Based on logic from many top contributors here, the script utilizes LazyBear's WaveTrend Oscillator Indicator along with custom code to plot a few key components for daily trading;
Boundaries for entry and exit points which are based on a 6-day trend in OPEN/HIGH and OPEN/LOW prices.
Daily HIGH and LOW points to establish a good view of stock's movements
Entry and exit points with confidence levels. These can be treated as entry points for short to medium term investments
Entry points come in the colours of White and Lime, where white is slightly confident and lime is extremely confident
Exit points come in the colours of Maroon, and Red, where maroon is slightly confident and red is extremely confident
Each Entry and Exit point also comes without text, or with a M or H above it, where M indicates medium confidence on the point and an O indicates overconfidence.
Use Case:
The best possible use case is to enter a trade on a LIME point with O text, this means that is an overconfident entry point. The trade should be exited on a RED point with O text, this means that is an overconfident exit point.
But you can do with the indicators as you please.
In addition to LazyBear's code, the following existing models and indicators are taken into account:
RSI of closing price over a period of 25
EMA of RSI
Informacje o Wersji
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Commentary enhanced to allow better understanding of what's going on in the code. Enhancing tags to allow more people to use this script.
Good. But i get more marron/red indicators with M compared to entry. I mean for one entry i get atleast 10 exit indicators. is this a bug?
seanimize
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@4ba94e636ce44151aacf39d7234053, You can adjust the inputs to make entries more or less common.
The inputs will let you adjust your own risk tolerance.
For example, my script won't show me an entry point if price drops below 2% of support, but if you would like to see that you can change that.
4ba94e636ce44151aacf39d7234053
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@seanimize, HI.. I tried multiple variations. But of no luck. I still get more exit indicators than entry
seanimize
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@4ba94e636ce44151aacf39d7234053, Can you name a few tickers you are using this for? Perhaps I can look into what is happening and if the script can in fact be improved.
4ba94e636ce44151aacf39d7234053
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@seanimize, HI.. you can select Nifty/NiftyBank. Both are benchmark indices of India. Thanks a ton