Price Action Signals Filtered +EMA

🚀 Price Action Signals Filtered + EMA (Dual Confirmation)
💡 Indicator Overview
This indicator is a powerful tool designed to identify potential trend reversals or continuations using Price Action Pivot signals, but it filters them with an Exponential Moving Average (EMA) to ensure dual confirmation.

The indicator's purpose is to generate signals only when a Price Action confirmation aligns with a confirmed market trend (above or below the EMA), thereby reducing noise and increasing signal reliability.

✨ Key Features and Logic
1. Price Action (Pivot) Detection
The indicator automatically detects local low (Pivot Low) and local high (Pivot High) points.

Pivot Low: A potential market bottom.

Pivot High: A potential market top.

2. Price Action Confirmation
After a Pivot is detected, the indicator waits for subsequent confirmation from the closing prices of the candles:

Bullish Confirmation: After a Pivot Low, the indicator requires N consecutive candles (where N is defined in the settings) to close above the previous candle's close. This indicates buying pressure.

**Bearish Confirmation: After a Pivot High, the indicator requires N consecutive candles to close below the previous candle's close. This indicates selling pressure.

3. Trend Filter (EMA) - Dual Confirmation! 🎯
This is the critical component. A confirmed Price Action signal must align with the trend defined by the Exponential Moving Average (EMA):

Bullish Signal (Buy): Generated ONLY if the Bullish Price Action Confirmation occurs while the price (Close) is ABOVE the EMA (default 20 periods).

Bearish Signal (Sell): Generated ONLY if the Bearish Price Action Confirmation occurs while the price (Close) is BELOW the EMA.

This serves as a dual confirmation, ensuring the signal is captured in the direction of the broader market trend.

📈 How to Use
Look for the Signal: Wait for the shape (triangle, circle, or arrow) to appear on the chart.

Verify Confirmation: Know that the signal has already passed through the dual filter: Price Action and EMA.

Bullish signals appear below the bar when the price is ABOVE the EMA.

Bearish signals appear above the bar when the price is BELOW the EMA.

Risk Management: Always use this indicator in combination with your risk management strategy and technical analysis.

📝 Additional Notes
The indicator uses barstate.isconfirmed to accurately plot signals on the candle close.

The EMA line is also plotted on the chart for visual trend verification.

This indicator is a tool only and does not constitute financial advice. Always perform your own analysis and research.