to use the script during long lasting downtrends.
I developed the strategy using BTC /EUR 3 MIN BINANCE but it can be applied to many other cryptos, I don't know for forex or others. You can use it for short term (to a month of uptrend) and automated trading.
#-- Graph reading --
And now, how to read it ?
Fractals:
Yellow Flags occur when the opening price goes below a Bottom fractal , it means Buy.
White Flags appear when the opening price goes over a Top fractal , it means Sell.
#-- Parameters --
*** Parameters have been intensively optimized using 10 cryptocurrency markets in order to have potent efficiency for each of them. I would recommend to only change the Can Be touch parameter. For the others, I don't recommend any modifications. The idea behind the script is to be able to switch between markets without having to optimize parameters, less work, easy to target active crypto and therefor limit the risks. ***
Can be touch :
'Filter fractals' : Activate or Disable the filtering fractal operation. If Enable, buy during less risky periods. (Activate is often better)
Can be touch but not necessary :
'VolumeMA' : The Volume corrector used by the fractals
'Extreme window' : The number of price individuals to look for if we want to remove extreme fractals.
Not to touch :
'Long Sop Loss (%)' : The minimal difference of price between a Fractal bottom and the opening price to buy.
#-- Time frame --
Should be used with the following time frames depending on the necessity:
1 MIN
3 MIN (Preferred with the parameters set)
5 MIN
#-- Last words --
The script can be set up to send Tradingview signals to 3comma just by adding comment = " " in strategy.close_all() and strategy.entry().
Good trades !
Disclaimer (As it should always be one to any script)
***
This script is intended for and only to be used for personal purposes only. No such information provided by it constitutes advice or a recommendation for any investment or trading strategy for any specific person. There is no guarantee presented or implied as to the accuracy of specific forecasts, projections, or predictive statements offered by the script. Users of the script agree that its original developer does not take responsibility for any of your investment decisions. Please seek professional advice before trading.
***
# Here are the results from the 20rst of September 2021 with 100% of equity on the BTC /EUR 3 Min and with a capital of 10 000 EUR. So almost, one month.
# As I saw, it goes from +30% to more than +160% (the great SHIB) depending on the selected crypto. It may be negative if you spot a downtrend.
TradingGroundhog - Strategy & Wavetrend V2#-- Public Strategy - No Repaint - Fractals - Wavetrend --
Here I come with another script, a nice and simple strategy based on fractals and Wavetrends.
#-- Synopsis --
A simple idea, on a small time frame (15 min) we buy when the opening price goes below a Bottom fractals and sell when it goes over a Top fractals, but in order to avoid bad and evil downtrends, we use Wavetrends based on a Daily time frame. From it, Tops and Bottoms are extracted. If the opening price goes above Wavetrend Tops, no trades will be conducted during the day. If the price goes below Wavetrend bottoms, no trades will be executed from 1 to N days, until a new Wavetrend bottom is generated.
I developed the strategy using BTC /EUR 15 MIN BINANCE but it can be applied to many other cryptos, I don't know for forex or others. You can use it for long term and automated trading, I implemented the Wavetrend indicator to do so, or for short term if you have spot a long coming uptrend. Test it, look at its profit and long or short period on your crypto of choice.
#-- Graph reading --
And now, how to read it ?
Wavetrends:
Red Backgrounds are associated to No Trade periods. These periods occur when the price goes below a Wavetrend bottom or above a Wavetrend Top. They are here to limit the loss.
Blue Gradient lines represent the past Tops. For each bar, only the increasing values of the Wavetrend tops are acquired. Going from light to dark blue based on the age of the Tops. Thus, if on line goes from dark to light, this means the price is approaching a previous Wavetrend top. In the opposite, if it darken, thus the price say 'buy buy' and go dropping.
Yellow Gradient lines represent the past Bottoms. They are based on the same principe that the blue lines.
Fractals:
Yellow Flags occur when the opening price goes below a Bottom fractal , it means Buy.
White Flags appear when the opening price goes over a Top fractal , it means Sell.
#-- Parameters --
*** Parameters have been intensively optimized using 10 cryptocurrency markets in order to have potent efficiency for each of them. I would recommend to only change the Can Be touch parameter. For the others, I don't recommend any modifications. The idea behind the script is to be able to switch between markets without having to optimize parameters, less work, easy to target active crypto and therefor limit the risks. ***
Can be touch :
'Combined Smoothness' : The number of open individuals used by the Wavetrend. (6 or 9, often 9 is better but with less volatile crypto it will be 6)
'Filter fractals' : Activate or Disable the filtering fractal operation. If Enable, buy during less risky periods. (Disable is often better)
Can be touch but not necessary :
'VolumeMA' : The Volume corrector used by the fractals
'Extreme window' : The number of price individuals to look for if we want to remove extreme fractals.
Not to touch :
'Limit_candle to look on' : Number of candles to use to compute the Wavetrend Tops and Bottoms.
'Length top bottom drawn' : Size of the lines
'Long Sop Loss (%)' : The minimal difference of price between a Fractal bottom and the opening price to buy.
#-- Time frame --
Should be used with the following time frames depending on the necessity:
1 MIN
3 MIN (Interesting for short term profit, may need some parameter ajustements)
5 MIN
15 MIN (Preferred for long term profit, the script was developed on it)
#-- Last words --
The script can be set up to send Tradingview signals to 3comma just by adding comment = " " in strategy.close_all() and strategy.entry().
Good trades !
Disclaimer (As it should always be one to any script)
***
This script is intended for and only to be used for personal purposes only. No such information provided by it constitutes advice or a recommendation for any investment or trading strategy for any specific person. There is no guarantee presented or implied as to the accuracy of specific forecasts, projections, or predictive statements offered by the script. Users of the script agree that its original developer does not take responsibility for any of your investment decisions. Please seek professional advice before trading.
***
# Here are the results from the 1rst of July 2021 with 100% of equity on the BTC /EUR 15 Min and with a capital of 1 000 EUR.
# As I saw, it goes from +20% to more than +100% depending on the selected crypto. Sometimes it's negative but it's quite rare on crypto using the EUR.
TradingGroundhog - Fundamental Analysis - Multiple RSI Ema(Script Available Version of my previous Fundamental Analysis - Multiple RSI Ema )
As the number of crypto currencies is expanding, we need to find the one which will boom in the next months, weeks or even days.
Therefore, I present to you a Fundamental Analysis tool based on RSI built in order to compare the RSI between the diverse cryptocurrencies.
When cryptocurrencies start to trend, become active, minable and especially "buyable", people are investing their money into them.
As a result,the Daily RSI rises and the price of the crypto in question increases steadily.
With "Fundamental Analysis - Multiple RSI EMA" you can :
Follow up to 20 RSI from different exchanges at the same time.
Find easily Increasing/Decreasing RSI as the lines get transparent if their RSI decrease.
You can also select market with high potential of booming as :
Booming Market : 60 < Daily RSI <= 100 (Strong green background)
Potent Market : 55 < Daily RSI <= 60 (Light green background)
Sleepy Market : 50 < Daily RSI <= 55 (Light red background)
Dying Market : 0 < Daily RSI <= 50 (Strong red background)
Futur booming crypto will go from the Potent Market to the Booming Market
Can be used with the following time frames depending on the necessity:
4H
Daily (Preferred)
Weekly
Monthly
Good trades !
Disclaimer (As it should always be one to any script)
***
This script is intended for and only to be used for personal purposes only. No such information provided by it constitutes advice or a recommendation for any investment or trading strategy for any specific person. There is no guarantee presented or implied as to the accuracy of specific forecasts, projections, or predictive statements offered by the script. Users of the script agree that its original developer does not take responsibility for any of your investment decisions. Please seek professional advice before trading.
***
robotrading bodyThis is a very simple and universal strategy. Good for crypto. For BTC/USD, shitcoin/BTC.
Strategy
Long positions only. If the candle is falling and the candle body is 3 or more times the average candle body, then open a long position.
If the candle is rising, we should close a long position.
Short positions are not used.
This is a counter-trend strategy.
The average body of a candlestick is the arithmetic average of the bodies of the previous 100 bodies.
Parameters
The multiplier is the number of times the candlestick body should be bigger than the average candlestick body to get a signal to open a long position.
Recommended
- A timeframe of 4 hours to 1 day
- Cryptocurrencies with large market capitalization
- you can use coin/USD, coin/USDT, coin/BTC, coin/ETH, etc
+ Detrended Price OscillatorAccording to TradingView the Detrended Price Oscillator is an oscillator that removes trend from price in order to more clearly show an instrument's cyclical
highs and lows so that an investor or trader may more easily time when to buy or sell the underlying instrument. Accordingly, it is not meant to be used as a way of gauging momentum, however, I find it perfectly suitable for the task (at least when used "un-centered" which is how it comes by default here). If you wish to read up more on the DPO just search for it under indicators. It's built in, so you'll find all the information you need on it there. Or check investopedia.
On to the good stuff. What have I done and how does this work?
As un-centered you can use it just like any other momentum oscillator. Price above the zero line is bullish and below is bearish, generally speaking.
I've added two moving averages that you can turn on or off, and choose amongst various types and lengths. Both of these are colored based on trend.
The DPO is also colored based on trend, with a neutral color based on where the DPO is relative to the primary MA and the zero line.
Candles are colored in the same way that the DPO is.
I've added Bollinger Bands because they could be useful on an indicator like this.
All the alert conditions you could dream of.
With this set to centered you will notice that the DPO is not inline with current price. That is intentional, as it's only designed to look at historical price
data to time highs and lows of price movement. As such, I don't recommend using this when set to centered, at least if you're trading crypto. The price volatility
perhaps makes for inconsistent timing of cyclical highs and lows, or perhaps it's the rather brief amount of time cryptocurrencies have been in existence.
