Body Percentage of Range (Colored)Short Description:
This indicator measures the dominance of the candle's body relative to its total range (High - Low), providing a visual gauge of intra-candle strength versus indecision. Columns are colored based on whether the body constitutes more or less than a defined percentage (default 50%) of the candle's total height.
Detailed Description:
What it Does:
The "Body Percentage of Range" indicator calculates, for each candle, what percentage of the total price range (High minus Low) is occupied by the candle's body (absolute difference between Open and Close).
A value of 100% means the candle has no wicks (a Marubozu), indicating strong conviction during that period.
A value of 0% means the candle has no body (a Doji), indicating perfect indecision.
Values in between show the relative balance between the directional move (body) and the price exploration/rejection (wicks).
How to Interpret:
The indicator plots this percentage as columns:
Column Height: Represents the percentage of the body relative to the total range. Higher columns indicate a larger body dominance.
Column Color:
Green Columns: Appear when the body percentage is above the user-defined threshold (default 50%). This suggests that the directional move within the candle was stronger than the indecision (wicks). Often seen during trending moves or strong momentum candles.
Red Columns: Appear when the body percentage is at or below the user-defined threshold (default 50%). This suggests that wicks dominate the candle (body is 50% or less of the range), indicating significant indecision, struggle between buyers and sellers, or potential reversals. These are common in choppy, consolidating, or reversal market conditions.
Orange Line (Optional MA): A Simple Moving Average (SMA) of the body percentages is plotted to help smooth the readings and identify broader periods where candle structure indicates more trending (high MA) vs. ranging/indecisive (low MA) characteristics.
Potential Use Cases:
Identifying Choppy vs. Trending Markets: Sustained periods of low, predominantly red columns (and often a low/declining MA) can signal a choppy, range-bound market where trend-following strategies might underperform. Conversely, periods with frequent high, green columns suggest a more trending environment.
Confirming Breakouts/Momentum: High green columns appearing alongside increased volume during a breakout can add conviction to the move's strength.
Spotting Potential Exhaustion/Reversals: A very tall green column after a strong trend, followed immediately by a low red column (like a Doji or Spinning Top pattern appearing on the price chart), might signal potential exhaustion or a pending reversal, indicating indecision has suddenly entered the market.
Filtering Entries: Traders might avoid taking entries (especially trend-following ones) when the indicator shows a consistent pattern of low red columns, suggesting high market indecision.
Settings:
Color Threshold %: Allows you to set the percentage level above which columns turn green (default is 50%).
Smoothing MA Length: Adjusts the lookback period for the Simple Moving Average.
Disclaimer:
This indicator is a tool for technical analysis and should be used in conjunction with other methods (like price action, volume analysis, other indicators) and robust risk management. It does not provide direct buy/sell signals and past performance is not indicative of future results.
Komut dosyalarını "high low" için ara
Smarter Money Concepts - FVGs [PhenLabs]📊 Smarter Money Concepts - FVGs
Version: PineScript™ v6
📌 Description
Smarter Money Concepts - FVGs is a sophisticated indicator designed to identify and track Fair Value Gaps (FVGs) in price action. These gaps represent market inefficiencies where price moves quickly, creating imbalances that often attract subsequent price action for mitigation. By highlighting these key areas, traders can identify potential zones for reversals, continuations, and price targets.
The indicator employs volume filtering ideology to highlight only the most significant FVGs, reducing noise and focusing on gaps formed during periods of higher relative volume. This combination of price structure analysis and volume confirmation provides traders with high-probability areas of interest that institutional smart money may target during future price movements.
🚀 Points of Innovation
Volume-Filtered Gap Detection : Eliminates low-significance FVGs by requiring a minimum volume threshold, focusing only on gaps formed with institutional participation
Equilibrium Line Visualization : Displays the midpoint of each gap as a potential precision target for trades
Automated Gap Mitigation Tracking : Monitors when price revisits and mitigates gaps, automatically managing visual elements
Time-Based Gap Management : Intelligently filters gaps based on a configurable timeframe, maintaining chart clarity
Dual Direction Analysis : Simultaneously tracks both bullish and bearish gaps, providing a complete market structure view
Memory-Optimized Design : Implements efficient memory management for smooth chart performance even with numerous FVGs
🔧 Core Components
Fair Value Gap Detection : Identifies price inefficiencies where the current candle’s low is higher than the previous candle’s high (bearish FVG) or where the current candle’s high is lower than the previous candle’s low (bullish FVG).
Volume Filtering Mechanism : Calculates relative volume compared to a moving average to qualify only gaps formed during significant market activity.
Mitigation Tracking : Continuously monitors price action to detect when gaps get filled, with options to either hide or maintain visual representation of mitigated gaps.
🔥 Key Features
Customizable Gap Display : Toggle visibility of bullish and bearish gaps independently to focus on your preferred market direction
Volume Threshold Control : Adjust the minimum volume ratio required for gap qualification, allowing fine-tuning between sensitivity and significance
Flexible Mitigation Methods : Choose between “Wick” or “Close” methods for determining when a gap has been mitigated, adapting to different trading styles
Visual Customization : Full control over colors, transparency, and style of gap boxes and equilibrium lines
🎨 Visualization
Gap Boxes : Rectangular highlights showing the exact price range of each Fair Value Gap. Bullish gaps indicate potential upward price targets, while bearish gaps show potential downward targets.
Equilibrium Lines : Dotted lines running through the center of each gap, representing the mathematical midpoint that often serves as a precision target for price movement.
📖 Usage Guidelines
General Settings
Days to Analyze : Default: 15, Range: 1-100. Controls how many days of historical gaps to display, balancing between comprehensive analysis and chart clarity
Visual Settings
Bull Color : Default:(#596fd33f). Color for bullish Fair Value Gaps, typically using high transparency for clear chart visibility
Bear Color : Default:(#d3454575). Color for bearish Fair Value Gaps, typically using high transparency for clear chart visibility
Equilibrium Line : Default: Enabled. Toggles visibility of the center equilibrium line for each FVG
Eq. Line Color : Default: Black with 99% transparency. Sets the color of equilibrium lines, usually kept subtle to avoid chart clutter
Eq. Line Style : Default: Dotted, Options: Dotted, Solid, Dashed. Determines the line style for equilibrium lines
Mitigation Settings
Mitigation Method : Default: Wick, Options: Wick, Close. Determines how gap mitigation is calculated - “Wick” uses high/low values while “Close” uses open/close values for more conservative mitigation criteria
Hide Mitigated : Default: Enabled. When enabled, gaps become transparent once mitigated, reducing visual clutter while maintaining historical context
Volume Filter
Volume Filter : Default: Enabled. When enabled, only shows gaps formed with significant volume relative to recent average
Min Ratio : Default: 1.5, Range: 0.1-10.0. Minimum volume ratio compared to average required to display an FVG; higher values filter out more gaps
Periods : Default: 15, Range: 5-50. Number of periods used to calculate the average volume baseline
✅ Best Use Cases
Identifying potential reversal zones where price may react after extended moves
Finding precise targets for take-profit placement in trend-following strategies
Detecting institutional interest areas for potential breakout or breakdown confirmations
Plotting significant support and resistance zones based on structural imbalances
Developing fade strategies at key market structure points
Confirming trade entries when price approaches significant unfilled gaps
⚠️ Limitations
Works best on higher timeframes where gaps reflect more significant market inefficiencies
Very choppy or ranging markets may produce small gaps with limited predictive value
Volume filtering depends on accurate volume data, which may be less reliable for some symbols
Performance may be affected when displaying a very large number of historical gaps
Some gaps may never be fully mitigated, particularly in strongly trending markets
💡 What Makes This Unique
Volume Intelligence : Unlike basic FVG indicators, this script incorporates volume analysis to identify the most significant structural imbalances, focusing on quality over quantity.
Visual Clarity Management : Automatic handling of mitigated gaps and memory management ensures your chart remains clean and informative even over extended analysis periods.
Dual-Direction Comprehensive Analysis : Simultaneously tracks both bullish and bearish gaps, providing a complete market structure picture rather than forcing a directional bias.
🔬 How It Works
1. Gap Detection Process :
The indicator examines each candle in relation to previous candles, identifying when a gap forms between the low of candle and high of candle (bearish FVG) or between the high of candle and low of candle (bullish FVG). This specific candle relationship identifies true structural imbalances.
2. Volume Qualification :
For each potential gap, the algorithm calculates the relative volume compared to the configured period average. Only gaps formed with volume exceeding the minimum ratio threshold are displayed, ensuring focus on institutionally significant imbalances.
3. Equilibrium Calculation :
For each qualified gap, the script calculates the precise mathematical midpoint, which becomes the equilibrium line - a key target that price often gravitates toward during mitigation attempts.
4. Mitigation Tracking :
The indicator continuously monitors price action against existing gaps, determining mitigation based on the selected method (wick or close). When price reaches the equilibrium point, the gap is considered mitigated and can be visually updated accordingly.
💡 Note:
Fair Value Gaps represent market inefficiencies that often, but not always, get filled. Use this indicator as part of a complete trading strategy rather than as a standalone system. The most valuable signals typically come from combining FVG analysis with other confirmatory indicators and overall market context. For optimal results, start with the default settings and gradually adjust parameters to match your specific trading timeframe and style.
Today, Previous Day, and Two Days Ago LevelsOverview
This indicator plots key price levels from the current trading day, the previous day, and two days ago directly on your chart. Designed for traders who rely on daily price action, it displays the high, low, and close of the previous day, as well as the high and low of two days ago, alongside the developing high and low of the current day. Each level is drawn as a horizontal line with customizable visibility and distinct colors for easy identification.
Features
Today’s Levels: Shows the current day’s high (green) and low (red) as they develop during the regular trading session (9:30 AM–4:00 PM EDT).
Previous Day Levels: Plots the high (blue), low (light blue), and close (purple) of the most recent completed trading day, updating after 4:00 PM EDT.
Two Days Ago Levels: Displays the high (orange) and low (light orange) from two trading days prior.
Customizable Display: Toggle each level on or off via input settings to focus on the data that matters to you.
Session-Based Accuracy: Uses the regular U.S. equity session (9:30 AM–4:00 PM EDT) to ensure levels reflect standard trading hours.
How It Works
The indicator fetches daily price data based on the regular trading session (9:30 AM–4:00 PM EDT, Monday–Friday). After the session closes at 4:00 PM EDT, the "Previous Day" levels shift to reflect the just-completed day’s high, low, and close, while "Two Days Ago" levels update to the day before that. This makes it ideal for pre-market analysis the next morning, ensuring you’re always working with the latest completed session data.
Usage
Intraday Trading: Use on 1-minute, 5-minute, or 15-minute charts to monitor key levels during the day or in pre-market.
Daily Analysis: View on daily charts to assess historical levels, with updates reflecting the latest session after 4:00 PM EDT.
Support/Resistance: Leverage these levels as potential support and resistance zones for your trading strategy.
Limitations
Timeframe Consistency: Works best on intraday charts (e.g., 1-min, 5-min, 15-min, 30-min, 60-min). On higher timeframes (e.g. daily , weekly, monthly), the levels may not align as expected due to the daily session focus.
Securities Traded: Optimized for U.S. equities with a 9:30 AM–4:00 PM EDT session (e.g., stocks like SPY, AAPL). May not work correctly for:
Futures or Forex: These markets have different session hours (e.g., 5:00 PM EDT close for some futures), which could misalign the levels.
Non-U.S. Markets: Securities with different trading hours (e.g., European or Asian exchanges) won’t match the hardcoded EDT session.
Time Zone Dependency: Assumes a UTC-4 (EDT) timezone. If your chart or TradingView settings use a different timezone (e.g., EST, UTC), the session close detection (4:00 PM EDT) may be off.
Extended Hours: Excludes pre-market and after-hours data, focusing only on regular session prices. If you need extended hours, this indicator won’t reflect those levels.
Notes
Published under the Mozilla Public License 2.0.
Created on November 20, 2024, with updates for accuracy as of March 27, 2025.
If you encounter issues (e.g., levels not updating correctly), check your symbol’s session hours and chart timezone match the U.S. equity standard (9:30 AM–4:00 PM EDT).
Enjoy trading with clearer daily levels!
Original Gann Swing Chart Rules [AlgoFuego]🔵 Original Gann Swing Chart Rules
An advanced indicator built on W.D. Gann’s original rules, enhanced with innovative mechanical trend-following methods.
🔹 Description
This indicator functions by balancing short-term adaptability with long-term trend analysis.
The indicator incorporates Gann’s principles alongside mechanical trend-following techniques to offer a structured method for analyzing trends and detecting potential market reversals.
