Trend Signals with TP & SL [DeeEyeCrypto]The script you provided is a Pine Script strategy for TradingView designed to generate trend signals with take profit (TP) and stop loss (SL) levels. It identifies buy and sell signals based on trend continuation and visualizes these signals on the TradingView chart. Here's a detailed breakdown of its components and functionality:
Inputs and Parameters
Source (src): The input source for price data, typically set to the average of high and low prices (hl2).
Sensitivity (Multiplier): A float input to adjust the sensitivity of trend detection, ranging from 0.5 to 5.
ATR Length (atrPeriods): The length for calculating the Average True Range (ATR), with a default value of 10.
ATR Calculation Methods (atrCalcMethod): A string input to choose between two ATR calculation methods.
Cloud Moving Average Length (cloud_val): The length for the moving average used in the cloud visualization, with a default value of 10.
Stop Loss Percent (stopLossVal): A float input for defining the stop loss percentage, where 0 disables the stop loss.
Show Buy/Sell Signals (showBuySellSignals): A boolean input to toggle the display of buy and sell signals.
Show Cloud MA (showMovingAverageCloud): A boolean input to toggle the display of the moving average cloud.
Utility Functions
percent: A function to calculate the percentage of a numerator over a denominator.
Momentum Calculations
Hull Moving Averages (HMA): Calculates two HMAs based on the open and close prices.
Change Momentum (CMO): Computes the change momentum for trend detection.
Pivot Calculations: Identifies the highest and lowest pivots over a specified period.
RSI Calculation
Relative Strength Index (RSI): Computes the RSI over a 9-period length.
Support and Resistance Conditions
sup: Identifies support conditions based on the RSI and CMO.
res: Identifies resistance conditions based on the RSI and CMO.
ATR Calculations
atr: Computes the ATR using either Method 1 (default ta.atr) or Method 2 (ta.sma).
Trend Detection
up and dn: Calculates upper and lower bounds using the ATR and sensitivity multiplier.
trend: Determines the current trend (1 for uptrend, -1 for downtrend).
buySignal and sellSignal: Identifies buy and sell signals based on trend changes.
Position Management
pos: Manages the current position (1 for long, -1 for short).
entryOfLongPosition and entryOfShortPosition: Stores the entry prices for long and short positions.
stopLossForLong and stopLossForShort: Calculates stop loss levels for long and short positions.
takeProfitForLong1R, takeProfitForShort1R, etc.: Calculates various take profit levels (1R, 2R, 3R) for long and short positions.
long_sl and short_sl: Checks if stop loss conditions are met for long and short positions.
takeProfitForLongFinal and takeProfitForShortFinal: Checks if final take profit conditions are met for long and short positions.
Plotting and Visualization
plot_high and plot_low: Plots the moving average cloud based on the chosen length.
plotshape: Plots buy and sell signals on the chart.
fill: Fills the cloud area based on MACD conditions to visualize trends.
Alerts
alertcondition: Sets up alert conditions for trend direction changes.
alertLongText and alertShortText: Constructs alert messages for buy and sell signals.
alert: Sends alerts based on long and short conditions.
Summary
This script provides a comprehensive strategy for identifying and visualizing trend continuation signals on TradingView. It includes features for setting take profit and stop loss levels, plotting signals and trends, and sending alerts for trade opportunities. The script is highly customizable with various input parameters, allowing users to adjust sensitivity, ATR calculation methods, and visualization options to suit their trading preferences.
Concept
Gold Pro StrategyHere’s the strategy description in a chat format:
---
**Gold (XAU/USD) Trend-Following Strategy**
This **trend-following strategy** is designed for trading gold (XAU/USD) by combining moving averages, MACD momentum indicators, and RSI filters to capture sustained trends while managing volatility risks. The strategy uses volatility-adjusted stops to protect gains and prevent overexposure during erratic price movements. The aim is to take advantage of trending markets by confirming momentum and ensuring entries are not made at extreme levels.