I do not know. Just stick to using it un-centered.
The above image shows the indicator with Bollinger Bands turned on and the MA's turned off. Also, you should note that the candle color and DPO color is based on the primary moving average you are using. If you want consistency, and want to use the Bollinger Bands, then keep your primary moving average set as a 20 SMA, as that is the basis for Bollinger Bands.
Hope this is helpful to you. Definitely pair it with an additional indicator like an RSI, or my +ADP. I like to use something rangebound to compare its signals to.
Bitcoin Margin Call Envelopes [saraphig & alexgrover]Bitcoin is the most well known digital currency, and allow two parties to make a transaction without the need of a central entity, this is why cryptocurrencies are said to be decentralized, there is no central unit in the transaction network, this can be achieved thanks to cryptography. Bitcoin is also the most traded cryptocurrency and has the largest market capitalization, this make it one of the most liquid cryptocurrency.
There has been tons of academic research studying the profitability of Bitcoin as well as its role as a safe heaven asset, with all giving mixed conclusions, some says that Bitcoin is to risky to be considered as an hedging instrument while others highlight similarities between Bitcoin and gold thus showing evidence on the usefulness of Bitcoin acting as an hedging instrument. Yet Bitcoin seems to attract more short term speculative investors rather than other ones that would use Bitcoin as an hedging instrument.
Once introduced, cryptocurrencies where of course heavily analyzed by technical analyst, and technical indicators where used by retail as well as institutional investors in order to forecast the future trends of bitcoin. I never really liked the idea of designing indicators that specifically worked for only one type of market and ever less on only one symbol. Yet the user @saraphig posted in Feb 20 an indicator called " Margin Call MovingAverage " who calculate liquidation price by using a volume weighted moving average. It took my attention and we decided to work together on a relatively more complete version that would include resistances levels.
I believe the proposed indicator might result useful to some users, the code also show a way to restrict the use of an indicator to only one symbol (line 9 to 16).
The Indicator
The indicator only work on BTCUSD, if you use another symbol you should see the following message:
The indicator plot 6 extremities, with 3 upper (resistance) extremities and 3 lower (support) extremities, each one based on the isolated margin mode liquidation price formula:
UPlp = MA/Leverage × (Leverage+1-(Leverage*0.005))
for upper extremities and:
DNlp = MA × Leverage/(Leverage+1-(Leverage*0.005))
for lower extremities.
Length control the period of the moving averages, with higher values of length increasing the probability of the price crossing an extremity. The Leverage's settings control how far away their associated extremities are from the price, with lower values of Leverage making the extremity farther away from the price, Leverage 3 control Up3 and Dn3, Leverage 2 control Up2 and Dn2, Leverage 1 control Up1 and Dn1, @saraphig recommend values for Leverage of either : 25, 20, 15, 10 ,5.
You can select 3 different types of moving average, the default moving average is the volume weighted moving average (VWMA), you can also choose a simple moving average (SMA) and the Kaufman adaptive moving average (KAMA).
Based on my understanding (which could be wrong) the original indicator aim to highlight points where margin calls might have occurred, hence the name of the indicator.
If you want a more "DSP" like description then i would say that each extremity represent a low-pass filter with a passband greater than 1 for upper extremities and lower than 1 for lower extremities, unlike bands indicators made by adding/subtracting a volatility indicator from another moving average this allow to conserve the original shape of the moving average, the downside of it being the inability to show properly on different scales.
here length = 200, on a 1h tf, each extremities are able to detect short-terms tops and bottoms. The extremity become wider when using lower time-frames.
You would then need to increase the Leverages settings, i recommend a time frame of 1h.
Conclusion
I'am not comfortable enough to make a conclusion, as i don't know the indicator that well, however i liked the original indicator posted by @saraphig and was curious about the idea behind it, studying the effect of margin calls on market liquidity as well as making indicators based on it might result a source of inspiration for other traders.
A big thanks to @saraphig who shared a lot of information about the original indicator and allowed me to post this one. I don't exclude working with him/her in the future, i invite you to follow him/her:
www.tradingview.com
Thx for reading and have a nice weekend! :3
Simple Alt Coin Strategy - EMA and MACD w/Profit and StopThis script prints BUY and SELL signals based on settings you input. I use it to save time while scrolling through charts deciding what alts I want to look at.
BUY SIGNALS
Positive EMA Crossover
Positive MACD Crossover
Single Candle Gains
SELL SIGNALS
Profit Capture
Stop Loss
I don't trade based just on the BUY or SELL from this strategy, but I have found that these indicators do very well well looking at the large cap alt coins. It backtests well.
Default Settings EMA 5/12/50, MACD 9/12/26, Single Candle Gain 10%, Stop 10%, Profit Capture 45%
[BoTo] RSI Trend StrategyOpen source code.
It is very old trade strategy. It is older than you :) Uses the RSI indicator. The RSI indicator has described Welles Wilder in the book in 1978. And all this is still profitable!
Additional articles
1. en.wikipedia.org
2. en.wikipedia.org
3. www.tradingview.com(RSI)
How it works
Step 1. The user chooses length for RSI
Step 2. If RSI is more than 50, then it is a uptrend and the long position opens. It is necessary to close a short position if it is opened earlier.
Step 3. If RSI is less than 50, that is a downtrend and the short position opens. It is necessary to close a long position if it is opened earlier.
Well is suitable for the market of cryptocurrencies. Well length from 3 to 7 approaches. Don't use length 14 because for cryptocurrencies it is too much. Cryptocurrencies it is very volatile market. You can also use the RSI indicator which is built in on TradingView.com.
Simple profitable trading strategyThis strategy has three components.
Philakones EMAs are a sequence of five fibonacci EMAs. They range from 55 candles (green) to 8 candles (red) in length. A strong trend or breakout is marked by the emas appearing in sequence of their length from 8 to 55 or vice versa. These EMAs are also used to signal an exit. Only two EMAs are used for exit signals - when the 13 EMA crosses over/under the 55 EMA.
RSI gives a bullish signal when 40 > rsi > 70. Exit signals are oversold (30) or overbought (70)
Stochastics give a bullish signal when stoch < 80 and an exit signal when > 95.
Results include 3 ticks of slippage and taker fees of .002. Provides a pretty smooth equity curve with a 73% win rate and beats buy and hold by than 10x (returns about 60x overall) since start of 2017.
Noro's SILA v1.6L StrategyBacktesting
Backtesting (for all the time of existence of couple) only with software configurations to default (without optimization of parameters):
US = Uptrend-Sensivity
DS = Downtrend-Sensivity
It is recommended and by default:
- the normal market requires US=DS (for example US=5, DS=5)
- very bear market requires US DS, (for example US=5, DS=0)
- very bull market requires US DS, (US=0, DS=5)
Cryptocurrencies it is very bull market (US=0, DS=5)
Backtesting BTC/FIAT
D1 timeframe
identical parameters for all pairs
BTC/USD (Bitstamp) profit of +41805%
BTC/EUR (BTC-e) profit of +1147%
BTC/RUB (BTC-e) profit of +1162%
BTC/JPY (Bitflyer) profit of +215%
BTC/CNY (BTCChina) profit of 54948%
Backtesting ALTCOIN/BTC
D1 timeframe
identical parameters for all pairs
the exchange Poloniex
top-10 of cryptocurrencies on capitalization at the time of this text
NA = TradingView can't make backtest because of too low price of this cryptocurrency, or on the website there are no quotations of this cryptocurrency
ETH/BTC (Etherium) profit of +11690%
XRP/BTC (Ripple) loss of-100%
LTC/BTC (Litecoin) NA
ETC/BTC (Etherium Classic) profit of +214%
NEM/BTC loss of-49%
DASH/BTC profit of +106%
IOTA/BTC NA
XMR/BTC (Monero) profit of +96%
STRAT/BTC (Stratis) loss of-31%
ALTCOIN/ALTCOIN - not recomended
I don't need your money, I need reputation and likes.
Ultimate MACD [captainua]Ultimate MACD - Comprehensive MACD Trading System
Overview
This indicator combines traditional MACD calculations with advanced features including divergence detection, volume analysis, histogram analysis tools, regression forecasting, strong top/bottom detection, and multi-timeframe confirmation to provide a comprehensive MACD-based trading system. The script calculates MACD using configurable moving average types (EMA, SMA, RMA, WMA) and applies various smoothing methods to reduce noise while maintaining responsiveness. The combination of these features creates a multi-layered confirmation system that reduces false signals by requiring alignment across multiple indicators and timeframes.
Core Calculations
MACD Calculation:
The script calculates MACD using the standard formula: MACD Line = Fast MA - Slow MA, Signal Line = Moving Average of MACD Line, Histogram = MACD Line - Signal Line. The default parameters are Fast=12, Slow=26, Signal=9, matching the traditional MACD settings. The script supports four moving average types:
- EMA (Exponential Moving Average): Standard and most responsive, default choice
- SMA (Simple Moving Average): Equal weight to all periods
- RMA (Wilder's Moving Average): Smoother, less responsive
- WMA (Weighted Moving Average): Recent prices weighted more heavily
The price source can be configured as Close (standard), Open, High, Low, HL2, HLC3, or OHLC4. Alternative sources provide different sensitivity characteristics for various trading strategies.
