IsAlgo - Ultra Trend Strategy► Overview:
The Ultra Trend strategy is designed to identify trend lines based on average price movement and execute trades when the price crosses the middle line, confirmed by an entry candle. This strategy combines ATR, Moving Averages, and customizable candlestick patterns to provide a versatile and robust trading approach.
► Description:
The Ultra Trend strategy employs a multi-faceted approach to accurately gauge market trends and execute trades. It combines the Average True Range (ATR) with trendline analysis and Moving Averages, providing a comprehensive view of market conditions. The strategy uses ATR to measure market volatility and the average price movement, helping to set dynamic thresholds for trend detection and adapting to changing market conditions. The slope of the trend is calculated based on the angle of price movement, which aids in identifying the strength and direction of the trend.
Additionally, a Moving Average is used to filter trades, ensuring alignment with the broader market direction and reducing false signals, thereby enhancing trade accuracy.
Traders can configure the strategy to enter trades in the direction of the trend, against the trend, or both. This feature enhances the adaptability of the Ultra Trend strategy, making it suitable for various trading styles and market environments.
↑ Long Entry:
A long trade is executed when the entry candle crosses and closes above the trend line. This indicates a bullish market condition, signaling an opportunity to enter a buy position.
↓ Short Entry:
A short trade is executed when the entry candle crosses and closes below the trend line. This indicates a bearish market condition, signaling an opportunity to enter a sell position.
✕ Exit Conditions:
The strategy offers multiple stop-loss options to manage risk effectively. Traders can set stop-loss levels using fixed pips, ATR-based calculations, the higher/lower price of past candles, or close a trade if a candle moves against the trade direction.
Up to three take profit levels can be set using methods such as fixed pips, ATR, and risk-to-reward ratios. This allows traders to secure profits at various stages of the trade.
A trailing stop feature adjusts the stop loss as the trade moves into profit, locking in gains while allowing the trade to continue capturing potential upside. Additionally, a break-even feature moves the stop loss to the entry price once a certain profit level is reached, protecting against losses.
Trades can also be closed when a trend change is detected or when a candle closes outside a predefined channel, ensuring that positions are exited promptly in response to changing market conditions.
► Features and Settings:
⚙︎ Trend: Users can configure the trend direction, length, factor, and slope, allowing for precise control over how trends are identified and followed.
⚙︎ Moving Average: An Exponential Moving Average (EMA) can be employed to confirm the trend direction indicated by the trend lines. This provides further assurance that the trend line breakout is not a false signal. The EMA can be enabled or disabled based on user preference.
⚙︎ Entry Candle: The entry candle is the candle that breaks the trend line, signaling an entry opportunity. Users can specify the minimum and maximum size of the candle's body and the ratio of the body to the entire candle size. This ensures that only significant breakouts trigger trades.
⚙︎ Trading Session: This feature allows users to define specific trading hours during which the strategy should operate, ensuring trades are executed only during preferred market periods.
⚙︎ Trading Days: Users can specify which days the strategy should be active, offering the flexibility to avoid trading on specific days of the week.
⚙︎ Backtesting: Enables a backtesting period during which the strategy can be tested over a selected start and end date. This feature can be deactivated if not needed.
⚙︎ Trades: This includes configuring the direction of trades (long, short, or both), position sizing (fixed or percentage-based), the maximum number of open trades, and limitations on the number of trades per day or based on trend.
⚙︎ Trades Exit: The strategy offers various exit methods, such as setting profit or loss limits, specifying the duration a trade should remain open, or closing trades based on trend reversal.
⚙︎ Stop Loss: Various stop-loss methods are available, including a fixed number of pips, ATR-based, or using the highest or lowest price points within a specified number of previous candles. Additionally, trades can be closed after a specific number of candles move in the opposite direction of the trade.
⚙︎ Break Even: This feature adjusts the stop loss to a break-even point once certain conditions are met, such as reaching predefined profit levels, to protect gains.