---
**Key Components**
1. **Trend Identification**
- **50 vs 200 EMA Crossover**
- **Bullish Trend:** 50 EMA crosses above 200 EMA, and the price closes above the 200 EMA
- **Bearish Trend:** 50 EMA crosses below 200 EMA, and the price closes below the 200 EMA
2. **Momentum Confirmation**
- **MACD (12,26,9)**
- **Buy Signal:** MACD line crosses above the signal line
- **Sell Signal:** MACD line crosses below the signal line
- **RSI (14 Period)**
- **Bullish Zone:** RSI between 50-70 to avoid overbought conditions
- **Bearish Zone:** RSI between 30-50 to avoid oversold conditions
3. **Entry Criteria**
- **Long Entry:** Bullish trend, MACD bullish crossover, and RSI between 50-70
- **Short Entry:** Bearish trend, MACD bearish crossover, and RSI between 30-50
4. **Exit & Risk Management**
- **ATR Trailing Stops (14 Period):**
- Initial Stop: 3x ATR from entry price
- Trailing Stop: Adjusts to lock in profits as price moves favorably
- **Position Sizing:** 100% of equity per trade (high-risk strategy)
---
**Key Logic Flow**
1. **Trend Filter:** Use the 50/200 EMA relationship to define the market's direction
2. **Momentum Confirmation:** Confirm trend momentum with MACD crossovers
3. **RSI Validation:** Ensure RSI is within non-extreme ranges before entering trades
4. **Volatility-Based Risk Management:** Use ATR stops to manage market volatility
---
**Visual Cues**
- **Blue Line:** 50 EMA
- **Red Line:** 200 EMA
- **Green Triangles:** Long entry signals
- **Red Triangles:** Short entry signals
---
**Strengths**
- **Clear Trend Focus:** Avoids counter-trend trades
- **RSI Filter:** Prevents entering overbought or oversold conditions
- **ATR Stops:** Adapts to gold’s inherent volatility
- **Simple Rules:** Easy to follow with minimal inputs
---
**Weaknesses & Risks**
- **Infrequent Signals:** 50/200 EMA crossovers are rare
- **Potential Missed Opportunities:** Strict RSI criteria may miss some valid trends
- **Aggressive Position Sizing:** 100% equity allocation can lead to large drawdowns
- **No Profit Targets:** Relies on trailing stops rather than defined exit targets
---
**Performance Profile**
| Metric | Expected Range |
|----------------------|---------------------|
| Annual Trades | 4-8 |
| Win Rate | 55-65% |
| Max Drawdown | 25-35% |
| Profit Factor | 1.8-2.5 |
---
**Optimization Recommendations**
1. **Increase Trade Frequency**
Adjust the EMAs to shorter periods:
- `emaFastLen = input.int(30, "Fast EMA")`
- `emaSlowLen = input.int(150, "Slow EMA")`
2. **Relax RSI Filters**
Adjust the RSI range to:
- `rsiBullish = rsi > 45 and rsi < 75`
- `rsiBearish = rsi < 55 and rsi > 25`
3. **Add Profit Targets**
Introduce a profit target at 1.5% above entry:
```pine
strategy.exit("Long Exit", "Long",
stop=longStopPrice,
profit=close*1.015, // 1.5% target
trail_offset=trailOffset)
```
4. **Reduce Position Sizing**
Risk a smaller percentage per trade:
- `default_qty_value=25`
---
**Best Use Case**
This strategy excels in **strong trending markets** such as gold rallies during economic or geopolitical crises. However, during sideways or choppy market conditions, the strategy might require manual intervention to avoid false signals. Additionally, integrating fundamental analysis—like monitoring USD weakness or geopolitical risks—can enhance its effectiveness.
---
This strategy offers a balanced approach for trading gold, combining trend-following principles with risk management tailored to the volatility of the market.