Configuration Presets:
The script includes trading style presets that automatically configure MACD parameters:
- Scalping: Fast/Responsive settings (8,18,6 with minimal smoothing)
- Day Trading: Balanced settings (10,22,7 with minimal smoothing)
- Swing Trading: Standard settings (12,26,9 with moderate smoothing)
- Position Trading: Smooth/Conservative settings (15,35,12 with higher smoothing)
- Custom: Full manual control over all parameters
Histogram Smoothing:
The histogram can be smoothed using EMA to reduce noise and filter minor fluctuations. Smoothing length of 1 = raw histogram (no smoothing), higher values (3-5) = smoother histogram. Increased smoothing reduces noise but may delay signals slightly.
Percentage Mode:
MACD values can be converted to percentage of price (MACD/Close*100) for cross-instrument comparison. This is useful when comparing MACD signals across instruments with different price levels (e.g., BTC vs ETH). The percentage mode normalizes MACD values, making them comparable regardless of instrument price.
MACD Scale Factor:
A scale factor multiplier (default 1.0) allows adjusting MACD display size for better visibility. Use 0.3-0.5 if MACD appears too compressed, or 2.0-3.0 if too small.
Dynamic Overbought/Oversold Levels:
Overbought and oversold levels are calculated dynamically based on MACD's mean and standard deviation over a lookback period. The formula: OB = MACD Mean + (StdDev × OB Multiplier), OS = MACD Mean - (StdDev × OS Multiplier). This adapts to current market conditions, widening in volatile markets and narrowing in calm markets. The lookback period (default 20) controls how quickly the levels adapt: longer periods (30-50) = more stable levels, shorter (10-15) = more responsive.
OB/OS Background Coloring:
Optional background coloring can highlight the entire panel when MACD enters overbought or oversold territory, providing prominent visual indication of extreme conditions. The background colors are drawn on top of the main background to ensure visibility.
Divergence Detection
Regular Divergence:
The script uses the MACD line (not histogram) for divergence detection, which provides more reliable signals. Bullish divergence: Price makes a lower low while MACD line makes a higher low. Bearish divergence: Price makes a higher high while MACD line makes a lower high. Divergences often precede reversals and are powerful reversal signals.
Pivot-Based Divergence:
The divergence detection uses actual pivot points (pivotlow/pivothigh) instead of simple lowest/highest comparisons. This provides more accurate divergence detection by identifying significant pivot lows/highs in both price and MACD line. The pivot-based method compares two recent pivot points: for bullish divergence, price makes a lower low while MACD makes a higher low at the pivot points. This method reduces false divergences by requiring actual pivot points rather than just any low/high within a period.
The pivot lookback parameters (left and right) control how many bars on each side of a pivot are required for confirmation. Higher values = more conservative pivot detection.
Hidden Divergence:
Continuation patterns that signal trend continuation rather than reversal. Bullish hidden divergence: Price makes a higher low but MACD makes a lower low. Bearish hidden divergence: Price makes a lower high but MACD makes a higher high. These patterns indicate the trend is likely to continue in the current direction.
Zero-Line Filter:
The "Don't Touch Zero Line" option ensures divergences occur in proper context: for bullish divergence, MACD must stay below zero; for bearish divergence, MACD must stay above zero. This filters out divergences that occur in neutral zones.
Range Filtering:
Minimum and maximum lookback ranges control the time window between pivots to consider for divergence. This helps filter out divergences that are too close together (noise) or too far apart (less relevant).
Volume Confirmation System
Volume threshold filtering requires current volume to exceed the volume SMA multiplied by the threshold factor. The formula: Volume Confirmed = Volume > (Volume SMA × Threshold). If the threshold is set to 1.0 or lower, volume confirmation is effectively disabled (always returns true). This allows you to use the indicator without volume filtering if desired. Volume confirmation significantly increases divergence and signal reliability.
Volume Climax and Dry-Up Detection:
The script can mark bars with extremely high volume (volume climax) or extremely low volume (volume dry-up). Volume climax indicates potential reversal points or strong momentum continuation. Volume dry-up indicates low participation and may produce unreliable signals. These markers use standard deviation multipliers to identify extreme volume conditions.
Zero-Line Cross Detection
MACD zero-line crosses indicate momentum shifts: above zero = bullish momentum, below zero = bearish momentum. The script includes alert conditions for zero-line crosses with cooldown protection to prevent alert spam. Zero-line crosses can provide early warning signals before MACD crosses the signal line.
Histogram Analysis Tools
Histogram Moving Average:
A moving average applied to the histogram itself helps identify histogram trend direction and acts as a signal line for histogram movements. Supports EMA, SMA, RMA, and WMA types. Useful for identifying when histogram momentum is strengthening or weakening.
Histogram Bollinger Bands:
Bollinger Bands are applied to the MACD histogram instead of price. The calculation: Basis = SMA(Histogram, Period), StdDev = stdev(Histogram, Period), Upper = Basis + (StdDev × Deviation Multiplier), Lower = Basis - (StdDev × Deviation Multiplier). This creates dynamic zones around the histogram that adapt to histogram volatility. When the histogram touches or exceeds the bands, it indicates extreme conditions relative to recent histogram behavior.
Stochastic MACD (StochMACD):
Stochastic MACD applies the Stochastic oscillator formula to the MACD histogram instead of price. This normalizes the histogram to a 0-100 scale, making it easier to identify overbought/oversold conditions on the histogram itself. The calculation: %K = ((Histogram - Lowest Histogram) / (Highest Histogram - Lowest Histogram)) × 100. %K is smoothed, and %D is calculated as the moving average of smoothed %K. Standard thresholds are 80 (overbought) and 20 (oversold).
Regression Forecasting
The script includes advanced regression forecasting that predicts future MACD values using mathematical models. This helps anticipate potential MACD movements and provides forward-looking context for trading decisions.
Regression Types:
- Linear: Simple trend line (y = mx + b) - fastest, works well for steady trends
- Polynomial: Quadratic curve (y = ax² + bx + c) - captures curvature in MACD movement
- Exponential Smoothing: Weighted average with more weight on recent values - responsive to recent changes
- Moving Average: Uses difference between short and long MA to estimate trend - stable and smooth
Forecast Horizon:
Number of bars to forecast ahead (default 5, max 50 for linear/MA, max 20 for polynomial due to performance). Longer horizons predict further ahead but may be less accurate.
Confidence Bands:
Optional upper/lower bands around forecast show prediction uncertainty based on forecast error (standard deviation of prediction vs actual). Wider bands = higher uncertainty. The confidence level multiplier (default 1.5) controls band width.
Forecast Display:
Forecast appears as dotted lines extending forward from current bar, with optional confidence bands. All forecast values respect percentage mode and scale factor settings.
Strong Top/Bottom Signals
The script detects strong recovery from extreme MACD levels, generating "sBottom" and "sTop" signals. These identify significant reversal potential when MACD recovers substantially from overbought/oversold extremes.
Strong Bottom (sBottom):
Triggered when:
1. MACD was at or near its lowest point in the bottom period (default 10 bars)
2. MACD was in or near the oversold zone
3. MACD has recovered by at least the threshold amount (default 0.5) from the lowest point
4. Recovery persists for confirmation bars (default 2 consecutive bars)
5. MACD has moved out of the oversold zone
6. Volume is above average
7. All enabled filters pass
8. Minimum bars have passed since last signal (reset period, default 5 bars)
Strong Top (sTop):
Triggered when:
1. MACD was at or near its highest point in the top period (default 7 bars)
2. MACD was in or near the overbought zone
3. MACD has declined by at least the threshold amount (default 0.5) from the highest point
4. Decline persists for confirmation bars (default 2 consecutive bars)
5. MACD has moved out of the overbought zone
6. Volume is above average
7. All enabled filters pass
8. Minimum bars have passed since last signal (reset period, default 5 bars)
Label Placement:
sTop/sBottom labels appear on the historical bar where the actual extreme occurred (not on current bar), showing the exact MACD value at that extreme. Labels respect the unified distance checking system to prevent overlaps with Buy/Sell Strength labels.
Signal Strength Calculation
The script calculates a composite signal strength score (0-100) based on multiple factors:
- MACD distance from signal line (0-50 points): Larger separation indicates stronger signal
- Volume confirmation (0-15 points): Volume above average adds points
- Secondary timeframe alignment (0-15 points): Higher timeframe agreement adds points
- Distance from zero line (0-20 points): Closer to zero can indicate stronger reversal potential
Higher scores (70+) indicate stronger, more reliable signals. The signal strength is displayed in the statistics table and can be used as a filter to only accept signals above a threshold.