Golden Rule: Non-trend bars are excluded from analysis, and each new bar is compared with the previous trend bar, it highlights significant swing points with greater clarity.
🔸 The core concept behind the golden rule on which this indicator is built.
The person watching the tide coming, wanting to pinpoint the exact spot that signals the high tide, places a stick in the sand at the points where the incoming waves reach until the stick reaches a position where the waves no longer rise, and eventually recedes enough to show that the tide has shifted.
This method is effective for monitoring and identifying tides and floods in the stock market.
🔸Rule 1: The trend bar is everything.
→It is a bar that forms a new high, low, or both.
🔸Rule 2: The professional traders track new highs and lows.
🔸Rule 3: The hidden bar is nothing.
→It is a bar that does not form a new high, low, or both.
🔸Rule 4: The sea has a wavy nature, and the market as well.
🔸Rule 5: The slope is the immediate direction of the swing.
Downward slope
→The downslope is the descending slope of a swing, shows a decline, reflecting a bearish price trend.
Upward slope
→The upslope is the ascending slope of a swing, shows an incline, reflecting a bullish price trend.
🔸Rule 6: The start and end of the movement are the swing points.
→The lowest or highest price of the last bar in the direction of the slope represents the swing point after the slopes direction changes.
Valley
→It is the lowest price of the last bar in a downslope before the market turns to a upslope.
End=> Downward slope and Start=> Upward slope
Peak
→It is the highest price of the last bar in a upslope before the market turns to an downslope.
End=> Upward slope and Start=> Downward slope
🔸Rule 7: The Golden Rule: Ignore all no-trend bars and compare the new bar with the previous trend bar.
→Applying the golden rule in upward slope
→Applying the golden rule in downward slope
🔸 Related content: Personal words of W.D Gann from the book Wall Street Stock Selector.
→"This was only one month's reaction the same as March 1925. The market held in a dull narrow range for about 2 months while accumulation was taking place and in June the main trend turned up again."
→The beginning of the main trend and the formation of the Valley.
→The beginning of the main trend and the formation of the Peak.
🔸 Rule 8: The Closing Price of the Bar to Understand Movement Direction.
Sequence is important
→ Downward bar
→ Upward bar
🔸 Outside Bar Rules
→Explanation of rules and calculations.
🔸 How does a trend start?
Upward trend
Trend change from Downward to Upward.
Prices must take out the nearest 'Peak' and the Trend was previously Downward.
A breakout above the previous peak signals a bullish reversal.
→ Model 1 - Dropping Valley Reversal
The market forms a dropping valley, followed by a breakout above the previous peak.
→ Model 2 - Equal Valley Reversal
The market forms an equal valley, followed by a breakout above the previous peak.
→ Model 3 - Rising Valley Reversal
The market forms a rising valley, followed by a breakout above the previous peak.
Downward trend
Trend change from Upward to Downward.
Prices must take out the nearest ‘Valley' and the Trend was previously Upward.
A breakdown below the previous valley signals a bearish reversal.
→ Model 1 - Rising Peak Reversal
The market forms a rising peak, followed by a breakdown below the previous valley.
→ Model 2 - Equal Peak Reversal
The market forms an equal peak, followed by a breakdown below the previous valley.
→ Model 3 - Dropping Peak Reversal
The market forms a dropping peak, followed by a breakdown below the previous valley.
🔸 The fractal nature of markets
Rising wave
→ The rising wave is the entire bull market between turning points
High point : When the Main trend turns from upward to downward, the peak of the primary trend is formed.
Dropping wave
→ The Dropping wave is the entire bear market between turning points.
Low point : When the Main trend turns from downward to upward, the primary trend valley is formed.
Fractal nature application.
Everything in one picture.
🔹 Features
Strict adherence to the rules: Follows the Original Gann Swing Chart Rules to detect swing points.
Fractal analysis: Uses trend bars and fractal analysis to identify swing points.
Robust functionality: Engineered to handle complex market conditions with advanced logic.
Custom alerts: Alerts for peak/valley completion, main and primary trend reversals & continuations.
Golden rule application: Filters out non-trend bars by comparing only with the last trend bar.
Reversal & trend detection: Applies eight outside bar rules to detect trend reversals and continuations.
Dynamic customization: Fully customizable settings.
🔹 Settings overview
Fine-tune the indicator to match your unique trading strategy by adjusting trend settings, customizing alerts, and modifying visualization options.
1. Main trend settings
Hide/Show Main trend options: Instantly hide all main trend options (alerts remain separate).
Main trendline display & alerts: Toggle trendline visibility and set alerts for peaks and valleys.
Trendline customization: Adjust styles, colors, and slopes for upward/downward trends.
Peaks & Valleys markers: Show/hide points and customize their color and size.
Opposite Main trend turning points: Enable alerts and modify style, width, color, and offset.
Breakout/Breakdown points: Set alerts and customize their appearance.
2. Primary trend settings
Hide/Show primary trend options: Instantly hide all primary trend options (alerts remain separate).
Primary trendline display & alerts: Toggle trendline visibility and set alerts for peaks and valleys.
Trendline customization: Adjust styles, colors, and slopes for upward/downward trends.
Peaks & Valleys markers: Show/hide points and customize their color and size.
Opposite primary trend turning points: Enable alerts and modify style, width, color, and offset.
Breakout/Breakdown points: Set alerts and customize their appearance.
3. Additional options
Tooltips display: Control tooltip visibility for labels and languages.
Candle/Bar coloring: Customize candle and bar colors based on algorithm-selected trends.
🔸 Additional features
🔹Custom reading of bars.
The arrow represents the direction of the slope, the dot is the type of trend, and the line is the closing price.
🔹 Advanced Moving Average Activator
The Advanced Moving Average Activator, this setting calculates the average closing prices of trend bars only, which are the only bars considered by Gann.
The advantage of this method is that it helps avoid hidden bars that are not accounted for, making the difference more evident in a ranging market. The values are updated only when new highs or lows occur.
Additionally, you can set alerts when the price closes above or below the moving average.
🔹 Bar Counter
After a trend change, you can see exactly when the shift occurred and customize the type of trend you want to track.
For example, by conducting your own research on the assets you trade, based on historical data, you might discover valuable insights, such as the primary trend possibly lasting longer than 20 bars!
You can use these insights to refine your trading strategy and make more data-driven decisions.
🔹 How to use
Step 1: Configure the settings and choose your trading approach
Adjust the indicator settings to match your trading style and market conditions.
Effectively using the indicator starts with selecting your preferred trading style.
You can trade in alignment with the primary trend, capitalize on market reversals, or take advantage of breakouts.
Trading with the primary trend: Best for traders who prefer longer-term positions with higher stability.
Trading reversals: Ideal for those looking to enter at potential turning points but requires additional confirmation.
Trading breakouts: Suitable for traders targeting strong price movements after key level breakouts.
Adapting to market volatility: Monitor changing volatility and adjust your strategy accordingly for optimal results.
Step 2: Analyze the chart
Apply the indicator to your TradingView chart and interpret swing signals for informed decisions.
Carefully study the chart patterns to detect subtle signals.
Check if similar signals worked well in past market conditions.
Use multi-timeframe analysis for a broader perspective.
Step 3: Trade with the primary trend
Utilize trend direction to align trades with prevailing market movements.
Always trade in the direction of the primary trend.
Confirm the trend direction using multiple indicators or by relying on the primary trend as confirmation!.
Avoid trading against strong market momentum.
Step 4: Identify entry signals
Use indicator signals to identify ideal trade entry points.
Look for confirmation before entering a trade.
Wait for clear signals to avoid false entries.
Practice on a demo account to build confidence in your entry strategy.
Step 5: Apply risk management
Define stop-loss and take-profit levels to protect your capital effectively.
Set stop-loss orders at strategic levels to limit potential losses.
Risk only a small percentage of your capital per trade.
Adjust risk levels based on your overall portfolio performance.
Step 6: Confirm with trend analysis
Validate trends using additional indicators for a higher probability of success.
Use complementary tools to confirm trend direction.
Monitor trend changes to adjust your strategy promptly.
Keep an eye on volume indicators for added confirmation.
Step 7: Execute the trade
Enter trades based on confirmed signals and predefined strategy rules.
Ensure all your criteria are met before executing a trade.
Stay disciplined and stick to your strategy.
Review market conditions right before execution.
Step 8: Monitor the trade
Track trade performance and make adjustments as necessary.
Keep an eye on market conditions throughout the trade.
Be ready to adjust your strategy if unexpected events occur.
Use trailing stops to secure profits while allowing for gains.
Step 9: Implement exit strategy
Close trades strategically based on your pre-established exit plan.
Plan your exit strategy in advance and adhere to it.
Consider partial exits to secure profits along the way.
Avoid emotional decisions when closing trades.
Step 10: Review performance
Analyze past trades to continuously refine and improve your strategy.
Regularly review and document your trades for insights.
Identify patterns in both your successes and mistakes.
Update your strategy based on comprehensive performance reviews.
🔹 Disclosure
While this script is useful and provides insight into market tops, bottoms, and trend trading, it's critical to understand that past performance is not necessarily indicative of future results and there are many more factors that go into being a profitable trader.
BRT CHARTS MTFDescription of the Indicator
This indicator is designed to visualize and analyze price movements across multiple timeframes simultaneously. It displays candles from selected time intervals directly on the current chart, allowing traders to quickly assess market conditions without switching between different timeframes. This is particularly useful for traders who use multi-timeframe analysis to make trading decisions.
Key Features of the Indicator:
1. Displaying Candles from Multiple Timeframes:
- The indicator allows you to select three timeframes (e.g., 1 hour, 4 hours, and 1 day) and displays their candles on the current chart. This helps to see the overall market picture without switching between charts.
- Candles are displayed as vertical columns, each containing the body and wicks (shadows) of the candle. The colors of the candles (green for bullish and red for bearish) are customizable.
2. Dynamic Updates:
- The indicator automatically updates the candles as new data arrives, allowing you to track market changes in real time.
3. Customizable Number of Candles:
- The user can choose how many candles to display for each timeframe (default is 4 candles). This allows the indicator to be adapted to individual needs.
4. Range Display (High/Low):
- The indicator can show High and Low levels for each timeframe, helping to identify key support and resistance levels.
- It is also possible to display the Mid level (average between High and Low), which can be useful for identifying consolidation zones.
5. Data Table:
- The indicator supports displaying a table with key levels (High, Low, Mid) for each timeframe. The table can be placed in any corner of the chart, and its size and text/background colors are customizable.
6. Flexible Appearance Settings:
- The user can customize the colors of the candles, their wicks, High/Low/Mid levels, as well as the placement of the columns on the chart.
How the Indicator Helps in Trading:
- Multi-Timeframe Analysis: The indicator allows you to analyze multiple timeframes simultaneously, helping to better understand the overall trend and find entry points. For example, if the trend is bullish on the daily timeframe and there is a correction on the hourly timeframe, this could be a good opportunity to buy.
- Identifying Key Levels: Displaying High, Low, and Mid levels helps quickly identify support and resistance zones, which is useful for setting stop-loss and take-profit levels.
- Time-Saving: The indicator eliminates the need to switch between timeframes, speeding up the analysis and decision-making process.
- Visual Clarity: Visualizing candles from different timeframes on a single chart makes analysis more convenient and intuitive.
Example Use Cases:
1. Trend Trading: If a clear uptrend is visible on the daily timeframe and a correction is occurring on the hourly timeframe, you can look for buy opportunities near support levels.
2. Range Trading: If the price is moving sideways across all timeframes, you can use High and Low levels to trade from the boundaries of the range.
3. Identifying Reversal Points: If the price approaches a key resistance level on the higher timeframe and a bearish candle forms on the lower timeframe, this could be a signal to sell.
Conclusion:
This indicator is a powerful tool for traders who use multi-timeframe analysis. It helps quickly assess market conditions, identify key levels, and make informed trading decisions. Thanks to its flexible settings, the indicator can be adapted to any trading style and visualization preferences.
MACD Highs and Lows - Dynamic Support & ResistanceDescription:
Enhance your trading strategy with the MACD Highs and Lows indicator, designed to identify dynamic support and resistance levels based on MACD crossovers. This tool plots key price levels triggered by shifts in MACD momentum, helping traders spot potential reversal zones, breakout points, and trend confirmation signals.
Key Features
Dynamic Levels: Automatically plots recent highs/lows when MACD crosses above/below the zero line.
Customizable MACD Parameters:
Adjustable fast/slow lengths (default: 12/26).
Choose between SMA or EMA for oscillator/signal line.
Flexible signal smoothing (1-50 periods).
