Chandelier & Stochastique SESE04

⚙️ 1. Indicator Objective: This "Candlestick & Stochastic Touli" indicator aims to help traders automatically identify Japanese candlestick reversal patterns, filtered by a Stochastic oscillator. It thus combines two technical tools: ✅ Candlestick pattern recognition ✅ Overbought/oversold indication via Stochastic

🔔 Important note: This tool is educational and does not constitute financial advice. It should be used as a support for analysis, never as the sole basis for making investment decisions.

🔑 2. Indicator Parameters ✳️ A. Candlestick Pattern Detection Parameters:

Parameter Description
Doji Detection of neutral candles with very small bodies
Shooting Star / Inverted Hammer Bearish and bullish reversal patterns
Hanged Man / Hammer Reversal patterns based on long wicks
Engulfing Bullish and bearish engulfing (2-candle pattern)
Piercing / Dark Cloud Cover Reversal through penetration of the previous body
Morning Star / Evening Star Classic 3-candle patterns (reversal)
Morning Star / Evening Star (4 candles) More complex 4-candle variant for additional confirmation
✳️ B. Stochastic Parameters (STOCHASTICS):
Parameter Description
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K Periods Length for %K (sensitivity of the stochastic)
D Periods Moving average for %D (smoothing of the stochastic)
Smooth K Additional smoothing for %K
High Borner Overbought threshold (e.g., 80)
Low Borner Oversold threshold (e.g., 20)
🎯 Objective: Filter patterns only when overbought/oversold conditions are met for greater reliability.
📊 3. Technical Operation and Calculation Logic ✅ A. Filtering via Stochastic: ⚡ When Stochastic (%K) is above 80, it suggests an overbought area → Favors bearish patterns. ⚡ When Stochastic (%K) is below 20, it suggests an oversold area → Favors bullish patterns. It filters according to 1 or 2 consecutive candles in these areas (sto_1_candle_up/down, sto_2_candle_up/down). ✅ B. Pattern Detection: Doji: Candle with a small body (open ≈ close), detected in the oversold/overbought zone based on Stochastic. Shooting Star / Inverted Hammer: Small body + long upper or lower wick, filtered by Stochastic. Hammer / Hanged Man: Candle with a long lower or upper wick, small body size, filtered by Stochastic. Bullish/Bearish Engulfing: The body of the second candle engulfs the previous one, opposite direction, filtered. Piercing / Dark Cloud Cover: The second candle significantly penetrates the first body's body (50% or more). Morning Star / Evening Star: Specific 3-candle sequences (direction, body size, gap). Morning Star / Evening Star 4 candles: More complex variant to confirm reversal (e.g., false break). 🎨 4. Visual Display on the Chart: Bullish patterns (buy): 🔵 Blue arrow pointing up below the candle. Bearish patterns (sell): 🔴 Red arrow pointing down above the candle. Neutral (e.g., Doji): ⚫ Black triangle to signal an area of hesitation. 🔔 5. Automatic Alerts: Conditional Alerts: When a pattern is detected, a custom alert can be generated. 🔔 Alert message: "Touli candlesticks & Belkhayate" Allows users to be informed in real-time when a valid signal appears. 📜 6. Legislative and Ethical Reminder (TradingView Compliance) ✅ This indicator does not constitute investment advice. ✅ It is designed for educational and informational purposes to aid in market analysis. ✅ No performance guarantee is provided. It is essential that the user complements this tool with:

Their own analysis.
Rigorous risk management.
Independent decision-making. ⚠️ TradingView specifies: Published scripts must comply with financial advisory laws, and this script should not be used as an automatic buy or sell signal system without manual validation.
🔍 7. Practical Use Example (educational): On an H1 or M15 chart, when a Bullish Engulfing + Stochastic in oversold (< 20) appears, it could signal a bullish opportunity. Confirmation with other tools (e.g., support/resistance, FVG, OB) is recommended to refine the decision. 💡 Summary: Why is this indicator useful? 🔍 Helps quickly visualize potential reversals. 🎯 Advanced filtering with Stochastic to limit false signals. 📈 Useful for refining entry/exit points in a complete strategy.