Smart Label Placement System
The script includes an advanced label placement system that tracks MACD extremes and places Buy/Sell Strength labels at optimal locations:
Label Placement Algorithm:
- Labels appear on the current bar at confirmation (not on historical extreme bars), ensuring they're visible when the signal is confirmed
- The system tracks pending signals when MACD enters OB/OS zones or crosses the signal line
- During tracking, the system continuously searches for the true extreme (lowest MACD for buys, highest MACD for sells) within a configurable historical lookback period
- Labels are only finalized when: (1) MACD exits the OB/OS zone, (2) sufficient bars have passed (2x minimum distance), (3) MACD has recovered/declined by a configurable percentage from the extreme (default 15%), and (4) tracking has stopped (no better extreme found)
Label Spacing and Overlap Prevention:
- Minimum Bars Between Labels: Base distance requirement (default 5 bars)
- Label Spacing Multiplier: Scales the base distance (default 1.5x) for better distribution. Higher values = more spacing between labels
- Effective distance = Base Distance × Spacing Multiplier (e.g., 5 × 1.5 = 7.5 bars minimum)
- Unified distance checking prevents overlaps between all label types (Buy Strength, Sell Strength, sTop, sBottom)
Strength-Based Filtering:
- Label Strength Minimum (%): Only labels with strength at or above this threshold are displayed (default 75%)
- When multiple potential labels are close together, the system automatically compares strengths and keeps only the strongest one
- This ensures only the most significant signals are displayed, reducing chart clutter
Zero Line Polarity Enforcement:
- Enforce Zero Line Polarity (default enabled): Ensures labels follow traditional MACD interpretation
- Buy Strength labels only appear when the tracked extreme MACD value was below zero (negative territory)
- Sell Strength labels only appear when the tracked extreme MACD value was above zero (positive territory)
- This prevents counter-intuitive labels (e.g., Buy labels above zero line) and aligns with standard MACD trading principles
Recovery/Decline Confirmation:
- Recovery/Decline Confirm (%): Percent move away from the extreme required before finalizing (default 15%)
- For Buy labels: MACD must recover by at least this percentage from the tracked bottom
- For Sell labels: MACD must decline by at least this percentage from the tracked top
- Higher values = more confirmation required, fewer but more reliable labels
Historical Lookback:
- Historical Lookback for Label Placement: Number of bars to search for true extremes (default 20)
- The system searches within this period to find the actual lowest/highest MACD value
- Higher values analyze more history but may be slower; lower values are faster but may miss some extremes
Cross Quality Score
The script calculates a MACD cross quality score (0-100) that rates crossover quality based on:
- Cross angle (0-50 points): Steeper crosses = stronger signals
- Volume confirmation (0-25 points): Volume above average adds points
- Distance from zero line (0-25 points): Crosses near zero line are stronger
This score helps identify high-quality crossovers and can be used as a filter to only accept signals meeting minimum quality threshold.
Filtering System
Histogram Filter:
Requires histogram to be above zero for buy signals, below zero for sell signals. Ensures momentum alignment before generating signals.
Signal Strength Filter:
Requires minimum signal strength score for signals. Higher threshold = only strongest signals pass. This combines multiple confirmation factors into a single filter.
Cross Quality Filter:
Requires minimum cross quality score for signals. Rates crossover quality based on angle, volume, momentum, and distance from zero. Only signals meeting minimum quality threshold will be generated.
All filters use the pattern: filterResult = not filterEnabled OR conditionMet. This means if a filter is disabled, it always passes (returns true). Filters can be combined, and all must pass for a signal to fire.
Multi-Timeframe Analysis
The script can display MACD from a secondary (higher) timeframe and use it for confirmation. When secondary timeframe confirmation is enabled, signals require the higher timeframe MACD to align (bullish/bearish) with the signal direction. This ensures signals align with the larger trend context, reducing counter-trend trades.
Secondary Timeframe MACD:
The secondary timeframe MACD uses the same calculation parameters (fast, slow, signal, MA type) as the main MACD but from a higher timeframe. This provides context for the current timeframe's MACD position relative to the larger trend. The secondary MACD lines are displayed on the chart when enabled.
Noise Filtering
Noise filtering hides small histogram movements below a threshold. This helps focus on significant moves and reduces chart clutter. When enabled, only histogram movements above the threshold are displayed. Typical threshold values are 0.1-0.5 for most instruments, depending on the instrument's price range and volatility.
Signal Debounce
Signal debounce prevents duplicate MACD cross signals within a short time period. Useful when MACD crosses back and forth quickly, creating multiple signals. Debounce ensures only one signal per period, reducing signal spam during choppy markets. This is separate from alert cooldown, which applies to all alert types.
Background Color Modes
The script offers three background color modes:
- Dynamic: Full MACD heatmap based on OB/OS conditions, confidence, and momentum. Provides rich visual feedback.
- Monotone: Soft neutral background but still allows overlays (OB/OS zones). Keeps the chart clean without overpowering candles.
- Off: No MACD background (only overlays and plots). Maximum chart cleanliness.
When OB/OS background colors are enabled, they are drawn on top of the main background to ensure visibility.
Statistics Table
A real-time statistics table displays current MACD values, signal strength, distance from zero line, secondary timeframe alignment, volume confirmation status, and all active filter statuses. The table dynamically adjusts to show only enabled features, keeping it clean and relevant. The table position can be configured (Top Left, Top Right, Bottom Left, Bottom Right).
Performance Statistics Table
An optional performance statistics table shows comprehensive filter diagnostics:
- Total buy/sell signals (raw crossover count before filters)
- Filtered buy/sell signals (signals that passed all filters)
- Overall pass rates (percentage of signals that passed filters)
- Rejected signals count
- Filter-by-filter rejection diagnostics showing which filters rejected how many signals
This table helps optimize filter settings by showing which filters are most restrictive and how they impact signal frequency. The diagnostics format shows rejections as "X B / Y S" (X buy signals rejected, Y sell signals rejected) or "Disabled" if the filter is not active.
Alert System
The script includes separate alert conditions for each signal type:
- MACD Cross: MACD line crosses above/below Signal line (with or without secondary confirmation)
- Zero-Line Cross: MACD crosses above/below zero
- Divergence: Regular and hidden divergence detections
- Secondary Timeframe: Higher timeframe MACD crosses
- Histogram MA Cross: Histogram crosses above/below its moving average
- Histogram Zero Cross: Histogram crosses above/below zero
- StochMACD: StochMACD overbought/oversold entries and %K/%D crosses
- Histogram BB: Histogram touches/breaks Bollinger Bands
- Volume Events: Volume climax and dry-up detections
- OB/OS: MACD entry/exit from overbought/oversold zones
- Strong Top/Bottom: sTop and sBottom signal detections
Each alert type has its own cooldown system to prevent alert spam. The cooldown requires a minimum number of bars between alerts of the same type, reducing duplicate alerts during volatile periods. Alert types can be filtered to only evaluate specific alert types (All, MACD Cross, Zero Line, Divergence, Secondary Timeframe, Histogram MA, Histogram Zero, StochMACD, Histogram BB, Volume Events, OB/OS, Strong Top/Bottom).
How Components Work Together
MACD crossovers provide the primary signal when the MACD line crosses the Signal line. Zero-line crosses indicate momentum shifts and can provide early warning signals. Divergences identify potential reversals before they occur.
Volume confirmation ensures signals occur with sufficient market participation, filtering out low-volume false breakouts. Histogram analysis tools (MA, Bollinger Bands, StochMACD) provide additional context for signal reliability and identify significant histogram zones.
Signal strength combines multiple confirmation factors into a single score, making it easy to filter for only the strongest signals. Cross quality score rates crossover quality to identify high-quality setups. Multi-timeframe confirmation ensures signals align with higher timeframe trends, reducing counter-trend trades.
Usage Instructions
Getting Started:
The default configuration shows MACD(12,26,9) with standard EMA calculations. Start with default settings and observe behavior, then customize settings to match your trading style. You can use configuration presets for quick setup based on your trading style.
Customizing MACD Parameters:
Adjust Fast Length (default 12), Slow Length (default 26), and Signal Length (default 9) based on your trading timeframe. Shorter periods (8,17,7) for faster signals, longer (15,30,12) for smoother signals. You can change the moving average type: EMA for responsiveness, RMA for smoothness, WMA for recent price emphasis.
Price Source Selection:
Choose Close (standard), or alternative sources (HL2, HLC3, OHLC4) for different sensitivity. HL2 uses the midpoint of the high-low range, HLC3 and OHLC4 incorporate more price information.
Histogram Smoothing:
Set smoothing to 1 for raw histogram (no smoothing), or increase (3-5) for smoother histogram that reduces noise. Higher smoothing reduces false signals but may delay signals slightly.
Percentage Mode:
Enable percentage mode when comparing MACD across instruments with different price levels. This normalizes MACD values, making them directly comparable.
Dynamic OB/OS Levels:
The dynamic thresholds automatically adapt to volatility. Adjust the multipliers (default 1.5) to fine-tune sensitivity: higher values (2.0-3.0) = more extreme thresholds (fewer signals), lower (1.0-1.5) = more frequent signals. Adjust the lookback period to control how quickly levels adapt. Enable OB/OS background colors for visual indication of extreme conditions.
Volume Confirmation:
Set volume threshold to 1.0 (default, effectively disabled) or higher (1.2-1.5) for standard confirmation. Higher values require more volume for confirmation. Set to 0.1 to completely disable volume filtering.
Filters:
Enable filters gradually to find your preferred balance. Start with histogram filter for basic momentum alignment, then add signal strength filter (threshold 50+) for moderate signals, then cross quality filter (threshold 50+) for high-quality crossovers. Combine filters for highest-quality signals but expect fewer signals.
Divergence:
Enable divergence detection and adjust pivot lookback parameters. Pivot-based divergence provides more accurate detection using actual pivot points. Hidden divergence is useful for trend-following strategies. Adjust range parameters to filter divergences by time window.
Zero-Line Crosses:
Zero-line cross alerts are automatically available when alerts are enabled. These provide early warning signals for momentum shifts.
Histogram Analysis Tools:
Enable Histogram Moving Average to see histogram trend direction. Enable Histogram Bollinger Bands to identify extreme histogram zones. Enable Stochastic MACD to normalize histogram to 0-100 scale for overbought/oversold identification.
Multi-Timeframe:
Enable secondary timeframe MACD to see higher timeframe context. Enable secondary confirmation to require higher timeframe alignment for signals.
Signal Strength:
Signal strength is automatically calculated and displayed in the statistics table. Use signal strength filter to only accept signals above a threshold (e.g., 50 for moderate, 70+ for strong signals only).