Visual Clarity:
Clear green/red lines for highs and lows.
Tracks both price extremes and adjacent candle levels (e.g., high-of-low-bar, low-of-high-bar).
Multi-Timeframe Utility: Works across charts for swing trading, scalping, or trend analysis.
How It Works
Bullish Signal: When MACD crosses above zero, the indicator marks the recent lowest low (support) and its corresponding high.
Bearish Signal: When MACD crosses below zero, it plots the recent highest high (resistance) and its corresponding low.
Levels persist until the next crossover, creating actionable reference zones.
Use Cases
Trend Confirmation: Validate breakouts when price closes above/below plotted levels.
Stop Loss Placement: Set stops beyond recent dynamic highs/lows.
Divergence Detection: Spot discrepancies between MACD momentum and price action.
Settings Tips:
Increase Fast Length for responsiveness or Slow Length for smoother signals.
Use EMA for faster reactions, SMA for reduced noise.
Power Play Signal Indicator [Masky18]Power Play Signal Indicator
The Power Play Signal Indicator is a sophisticated custom trading strategy designed to identify high-probability breakout and breakdown opportunities by combining consolidation detection, trend alignment, volume analysis, and relative strength ranking. Unlike simple mashups of existing indicators, this script integrates multiple technical concepts into a cohesive strategy that helps traders capitalize on market momentum with precision.
What Makes This Indicator Unique?
The PowerPlay Signal Indicator is not just a combination of existing indicators; it is a custom-built strategy that uses original logic to filter out low-probability setups and focus on high-quality trading opportunities. Here’s how it works:
Consolidation Detection:
The script identifies consolidation zones by analyzing price action over a user-defined period (default: 6 bars). It calculates the high, low, and midpoint of the consolidation range and ensures the price stays within a specified percentage range (default: 13%).
Consolidations are classified as Tight, Loose, or Okay, helping traders gauge the strength of the potential breakout or breakdown.
Breakout & Breakdown Logic:
Breakouts and breakdowns are confirmed using a combination of:
Price Action: The script checks if the price closes above the consolidation high (breakout) or below the consolidation low (breakdown).
Volume Analysis: A significant volume spike (default: 20% increase) is required to confirm the move.
MACD & Moving Averages: The script uses MACD and moving averages (50-day and 200-day) to ensure the breakout/breakdown aligns with the prevailing trend.
Trend Alignment:
The script ensures trades are aligned with the long-term trend by using:
50-day SMA and 200-day SMA to confirm uptrends or downtrends.
150-day SMA as an additional filter to ensure the trend is strong.
52-week high/low conditions to ensure the price is in a favorable position relative to its historical range.
Relative Strength Ranking:
The script compares the asset’s performance against a benchmark asset (e.g., SPY) to ensure it is outperforming the market. This is done using a customizable Relative Strength (RS) Threshold (default: 70).
Golden Candle Signals:
For high-probability setups, the script identifies Golden Candles—strong breakout or breakdown candles with:
Large price movement (default: 7.5% to 12.5% candle size).
High volume (default: 2x the average consolidation volume).
Alignment with MACD and moving averages.
Risk Management:
The script provides stop loss, trailing stop, and take profit levels based on:
ATR (Average True Range): Dynamic stop loss levels are calculated using ATR (default: 14-period ATR with a 2x multiplier).
Trailing Stop Percentage: User-defined trailing stop (default: 2%).
Take Profit Percentage: User-defined take profit (default: 5%).
Performance Tracking:
The script includes a Performance Table that tracks:
Total breakouts and breakdowns.
Successful and failed trades.
Win rates for breakouts and breakdowns.
Golden candle signals.
How Does It Work?
The PowerPlay Signal Indicator combines the following key components to generate signals:
Consolidation Detection:
The script calculates the high, low, and midpoint of the consolidation range over a user-defined period.
It ensures the price stays within a specified percentage range (default: 13%) to confirm consolidation.
Breakout/Breakdown Confirmation:
A breakout is confirmed when:
The price closes above the consolidation high.
Volume increases by at least 20%.
MACD is positive and above the signal line.
The price is above the 50-day and 200-day SMAs.
A breakdown is confirmed when:
The price closes below the consolidation low.
Volume increases by at least 20%.
MACD is negative and below the signal line.
The price is below the 50-day and 200-day SMAs.
Golden Candle Signals:
Golden Candles are identified when:
The candle size is between 7.5% and 12.5%.
Volume is at least 2x the average consolidation volume.
The candle aligns with the prevailing trend and MACD.
Risk Management:
Stop loss levels are calculated using ATR (default: 14-period ATR with a 2x multiplier).
Trailing stop and take profit levels are based on user-defined percentages.
How to Use the Indicator
Input Parameters:
Consolidation Periods: Set the number of bars to analyze for consolidation (default: 6).
Maximum Consolidation Range: Define the maximum percentage range for consolidation (default: 13%).
Stop Loss Factor: Adjust the stop loss multiplier based on the midpoint of the consolidation range (default: 0.985).
RS Threshold: Set the relative strength threshold for trend alignment (default: 70).
Comparison Asset: Enable comparison with a benchmark asset (e.g., SPY) to ensure the asset is outperforming the market.
Trailing Stop Percentage: Set the trailing stop percentage (default: 2%).
Take Profit Percentage: Set the take profit percentage (default: 5%).
Time Exit Bars: Define the maximum number of bars to hold a trade (default: 10).
Interpreting Signals:
Breakout Signal: A green label ("BO") appears when a breakout is detected.
Breakdown Signal: A red label ("BD") appears when a breakdown is detected.
Golden Candle Signal: A gold medal icon (🥇) appears for high-probability setups.
Performance Table:
The performance table displays the number of trades, successful trades, failed trades, and win rates for breakouts and breakdowns.
Alerts:
Enable alerts for breakouts, breakdowns, and golden candles to stay informed about potential trading opportunities.
Why Choose the PowerPlay Signal Indicator?
Original Logic: Combines consolidation detection, trend alignment, volume analysis, and relative strength ranking into a unique strategy.
High-Probability Signals: Focuses on high-quality setups with strong volume and trend alignment.
Risk Management: Built-in stop loss, trailing stop, and take profit options help you manage risk effectively.
Performance Tracking: Tracks trade outcomes and win rates to help you refine your strategy.
Customizable: Fully adjustable inputs allow you to adapt the indicator to your trading style and market conditions.
Previous Hour High and Low### **🔷 Previous Hour High & Low Indicator – Description**
#### 📌 **Overview**
The **Previous Hour High & Low Indicator** is designed to help traders identify key levels from the last completed hourly candle. These levels often act as **support and resistance zones**, helping traders make informed decisions about potential breakouts, reversals, and liquidity grabs.
#### 🎯 **How It Works**
- At the start of every new hour, the indicator **locks in** the **high and low** from the **previous fully completed hour**.
- It then **draws horizontal lines** on the chart, marking these levels.
- Works **only on intraday timeframes** (e.g., 1m, 5m, 15m, 30m), ensuring clean and relevant levels.
- Updates dynamically **every new hour** without repainting.
#### 🔑 **Why Is This Useful?**
✔ **Identifies Key Liquidity Zones** – The market often reacts to previous hour highs/lows, making them useful for stop hunts, liquidity grabs, and order block setups.
✔ **Works Well with ICT Concepts** – If you're trading **ICT kill zones**, these levels can help in finding optimal trade entries.
✔ **Helps with Breakout & Rejection Setups** – Traders can watch for price breaking or rejecting these levels for trade confirmation.
✔ **Useful for Scalping & Day Trading** – Works best for short-term traders looking for intraday movements.
#### ⚙ **Customization Options**
- The high and low levels are color-coded:
🔵 **Previous Hour High (Blue)** → Acts as potential resistance or breakout point.
🔴 **Previous Hour Low (Red)** → Acts as potential support or breakdown level.
#### 📊 **Best Timeframes to Use This On**
- **1-minute, 5-minute, 15-minute, 30-minute charts** → Most effective for intraday trading.
- Avoid using on **hourly or higher timeframes**, as these levels become less relevant.
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🚀 **This indicator is perfect for traders looking to track short-term price reactions at key levels.** Let me know if you want to add alerts, zone shading, or any other enhancements! 🔥
ZenAlgo - Heavy DeltaThe ZenAlgo - Heavy Delta indicator is a comprehensive technical analysis tool designed for traders seeking a deeper understanding of market dynamics. It combines multiple advanced sub-indicators, including Order Blocks, Moving Averages, VWAP, and Delta Volume analysis, and more to provide actionable insights. This indicator is particularly useful for identifying potential trade entries and exits based on institutional order flow and price action patterns.
Features
Order Block Detection: Identifies bullish and bearish order blocks with detailed visualization and volume analysis.
VWAP (Volume Weighted Average Price): Tracks the average price of a security weighted by volume over various anchor periods.
Moving Averages (MA): Customizable MAs (13, 21, 50, 200 periods) to detect trends and momentum shifts.
Daily Open and Monday Range: Highlights key levels like daily open and intraday/multi-day high-low ranges for better price context.
Delta Volume Analysis: Measures the net difference between buying and selling volume for market sentiment insights.
Divergence Detection: Detects regular and hidden bullish/bearish divergences for trend reversal opportunities.
Visual Alerts: Displays intuitive symbols for potential buy/sell signals and key price levels.
Added Value: Why Is This Indicator Original/Why Shall You Pay for This Indicator?
The ZenAlgo - Heavy Delta indicator offers a distinct advantage by integrating multiple analysis techniques into one cohesive tool. While many individual indicators are freely available, this script goes beyond simple overlays to provide an advanced analytical framework. Here’s why it stands out:
1. Synergy of Indicators
Order Blocks: These are not static; the indicator dynamically calculates zones where institutional activity likely occurred, supported by volume-weighted metrics.
Delta Volume Analysis: Freely available delta volume tools typically show raw data, but this script filters noise, categorizes volume into meaningful up/down segments, and integrates it with other signals for context.
VWAP and Moving Averages: VWAP and customizable MAs are enhanced with divergence checks, color-coded trends, and market state classifications. This integration helps confirm trends and reversals with higher precision.
2. Volume-Based Insights
Traditional volume indicators often fail to show the "intent" behind price moves. This script combines delta volume and order block data to highlight areas of significant buying or selling pressure and their potential impacts on future price action.
3. Visual Simplicity with Advanced Logic
Unlike using several separate tools, which can clutter your chart, this indicator presents a streamlined interface. Every plotted element serves a clear purpose, minimizing distractions while maximizing actionable insights.
4. Customized for Active Traders
The indicator doesn’t just provide standard calculations. It includes proprietary adjustments like mitigation thresholds in order blocks, percentage-based signals for VWAP, and delta volume intensity levels that align better with active market conditions.
5. Why Pay for It?
Time and effort savings: Instead of setting up and calibrating multiple tools, this indicator combines them into a single efficient package.
Enhanced accuracy: Each sub-indicator validates the others, reducing false signals.
Unique features: For instance, the script automatically adjusts for multi-timeframe inconsistencies and uses gradient color fills to convey volume strength in order blocks—a feature absent in free indicators.
How It Works
The indicator combines individual sub-indicators into a logical framework where each part contributes to the overall analysis. Here’s how each feature operates:
1. Order Blocks
Identification: Uses specific price action patterns to locate zones of likely institutional interest (bullish or bearish blocks).
Dynamic Updates: The blocks adjust as new price data comes in, ensuring their relevance. Volume within these zones is weighted, helping assess their strength and potential price reactions.
Visual Enhancements: Blocks are color-coded and filled with gradients based on volume intensity, providing immediate visual cues about their importance.
2. VWAP (Volume Weighted Average Price)
Calculation: Anchored to user-selected periods (daily, weekly, etc.), VWAP is recalculated in real-time, showing the "fair" price based on traded volume.
Integration: Acts as a dynamic support/resistance line, particularly useful in intraday and swing trading. Labels provide percentage deviation for quick interpretation.
3. Moving Averages (MAs)
Customization: Supports various types (EMA, SMA, etc.) and lengths (13, 21, 50, 200). Traders can configure these to suit their strategies.
Market Status: By comparing the price to these MAs, the indicator classifies the market as Full Bull, Bullish, Neutral, Bearish, or Full Bear. This high-level summary helps traders quickly gauge market sentiment.
4. Delta Volume
Core Logic: Calculates the net difference between buying and selling pressure (volume) for each candle.
Visual Signals: Plots symbols when significant delta volume changes coincide with other indicator signals, like divergence or order block activity.
5. Daily Open and Monday Range
Purpose: Identifies key psychological levels like the daily open and the high/low range for the first trading day of the week.