MABS algo box Time Algothis indicator helps with time zones n hours where the market rejects this my option n hopefully works for you
MABS algo box Time Algothis indicator helps with time zone where market rejects hopefully u can use it
Simple Buy/Sell Indicator: gordonatedThis chart displays the performance trends of two Simple Moving Averages (SMAs) over time, with a short-term SMA in blue and a long-term SMA in red. Buy signals are marked by green labels where the short-term SMA crosses above the long-term SMA, suggesting potential entry points for traders. Conversely, sell signals are indicated by red labels where the short-term SMA crosses below the long-term SMA, signaling potential exit points or bearish trends. The chart helps visualize momentum and potential trend reversals in price movements.
The Indicator for CRT (2/2) @TorioTrades🚀 Introducing the Ultimate CRT Indicator 🚀
🎯 This indicator is specifically designed for CRT (Candle Range Theory) to provide valuable insights into the daily price range, facilitating more informed intraday trading decisions. 🕵️♂️ It helps traders analyze price action within the context of the day's overall movement, potentially improving their ability to identify optimal entry and exit points. 📊
📝 Before we continue, let's show some love to the creators of this fantastic indicator:
- (x.com)
- (x.com)
- (x.com)
- (x.com)
⚙️ Key Features:
1. Cutoff Time ⏰: To keep charts uncluttered, a Cutoff Time will prevent drawings from extending beyond a specific point. The indicator automatically uses this to avoid messy charts with multiple drawings starting and stopping at various times.
Example ⬇️
(s3.tradingview.com)
2. Customizable Trading Sessions (Killzones) 🕒: The indicator features have four customizable trading sessions, each with adjustable times and labels. Traders can modify these sessions to match their preferred trading style, whether it's a variation on traditional ICT Killzones or entirely different timeframes. The sessions dynamically track high and low prices within their periods, extending pivot points until they're broken.
Example ⬇️
(s3.tradingview.com)
🌟 I'm thrilled by the positive response to this indicator and can't wait to hear your suggestions for improvements and future features. Please share your ideas! 🤩📬
Happy trading! 📈💼
The Indicator for CRT (1/2) @TorioTrades🚀 Introducing the Ultimate CRT Indicator 🚀
🎯 This indicator is specifically designed for CRT (Candle Range Theory) to provide valuable insights into the daily price range, facilitating more informed intraday trading decisions. 🕵️♂️ It helps traders analyze price action within the context of the day's overall movement, potentially improving their ability to identify optimal entry and exit points. 📊
📝 Before we continue, let's show some love to the creators of this fantastic indicator:
- (x.com)
- (x.com)
- (x.com)
- (x.com)
⚙️ Key Features:
1. Cutoff Time ⏰: To keep charts uncluttered, a Cutoff Time will prevent drawings from extending beyond a specific point. The indicator automatically uses this to avoid messy charts with multiple drawings starting and stopping at various times.
Example ⬇️
(s3.tradingview.com)
2. Customizable Trading Sessions (Killzones) 🕒: The indicator features have four customizable trading sessions, each with adjustable times and labels. Traders can modify these sessions to match their preferred trading style, whether it's a variation on traditional ICT Killzones or entirely different timeframes. The sessions dynamically track high and low prices within their periods, extending pivot points until they're broken.
Example ⬇️
(s3.tradingview.com)
🌟 I'm thrilled by the positive response to this indicator and can't wait to hear your suggestions for improvements and future features. Please share your ideas! 🤩📬
Happy trading! 📈💼
Global M2 Index Percentage### **Global M2 Index Percentage**
**Description:**
The **Global M2 Index Percentage** is a custom indicator designed to track and visualize the global money supply (M2) in a normalized percentage format. It aggregates M2 data from major economies (e.g., the US, EU, China, Japan, and the UK) and adjusts for exchange rates to provide a comprehensive view of global liquidity. This indicator helps traders and investors understand the broader macroeconomic environment, identify trends in money supply, and make informed decisions based on global liquidity conditions.
---
### **How It Works:**
1. **Data Aggregation**:
- The indicator collects M2 data from key economies and adjusts it using exchange rates to calculate a global M2 value.
- The formula for global M2 is:
\
2. **Normalization**:
- The global M2 value is normalized into a percentage (0% to 100%) based on its range over a user-defined period (default: 13 weeks).