Smart Label Placement:
Configure label placement settings to control label appearance and quality:
- Label Strength Minimum (%): Set threshold (default 75%) to show only strong signals. Higher = fewer, stronger labels
- Label Spacing Multiplier: Adjust spacing (default 1.5x) for better distribution. Higher = more spacing between labels
- Recovery/Decline Confirm (%): Set confirmation requirement (default 15%). Higher = more confirmation, fewer labels
- Enforce Zero Line Polarity: Enable (default) to ensure Buy labels only appear when tracked extreme was below zero, Sell labels only when above zero
- Historical Lookback: Adjust search period (default 20 bars) for finding true extremes. Higher = more history analyzed
Cross Quality:
Cross quality score is automatically calculated for crossovers. Use cross quality filter to only accept high-quality crossovers (threshold 50+ for moderate, 70+ for high quality).
Alerts:
Set up alerts for your preferred signal types. Enable alert cooldown (default enabled, 5 bars) to prevent alert spam. Use alert type filter to only evaluate specific alert types (All, MACD Cross, Zero Line, Divergence, Secondary Timeframe, Histogram MA, Histogram Zero, StochMACD, Histogram BB, Volume Events, OB/OS, Strong Top/Bottom). Each signal type has its own alert condition, so you can be selective about which signals trigger alerts.
Visual Elements and Signal Markers
The script uses various visual markers to indicate signals and conditions:
- MACD Line: Green when above signal (bullish), red when below (bearish) if dynamic colors enabled. Optional black outline for enhanced visibility
- Signal Line: Orange line with optional black outline for enhanced visibility
- Histogram: Color-coded based on direction and momentum (green for bullish rising, lime for bullish falling, red for bearish falling, orange for bearish rising)
- Zero Line: Horizontal reference line at MACD = 0
- Fill to Zero: Green/red semi-transparent fill between MACD line and zero line showing bullish/bearish territory
- Fill Between OB/OS: Blue semi-transparent fill between overbought/oversold thresholds highlighting neutral zone
- OB/OS Background Colors: Background coloring when MACD enters overbought/oversold zones
- Background Colors: Dynamic or monotone backgrounds indicating MACD state, or custom chart background
- Divergence Labels: "🐂" for bullish, "🐻" for bearish, "H Bull" for hidden bullish, "H Bear" for hidden bearish
- Divergence Lines: Colored lines connecting pivot points when divergences are detected
- Volume Climax Markers: ⚡ symbol for extremely high volume
- Volume Dry-Up Markers: 💧 symbol for extremely low volume
- Buy/Sell Strength Labels: Show signal strength percentage (e.g., "Buy Strength: 75%")
- Strong Top/Bottom Labels: "sTop" and "sBottom" for extreme level recoveries
- Secondary MACD Lines: Purple lines showing higher timeframe MACD
- Histogram MA: Orange line showing histogram moving average
- Histogram BB: Blue bands around histogram showing extreme zones
- StochMACD Lines: %K and %D lines with overbought/oversold thresholds
- Regression Forecast: Dotted blue lines extending forward with optional confidence bands
Signal Priority and Interpretation
Signals are generated independently and can occur simultaneously. Higher-priority signals generally indicate stronger setups:
1. MACD Cross with Multiple Filters - Highest priority: Requires MACD crossover plus all enabled filters (histogram, signal strength, cross quality) and secondary timeframe confirmation if enabled. These are the most reliable signals.
2. Zero-Line Cross - High priority: Indicates momentum shift. Can provide early warning signals before MACD crosses the signal line.
3. Divergence Signals - Medium-High priority: Pivot-based divergence is more reliable than simple divergence. Hidden divergence indicates continuation rather than reversal.
4. MACD Cross with Basic Filters - Medium priority: MACD crosses signal line with basic histogram filter. Less reliable alone but useful when combined with other confirmations.
Best practice: Wait for multiple confirmations. For example, a MACD crossover combined with divergence, volume confirmation, and secondary timeframe alignment provides the strongest setup.
Chart Requirements
For proper script functionality and compliance with TradingView requirements, ensure your chart displays:
- Symbol name: The trading pair or instrument name should be visible
- Timeframe: The chart timeframe should be clearly displayed
- Script name: "Ultimate MACD " should be visible in the indicator title
These elements help traders understand what they're viewing and ensure proper script identification. The script automatically includes this information in the indicator title and chart labels.
Performance Considerations
The script is optimized for performance:
- Calculations use efficient Pine Script functions (ta.ema, ta.sma, etc.) which are optimized by TradingView
- Conditional execution: Features only calculate when enabled
- Label management: Old labels are automatically deleted to prevent accumulation
- Array management: Divergence label arrays are limited to prevent memory accumulation
The script should perform well on all timeframes. On very long historical data with many enabled features, performance may be slightly slower, but it remains usable.
Known Limitations and Considerations
- Dynamic OB/OS levels can vary significantly based on recent MACD volatility. In very volatile markets, levels may be wider; in calm markets, they may be narrower.
- Volume confirmation requires sufficient historical volume data. On new instruments or very short timeframes, volume calculations may be less reliable.
- Higher timeframe MACD uses request.security() which may have slight delays on some data feeds.
- Stochastic MACD requires the histogram to have sufficient history. Very short periods on new charts may produce less reliable StochMACD values initially.
- Divergence detection requires sufficient historical data to identify pivot points. Very short lookback periods may produce false positives.
Practical Use Cases
The indicator can be configured for different trading styles and timeframes:
Swing Trading:
Use MACD(12,26,9) with secondary timeframe confirmation. Enable divergence detection. Use signal strength filter (threshold 50+) and cross quality filter (threshold 50+) for higher-quality signals. Enable histogram analysis tools for additional context.
Day Trading:
Use MACD(8,17,7) or use "Day Trading" preset with minimal histogram smoothing for faster signals. Enable zero-line cross alerts for early signals. Use volume confirmation with threshold 1.2-1.5. Enable histogram MA for momentum tracking.
Trend Following:
Use MACD(12,26,9) or longer periods (15,30,12) for smoother signals. Enable secondary timeframe confirmation for trend alignment. Hidden divergence signals are useful for trend continuation entries. Use cross quality filter to identify high-quality crossovers.
Reversal Trading:
Focus on divergence detection (pivot-based for accuracy) combined with zero-line crosses. Enable volume confirmation. Use histogram Bollinger Bands to identify extreme histogram zones. Enable StochMACD for overbought/oversold identification.
Multi-Timeframe Analysis:
Enable secondary timeframe MACD to see context from larger timeframes. For example, use daily MACD on hourly charts to understand the larger trend context. Enable secondary confirmation to require higher timeframe alignment for signals.
Practical Tips and Best Practices
Getting Started:
Start with default settings and observe MACD behavior. The default configuration (MACD 12,26,9 with EMA) is balanced and works well across different markets. After observing behavior, customize settings to match your trading style. Consider using configuration presets for quick setup.
Reducing Repainting:
All signals are based on confirmed bars, minimizing repainting. The script uses confirmed bar data for all calculations to ensure backtesting accuracy.
Signal Quality:
MACD crosses with multiple filters provide the highest-quality signals because they require alignment across multiple indicators. These signals have lower frequency but higher reliability. Use signal strength scores to identify the strongest signals (70+). Use cross quality scores to identify high-quality crossovers (70+).
Filter Combinations:
Start with histogram filter for basic momentum alignment, then add signal strength filter for moderate signals, then cross quality filter for high-quality crossovers. Combining all filters significantly reduces false signals but also reduces signal frequency. Find your balance based on your risk tolerance.
Volume Filtering:
Set volume threshold to 1.0 (default, effectively disabled) or lower to effectively disable volume filtering if you trade instruments with unreliable volume data or want to test without volume confirmation. Standard confirmation uses 1.2-1.5 threshold.
MACD Period Selection:
Standard MACD(12,26,9) provides balanced signals suitable for most trading. Shorter periods (8,17,7) for faster signals, longer (15,30,12) for smoother signals. Adjust based on your timeframe and trading style. Consider using configuration presets for optimized settings.
Moving Average Type:
EMA provides balanced responsiveness with smoothness. RMA is smoother and less responsive. WMA gives more weight to recent prices. SMA gives equal weight to all periods. Choose based on your preference for responsiveness vs. smoothness.
Divergence:
Pivot-based divergence is more reliable than simple divergence because it uses actual pivot points. Hidden divergence indicates continuation rather than reversal, useful for trend-following strategies. Adjust pivot lookback parameters to control sensitivity.
Dynamic Thresholds:
Dynamic OB/OS thresholds automatically adapt to volatility. In volatile markets, thresholds widen; in calm markets, they narrow. Adjust the multipliers to fine-tune sensitivity. Enable OB/OS background colors for visual indication.
Zero-Line Crosses:
Zero-line crosses indicate momentum shifts and can provide early warning signals before MACD crosses the signal line. Enable alerts for zero-line crosses to catch these early signals.
Alert Management:
Enable alert cooldown (default enabled, 5 bars) to prevent alert spam. Use alert type filter to only evaluate specific alert types. Signal debounce (default enabled, 3 bars) prevents duplicate MACD cross signals during choppy markets.
Technical Specifications
- Pine Script Version: v6
- Indicator Type: Non-overlay (displays in separate panel below price chart)
- Repainting Behavior: Minimal - all signals are based on confirmed bars, ensuring accurate backtesting results
- Performance: Optimized with conditional execution. Features only calculate when enabled.
- Compatibility: Works on all timeframes (1 minute to 1 month) and all instruments (stocks, forex, crypto, futures, etc.)
- Edge Case Handling: All calculations include safety checks for division by zero, NA values, and boundary conditions. Alert cooldowns and signal debounce handle edge cases where conditions never occurred or values are NA.