Context: Highlights these levels with dynamic percentage changes, helping traders understand how price is behaving relative to them.
6. Divergence Detection
Logic: Tracks discrepancies between price movement and momentum (via Moving Averages, Delta Volume, and Order Blocks). These divergences often precede reversals.
Validation: Divergences are only flagged when other features, like delta volume shifts or order block interactions, confirm the setup.
By combining these tools in a meaningful way, ZenAlgo - Heavy Delta transforms raw data into actionable intelligence, giving traders a comprehensive view of market dynamics and a significant edge in decision-making.
Why Use Heikin Ashi for Heavy Delta?
The ZenAlgo - Heavy Delta indicator is optimized for Heikin Ashi (HA) candles, which smooth out market noise and make trends more visually apparent. Heikin Ashi works best for this strategy for several key reasons:
Why Heikin Ashi Works Best
Trend Clarity: Unlike traditional candlesticks, Heikin Ashi averages price data to create smoother transitions. This helps the indicator better identify sustained trends and reduces false signals caused by short-term price fluctuations.
Noise Reduction: HA candles filter out minor fluctuations and emphasize the overall market direction, making it easier to align the indicator’s signals (like Delta Volume and Order Blocks) with larger market movements.
Improved Visual Insights: Features like Order Blocks and Delta Volume align well with Heikin Ashi's smoothed representation, as it avoids the erratic movements that traditional candles sometimes display.
Better Support for Trend Strategies: Heikin Ashi candles naturally highlight key reversals and continuation patterns, which complement the analytical goals of this indicator.
Important Notes About Heikin Ashi:
Synthetic Nature of HA Candles: Heikin Ashi values are calculated differently than traditional candles. For example: a) The open is the average of the prior candle's open and close. b) The close is the average of the high, low, open, and close. This synthetic nature means that HA candles do not reflect actual market prices but rather smoothed averages, which can slightly lag real-time price movements.
Lagging Effect: Because HA candles use averaged data, they can lag behind actual price action. This is beneficial for identifying trends but less effective for precise entry/exit timing.
Inaccuracy in Low Volatility: In low-volume or low-volatility conditions, HA candles may distort actual price dynamics, leading to less reliable insights.
No Direct Alerts or Buy/Sell Signals : Issuing explicit buy or sell signals based on Heikin Ashi candles is not possible due to their averaged, synthetic nature. As such, the ZenAlgo - Heavy Delta indicator does not generate direct trading signals. Instead, the indicator is a decision-support tool that provides insights into trends, volume dynamics, and potential key levels, leaving trade execution to the trader's discretion.
Usage Examples
Trend Confirmation: Use the MA market status to identify if the market is in a Full Bull or Bear state.
Reversal Zones: Monitor order block zones for price rejection or absorption, signaling a potential reversal.
Breakout Trading: Trade breakouts when price surpasses VWAP or Monday Range highs/lows.
Delta Divergence: Look for positive/negative delta volume divergences during consolidations for breakout cues.
Mean Reversion: Use VWAP or MAs as dynamic support/resistance for mean reversion setups.
Intraday Scalping: Utilize daily open and intraday levels for short-term trades.
Swing Trading: Employ order blocks and multi-day ranges to frame swing trade setups.
Volume Climax: Identify volume spikes using Delta Volume to confirm trend continuation or reversal.
Momentum Trading: Combine divergence signals with Delta Volume for high-conviction entries.
Risk Management: Use defined order block boundaries to set stop losses and targets.
Settings
Order Blocks: Customize label visibility, label offsets, and block appearance.
VWAP: Adjust anchor period and toggle visibility.
Moving Averages: Configure length, type (EMA, SMA, etc.), and visibility of MAs (13, 21, 50, 200).
Delta Volume: Enable/disable delta symbols and labels, adjust sensitivity multipliers.
Daily Open/Monday Range: Toggle visibility and customize display preferences.
General Visuals: Adjust label offsets, color schemes, and transparency.
Important Notes
This indicator is a technical analysis tool and does not guarantee trading success.
Use it in conjunction with other indicators and fundamental analysis for a more comprehensive trading strategy.
Performance may vary in low-liquidity markets or during sudden news events.
Divergence signals might fail in strongly trending markets.
HTF RangeThis Pine Script indicator, HTF Range , is a tool designed to help traders visualize predefined ranges (highs and lows) and analyze price action within those levels. It's particularly useful for identifying key levels and trends for a set of pre-configured assets, such as cryptocurrencies, stocks, and forex pairs.
Key Features:
1. Predefined Symbol Ranges:
Stores a list of assets (tickers) with corresponding high, low, and trend information in an array.
Automatically matches the current symbol on the chart (syminfo.ticker) to fetch and display relevant range data:
High Range: The upper price level.
Low Range: The lower price level.
Trend: Indicates whether the trend is "up" or "down."
Example tickers: BTCUSDT, ETHUSDT, GBPUSD, NVDA, and more.
2. Range Visualizations:
Extremeties: Draws dashed horizontal lines for the high and low levels.
Half-Level: Marks the midpoint of the range with a dashed yellow line.
Upper and Lower Quarters: Highlights upper and lower portions of the range using shaded boxes with customizable extensions:
3. Configurable Inputs:
Enable/Disable Levels: Toggles for extremeties, half-levels, and quarter-levels.
Table Info: Option to display a table summarizing the range data (symbol, high, low, and trend).
4. Dynamic Calculations:
Automatically calculates the difference between the high and low (diff) for precise range subdivisions.
Dynamically adjusts visuals based on the trend (up or down) for better relevance to the market condition.
5. Table Display:
Provides a detailed summary of the asset's range and trend in the top-right corner of the chart:
Symbol ticker.
High and low levels.
Overall trend direction.
Use Case:
This indicator is ideal for traders who:
Trade multiple assets and want a quick overview of key price ranges.
Analyze price movements relative to predefined support and resistance zones.
Use range-based strategies for trend following, breakout trading, or reversals.
Turtle Soup ICT Strategy [TradingFinder] FVG + CHoCH/CSD🔵 Introduction
The ICT Turtle Soup trading setup, designed in the ICT style, operates by hunting or sweeping liquidity zones to exploit false breakouts and failed breakouts in key liquidity Zones, such as recent highs, lows, or major support and resistance levels.
This setup identifies moments when the price breaches these liquidity zones, triggering stop orders placed (Stop Hunt) by other traders, and then quickly reverses direction. These movements are often associated with liquidity sweeps that create temporary market imbalances.
The reversal is typically confirmed by one of three structural shifts : a Market Structure Shift (MSS), a Change of Character (CHoCH), or a break of the Change in State of Delivery (CISD). Each of these structural shifts provides a reliable signal to interpret market intent and align trading decisions with the expected price movement. After the structural shift, the price frequently pullback to a Fair Value Gap (FVG), offering a precise entry point for trades.
By integrating key concepts such as liquidity, liquidity sweeps, stop order activation, structural shifts (MSS, CHoCH, CISD), and price imbalances, the ICT Turtle Soup setup enables traders to identify reversal points and key entry zones with high accuracy.
This strategy is highly versatile, making it applicable across markets such as forex, stocks, cryptocurrencies, and futures. It offers traders a robust and systematic approach to understanding price movements and optimizing their trading strategies
🟣 Bullish and Bearish Setups
Bullish Setup : The price first sweeps below a Sell-Side Liquidity (SSL) zone, then reverses upward after forming an MSS or CHoCH, and finally pulls back to an FVG, creating a buying opportunity.
Bearish Setup : The price first sweeps above a Buy-Side Liquidity (BSL) zone, then reverses downward after forming an MSS or CHoCH, and finally pulls back to an FVG, creating a selling opportunity.
🔵 How to Use
To effectively utilize the ICT Turtle Soup trading setup, begin by identifying key liquidity zones, such as recent highs, lows, or support and resistance levels, in higher timeframes.
Then, monitor lower timeframes for a Liquidity Sweep and confirmation of a Market Structure Shift (MSS) or Change of Character (CHoCH).
After the structural shift, the price typically pulls back to an FVG, offering an optimal trade entry point. Below, the bullish and bearish setups are explained in detail.
🟣 Bullish Turtle Soup Setup
Identify Sell-Side Liquidity (SSL) : In a higher timeframe (e.g., 1-hour or 4-hour), identify recent price lows or support levels that serve as SSL zones, typically the location of stop-loss orders for traders.
Observe a Liquidity Sweep : On a lower timeframe (e.g., 15-minute or 30-minute), the price must move below one of these liquidity zones and then reverse. This movement indicates a liquidity sweep.
Confirm Market Structure Shift : After the price reversal, look for a structural shift (MSS or CHoCH) indicated by the formation of a Higher Low (HL) and Higher High (HH).
Enter the Trade : Once the structural shift is confirmed, the price typically pulls back to an FVG. Enter a buy trade in this zone, set a stop-loss slightly below the recent low, and target Buy-Side Liquidity (BSL) in the higher timeframe for profit.
🟣 Bearish Turtle Soup Setup
Identify Buy-Side Liquidity (BSL) : In a higher timeframe, identify recent price highs or resistance levels that serve as BSL zones, typically the location of stop-loss orders for traders.
Observe a Liquidity Sweep : On a lower timeframe, the price must move above one of these liquidity zones and then reverse. This movement indicates a liquidity sweep.
Confirm Market Structure Shift : After the price reversal, look for a structural shift (MSS or CHoCH) indicated by the formation of a Lower High (LH) and Lower Low (LL).
Enter the Trade : Once the structural shift is confirmed, the price typically pulls back to an FVG. Enter a sell trade in this zone, set a stop-loss slightly above the recent high, and target Sell-Side Liquidity (SSL) in the higher timeframe for profit.
🔵 Settings
Higher TimeFrame Levels : This setting allows you to specify the higher timeframe (e.g., 1-hour, 4-hour, or daily) for identifying key liquidity zones.
Swing period : You can set the swing detection period.
Max Swing Back Method : It is in two modes "All" and "Custom". If it is in "All" mode, it will check all swings, and if it is in "Custom" mode, it will check the swings to the extent you determine.
Max Swing Back : You can set the number of swings that will go back for checking.
FVG Length : Default is 120 Bar.
MSS Length : Default is 80 Bar.
FVG Filter : This refines the number of identified FVG areas based on a specified algorithm to focus on higher quality signals and reduce noise.
Types of FVG filter s:
Very Aggressive Filter: Adds a condition where, for an upward FVG, the last candle's highest price must exceed the middle candle's highest price, and for a downward FVG, the last candle's lowest price must be lower than the middle candle's lowest price. This minimally filters out FVGs.
Aggressive Filter: Builds on the Very Aggressive mode by ensuring the middle candle is not too small, filtering out more FVGs.
Defensive Filter: Adds criteria regarding the size and structure of the middle candle, requiring it to have a substantial body and specific polarity conditions, filtering out a significant number of FVGs.
Very Defensive Filter: Further refines filtering by ensuring the first and third candles are not small-bodied doji candles, retaining only the highest quality signals.
In the indicator settings, you can customize the visibility of various elements, including MSS, FVG, and HTF Levels. Additionally, the color of each element can be adjusted to match your preferences. This feature allows traders to tailor the chart display to their specific needs, enhancing focus on the key data relevant to their strategy.
🔵 Conclusion
The ICT Turtle Soup trading setup is a powerful tool in the ICT style, enabling traders to exploit false breakouts in key liquidity zones. By combining concepts of liquidity, liquidity sweeps, market structure shifts (MSS and CHoCH), and pullbacks to FVG, this setup helps traders identify precise reversal points and execute trades with reduced risk and increased accuracy.
With applications across various markets, including forex, stocks, crypto, and futures, and its customizable indicator settings, the ICT Turtle Soup setup is ideal for both beginner and advanced traders. By accurately identifying liquidity zones in higher timeframes and confirming structure shifts in lower timeframes, this setup provides a reliable strategy for navigating volatile market conditions.
Ultimately, success with this setup requires consistent practice, precise market analysis, and proper risk management, empowering traders to make smarter decisions and achieve their trading goals.
Adaptive Volatility-Scaled Oscillator [AVSO] (Zeiierman)█ Overview
The Adaptive Volatility-Scaled Oscillator (AVSO) is a dynamic trading indicator that measures and visualizes volatility-adjusted market behavior. By scaling various metrics (such as volume, price changes, standard deviation, ATR, and Yang-Zhang volatility) and applying adaptive smoothing, AVSO helps traders identify market conditions where volatility deviates significantly from the norm.