- The formula for normalization is:
\
3. **Visualization**:
- The indicator plots the M2 Index as a line chart.
- Key reference levels are highlighted:
- **10% (Red Line)**: Oversold level (low liquidity).
- **50% (Black Line)**: Neutral level.
- **80% (Green Line)**: Overbought level (high liquidity).
---
### **How to Use the Indicator:**
#### **1. Understanding the M2 Index:**
- **Below 10%**: Indicates extremely low liquidity, which may signal economic contraction or tight monetary policy.
- **Above 80%**: Indicates high liquidity, which may signal loose monetary policy or potential inflationary pressures.
- **Between 10% and 80%**: Represents a neutral to moderate liquidity environment.
#### **2. Trading Strategies:**
- **Long-Term Investing**:
- Use the M2 Index to assess global liquidity trends.
- **High M2 Index (e.g., >80%)**: Consider investing in risk assets (stocks, commodities) as liquidity supports growth.
- **Low M2 Index (e.g., <10%)**: Shift to defensive assets (bonds, gold) as liquidity tightens.
- **Short-Term Trading**:
- Combine the M2 Index with technical indicators (e.g., RSI, MACD) for timing entries and exits.
- **M2 Index Rising + RSI Oversold**: Potential buying opportunity.
- **M2 Index Falling + RSI Overbought**: Potential selling opportunity.
#### **3. Macroeconomic Analysis**:
- Use the M2 Index to monitor the impact of central bank policies (e.g., quantitative easing, rate hikes).
- Correlate the M2 Index with inflation data (CPI, PPI) to anticipate inflationary or deflationary trends.
---
### **Key Features:**
- **Customizable Timeframe**: Adjust the lookback period (e.g., 13 weeks, 26 weeks) to suit your trading style.
- **Multi-Economy Data**: Aggregates M2 data from the US, EU, China, Japan, and the UK for a global perspective.
- **Normalized Output**: Converts raw M2 data into an easy-to-interpret percentage format.
- **Reference Levels**: Includes key levels (10%, 50%, 80%) for quick analysis.
---
### **Example Use Case:**
- **Scenario**: The M2 Index rises from 49% to 62% over two weeks.
- **Interpretation**: Global liquidity is increasing, potentially due to central bank stimulus.
- **Action**:
- **Long-Term**: Increase exposure to equities and commodities.
- **Short-Term**: Look for buying opportunities in oversold assets (e.g., RSI < 30).
---
### **Why Use the Global M2 Index Percentage?**
- **Macro Insights**: Understand the broader economic environment and its impact on financial markets.
- **Risk Management**: Identify periods of high or low liquidity to adjust your portfolio accordingly.
- **Enhanced Timing**: Combine with technical analysis for better entry and exit points.
---
### **Conclusion:**
The **Global M2 Index Percentage** is a powerful tool for traders and investors seeking to incorporate macroeconomic data into their strategies. By tracking global liquidity trends, this indicator helps you make informed decisions, whether you're trading short-term or planning long-term investments. Add it to your TradingView charts today and gain a deeper understanding of the global money supply!
---
**Disclaimer**: This indicator is for informational purposes only and should not be considered financial advice. Always conduct your own research and consult with a professional before making investment decisions.
KARRY ETH 5HStrategy Overview:
This Ethereum trading system combines trend-following and breakout logic with volatility adaptation:
Core Logic
Buy Signals: Trigger when:
Price breaks above upper channel (bullish breakout)
Supertrend confirms bullish trend (green)
Price stays above 20-period EMA (trend filter)
RSI < 65 (avoids chasing overbought moves)
Sell Signals: Activate when:
Price breaks below lower channel (bearish breakdown)
Supertrend confirms bearish trend (red)
Price holds below 20-period EMA
RSI > 35 (avoids panic-selling oversold conditions)
Key Features
⏰ 5-hour cooldown between signals to prevent overtrading
📊 Uses Supertrend (volatility) + EMA (trend) + RSI (momentum) confluence
🎯 Self-adjusting via dynamic price channels and trend confirmation
⚖️ Balances aggression (breakouts) with caution (RSI filters)
Ideal for swing trading ETH across all market conditions, emphasizing disciplined entries while respecting volatility.