Technical Notes
- All MACD values respect percentage mode conversion when enabled
- Volume confirmation uses cached volume SMA for performance
- Label arrays (divergence) are automatically limited to prevent memory accumulation
- Background coloring: OB/OS backgrounds are drawn on top of main background to ensure visibility
- All calculations are optimized with conditional execution - features only calculate when enabled (performance optimization)
- Signal strength calculation combines multiple factors into a single score for easy filtering
- Cross quality calculation rates crossover quality based on angle, volume, and distance from zero
- Secondary timeframe MACD uses request.security() for higher timeframe data access
- Histogram analysis features (Bollinger Bands, MA, StochMACD) provide additional context beyond basic MACD signals
- Statistics table dynamically adjusts to show only enabled features, keeping it clean and relevant
- Divergence detection uses MACD line (not histogram) for more reliable signals
- Configuration presets automatically optimize MACD parameters for different trading styles
- Smart label placement: Labels appear on current bar at confirmation, using strength from tracked extreme point
- Label spacing uses effective distance (base distance × spacing multiplier) for better distribution
- Zero line polarity enforcement ensures Buy labels only appear when tracked extreme MACD < 0, Sell labels only when tracked extreme MACD > 0
- Label finalization requires MACD exit from OB/OS zone, sufficient bars passed, and recovery/decline percentage confirmation
- Strength-based filtering automatically compares and keeps only the strongest label when multiple signals are close together
- Enhanced visualization: Line outlines drawn behind main lines for superior visibility (black default, configurable)
- Enhanced visualization: Fill between MACD and zero line provides instant visual feedback (green above, red below)
- Enhanced visualization: Fill between OB/OS thresholds highlights neutral zone when dynamic levels are active
- Custom chart background overrides background mode when enabled, allowing theme-consistent indicator panels
Dragon Flow Arrows (LITE)🚀 DRAGON FLOW ARROWS | Smart Trend Engine + Clean Reversal Arrows
A lightweight but highly-optimized trend system designed for clean charts, powerful visual signals, and no-noise directional flow. Built for traders who want simplicity, clarity, and professional-level momentum-filtered signals without over-complication.
🔥 Dragon Channel (Clean 3-Line Ribbon)
A smooth adaptive channel formed from ATR + EMA, giving you structural trend zones without clutter.
✅ Dragon Flow Gradient
A horizontal, color-shifted flow:
🟢 Bull flow → green glow
🔴 Bear flow → red glow
Automatic blend based on trend direction
Smooth visual transitions (no vertical stripes)
✅ Momentum-Filtered Arrows
BUY/SELL arrows only print when:
Price breaks outside the Dragon Channel
Momentum confirms (RSI + MACD filters)
Trend flips → one clean arrow per direction
✅ Smart Header Panel
At the top of your chart:
📌 Trend: Uptrend / Downtrend / Neutral
⚡ Impulse Strength: Weak / Normal / Strong
📊 How to Use
Entry:
- BUY Setup
Price moving above baseline
Dragon Flow turns bullish (cyan side)
Arrow appears below channel
- SELL Setup
Price breaks below baseline
Dragon Flow turns bearish (magenta side)
Arrow pops above channel
Exit / Filter:
Opposite arrow
Flow color shift
Trend panel flips
Works on Forex, Crypto, Stocks, Indices — all timeframes (just adjust the channel length).
Happy trading!
Advanced Multi-Level S/R ZonesAdvanced Multi-Level S/R Zones: The Comprehensive Guide
1. Introduction: The Evolution of Support & Resistance:
Support and Resistance (S/R) is the backbone of technical analysis. However, traditional methods of drawing these levels are often plagued by subjectivity. Two traders looking at the same chart will often draw two different lines. Furthermore, standard indicators often treat every price point equally, ignoring the critical context of Volume and Time.
The Advanced Multi-Level S/R Zones script represents a paradigm shift. It moves away from subjective line drawing and toward Quantitative Zoning. By utilizing statistical measures of variability (Standard Deviation, MAD, IQR) combined with Volume-Weighting and Time-Decay algorithms, this tool identifies where price is mathematically most likely to react. It treats S/R not as thin lines, but as dynamic zones of probability.
2. Core Logic and Mathematical Foundation:
To understand how to use this tool optimally, one must understand the "engine" under the hood. The script operates on four distinct pillars of logic:
A. Session-Based Data Collection:
The script does not look at every single tick. Instead, it aggregates data into "Sessions" (daily bars by default logic). It extracts the High, Low, and Total Volume for every session within the user-defined lookback period. This filters out intraday noise and focuses on the macro structure of the market.
B. Adaptive Statistical Variability:
Most Bollinger Band-style indicators use Standard Deviation (StdDev) to measure width. However, StdDev is heavily influenced by outliers (extreme wicks). This script offers a sophisticated Adaptive Method-Skewness Detection: The script calculates the skewness of the price distribution. Adaptive Selection: If the data is highly skewed (lots of outliers, typical in Crypto), it switches to MAD (Median Absolute Deviation). MAD is robust and ignores outliers. If the data is moderately skewed, it uses IQR (Interquartile Range). If the data is normal (Gaussian), it uses StdDev.
Benefit: This ensures the zone widths are accurate regardless of whether you are trading a stable Forex pair or a volatile Altcoin.
C. The Weighting Engine (Volume + Time)
Not all price history is equal. This script assigns a "Weight Score" to every session based on two factors:
Volume Weighting: Sessions with massive volume (institutional activity) are given higher importance. A high formed on low volume is less significant than a high formed on peak volume.
Time Decay: Recent price action is more relevant than price action from 50 bars ago. The script applies a decay factor (default 0.85). This means a session from yesterday has 100% impact, while a session from 10 days ago has significantly less influence on the zone calculation.
D. Clustering Algorithm
Once the data is weighted, the script runs a clustering algorithm. It looks for price levels where multiple session Highs (for Resistance) or Lows (for Support) congregate.
It requires a minimum number of points to form a zone (User Input: minPoints).
It merges nearby levels based on the Cluster Separation Factor.
This results in "Primary," "Secondary," and "Tertiary" zones based on the strength and quantity of data points in that cluster.
3. Detailed Features and Inputs Breakdown:
Group 1: Main Settings
Lookback Sessions (Default: 10): Defines how far back the script looks for pivots. A higher number (e.g., 50) creates long-term structural zones. A lower number (e.g., 5) creates short-term scalping zones.
Variability Method (Adaptive): As described above, leave this on "Adaptive" for the best results across different assets.
Zone Width Multiplier (Default: 0.75): Controls the vertical thickness of the zones. Increase this to 1.0 or 1.5 for highly volatile assets to ensure you catch the wicks.
Minimum Points per Zone: The strictness filter. If set to 3, a price level must be hit 3 times within the lookback to generate a zone. Higher numbers = fewer, but stronger zones.
Group 2: Weighting
Volume-Weighted Zones: Crucial for identifying "Smart Money" levels. Keep this TRUE.
Time Decay: Ensures the zones update dynamically. If price moves away from a level for a long time, the zone will fade in significance.
ATR-Normalized Zone Width: This is a dynamic volatility filter. If TRUE, the zone width expands and contracts based on the Average True Range. This is vital for maintaining accuracy during market breakouts or crashes.
Group 3: Zone Strength & Scoring
The script calculates a "Score" (0-100%) for every zone based on:
-Point Count: More hits = higher score.
-Touches: How many times price wicked into the zone recently.
-Intact Status: Has the zone been broken?
-Weight: Volume/Time weight of the constituent points.
-Track Zone Touches: Looks back n bars to see how often price respected this level.
-Touch Threshold: The sensitivity for counting a "touch."
Group 4: Visuals & Display
Extend Bars: How far to the right the boxes are drawn.
Show Labels: Displays the Score, Tier (Primary/Secondary), and Status (Retesting).
Detect Pivot Zones (Overlap): This is a killer feature. It detects where a Support Zone overlaps with a Resistance Zone.
Significance: These are "Flip Zones" (Old Resistance becomes New Support). They are colored differently (Orange by default) and represent high-probability entry areas.
Group 5: Signals & Alerts
Entry Signals: Plots Buy/Sell labels when price rejects a zone.
Detect Break & Retest: specifically looks for the "Break -> Pullback -> Bounce" pattern, labeled as "RETEST BUY/SELL".
Proximity Alert: Triggers when price gets within x% of a zone.
4. Understanding the Visuals (Interpreting the Chart)
When you load the script, you will see several visual elements. Here is how to read them:
The Boxes (Zones)
Red Shades: Resistance Zones.
Dark Red (Solid Border): Primary Resistance. The strongest wall.
Lighter Red (Dashed Border): Secondary/Tertiary. Weaker, but still relevant.
Green Shades: Support Zones.
Dark Green (Solid Border): Primary Support. The strongest floor.
Orange Boxes: Pivot Zones. These are areas where price has historically reacted as both support and resistance. These are the "Line in the Sand" for trend direction.
The Labels & Emojis
The script assigns emojis to zone strength:
🔥 (Fire): Score > 80%. A massive level. Expect a strong reaction.
⭐ (Star): Score > 60%. A solid structural level.
✓ (Check): Score > 40%. A standard level.
"⟳ RETESTING": Appears when a zone was broken, and price is currently pulling back to test it from the other side.
The Dashboard (Top Right)
A statistics table provides a "Head-Up Display" for the asset:
High/Low σ (Sigma): The variability of the highs and lows. If High σ is much larger than Low σ, it implies the tops are erratic (wicks) while bottoms are clean (flat).
Method: Shows which statistical method the Adaptive engine selected (e.g., "MAD (auto)").
ATR: Current volatility value used for normalization.
5. Strategies for Optimum Output
To get the most out of this script, you should not just blindly follow the lines. Use these specific strategies:
Strategy A: The "Zone Fade" (Range Trading)
This works best in sideways markets.
Identify a Primary Support (Green) and Primary Resistance (Red).
Wait for price to enter the zone.