This indicator uses standardized scaling (Z-Score logic) to highlight periods of abnormally high or low volatility relative to recent history. With gradient coloring and clear volatility zones, AVSO provides a visually intuitive way to analyze market volatility and adapt trading strategies accordingly.
█ How It Works
⚪ Scaling Metrics: The indicator scales user-selected metrics (e.g., volume, ATR, standard deviation) relative to the market and price, providing a standardized volatility measure.
⚪ Z-Score Standardization: The scaled metric is normalized using a Z-Score to measure how far current volatility deviates from its recent mean.
Positive Z-Score: Above-average volatility.
Negative Z-Score: Below-average volatility.
⚪ Adaptive Smoothing: An Adaptive EMA smooths the Z-Score, dynamically adjusting its length based on the strength of the volatility. Stronger deviations result in shorter smoothing, increasing responsiveness.
█ Unique Feature: Yang-Zhang Volatility
The Yang-Zhang volatility estimator sets this indicator apart by providing a more robust and accurate measure of volatility compared to traditional methods like ATR or standard deviation.
⚪ What Makes Yang-Zhang Volatility Unique?
Comprehensive Calculation: It combines overnight price gaps (log returns from the previous close to the current open) and intraday price movements (high, low, and close).
Accurate for Gapped Markets: Traditional volatility measures can misrepresent price movement when significant gaps occur between sessions. Yang-Zhang accounts for these gaps, making it highly reliable for assets prone to overnight price jumps, such as stocks, cryptocurrencies, and futures.
Adaptable to Real Market Conditions : By including both close-to-open returns and intraday volatility, it provides a balanced and adaptive measure that captures the full volatility picture.
⚪ Why This Matters to Traders
Better Volatility Insights: Yang-Zhang offers a clearer view of true market volatility, especially in markets with price gaps or uneven trading sessions.
Improved Trade Timing: By identifying volatility spikes and calm periods more effectively, traders can time their entries and exits with greater confidence.
█ How to Use
Identify High and Low Volatility
A high Z-Score (>2) indicates significant market volatility. This can signal momentum-driven moves, breakouts, or areas of increased risk.
A low Z-Score (<-2) suggests low volatility or a calm market environment. This often occurs before a potential breakout or reversal.
Trade Signals
High Volatility Zones (background highlight): Monitor for potential breakouts, trend continuations, or reversals.
Low Volatility Zones: Anticipate range-bound conditions or upcoming volatility spikes.
█ Settings
Source: Select the price source for scaling calculations (close, high, low, open).
Metric Measure: Choose the volatility measure:
Volume: Scales raw volume.
Close: Uses closing price changes.
Standard Deviation: Price dispersion.
ATR: Average True Range.
Yang: Yang-Zhang volatility estimate.
Bars to Analyze: Number of historical bars used to calculate the mean and standard deviation of the scaled metric.
ATR / Standard Deviation Period: Lookback period for ATR or Standard Deviation calculation.
Yang Volatility Period: Period for the Yang-Zhang volatility estimator.
Smoothing Period: Base smoothing length for the adaptive smoothing line.
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Disclaimer
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
simple swing indicator-KTRNSE:NIFTY
1. Pivot High/Low as Lines:
Purpose: Identifies local peaks (pivot highs) and troughs (pivot lows) in price and draws horizontal lines at these levels.
How it Works:
A pivot high occurs when the price is higher than the surrounding bars (based on the pivotLength parameter).
A pivot low occurs when the price is lower than the surrounding bars.
These pivots are drawn as horizontal lines at the price level of the pivot.
Visualization:
Pivot High: A red horizontal line is drawn at the price level of the pivot high.
Pivot Low: A green horizontal line is drawn at the price level of the pivot low.
Example:
Imagine the price is trending up, and at some point, it forms a peak. The script identifies this peak as a pivot high and draws a red line at the price of that peak. Similarly, if the price forms a trough, the script will draw a green line at the low point.
2. Moving Averages (20-day and 50-day):
Purpose: Plots the 20-day and 50-day simple moving averages (SMA) on the chart.
How it Works:
The 20-day SMA smooths the closing price over the last 20 days.
The 50-day SMA smooths the closing price over the last 50 days.
These lines provide an overview of short-term and long-term price trends.
Visualization:
20-day SMA: A blue line showing the 20-day moving average.
50-day SMA: An orange line showing the 50-day moving average.
Example:
When the price is above both moving averages, it indicates an uptrend. If the price crosses below these averages, it might signal a downtrend.
3. Supertrend:
Purpose: The Supertrend is an indicator based on the Average True Range (ATR) and is used to track the market trend.
How it Works:
When the market is in an uptrend, the Supertrend line will be green.
When the market is in a downtrend, the Supertrend line will be red.
Visualization:
Uptrend: The Supertrend line will be plotted in green.
Downtrend: The Supertrend line will be plotted in red.
Example:
If the price is above the Supertrend, the market is considered to be in an uptrend, and if the price is below the Supertrend, the market is in a downtrend.
4. Momentum (Rate of Change):
Purpose: Measures the rate at which the price changes over a set period, showing if the momentum is positive or negative.
How it Works:
The Rate of Change (ROC) measures how much the price has changed over a certain number of periods (e.g., 14).
Positive ROC indicates upward momentum, and negative ROC indicates downward momentum.
Visualization:
Positive ROC: A purple line is plotted above the zero line.
Negative ROC: A purple line is plotted below the zero line.
Example:
If the ROC line is above zero, it means the price is increasing, suggesting bullish momentum. If the ROC is below zero, it indicates bearish momentum.
5. Volume:
Purpose: Displays the volume of traded assets, giving insight into the strength of price movements.
How it Works:
The script will color the volume bars based on whether the price closed higher or lower than the previous bar.
Green bars indicate bullish volume (closing price higher than the previous bar), and red bars indicate bearish volume (closing price lower than the previous bar).
Visualization:
Bullish Volume: Green volume bars when the price closes higher.
Bearish Volume: Red volume bars when the price closes lower.
Example:
If you see a green volume bar, it suggests that the market is participating in an uptrend, and the price has closed higher than the previous period. Red bars indicate a downtrend or selling pressure.
6. MACD (Moving Average Convergence Divergence):
Purpose: The MACD is a trend-following momentum indicator that shows the relationship between two moving averages of the price.
How it Works:
The MACD Line is the difference between the 12-period EMA (Exponential Moving Average) and the 26-period EMA.
The Signal Line is the 9-period EMA of the MACD Line.
The MACD Histogram shows the difference between the MACD line and the Signal line.
Visualization:
MACD Line: A blue line representing the difference between the 12-period and 26-period EMAs.
Signal Line: An orange line representing the 9-period EMA of the MACD line.
MACD Histogram: A red or green histogram that shows the difference between the MACD line and the Signal line.
Example:
When the MACD line crosses above the Signal line, it’s considered a bullish signal. When the MACD line crosses below the Signal line, it’s considered a bearish signal.
Full Chart Example:
Imagine you're looking at a price chart with all the indicators:
Pivot High/Low Lines are drawn as red and green horizontal lines.
20-day and 50-day SMAs are plotted as blue and orange lines, respectively.
Supertrend shows a green or red line indicating the trend.
Momentum (ROC) is shown as a purple line oscillating around zero.
Volume bars are green or red based on whether the close is higher or lower.
MACD appears as a blue line and orange line, with a red or green histogram showing the MACD vs. Signal line difference.
How the Indicators Work Together:
Trend Confirmation: If the price is above the Supertrend line and both SMAs are trending up, it indicates a strong bullish trend.
Momentum: If the ROC is positive and the MACD line is above the Signal line, it further confirms bullish momentum.
Volume: Increasing volume, especially with green bars, suggests that the trend is being supported by active participation.
By using these combined indicators, you can get a comprehensive view of the market's trend, momentum, and potential reversal points (via pivot highs and lows).
Previous Daily Candle The Previous Daily Candle indicator is a powerful tool designed to enhance your intraday trading by providing clear visual cues of the previous day's price action. By outlining the high, low, open, and close of the previous daily candle and adding a middle dividing line, this indicator offers valuable context to inform your trading decisions.
🎯 Purpose
Visual Clarity: Highlight the key levels from the previous day's price movement directly on your intraday charts.
Trend Confirmation: Quickly identify bullish or bearish sentiment based on the previous day's candle structure.
Support and Resistance: Use the outlined high and low as potential support and resistance levels for your trading strategies.
Customizable Visualization: Tailor the appearance of the outlines and middle line to fit your trading style and chart aesthetics.
🛠️ Features
Outlined Candle Structure:
High and Low Lines: Clearly mark the previous day's high and low with customizable colors and line widths.
Open and Close Representation: Visualize the previous day's open and close through the outlined structure.
Middle Dividing Line:
Average Price Level: A horizontal line divides the candle in half, representing the average of the open and close prices.
Customizable Appearance: Adjust the color and thickness to distinguish it from the high and low outlines.
Bullish and Bearish Differentiation:
Color-Coded Outlines: Automatically change the outline color based on whether the previous day's candle was bullish (green by default) or bearish (red by default).
Enhanced Visual Feedback: Quickly assess market sentiment with intuitive color cues.
Customization Options:
Outline Colors: Choose distinct colors for bullish and bearish candle outlines to match your chart's color scheme.
Middle Line Color: Select a color that stands out or blends seamlessly with your existing chart elements.
Line Width Adjustment: Modify the thickness of all lines to ensure visibility without cluttering the chart.
Transparent Candle Body:
Non-Intrusive Display: The indicator only draws the outlines and middle line, keeping the candle body transparent to maintain the visibility of your primary chart data.
⚙️ How It Works
Data Retrieval: The indicator fetches the previous day's open, high, low, and close prices using TradingView's request.security function.
Candle Analysis: Determines whether the previous day's candle was bullish or bearish by comparing the close and open prices.
Dynamic Drawing: Upon the start of a new day, the indicator deletes the previous outlines and redraws them based on the latest data.
Time Synchronization: Accurately aligns the outlines with the corresponding time periods on your intraday chart.
📈 How to Use
Add to Chart:
Open TradingView and navigate to the Pine Editor.
Paste the provided Pine Script code into the editor.
Click on Add to Chart to apply the indicator.
Customize Settings:
Access the indicator's settings by clicking the gear icon next to its name on the chart.
Adjust the Bullish Outline Color, Bearish Outline Color, Middle Line Color, and Outline Width to your preference.
Interpret the Lines:
Bullish Candle: If the previous day's close is higher than its open, the outlines will display in the bullish color (default green).
Bearish Candle: If the previous day's close is lower than its open, the outlines will display in the bearish color (default red).
Middle Line: Represents the midpoint between the open and close, providing a quick reference for potential support or resistance.
Integrate with Your Strategy:
Use the high and low outlines as potential entry or exit points.
Combine with other indicators for confirmation to strengthen your trading signals.
Pivot Data [QuantVue]The Pivot Data Indicator is designed to provide traders with valuable insights by identifying and analyzing pivot points on the price chart. It calculates both pivot highs and lows, then presents detailed statistics on the distance and time between these pivots.
a pivot point is defined as a specific point on the chart where the price either reaches a high or a low, with no bars higher or lower than it for a set number of bars on both sides (left and right). Essentially, it's a local high or low point, with the market moving in the opposite direction after the pivot forms.
For example:
A pivot high occurs when there are no bars with higher prices for a specified number of bars before and after that point.
A pivot low occurs when there are no bars with lower prices for the same number of bars on either side.
The number of bars to the left and right is adjustable via the Pivot Lookback Bars setting, allowing you to define how many bars are used to determine these pivot points.
Key features include:
Pivot Highs and Lows Identification: Automatically marks significant pivot highs and lows based on a user-defined lookback period, helping traders identify potential trend reversals or continuation points.
Prediction Labels: Provides forecasted pivot levels based on historical pivot price and time patterns, with options to show predictions for pivot highs, lows, or any pivot point.
Customizable Table Display: Displays a table summarizing important statistics, such as the average price percentage and the number of bars between pivots, along with the distance and time from the most recent pivot.
Traders can use this tool to map out potential levels of support and resistance based on historical data on pivot points.
Internal Bar Strength IBS [Anan]This indicator calculates and displays the Internal Bar Strength (IBS) along with its moving average. The IBS is a measure that represents where the closing price is relative to the high-low range of a given period.