Indicator by GaripovНахождение сигналов по методу Вайкоффа. Поиск сигналов Spring и Upthrust для нахождения точек входа
convergence of price With the help of convergence of ema we can identify demand zone, when see boilenger band it clearly tell us about accumulation , when price is abobe median line of boilenger band it shows strength of price, sign of accumulation, price is abobe all averages (5,22,66,100,150,200) it may give good return in shorter time.
Smart Money Concepts + EMA Signals [DeepEye_crypto]
Concept Description: Moving Averages
A moving average (MA) is a statistical calculation used to analyze data points by creating a series of averages of different subsets of the full data set. In trading, moving averages are commonly used to smooth out price data to identify the direction of the trend.
Types of Moving Averages:
Simple Moving Average (SMA):
The SMA is calculated by taking the arithmetic mean of a given set of values. For example, a 10-day SMA is the average of the closing prices for the last 10 days.
Exponential Moving Average (EMA):
The EMA gives more weight to recent prices, making it more responsive to new information. It is calculated using a smoothing factor that applies exponential decay to past prices.
Weighted Moving Average (WMA):
The WMA assigns a higher weight to recent prices, but the weights decrease linearly.
Hull Moving Average (HMA):
The HMA aims to reduce lag while maintaining a smooth average. It uses WMA in its calculation to achieve this.
Volume Weighted Moving Average (VWMA):
The VWMA weights prices based on trading volume, giving more importance to prices with higher trading volume.
Feature Description: TradingView Alerts
TradingView alerts are a powerful feature that allows traders to receive notifications when specific conditions are met on their charts. Alerts can be set up for various types of conditions, such as price levels, indicator values, or custom Pine Script conditions.
How to Set Up Alerts:
Create an Alert:
Click on the "Alert" button (clock icon) on the TradingView toolbar or right-click on the chart and select "Add Alert".
Configure the Alert:
Choose the condition for the alert (e.g., crossing a specific price level or indicator value).
Set the frequency of the alert (e.g., once, every time, or once per bar).
Customize the alert message and notification options (e.g., pop-up, email, SMS).
Use Pine Script for Custom Alerts:
Test_NeoТестим свою стратегию. Суть в поиске разворота. Появлении трех последовательных свечей одного цвета, и поддержки третьей свечи скользящими средними.
Среднее значение баровИндикатор показывает изменение среднего значения свечей ( от минимума до максимума), за определенный период. Можно также настроить либо только падающие свечи, либо растущие.
3 buy FractionedDesigned to identify potential buying opportunities with high reliability, particularly on the daily timeframe. It combines multiple technical analysis tools to generate signals with enhanced accuracy and flexibility.
Key Features:
Multi-Condition Analysis:
RSI (<55) and Stochastic Oscillator (<55) to detect oversold conditions.
Bollinger Band proximity for price reversals.
Volume spikes to confirm market interest.
50-day Moving Average to ensure trend alignment.
Early Signal Detection:
Includes a 10-day and 20-day SMA crossover for additional confirmation.
Relaxed thresholds to capture trends earlier.
Customizable Parameters:
The thresholds for RSI, Stochastic, and volume are adjustable for different trading styles.
How to Use:
Use this indicator on daily timeframes for swing trading.
Look for the green 'BUY' label below the candles as the entry signal.
Combine with other tools (e.g., support/resistance levels, candlestick patterns) for additional confirmation.
Wyckoff Price Action Pattern with AlertWyckoff Price Action Pattern with Alert.
It is a spring setup. when spring starts to fail it's mean trend is changed. For more accurate setup you can contact me.