Look for the "SUPPORT BOUNCE" or "RESISTANCE REJECTION" signal label.
Entry: Enter against the zone (Buy at support, Sell at resistance).
Stop Loss: Place just outside the zone width. Because the zones are calculated using volatility stats, a break of the zone usually means the trade is invalid.
Strategy B: The "Pivot Flip" (Trend Following)
This is the highest probability setup in trending markets.
Look for an Orange Pivot Zone.
Wait for price to break through a Resistance Zone cleanly.
Wait for the price to return to that zone (which may now turn Orange or act as Support).
Look for the "RETEST BUY" label.
Logic: Old resistance becoming new support is a classic sign of trend continuation. The script automates the detection of this exact geometric phenomenon.
Strategy C: The Volatility Squeeze
Look at the Dashboard. Compare High σ and Low σ.
If the values are dropping rapidly or becoming very small, the zones will contract (become narrow).
Narrow zones indicate a "Squeeze" or compression in price.
Prepare for a violent breakout. Do not fade (trade against) narrow zones; look to trade the breakout.
6. Optimization & Customization Guide
Different markets require different settings. Here is how to tune the script:
For Crypto & Volatile Stocks (Tesla, Nvidia)
Method: Set to Adaptive (Mandatory, as these assets have "Fat Tails").
Multiplier: Increase to 1.0 - 1.25. Crypto wicks are deep; you need wider zones to avoid getting stopped out prematurely.
Lookback: 20-30 sessions. Crypto has a long memory; short lookbacks generate too much noise.
For Forex (EURUSD, GBPJPY)
Method: You can force StdDev or IQR. Forex is more mean-reverting and Gaussian.
Multiplier: Decrease to 0.5 - 0.75. Forex levels are often very precise to the pip.
Volume Weighting: You may turn this OFF for Forex if your broker's volume data is unreliable (since Forex has no centralized volume), though tick volume often works fine.
For Scalping (1m - 15m Timeframes)
Lookback: Decrease to 5-10. You only care about the immediate session history.
Decay Factor: Decrease to 0.5. You want the script to forget about yesterday's price action very quickly.
Touch Lookback: Decrease to 20 bars.
For Swing Trading (4H - Daily Timeframes)
Lookback: Increase to 50.
Decay Factor: Increase to 0.95. Structural levels from weeks ago are still highly relevant.
Min Points: Increase to 3 or 4. Only show levels that have been tested multiple times.
7. Advantages Over Standard Tools:
Feature Standard S/R Indicator, Advanced Multi-Level S/R Calculation, Uses simple Pivots or Fractals, Uses Statistical Distributions (MAD/IQR). Zone Width Arbitrary or Fixed Adaptive based on Volatility & ATR.
Context Ignores Volume Volume Weighted (Smart Money tracking).
Time Relevance Old levels = New levels Time Decay (Recency bias applied).
Overlaps Usually ignores overlaps Detects Pivot Zones (Res/Sup Flip).
Scoring None 0-100% Strength Score per zone.
8. Conclusion:
The Advanced Multi-Level S/R Zones script is not just a drawing tool; it is a statistical analysis engine. By accounting for the skewness of data, the volume behind the moves, and the decay of time, it provides a strictly objective roadmap of the market structure.
For the optimum output, combine the Pivot Zone identification with the Retest Signals. This aligns you with the underlying flow of order blocks and prevents trading against the statistical probabilities of the market.
Sector Rotation ULTIMATE: 7 Narrativas IndependientesSector Rotation ULTIMATE: Crypto Narrative Rotation (7 Independent Sectors)
Advanced indicator displaying the relative strength of major crypto sectors through 7 independently normalized lines (0-100):
• Layer1 (ETH, SOL, BNB, TON, etc.) - Pink
• Enterprise (XRP, HBAR, XLM, QNT, VET) - Yellow
• DeFi (UNI, AAVE, MKR, LDO, CRV, etc.) - Cyan
• Memecoins (SHIB, DOGE, PEPE, WIF, FLOKI, BONK) - Green
• AI (TAO, FET, ICP, GRT, etc.) - Orange
• L2 / Scalability (ARB, OP, MATIC, STRK) - Purple
• RWA + Infra (ONDO, LINK) - Brown
Each sector sums the dominance of its top coins (40 total) and is normalized independently so the lines cross constantly, revealing real capital rotations.
- Colored fills to visually highlight the leading sector
- Works perfectly on any timeframe (clean daily data, no intraday noise)
- Ideal for spotting altseason, sector rotations, and entry timing
Use on CRYPTOCAP:TOTAL. The definitive narrative oscillator for 2026!
#Crypto #Altcoins #SectorRotation #DeFi #Memecoins #AI #RWA
Volume And ROC Surge DetectorSharing this indicator I made for myself.
Volume and ROC are early indicators of long moves. When ROC + Volume happens together, it's BOOM.
This indicator called, Volume + ROC Surge Detector is a real-time momentum alert indicator designed to spot early institutional activity and explosive price moves. It combines Volume Surge analysis with Price Rate of Change (ROC) to identify when price and participation align.
The script monitors abnormal volume relative to a moving average and confirms direction using ROC strength. When both volume expansion and directional momentum occur together, it triggers high-confidence “Boom” signals for bullish or bearish moves.
To avoid noise, the indicator includes state-based alert control, ensuring each signal fires only once per condition change and only in real-time, not on historical bars.
Key Features
1. Detects bullish and bearish ROC momentum shifts
2. Identifies positive and negative volume anomalies
3. Flags combined Volume + ROC “Boom” events
4. Real-time alerts only (no repaint, no bar-close spam)
5. Duplicate alert prevention using internal state tracking
6. Clean on-chart visual markers for instant recognition. Disable visuals for cleaner chart.
Best Use Cases:
1. Catching breakouts and breakdowns early
2. Spotting smart money participation
3. Momentum confirmation for trend, intraday, and swing trading
4. Works across stocks, crypto, and indices
Alerts:
1. ROC Bullish Alert
When it fires:
Price Rate of Change (ROC) crosses above the positive ROC threshold
Alert messages:
🟢 ROC Change Bullish → TICKER @ price
What it means: Price momentum has turned strongly bullish. Early sign of upside acceleration
2. ROC Bearish Alert
When it fires:
Price ROC crosses below the negative ROC threshold
Alert message:
🔴 ROC Change Bearish → TICKER @ price
What it means:
Price momentum has turned strongly bearish. Early sign of downside acceleration
3. Positive Volume Surge Alert
When it fires:
Current volume exceeds
Average Volume × Volume Surge Multiplier
Alert message:
📈 +Ve Vol Change → TICKER @ volume
What it means:
Unusual participation / smart money activity. Strength entering the move
4. Negative Volume Alert (Volume Dry-Up)
When it fires:
Current volume drops below
Average Volume ÷ Volume Surge Multiplier
Alert message:
📉 -Ve Vol Change → TICKER @ volume
What it means:
Participation is fading. Trend exhaustion or consolidation risk
5. Boom Bull Alert (High-Conviction Signal)
When it fires:
Both conditions occur together:
Bullish ROC AND Volume Surge (high participation)
Alert message:
💥 Boom Volume + ROC Bull → TICKER @ price
What it means: Momentum + volume alignment. Strong breakout / continuation probability
6. Boom Bear Alert (High-Conviction Signal)
When it fires:
Both conditions occur together: Bearish ROC AND Volume Surge (high participation)
Alert message:
💣 Boom Volume + ROC Bear → TICKER @ price
What it means: Momentum + volume alignment to the downside. Strong breakdown / continuation probability
This indicator is built for traders who want clarity, speed, and signal discipline—not lagging confirmations or noisy alerts.
TRADING NAVIGATOR📘 TRADING NAVIGATOR OPERATIONS MANUAL
This manual is designed to turn the script into your complete trading plan.
1. The Golden Rule: Planetary Alignment
Success with this script is not about trading every signal, but waiting for the confluence. Golden Trick: Do not trade on low timeframes (15M) if the trend on the higher timeframe (4H or D) is contrary. The Master Signal: Enter when the RELIABILITY column marks "HIGH" on at least 3 consecutive timeframes.
2. How to open a LONG (Buy) position: Look for these exact conditions on the board: TREND: It should say "BULLISH" (Price above the 200 EMA). ACTION: It should be marked LONG. ENTRY: The price should be near or touching the value indicated in the SUPPORT column. RSI: Ideally between 35 and 45 (healthy pullback) or crossing above 30. Execution: Place your limit order at the ENTRY price on the chart. The TP and SL are your mandatory exit coordinates.
3. How to open a SHORT (Sell) position: Look for these exact conditions on the board: TREND: It should say "BEARISH" (Price below the 200 EMA). ACTION: It should be marked SHORT. ENTRY: The price should be near or touching the value indicated in the RESIST column. (Resistance). RSI: Ideally between 55 and 65 or crossing below 70. Execution: Limit order at the ENTRY price on the chart. Don't chase the price; let it rise to the resistance to enter.
4. Golden Tricks to Gain Consistency: The Volatility Filter: If the VOLAT column shows "HIGH," reduce your position size by half. High volatility means sharp movements that can hit your SL before reaching the TP. The Timeframe Jump: If you see a LONG position on the 15M chart but the trend on the D (Daily) chart is BEARISH, that trade is high risk (pure Scalping). If both are BULLISH, you have a "High Probability Trade." RSI as a sentinel: If the RSI is at 50, the market is indecisive. Wait for it to approach the extremes (30 or 70) so that the Navigator's ACTION has more rebound strength.