█ Main Formula
The core of this indicator is the Internal Bar Strength (IBS) calculation. The basic IBS formula is:
ibs = (close - low) / (high - low)
I enhanced the original formula by incorporating a user-defined length parameter. This modification allows for greater flexibility in analysis and interpretation. The extended version enables users to adjust the indicator's length according to their specific needs or market conditions. Notably, setting the length parameter to 1 reproduces the behavior of the original formula, maintaining backward compatibility while offering expanded functionality:
ibs = (close - ta.lowest(low, ibs_length)) / (ta.highest(high, ibs_length) - ta.lowest(low, ibs_length))
Where:
- `close` is the closing price of the current bar
- `lowest low` is the lowest low price over the specified IBS length
- `highest high` is the highest high price over the specified IBS length
█ Key Features
- Calculates IBS using a user-defined length
- Applies a moving average to the IBS values
- Offers multiple moving average types
- Includes optional Bollinger Bands or Donchian Channel overlays
- Visualizes bull and bear areas
█ Inputs
- IBS Length: The period used for IBS calculation
- MA Type: The type of moving average applied to IBS (options: SMA, EMA, SMMA, WMA, VWMA, Bollinger Bands, Donchian)
- MA Length: The period used for the moving average calculation
- BB StdDev: Standard deviation multiplier for Bollinger Bands
█ How to Use and Interpret
1. IBS Line Interpretation:
- IBS values range from 0 to 1
- Values close to 1 indicate the close was near the high, suggesting a bullish sentiment
- Values close to 0 indicate the close was near the low, suggesting a bearish sentiment
- Values around 0.5 suggest the close was near the middle of the range
2. Overbought/Oversold Conditions:
- IBS values above 0.8 (teal zone) may indicate overbought conditions
- IBS values below 0.2 (red zone) may indicate oversold conditions
- These zones can be used to identify potential reversal points
3. Trend Identification:
- Consistent IBS values above 0.5 may indicate an uptrend
- Consistent IBS values below 0.5 may indicate a downtrend
4. Using Moving Averages:
- The yellow MA line can help smooth out IBS fluctuations
- Crossovers between the IBS and its MA can signal potential trend changes
5. Bollinger Bands/Donchian Channel:
- When enabled, these can provide additional context for overbought/oversold conditions
- IBS touching or exceeding the upper band may indicate overbought conditions
- IBS touching or falling below the lower band may indicate oversold conditions
Remember that no single indicator should be used in isolation. Always combine IBS analysis with other technical indicators, price action analysis, and broader market context for more reliable trading decisions.
Dynamic Support & Resistance Tracker with MTFDynamic Support & Resistance Tracker with Weekly, Monthly & Daily Levels
The Dynamic Support & Resistance Tracker is designed to help traders identify key support and resistance levels across multiple timeframes, enhancing market analysis and decision-making. This indicator calculates and plots support and resistance levels for daily, weekly, and monthly periods, along with extension lines that provide insights into potential price targets.
Key Features:
Multi-Timeframe Analysis:
Daily Levels: Identifies the high, low, and midpoint for each trading day. These levels help traders recognize important price points for short-term trading strategies.
Weekly Levels: Plots the high, low, and midpoint for each week. This feature is valuable for swing traders who need to understand broader market trends.
Monthly Levels: Displays the high, low, and midpoint for each month, which is essential for long-term investors.
Extension Lines:
Calculates extension lines beyond the standard support and resistance levels to help anticipate potential price targets and reversals. These extensions are based on the distance between the high/low and midpoint levels.
Real-Time Updates:
Automatically updates the levels based on the most recent market data, ensuring traders have the most current information for their analysis.
Clear Visuals:
The indicator provides clearly labeled and color-coded lines for easy identification of key levels, improving the visual clarity of market analysis.
How It Works:
Daily, Weekly, and Monthly Levels: The indicator calculates the high, low, and midpoint levels for daily, weekly, and monthly timeframes and plots them on the chart. These levels serve as potential areas of support and resistance where price action may react.
Extension Lines: The extension lines are calculated based on the distance between the high/low and midpoint levels, projecting potential areas where price may find support or resistance beyond the standard levels.
Automatic Updates: The indicator continuously updates the plotted levels based on the latest market data, providing real-time insights.
Benefits:
Improved Market Analysis: By providing a clear view of support and resistance levels across multiple timeframes, this indicator helps traders understand market trends and price movements more effectively.
Informed Trading Decisions: The detailed plotting of levels and extensions allows traders to make more informed decisions, enhancing their trading strategies.
Versatility: Suitable for various trading styles, including intraday trading, swing trading, and long-term investing.
Instructions for Use:
Analyze the Levels: Observe the plotted high, low, and mid-levels for daily, weekly, and monthly timeframes.
Plan Your Trades: Use the identified support and resistance levels to set your entry and exit points, stop-losses, and profit targets.
Monitor the Market: Stay updated with real-time adjustments of the levels, ensuring you always have the latest market information.
Note: This indicator is designed to enhance your trading analysis by providing clear and reliable support and resistance levels. However, it should be used as part of a comprehensive trading strategy and not as the sole basis for trading decisions.
Reversal Zones with SignalsThe "Reversal Zones with Signals" indicator is an advanced technical analysis tool designed to help traders identify potential market reversal points. By integrating Relative Strength Index (RSI), moving averages, and swing high/low detection, this indicator provides traders with clear visual cues for potential buy and sell opportunities.
Key Features and Benefits
Integration of Multiple Technical Analysis Tools:
The indicator seamlessly combines RSI, moving averages, and swing high/low detection. This multi-faceted approach enhances the reliability of the signals by confirming potential reversals through different technical analysis perspectives.
Customizable Parameters:
Users can adjust the sensitivity of the moving averages, the RSI overbought and oversold levels, and the length of the reversal zones. This flexibility allows traders to tailor the indicator to fit their specific trading strategies and market conditions.
Clear Visual Signals:
Buy and sell signals are plotted directly on the chart as easily recognizable green and red labels. This visual clarity simplifies the process of identifying potential entry and exit points, enabling traders to act quickly and decisively.
Reversal Zones:
The indicator plots reversal zones based on swing highs and lows in conjunction with RSI conditions. Green lines represent potential support levels (zone bottoms), while red lines represent potential resistance levels (zone tops). These zones provide traders with clear areas where price reversals are likely to occur.
Automated Alerts:
Custom alerts can be set for both buy and sell signals, providing real-time notifications when potential trading opportunities arise. This feature ensures that traders do not miss critical market moves.
How It Works
RSI Calculation:
The Relative Strength Index (RSI) is calculated to determine overbought and oversold conditions. When RSI exceeds the overbought threshold, it indicates that the market may be overbought, and when it falls below the oversold threshold, it indicates that the market may be oversold. This helps in identifying potential reversal points.
Swing High/Low Detection:
Swing highs and lows are detected using a specified lookback period. These points represent significant price levels where reversals are likely to occur. Swing highs are detected using the ta.pivothigh function, and swing lows are detected using the ta.pivotlow function.
Reversal Zones:
Reversal zones are defined by plotting lines at swing high and low levels when RSI conditions are met. These zones serve as visual cues for potential support and resistance areas, providing a structured framework for identifying reversal points.
Buy and Sell Signals:
Buy signals are generated when the price crosses above a defined reversal zone bottom, indicating a potential upward reversal. Sell signals are generated when the price crosses below a defined reversal zone top, indicating a potential downward reversal. These signals are further confirmed by the presence of bullish or bearish engulfing patterns.
Plotting and Alerts:
The indicator plots buy and sell signals directly on the chart with corresponding labels. Additionally, alerts can be set up to notify the user when a signal is generated, ensuring timely action.
Originality and Usefulness
Innovative Integration of Technical Tools:
The "Reversal Zones with Signals" indicator uniquely combines multiple technical analysis tools into a single, cohesive indicator. This integration provides a comprehensive view of market conditions, enhancing the accuracy of the signals and offering a robust tool for traders.
Enhanced Trading Decisions:
By providing clear and actionable signals, the indicator helps traders make better-informed decisions. The visualization of reversal zones and the integration of RSI and moving averages ensure that traders have a solid framework for identifying potential reversals.
Flexibility and Customization:
The customizable parameters allow traders to adapt the indicator to different trading styles and market conditions. This flexibility ensures that the indicator can be used effectively by a wide range of traders, from beginners to advanced professionals.
Clear and User-Friendly Interface:
The indicator's design prioritizes ease of use, with clear visual signals and intuitive settings. This user-friendly approach makes it accessible to traders of all experience levels.
Real-Time Alerts:
The ability to set up custom alerts ensures that traders are notified of potential trading opportunities as they arise, helping them to act quickly and efficiently.
Versatility Across Markets:
The indicator is suitable for use in various financial markets, including stocks, forex, and cryptocurrencies. Its adaptability across different asset classes makes it a valuable addition to any trader's toolkit.
How to Use
Adding the Indicator:
Add the "Reversal Zones with Signals" indicator to your chart.
Adjust the parameters (Sensitivity, RSI OverBought Value, RSI OverSold Value, Zone Length) to match your trading strategy and market conditions.
Interpreting Signals:
Buy Signal: A green "BUY" label appears below a bar, indicating a potential buying opportunity based on the detected reversal zone and price action.
Sell Signal: A red "SELL" label appears above a bar, indicating a potential selling opportunity based on the detected reversal zone and price action.
Setting Alerts:
Set alerts for buy and sell signals to receive notifications when potential trading opportunities arise. This ensures timely action and helps traders stay informed about critical market moves.
CPR by MTThe CPR indicator, or Central Pivot Range indicator, is a technical analysis tool used in trading to identify potential support and resistance levels based on the price action of a security. Developed by pivot point theory, it is particularly popular among day traders and swing traders. The CPR indicator consists of three lines:
1. **Pivot Point (PP):** This is the central line and is calculated as the average of the high, low, and closing prices from the previous trading period.
\
2. **Top Central Pivot (TC):** This is calculated by subtracting the low from the PP and then adding the result to the PP.
\
3. **Bottom Central Pivot (BC):** This is calculated by subtracting the high from the PP and then adding the result to the PP.
\
### How to Use the CPR Indicator
- **Trend Identification:** A wide CPR range indicates low volatility and a potential sideways or consolidation phase. A narrow CPR range indicates high volatility and a potential strong trending move.
- **Support and Resistance:** The top and bottom central pivots act as immediate resistance and support levels. If the price is above the TC, it indicates a bullish sentiment, while if it is below the BC, it indicates a bearish sentiment.
- **Entry and Exit Points:** Traders use the CPR lines to determine optimal entry and exit points. For example, if the price breaks above the TC and sustains, it may signal a buy opportunity, whereas a drop below the BC may signal a sell opportunity.
### Practical Example
Suppose a stock had a high of $105, a low of $95, and a closing price of $100 on the previous day. The CPR levels for the next day would be calculated as follows:
1. **Pivot Point (PP):**
\
2. **Top Central Pivot (TC):**
\
3. **Bottom Central Pivot (BC):**
\
The levels for the next day would be PP = $100, TC = $110, and BC = $90. Traders would then use these levels to assess potential trading strategies based on where the price moves relative to these levels.
### Conclusion
The CPR indicator is a useful tool for traders looking to understand market conditions and make informed decisions about entry and exit points. Its effectiveness comes from its ability to highlight key price levels derived from historical price data, helping traders predict potential market movements.
20,200SMA,PDHL,15 minute ORBSimple Moving Averages (SMAs):
The script calculates three SMAs: SMA 20 High, SMA 20 Low, and SMA 200 Close. These moving averages are widely used in technical analysis to smooth out price data and identify trends.
The SMA for the high price (SMA 20 High) is calculated based on the 20-period moving average of the high prices.
Similarly, the SMA for the low price (SMA 20 Low) is calculated based on the 20-period moving average of the low prices.
The SMA for the close price (SMA 200 Close) is calculated based on the 200-period moving average of the closing prices.
Each SMA is plotted on the chart, and their colors are determined based on whether the current close price is above or below each respective SMA.
Conditional Coloring:
The script employs conditional coloring to visually highlight whether the close price is above or below each SMA.
If the close price is below the SMA 20 High, it's plotted in red; otherwise, it's plotted in green.
Similarly, the SMA 20 Low and SMA 200 Close are plotted with conditional colors based on the relationship between the close price and each respective SMA.
Previous Day's Data:
The script retrieves and plots the high, low, and close prices of the previous trading day.
This provides traders with valuable information about the previous day's market behavior, which can influence trading decisions.
Opening 15-minute Range Breakout:
The script calculates the high and low prices during the first 15 minutes of each trading day.
These prices represent the opening range for the day.
It then determines whether the current close price is above or below this opening range and plots it accordingly.
This breakout strategy helps traders identify potential trading opportunities based on early price movements.
By integrating these components, the script offers traders a comprehensive analysis of market trends, previous day's performance, and potential breakout opportunities. Its originality lies in the combination of these features into a single, easy-to-use indicator, providing valuable insights for trading decisions.
yatsThis is a helper indicator for "yats" (Yet Another Trading Strategy).