Standard Deviation Channel by Bill JohnsSets lines on chart for 1 standard deviation and 2 standard deviations above and below the Average over a set amount of time. The default is 180 intervals of the set interval. Example:
If chart is set to 1 day interval. There will be 5 lines drawn for the past 180 days for the average, 1 std deviation above the average, 2 std deviations above the average, 1 std deviation below the average and 2 std deviation below the average.
Any set alerts for crossing a line will have a default label. The default labels are: "Strong Sell" for alert on 2 std deviations above the average. "Evaluate for Sell" for 1 std deviation above the average. "Evaluate for Buy" for 1 std deviation below the average. "Strong Buy" for 2 std deviations below the average.
Daily Asian RangeDaily Asian Range Indicator
This indicator is an enhanced version inspired by @toodegrees' "ICT Friday's Asian Range" indicator. While maintaining the core concepts, this version expands functionality for daily analysis and adds comprehensive customization options.
### Overview
The Asian Range indicator identifies and visualizes potential liquidity areas based on price action during the Asian session (8:00 PM - 12:00 AM ET). It plots both body and wick ranges along with multiple standard deviation levels that can serve as potential price targets or areas of interest.
### Features
- Flexible Display Options
- Choose between Body, Wick, or Both for range boxes and deviation lines
- Customizable colors, styles, and borders for all visual elements
- Historical sessions display (0-20 previous sessions)
- Advanced Standard Deviation Levels
- Multiple deviation multipliers (1.0, 1.5, 2.0, 2.3, 3.5)
- Separate visualization for body and wick-based deviations
- Clear labeling system for easy identification
- Precise Time Management
- Asian session: 8:00 PM - 12:00 AM ET
- Deviation lines extend through the following trading day
- Proper timezone handling for accuracy
### Usage
- Works on timeframes from 1 to 15 minutes
- Use the range boxes to identify key price levels from the Asian session
- Standard deviation levels can serve as potential targets or areas of interest
- Combine with other indicators for enhanced analysis
### Credits
Original concept and base implementation by @toodegrees
Enhanced and expanded by @Omarqqq
### Disclaimer
This indicator is for educational and informational purposes only. Always conduct your own analysis and use proper risk management.
SMA Ichimoku CrossesSMA Ichimoku Crosses displays the moving average between the last two crossings of the Tenkan-Sen and Kijun-Sen lines from Ichimoku Kinko Hyo. The line is calculated based on the closing prices at the time of the crossings and is added directly to the price chart, making it a convenient tool for trend analysis and identifying entry and exit points.
Features:
- Automatic calculation of Tenkan-Sen and Kijun-Sen lines.
- Fixation of closing prices at the point of line crossings.
- Calculation of the average price between the last two crossings.
- Display of a pink line on the price chart for convenient analysis.
How to use:
- Identify potential trend reversal zones by observing the line’s position relative to the price.
- Use the line as a dynamic level of support or resistance.
- Include the indicator in your Ichimoku strategies to enhance the accuracy of signals.
Suitable for:
- Traders using Ichimoku in their trading.
- Trend analysis enthusiasts.
- Those looking for additional filters for entry and exit points.
NWOG with FVGThe New Week Opening Gap (NWOG) and Fair Value Gap (FVG) combined indicator is a trading tool designed to analyze price action and detect potential support, resistance, and trade entry opportunities based on two significant concepts:
New Week Opening Gap (NWOG): The price range between the high and low of the first candle of the new trading week.
Fair Value Gap (FVG): A price imbalance or gap between candlesticks, where price may retrace to fill the gap, indicating potential support or resistance zones.
When combined, these two concepts help traders identify key price levels (from the new week open) and price imbalances (from FVGs), which can act as powerful indicators for potential market reversals, retracements, or continuation trades.
1. New Week Opening Gap (NWOG):
Definition:
The New Week Opening Gap (NWOG) refers to the range between the high and low of the first candle in a new trading week (often, the Monday open in most markets).
Purpose:
NWOG serves as a significant reference point for market behavior throughout the week. Price action relative to this range helps traders identify:
Support and Resistance zones.
Bullish or Bearish sentiment depending on price’s relation to the opening gap levels.
