'last red low / last green high' exit

27 maj 2022

This is a good alternative to pivot points and ma lines to find long and short exit points (stop loss prices) for a trade.
When you hear traders say "set the stop loss to the recent swing", this indicator seems to do a reasonable job of finding those.

This script marks

• the low of the most recent red candle
  
• the high of the most recent green candle
  

in order to help identify a reasonable stop loss exit point for long and short trades.

You can also specify a distance threshold to the stop loss point.

How to use it.

• Decide how far from the current price the exit should be (default 1.5%)
  
• Use your chosen trading strategy to identify a long or short entry position
  
• Add a long/short drawing to the close of the trade candle
  
• Set the stop loos of your drawing to the exit line of this indicator
  
• Set the take profit of your drawing using the desired risk to reward ratio
  

Note: A good rule is that if this indicator does not show a valid exit line, do not enter the trade.
Note: If the change of a new "last Green High" or the "last Red Low" is below 0.5%, the indicator will keep the previous values

27 maj 2022

Informacje o Wersji

Fixed an issue where the distance to exit % was not using the input.
Changed the default to 0.5

27 maj 2022

Informacje o Wersji

Changed line type
removed stuff from the cart.

27 maj 2022

Informacje o Wersji

Fix error converting the change required to switch to a new recent low/high
Also added input for that threshold

27 maj 2022

Informacje o Wersji

Removed a debug plot because I'm an idiot

27 maj 2022

Informacje o Wersji

Added the ability to show or hide long or short lines.

27 maj 2022

Informacje o Wersji

Removed an unreasonable offset

27 maj 2022

Informacje o Wersji

added a change filter for the plot to make the chart clearer