This is a grouping of several indicators in one to help with a very basic trend following strategy. In order to utilize this indicator, it is best to have your chart set to a Line chart.
How to use:
This is a basic trend strategy in which the trader will enter or reverse their position on the break of the trend.
With the chart set to line and the source set to close, a basic line with peaks and valleys is displayed.
When the line peaks, then retreats, this is a potential setup for a long position. The trader is to wait for a valley (lower point) to be formed and then for the previous peak to be broken.
The timeframe continuity labels in the lower right of the chart help to ensure the position taken is in line with the higher timeframe trend.
Example scenario (long):
Chart is set to 1H timeframe. Timeframe continuity indicator will have labels for 1H, 4H, Day, WK, MN, and QTR. Chart shows a peak at a close price of 5 then the next bar sets a valley at a close price of 4.
Next bar forms and sets a close price of 6. Timeframe continuity labels are green for 1H, 4H, Day, and WK. (At least three higher timeframes should match the direction of the desired trade.)
This is a signal to go long as the previous peak was broken and timeframe continuity is in the direction
of the trade (long). Initial conservative stoploss should be placed at the previous valley (4). A wider stoploss could be placed at the low created when the close was 4. This is made visible by the default red line
when Candle Highs and Lows plots are turned on. Stoploss is then trailed up either by each subsequent higher low, OR with each subsequent dip as price moves higher.
A target can be set, but is not an integral part of this strategy.
Features:
Full Timeframe Continuity:
In the lower right corner of the chart will be indicators for timeframes greater than or equal to the chart timeframe.
Each one will be Red, Green, or White to indicate down, up, or flat. This provides you with the direction of the higher timeframes in real time, before the bar has closed.
Potential Support/Resistance Points:
The indicator plots horizontal rays for the previous Day, Week, and Month for the High, Low, and Close. Day = Orange, Week = White, Month = Purple. High and Low are solid lines while Close is a dashed line.
This provides the trader with potential pivot points based on higher timeframe high, low, and close prices. The horizontal rays will automatically move to the right at the start of the newest day, week, or month.
Candle Highs and Lows:
Since the chart should be set to Line instead of Candles or Bars, this indicator provides plots that follow the Highs (Green) and Lows (Red) of each 'bar' of the chart timeframe. This has been made configurable
so these lines can be turned off or edited in the settings for those who do not want them on the chart or just want them to look different.
Price Action SuiteThe TRN Price Action Suite incorporates a treasure trove of time and price action concepts. It includes a set of trading tools that, when combined, allow for a more accurate view of the market. This enables traders to find high probability entry points before the market moves to the next liquidation level.
Features of the TRN Price Action Suite:
(Inverse) Fair Value Gaps (FVG)
Order Blocks (OB)
FVG and OB with Cumulative Volume Delta
Volume Imbalances
Market Structure
Liquidity levels
Sessions
Kill zones/Opening Range
The indicator helps traders to easily identify favorable market conditions and high probability trade setups. It automatically finds time and price action concepts and displays them in an intuitive way on the chart. One of the highlights is the detection of Fair Value Gaps and Order Blocks in connection with Cumulative Volume Delta (approx.). You will not find this connection anywhere else.
Fair Value Gaps (FVGs)
A fair value gap occurs when there are inefficiencies in the market or imbalanced buying and selling pressures. Fair value gaps can become a magnet for the price before continuing in the same direction. Special attention should be paid to FVGs that are supported by support and resistance levels, as these offer a higher probability of success for trades. Additionally, the indicator plots inverse FVG (iFVG). These are FVG that are “closed” by a FVG in the other direction. IFVGs are a strong sign of the market to continue in the direction of the iFVG.
In addition to the FVGs you see on the chart, you can add also FVGs from a higher timeframe including the cumulative buy/sell volume. For this you can set “Timeframe 1” and “Timeframe 2” in the settings to your preferred timeframes. E.g. you trade on a 5-minute chart, and you want to see FVGs from 4 hours and a daily chart, then you set Timeframe 1 to 4 h and to Timeframe 2 to 1 D.
Order Blocks and Volume Imbalances can also be shown from higher timeframes.
Order Blocks (OBs)
Order blocks are areas on the chart where a high concentration of limit orders was found in the past. They can serve as potential support or resistance areas. These represent areas in the market where there is an oversupply (supply) or an excess demand (demand). They are often key zones for potential turning points or continuations of the current trend. A bullish OB, for example, is the last bearish candle before a significant uptrend.
FVGs and OBs with Cumulative Volume Delta
The TRN Price Action Suite can show FVGs and OBs with the corresponding Cumulative Volume Delta (CVD). It is a metric to analyze market dynamics by tracking the net difference between buying and selling volumes over a specific timeframe. It is used to determine the strength of the FVG/OB. The FVG/OB includes two bars on the left side, indicating the cumulative buy volume in green as well es the cumulative sell volume in red. At the right side of the FVG/OB box the ratio of the cumulative buy/sell volume is displayed. A high ratio over 1, for example 1.5, indicates a lot of buying pressure. On the hand, a ratio far below 1, for example 0.66, indicates a lot of selling pressure.
Volume Imbalances (VIBs)
Volume Imbalances indicate a price gap from the previous close, but unlike gaps, there is no absence of trading activity within a specific price range. Bullish VIs have opening and closing prices above the previous close, with overlap between the current low and previous high. Bearish VIs are vice versa.
Market Structure
The market structure represents the dominant trend in the market. It is based on swing highs and lows. For instance, if the price makes higher highs (HH) and higher lows (HL) the market structure represents an uptrend. Vice versa if price makes lower lows (LL) and lower highs (LH) the market trend is down.
If the market structure is up, traders can enter positions in a pullback. For this, a trader could use a FVG or an OB as an entry condition.
Market Structure Shift (MSS) (Change of Character (ChoCh))
A market structure shift occurs when the market transitions from one dominant trend to a different one, often signaling a potential change in the underlying market dynamics. A MSS signals the start of a new trend. It signals the change from an uptrend to a down trend and vice versa. Therefore, it is sometimes called change of character (ChoCh). A valid MSS should ideally occur in a strong supply or demand zone. This indicates that the market may be approaching a trend reversal or consolidation.
Break of Structure (BOS)
A break of structure happens when the market breaks out of its established trading range or pattern. The market continues its dominant trend, indicated by the last MSS.
In an uptrend, for example, each time the price breaks through a new high, a "bullish BOS" is formed. This indicates that the market can overcome previous resistance levels and continue to rise.
Levels
One core concept in trading is that price flows to areas of liquidity. Natural liquidity areas are the current day open, high, low (CDO, CDH, CDL) or the previous day high, low, close (PDH, PDL, PDC). The same is true for the current week (CWO, CWH, CWL) and the previous week (PWH, PWL, PWC).
Pay special attention in case some of these levels are close together. Then these levels serve like a magnet for the price. The TRN Price Action Suite indicator can cluster these levels fully automatically together to give the trader the flexibility to focus solely on the trading part.
Sessions
Sessions are the trading hours during which the banks are actively trading. The three main trading sessions:
Asia: Most of the volume from the Asian players are handled within this session.
London: This is where the European players are most active.
New York: In the New York session all the USA players are active as well as all the other American players. Furthermore, a lot of global players are active in this session as well.
Killzones
A kill zone in trading refers to a specific time period during the trading day when the market experiences increased volatility and liquidity. It is an opportunity for traders to capitalize on potential price movements and generate profits. There are several different killzones during the day.
There are three different types of killzones:
Indices/Futures: This one is suitable if you trade products like the ES, NQ, FDAX, CL or Stocks, Options.
Forex: If you trade Forex this setting will mark the most liquid periods of the day.
Opening Range: In case you trade the opening range of the sessions, use this setting.
Trading Example
Luxmi AI Filtered Option Scalping Signals (INDEX)Introduction:
Luxmi AI Filtered Option Scalping Signals (INDEX) is an enhanced iteration of the Luxmi AI Directional Option Buying (Long Only) indicator. It's designed for use on index charts alongside the Luxmi AI Smart Sentimeter (INDEX) indicator to enhance performance. This indicator aims to provide refined signals for option scalping strategies, optimizing trading decisions within index markets.
Understanding directional bias is crucial when trading index and index options because it helps traders align their strategies with the expected movement of the underlying index.
The Luxmi AI Filtered Option Scalping Signals (INDEX) indicator aims to simplify and expedite decision-making through comprehensive technical analysis of various data points on a chart. By leveraging advanced analysis of data points, this indicator scrutinizes multiple factors simultaneously to offer traders clear and rapid insights into market dynamics.
The indicator is specifically designed for option scalping, a trading strategy that aims to profit from short-term price fluctuations. It prioritizes signals that are conducive to quick execution and capitalizes on rapid market movements typical of scalping strategies.
Major Features:
Trend Cloud:
Working Principle:
The script utilizes the Relative Strength Index (RSI) to assess market momentum, identifying bullish and bearish phases based on RSI readings. It calculates two boolean variables, bullmove and bearmove, which signal shifts in momentum direction by considering changes in the Exponential Moving Average (EMA) of the closing price. When RSI indicates bullish momentum and the closing price's EMA exhibits positive changes, bullmove is triggered, signifying the start of a bullish phase. Conversely, when RSI suggests bearish momentum and the closing price's EMA shows negative changes, bearmove is activated, marking the beginning of a bearish phase. This systematic approach helps in understanding the current trend of the price. The script visually emphasizes these phases on the chart using plot shape markers, providing traders with clear indications of trend shifts.
Benefits of Using Trend Cloud:
Comprehensive Momentum Assessment: The script offers a holistic view of market momentum by incorporating RSI readings and changes in the closing price's EMA, enabling traders to identify both bullish and bearish phases effectively.
Structured Trend Recognition: With the calculation of boolean variables, the script provides a structured approach to recognizing shifts in momentum direction, enhancing traders' ability to interpret market dynamics.
Visual Clarity: Plotshape markers visually highlight the start and end of bullish and bearish phases on the chart, facilitating easy identification of trend shifts and helping traders to stay informed.
Prompt Response: Traders can promptly react to changing market conditions as the script triggers alerts when bullish or bearish phases begin, allowing them to seize potential trading opportunities swiftly.
Informed Decision-Making: By integrating various indicators and visual cues, the script enables traders to make well-informed decisions and adapt their strategies according to prevailing market sentiment, ultimately enhancing their trading performance.
How to use this feature:
The most effective way to maximize the benefits of this feature is to use it in conjunction with other key indicators and visual cues. By combining the color-coded clouds, which indicate bullish and bearish sentiment, with other features such as IS candles, microtrend candles, volume candles, and sentimeter candles, traders can gain a comprehensive understanding of market dynamics. For instance, aligning the color of the clouds with the trend direction indicated by IS candles, microtrend candles, and sentimeter candles can provide confirmation of trend strength or potential reversals.
Furthermore, traders can leverage the trend cloud as a trailing stop-loss tool for long entries, enhancing risk management strategies. By adjusting the stop-loss level based on the color of the cloud, traders can trail their positions to capture potential profits while minimizing losses. For long entries, maintaining the position as long as the cloud remains green can help traders stay aligned with the prevailing bullish sentiment. Conversely, a shift in color from green to red serves as a signal to exit the position, indicating a potential reversal in market sentiment and minimizing potential losses. This integration of the trend cloud as a trailing stop-loss mechanism adds an additional layer of risk management to trading strategies, increasing the likelihood of successful trades while reducing exposure to adverse market movements.
Moreover, the red cloud serves as an indicator of decay in option premiums and potential theta effect, particularly relevant for options traders. When the cloud turns red, it suggests a decline in option prices and an increase in theta decay, highlighting the importance of managing options positions accordingly. Traders may consider adjusting their options strategies, such as rolling positions or closing out contracts, to mitigate the impact of theta decay and preserve capital. By incorporating this insight into options pricing dynamics, traders can make more informed decisions about their options trades.
Scalping Cloud:
The scalping cloud serves as a specialized component within the trend cloud feature, specifically designed to pinpoint potential long and short entry points within the overarching trend cloud. Here's how it works:
Trend Identification: The trend cloud feature typically highlights the prevailing trend direction based on various technical indicators, price action, or other criteria. It visually represents the momentum and direction of the market over a given period.
Refined Entry Signals: Within this broader trend context, the scalping cloud narrows its focus to identify shorter-term trading opportunities. It does this by analyzing more granular price movements and shorter timeframes, seeking out potential entry points that align with the larger trend.