Areas where the market may retrace or reverse before continuing in the primary trend.
How NWOG is Identified:
The high and low of the first candle of the new week are drawn on the chart, and these levels are used to assess the market's behavior relative to this range.
Trading Strategy Using NWOG:
Above the NWOG Range: If price is trading above the NWOG levels, it signals bullish sentiment.
Below the NWOG Range: If price is trading below the NWOG levels, it signals bearish sentiment.
Price Touching the NWOG Levels: If price approaches or breaks through the NWOG levels, it can indicate a potential retracement or reversal.
2. Fair Value Gap (FVG):
Definition:
A Fair Value Gap (FVG) occurs when there is a gap or imbalance between two consecutive candlesticks, where the high of one candle is lower than the low of the next candle (or vice versa), creating a zone that may act as a price imbalance.
Purpose:
FVGs represent an imbalance in price action, often indicating that the market moved too quickly and left behind a price region that was not fully traded.
FVGs can serve as areas where price is likely to retrace to fill the gap, as traders seek to correct the imbalance.
How FVG is Identified:
An FVG is detected if:
Bearish FVG: The high of one candle is less than the low of the next (gap up).
Bullish FVG: The low of one candle is greater than the high of the next (gap down).
The area between the gap is drawn as a shaded region, indicating the FVG zone.
Trading Strategy Using FVG:
Price Filling the FVG: Price is likely to retrace to fill the gap. A reversal candle in the FVG zone can indicate a trade setup.
Support and Resistance: FVG zones can act as support (in a bullish FVG) or resistance (in a bearish FVG) if the price retraces to them.
Combined Strategy: New Week Opening Gap (NWOG) and Fair Value Gap (FVG):
The combined use of NWOG and FVG helps traders pinpoint high-probability price action setups where:
The New Week Opening Gap (NWOG) acts as a major reference level for potential support or resistance.
Fair Value Gaps (FVG) represent market imbalances where price might retrace to, filling the gap before continuing its move.
Signal Logic:
Buy Signal:
Price touches or breaks above the NWOG range (indicating a bullish trend) and there is a bullish FVG present (gap indicating a support area).
Price retraces to fill the bullish FVG, offering a potential buy opportunity.
Sell Signal:
Price touches or breaks below the NWOG range (indicating a bearish trend) and there is a bearish FVG present (gap indicating a resistance area).
Price retraces to fill the bearish FVG, offering a potential sell opportunity.
Example:
Buy Setup:
Price breaks above the NWOG resistance level, and a bullish FVG (gap down) appears below. Traders can wait for price to pull back to fill the gap and then take a long position when confirmation occurs.
Sell Setup:
Price breaks below the NWOG support level, and a bearish FVG (gap up) appears above. Traders can wait for price to retrace and fill the gap before entering a short position.
Key Benefits of the Combined NWOG & FVG Indicator:
Combines Two Key Concepts:
NWOG provides context for the market's overall direction based on the start of the week.
FVG highlights areas where price imbalances exist and where price might retrace to, making it easier to spot entry points.
High-Probability Setups:
By combining these two strategies, the indicator helps traders spot high-probability trades based on major market levels (from NWOG) and price inefficiencies (from FVG).
Helps Identify Reversal and Continuation Opportunities:
FVGs act as potential support and resistance zones, and when combined with the context of the NWOG levels, it gives traders clearer guidance on where price might reverse or continue its trend.
Clear Visual Signals:
The indicator can plot the NWOG levels on the chart, and shade the FVG areas, providing a clean and easy-to-read chart with entry signals marked for buy and sell opportunities.
Conclusion:
The New Week Opening Gap (NWOG) and Fair Value Gap (FVG) combined indicator is a powerful tool for traders who use price action strategies. By incorporating the New Week's opening range and identifying gaps in price action, this indicator helps traders identify potential support and resistance zones, pinpoint entry opportunities, and increase the probability of successful trades.
This combined strategy enhances your analysis by adding layers of confirmation for trades based on significant market levels and price imbalances. Let me know if you'd like more details or modifications!
