Congestions are formations in which a series of candlesticks opens and closes within the lows and highs of the candlestick that generated the congestion. To be considered as such, congestion must have the main candle and at least three following candles with the body contained in the range. Congestion is considered closed when a candle closes outside the...
When the market is trending, the momentum is strong, the price often moves quickly in one direction. In the higher time frame, we see that the closing price of the candlestick is often far away from the previous candlesticks. When the market is sideways, the momentum is weak, and prices often move slowly around an area. In the higher time frame, we see that...
Congestion zone include at least 3 candle sticks that the next candle has an opening and closing price within the previous candle When the price returns to the congested zone there is a possibility of a reversal The congestion zone is used as a support-resistance area and is used by price action traders. This script will highlight congestion zones, this will help...
This script identifies potential price reversals at pivot high/low points using sets of 3 candles. Pivot High: The middle candle must have a higher high and a higher low than the two outer candles. Pivot Low: The middle candle must have a lower low and a lower high than the two outer candles. Potential usage: When a market is moving higher in an uptrend, if a...
CONGESTION INDEX Market movements can be characterized by two distinct types or phases. In the first, the market shows trending movements which have a directional bias over a period of time. The second type of market behavior is periodic or cyclic motion, where the market shows no consistent directional bias and trades between two levels. This type of market...
This script detects price action congestion. These congestions are marked on chart itself.
I have a really interesting script for you guys today. While walking home I had an interesting idea that I wanted to visualize, but had no clue how it would turn out. This script is the result and it seems to provide some larger information. For anyone who doesn't know the definition of concavity here is a super quick calculus lesson: Concavity is a fancy word...