5. Recommended Markets:
The TRADING NAVIGATOR is a structure and volatility algorithm, so it works where there is liquidity: Market | Effectiveness | Why |
Cryptocurrencies | ⭐⭐⭐⭐⭐ ATR volatility is best exploited in BTC and ETH. |
Indices (Nasdaq/SP500) | ⭐⭐⭐⭐ Ideal for following the TREND column (EMA 200). |
Forex (Majors) | ⭐⭐⭐ Use it on high-volume pairs (EURUSD, GBPUSD). |
Gold / Oil | ⭐⭐⭐⭐ Very sensitive to the support and resistance levels calculated by the script. |
6. Risk Management (Psychology) | Accepts Stop Loss: The script calculates the SL at 2.0x ATR to give the price "breathing room". If it is touched, the structure has been broken. Don't move the Stop Loss. Partial Taking: When the price has moved 50% of the way to the Take Profit, move your Stop Loss to the ENTRY (Breakeven) price. This ensures that the trade can no longer result in losses.
deKoder | Business Cycle vs BitcoinThis indicator overlays Bitcoin's detrended momentum with the US ISM Manufacturing PMI (a key business cycle proxy) to visually dissect the relationship between crypto cycles and broader economic health.
Inspired by ongoing debates in crypto macro analysis (e.g., "Is there a 4-year halving cycle, or is it just the business cycle?" ), it highlights potential lead-lag dynamics - challenging the popular view that PMI strictly leads Bitcoin rallies and tops.
Key Features
• BTC Momentum Wave (Yellow/Orange Line):
Detrended deviation from Bitcoin's long-term "fair value" (24-month SMA).
Formula: ((close / sma(close, 24)) * 100 - 100) * 0.15
- Positive (yellow): BTC overvalued relative to trend | bullish momentum
- Negative (orange): Undervalued relative to trend | bearish momentum
• PMI Wave (Teal/Red Line):
ISM Manufacturing PMI centered at zero (raw PMI - 50, scaled ×3 for alignment).
- Positive (teal): Expansion (>50 raw) — economic tailwinds.
- Negative (red): Contraction (<50 raw) — headwinds, often linked to risk-off in assets.
• S&P 500 Momentum (White Line, Optional):
Similar deviation for SPX, showing how equities bridge BTC's volatility and PMI's smoothness.
• Divergence Highlights (Bar & Background Colors):
- Teal/Green Zones : BTC momentum positive while PMI negative → BTC signaling early recovery (potential lead by 1-3+ months at bottoms).
- Maroon/Red Zones : BTC momentum negative while PMI positive → BTC warning of rollovers (early bear signals).
- Neutral: No color — aligned cycles.
• Overlaid SMA on Price Chart :
24-month SMA for BTC (teal when price above, red when below) — quick fair value reference.
How to Interpret: Does BTC Lead the Business Cycle?
The chart flips the common meme ( "No 4-year cycle, it's just the business cycle" ) by visually emphasising BTC's potential as a forward-looking signal .
Historical cycles (2013–2025) show:
• BTC Leads at Bottoms : E.g., 2018–2019 and 2022 troughs — BTC momentum crosses positive 2–4 months before PMI, as speculative traders price in liquidity easing/recoveries ahead of manufacturing data.
• Coincident or BTC-Led at Tops : Peaks align closely (e.g., 2017, 2021), with PMI rollovers often coinciding or slightly leading the initial BTC euphoria fade. BTC then rolls over before PMI confirms later.
• Why? Markets are anticipatory (6–12 months forward), while PMI is a lagged survey snapshot. BTC, as a high-beta risk asset, amplifies early sentiment shifts before they hit factory orders/employment.
Inputs & Customization
• BTC Source (Default: BITSTAMP:BTCUSD)
• Fair Value MA Length (Default: 24 months)
• Show S&P (Default: False)
• PMI Multiplier (Default: 3.0)
• BTC Momentum Multiplier (Default: 0.15)
• Cap BTC Momentum at ±100 (Default: True)
• Toggle Early Cross Arrows, Bar/Background Deviation Colors, Difference Histogram
Trinity Swing Trading Buy and SellThis is a simple little Heiken Ashi MA + ADX & MACD trend-following trading system designed to capture medium- to longer-term moves while filtering out noise and weak trends. It combines modified Heiken Ashi candles (for smoother trend detection) with a moving average alignment, plus optional confirmation from ADX (trend strength) and MACD (momentum).
In practice, the indicator works well on higher timeframes (e.g., 1H, 4H, daily) where trends are more sustained. It performs best in trending markets and naturally avoids choppy/range-bound conditions thanks to the ADX filter (requiring ADX > 20 by default). All key components are fully customizable, so you can disable filters or adjust parameters to suit different instruments (stocks, forex, crypto, futures).
Default settings are:
16 HMA
8,17,9 MACD
15,20 ADX
Recommend to add an additional longer term EMA like 200 for long term trend confirmation.
Adjust inputs in the settings panel as needed:
Toggle MA, ADX, or MACD filters on/off.
Change MA type/length, MACD parameters, ADX threshold
- Use the visual blue diamonds (below bars) for long entries and purple diamonds (above bars) for short entries as confirmation of signals.
- Set alerts on the "Buy Alert" and "Sell Alert" conditions if you want real-time notifications.
This setup gives you a complete, rule-based system that avoids emotional trading and repetitive entries, making it suitable for both backtesting and live trading with proper risk management.
SuperTrend Weighted by Divergence█ OVERVIEW
SuperTrend Weighted by Divergence is a trend-following indicator based on the classic SuperTrend, enhanced with dynamic ATR weighting driven by divergences. Its key feature is adaptive behavior: when a divergence appears, the indicator temporarily reduces the ATR multiplier, allowing the trend line to react faster to potential market reversals.
The indicator remains clean, visually clear, and well suited for traders who want to combine trend-following with early detection of weakening momentum.
█ CONCEPT
One of the biggest drawbacks of trend indicators is their lagging nature, caused by the characteristics of source data. Classic SuperTrends react only after the trend has already developed, which often leads to late entries or exits.
The idea behind SuperTrend Weighted by Divergence is to introduce dynamic adjustment of the trend line in response to the first signs of trend weakening.
Instead of treating ATR as a constant volatility buffer, the indicator temporarily modifies its impact when the market sends warning signals in the form of price–oscillator divergences.
For divergence detection, a hidden auxiliary oscillator called “MPO4 Lines – Modal Engine” (default settings) is used. This oscillator is not displayed on the chart – only the points where divergences are detected are shown as markers on price bars.
Divergences do not generate direct entry signals; they are used solely to temporarily adjust the behavior of the SuperTrend.
If, after detecting a divergence against the current trend, a divergence in line with the trend appears, the previous divergence is invalidated and the SuperTrend returns to its standard behavior (base ATR multiplier).
█ FEATURES
Data sources:
- ATR (Average True Range)
- Reference point: HL2 (high/low average)
- MPO4 Lines – Modal Engine oscillator (hidden, used only for divergence detection)
Divergence logic:
- Bullish divergence: lower low in price + higher low in the oscillator
- Bearish divergence: higher high in price + lower high in the oscillator
- Divergences are detected using pivots (left/right)
- Divergence detection is delayed by the pivot length, as confirmation requires a fixed number of bars on the right side
Divergence impact:
- After a divergence is detected, the ATR multiplier is reduced
- The reduction strength is controlled by Divergence Sensitivity
- The effect is active only for a limited number of bars – 200 bars by default (divBars)
- The effect is canceled on trend change or when a trend-aligned divergence appears
Trend change logic:
- Trend changes only after a confirmed close beyond the trailing line
- No repainting
- Trend lines break at reversal points
Visual signals:
- “Buy” and “Sell” labels only on confirmed trend changes
- Optional bar coloring based on current trend (Color bars by trend)
- Soft fill between price and the trend line
- Divergence markers (dots above/below bars) shown at the point of divergence detection, not across the entire divergence structure
Alerts:
- Buy Signal – trend change to bullish
- Sell Signal – trend change to bearish
- Bullish Divergence
- Bearish Divergence
█ HOW TO USE
Adding the indicator:
Paste the code into Pine Editor or search for “SuperTrend Weighted by Divergence” on TradingView
Main settings:
- ATR Length – ATR period
- Base ATR Multiplier – base SuperTrend width
- Pivot Length – divergence sensitivity and detection delay
- Divergence Sensitivity – strength of divergence impact (0.0–1.0)
- Color bars by trend – enable / disable bar coloring
- Line and fill colors – fully customizable
Interpretation:
- Green line and bars = uptrend
- Red line and bars = downtrend
- Divergence against the trend = possible weakening and faster SuperTrend reaction
- Trend-aligned divergence = return to standard SuperTrend behavior
- No divergence = classic, stable SuperTrend behavior
█ APPLICATIONS
Ideal for:
- Trend-following
Entering positions only in the direction of the current trend, using the SuperTrend as a directional filter.
- Early detection of trend weakness
Repeated divergences against the trend may indicate decreasing momentum and a potential upcoming reversal.
- Markets with variable dynamics (crypto, indices, forex)
Entries based on trend changes, preferably confirmed by other tools such as Fibonacci levels, RSI, support/resistance, or market structure.
- Scalping, day trading, and swing trading (with parameter adjustments)
Increasing Divergence Sensitivity to around 0.4–0.5 produces many more signals on small, often short-lived moves.
These settings work well for scalping and day trading, but are not ideal for swing trading, as they tend to generate more false signals and frequent trend changes.
█ NOTES
- Works on all markets and timeframes
- Divergences are used to adapt SuperTrend behavior, not as standalone entry signals
- Higher Divergence Sensitivity = faster reaction and more signals
- Lower Divergence Sensitivity = smoother trend and fewer changes
- Best results are achieved by tuning parameters to the instrument and trading style