Long and Short Entries: The scalping cloud distinguishes between potential long (buy) and short (sell) entry opportunities within the trend cloud. For instance, within an uptrend indicated by the trend cloud, the scalping cloud might identify brief retracements or pullbacks as potential long entry points. Conversely, in a downtrend, it may signal short entry opportunities during temporary upward corrections.
Risk Management: By identifying potential entry points within the context of the trend, the scalping cloud also aids in risk management. Traders can use these signals to place stop-loss orders and manage their positions effectively, reducing the risk of adverse price movements.
The scalping cloud operates by analyzing the crossover and crossunder events between two key indicators: the Double Exponential Moving Average (DEMA) and a Weighted Average. Here's how it works:
Double Exponential Moving Average (DEMA): DEMA is a type of moving average that seeks to reduce lag by applying a double smoothing technique to price data. It responds more quickly to price changes compared to traditional moving averages, making it suitable for identifying short-term trends and potential trading opportunities.
Weighted Average: The weighted average calculates the average price of an asset over a specified period. However, it incorporates a weighting scheme that assigns more significance to recent price data, resulting in a more responsive indicator that closely tracks current market trends.
CE and NO CE Signals:
CE signals typically represent a Long Scalping Opportunity, suggesting that conditions are favorable for entering a long position. These signals indicate a strong upward momentum in the market, which traders can exploit for short-term gains through scalping strategies.
On the other hand, when there are no CE signals present, it doesn't necessarily mean that the trend has reversed or turned bearish. Instead, it indicates that the trend is still bullish, but the market is experiencing an active pullback. During a pullback, prices may temporarily retreat from recent highs as traders take profits or reevaluate their positions. While the overall trend remains upward, the pullback introduces a degree of uncertainty, making it less favorable for entering new long positions.
In such a scenario, traders may opt to exercise caution and refrain from entering new long positions until the pullback phase has concluded. Instead, they might consider waiting for confirmation signals, such as the resumption of CE signals or other bullish indications, before reengaging in long positions.
PE and NO PE Signals:
PE signals typically indicate a Short Entry opportunity, signaling that market conditions are conducive to entering a short position.
Conversely, when there are no PE signals present, it signifies that while the trend remains bearish, the market is currently in an active phase of consolidation or pullback. During such periods, prices may temporarily rise from recent lows, reflecting a pause in the downward momentum. While the overall trend remains downward, the absence of PE signals suggests that it may not be an optimal time to enter new short positions.
In this context, traders may exercise caution and wait for clearer signals before initiating new short positions. They might monitor the market closely for signs of a resumption in bearish momentum, such as the emergence of PE signals or other bearish indications. Alternatively, traders may choose to wait on the sidelines until market conditions stabilize or provide clearer directional signals.
Working Principle Of CE and PE Signals:
The feature calculates candlestick values based on the open, high, low, and close prices of each bar. By comparing these derived candlestick values, it determines whether the current candlestick is bullish or bearish. Additionally, it signals when there is a change in the color (bullish or bearish) of the derived candlesticks compared to the previous bar, enabling traders to identify potential shifts in market sentiment.
Micro Trend Candles:
Working Principle:
This feature begins by initializing variables to determine trend channel width and track price movements. Average True Range (ATR) is then calculated to measure market volatility, influencing the channel's size. Highs and lows are identified within a specified range, and trends are assessed based on price breaches, with potential changes signaled accordingly. The price channel is continually updated to adapt to market shifts, and arrows are placed to indicate potential entry points. Colors are assigned to represent bullish and bearish trends, dynamically adjusting based on current market conditions. Finally, candles on the chart are colored to visually depict the identified micro trend, offering traders an intuitive way to interpret market sentiment and potential entry opportunities.
Benefits of using Micro Trend Candles:
Traders can use these identified micro trends to spot potential short-term trading opportunities. For example:
Trend Following: Traders may decide to enter trades aligned with the prevailing micro trend. If the candles are consistently colored in a certain direction, traders may consider entering positions in that direction.
Reversals: Conversely, if the script signals a potential reversal by changing the candle colors, traders may anticipate trend reversals and adjust their trading strategies accordingly. For instance, they might close existing positions or enter new positions in anticipation of a trend reversal.
It's important to note that these micro trends are short-term in nature and may not always align with broader market trends. Therefore, traders utilizing this script should consider their trading timeframes and adjust their strategies accordingly.
How to use this feature:
This feature assigns colors to candles to represent bullish and bearish trends, with adjustments made based on current market conditions. Green candles accompanied by a green trend cloud signal a potential long entry, while red candles suggest caution, indicating a bearish trend. This visual representation allows traders to interpret market sentiment intuitively, identifying optimal entry points and exercising caution during potential downtrends.
Scalping Candles (Inspired by Elliott Wave and Open Interest Concepts):
Working Principle:
This feature draws inspiration from the Elliot Wave method, utilizing technical analysis techniques to discern potential market trends and sentiment shifts. It begins by calculating the variance between two Exponential Moving Averages (EMAs) of closing prices, mimicking Elliot Wave's focus on wave and trend analysis. The shorter-term EMA captures immediate price momentum, while the longer-term EMA reflects broader market trends. A smoother Exponential Moving Average (EMA) line, derived from the difference between these EMAs, aids in identifying short-term trend shifts or momentum reversals.
Benefits of using Scalping Candles Inspired by Elliott Wave:
The Elliott Wave principle is a form of technical analysis that attempts to predict future price movements by identifying patterns in market charts. It suggests that markets move in repetitive waves or cycles, and traders can potentially profit by recognizing these patterns.
While this script does not explicitly analyze Elliot Wave patterns, it is inspired by the principle's emphasis on trend analysis and market sentiment. By calculating and visualizing the difference between EMAs and assigning colors to candles based on this analysis, the script aims to provide traders with insights into potential market sentiment shifts, which can align with the broader philosophy of Elliott Wave analysis.
How to use this feature:
Candlestick colors are assigned based on the relationship between the EMA line and the variance. When the variance is below or equal to the EMA line, candles are colored red, suggesting a bearish sentiment. Conversely, when the variance is above the EMA line, candles are tinted green, indicating a bullish outlook. Though not explicitly analyzing Elliot Wave patterns, the script aligns with its principles of trend analysis and market sentiment interpretation. By offering visual cues on sentiment shifts, it provides traders with insights into potential trading opportunities, echoing Elliot Wave's emphasis on pattern recognition and trend analysis.
Chart Timeframe Support and Resistance:
Working Principle:
This feature serves to identify and visualize support and resistance levels on the chart, primarily based on the chosen Chart Timeframe (CTF). It allows users to specify parameters such as the number of bars considered on the left and right sides of each pivot point, as well as line width and label color. Moreover, users have the option to enable or disable the display of these levels. By utilizing functions to calculate pivot highs and lows within the specified timeframe, the script determines the highest high and lowest low surrounding each pivot point.
Additionally, it defines functions to create lines and labels for each detected support and resistance level. Notably, this feature incorporates a trading method that emphasizes the concept of resistance turning into support after breakouts, thereby providing valuable insights for traders employing such strategies. These lines are drawn on the chart, with colors indicating whether the level is above or below the current close price, aiding traders in visualizing key levels and making informed trading decisions.
Benefits of Chart Timeframe Support and Resistance:
Identification of Price Levels: Support and resistance levels help traders identify significant price levels where buying (support) and selling (resistance) pressure may intensify. These levels are often formed based on historical price movements and are regarded as areas of interest for traders.
Decision Making: Support and resistance levels assist traders in making informed trading decisions. By observing price reactions near these levels, traders can gauge market sentiment and adjust their strategies accordingly. For example, traders may choose to enter or exit positions, set stop-loss orders, or take profit targets based on price behavior around these levels.
Risk Management: Support and resistance levels aid in risk management by providing reference points for setting stop-loss orders. Traders often place stop-loss orders below support levels for long positions and above resistance levels for short positions to limit potential losses if the market moves against them.
How to use this feature:
Planning Long Positions: When considering long positions, it's advantageous to strategize when the price is in proximity to a support level identified by the script. This suggests a potential area of buying interest where traders may expect a bounce or reversal in price. Additionally, confirm the bullish bias by ensuring that the trend cloud is green, indicating favorable market conditions for long trades.
Waiting for Breakout: If long signals are generated near resistance levels detected by the script, exercise patience and wait for a breakout above the resistance. A breakout above resistance signifies potential strength in the upward momentum and may present a more opportune moment to enter long positions. This approach aligns with trading methodologies that emphasize confirmation of bullish momentum before initiating trades.
StopLoss and Target Lines:
In addition to generating entry signals, this indicator also incorporates predefined stop-loss ray lines and configurable risk-reward (R:R) target lines to enhance risk management and profit-taking strategies. Here's how these features work:
Predefined Stop-loss Ray Lines: The indicator automatically plots stop-loss ray lines on the chart, serving as visual guidelines for setting stop-loss levels. These stop-loss lines are predetermined based on specific criteria, such as volatility levels, support and resistance zones, or predefined risk parameters. Traders can use these lines as reference points to place their stop-loss orders, aiming to limit potential losses if the market moves against their position.
Configurable Risk-Reward (R:R) Target Lines: In addition to stop-loss lines, the indicator allows traders to set configurable risk-reward (R:R) target lines on the chart. These target lines represent predefined price levels where traders intend to take profits based on their desired risk-reward ratio. By adjusting the placement of these lines, traders can customize their risk-reward ratios according to their trading preferences and risk tolerance.
Risk Management: The predefined stop-loss ray lines help traders manage risk by providing clear exit points if the trade goes against their expectations. By adhering to these predetermined stop-loss levels, traders can minimize potential losses and protect their trading capital, thereby enhancing overall risk management.
Profit-taking Strategy: On the other hand, the configurable R:R target lines assist traders in establishing profit-taking strategies. By setting target levels based on their desired risk-reward ratio, traders can aim to capture profits at predefined price levels that offer favorable risk-reward profiles. This allows traders to systematically take profits while ensuring that potential gains outweigh potential losses over the long term.
The stop-loss and target lines incorporated in this indicator are dynamic in nature, providing traders with the flexibility to utilize them as trailing stop-loss and extended take-profit targets. Here's how these dynamic features work:
Trailing Stop-loss: Traders can employ the stop-loss lines as trailing stop-loss levels, allowing them to adjust their stop-loss orders as the market moves in their favor. As the price continues to move in the desired direction, indicator can dynamically adjust the stop-loss line to lock in profits while still allowing room for potential further gains. This trailing stop-loss mechanism helps traders secure profits while allowing their winning trades to continue running as long as the market remains favorable.
Extended Take Profit Targets: Similarly, traders can utilize the target lines as extended take-profit targets, enabling them to capture additional profits beyond their initial profit targets. By adjusting the placement of these target lines based on evolving market conditions or technical signals, traders can extend their profit-taking strategy to capitalize on potential price extensions or trend continuations. This flexibility allows traders to maximize their profit potential by capturing larger price movements while managing their risk effectively.
Rangebound Bars:
When the Rangebound Bars feature is enabled, the indicator represents candles in a distinct purple color to visually denote periods of sideways or range-bound price action. This visual cue helps traders easily identify when the market is consolidating and lacking clear directional momentum. Here's how it works:
Purple Candle Color: When the Rangebound Bars feature is active, the indicator displays candlesticks in a purple color to highlight periods of sideways price movement. This color differentiation stands out against the usual colors used for bullish (e.g., green or white) and bearish (e.g., red or black) candles, making it easier for traders to recognize range-bound conditions at a glance.
Signaling Sideways Price Action: The purple coloration of candles indicates that price movements are confined within a relatively narrow range and lack a clear upward or downward trend. This may occur when the market is consolidating, experiencing indecision, or undergoing a period of accumulation or distribution.
Working Principle:
The Rangebound Bars feature of this indicator is designed to assist traders in identifying and navigating consolidating market conditions, where price movements are confined within a relatively narrow range. This feature utilizes Pivot levels and the Average True Range (ATR) concept to determine when the market is range-bound and provides signals to stay out of such price action. Here's how it works:
Pivot Levels: Pivot levels are key price levels derived from the previous period's high, low, and closing prices. They serve as potential support and resistance levels and are widely used by traders to identify significant price levels where price action may stall or reverse. The Rangebound Bars feature incorporates Pivot levels into its analysis to identify ranges where price tends to consolidate.
Average True Range (ATR): The Average True Range is a measure of market volatility that calculates the average range between the high and low prices over a specified period. It provides traders with insights into the level of price volatility and helps set appropriate stop-loss and take-profit levels. In the context of the Rangebound Bars feature, ATR is used to gauge the extent of price fluctuations within the identified range.