⚙︎ Trailing Stop: The trailing stop feature adjusts the stop loss as the trade moves into profit, securing gains while potentially capturing further upside.
⚙︎ Take Profit: Up to three take-profit levels can be set using various methods, such as a fixed amount of pips, ATR, or risk-to-reward ratios based on the stop loss. Alternatively, users can specify a set number of candles moving in the direction of the trade.
⚙︎ Alerts: The strategy includes a comprehensive alert system that informs the user of all significant actions, such as trade openings and closings. It supports placeholders for dynamic values like take-profit levels and stop-loss prices.
⚙︎ Dashboard: A visual display provides detailed information about ongoing and past trades on the chart, helping users monitor the strategy's performance and make informed decisions.
► Backtesting Details:
Timeframe: 5-minute US30 chart
Initial Balance: $10,000
Order Size: 4% of equity per trade
Commission: $0.05 per contract
Slippage: 5 ticks
Stop Loss: ATR-based
Wskaźniki i strategie
Momentum Alligator 4h Bitcoin StrategyOverview
The Momentum Alligator 4h Bitcoin Strategy is a trend-following trading system that operates on dual time frames. It utilizes the 1D Williams Alligator indicator to identify the prevailing major price trend and seeks trading opportunities on the 4-hour (4h) time frame when the momentum is turning up. The strategy is designed to close trades if the trend fails to develop or holding position if price continues increasing without any significant correction. Note that this strategy is specifically tailored for the 4-hour time frame.
Unique Features
2-layers market noise filtering system: Trades are only initiated in the direction of the 1D trend, determined by the Williams Alligator indicator. This higher time frame confirmation filters out minor trade signals, focusing on more substantial opportunities. At the same time, strategy has additional filter on 4h time frame with Awesome Oscillator which is showing the current price momentum.
Flexible Risk Management: The strategy exclusively opens long positions, resulting in fewer trades during bear markets. It incorporates a dynamic stop-loss mechanism, which can either follow the jaw line of the 4h Alligator or a user-defined fixed stop-loss. This flexibility helps manage risk and avoid non-trending markets.
Methodology
The strategy initiates a long position when the d-line of Stochastic RSI crosses up it's k-line. It means that there is a high probability that price momentum reversed from down to up. To avoid overtrading in potentially choppy markets, it skips the next two trades following a winning trade, anticipating sideways movement after a significant price surge.
This strategy has two layers trades filtering system: 4h and 1D time frames. The first one is awesome oscillator. It shall be increasing and value has to be higher than it's 5-period SMA. This is an additional confirmation that long trade is opened in the direction of the current momentum. As it was mentioned above, all entry signals are validated against the 1D Williams Alligator indicator. A trade is only opened if the price is above all three lines of the 1D Alligator, ensuring alignment with the major trend.
A trade is closed if the price hits the 4h jaw line of the Alligator or reaches the user-defined stop-loss level.
Risk Management
The strategy employs a combined approach to risk management:
It allows positions to ride the trend as long as the price continues to move favorably, aiming to capture significant price movements. It features a user-defined stop-loss parameter to mitigate risks based on individual risk tolerance. By default, this stop-loss is set to a 2% drop from the entry point, but it can be adjusted according to the trader's preferences.
Justification of Methodology
This strategy leverages Stochastic RSI on 4h time frame to open long trade when momentum started reversing to the upside. On the one hand, Stochastic RSI is one of the most sensitive indicator, which allows to react fast on the potential trend reversal. On the other hand, this indicator can be too sensitive and provide a lot of false trend changing signals. To eliminate this weakness we use two-layers trades filtering system.
The first layer is the 4h Awesome oscillator. This is less sensitive momentum indicator. Usually it starts increasing when price has already passed significant distance from the actual reversal point. The strategy opens long trade only is Awesome oscillator is increasing and above it's 5-period SMA. This approach increases the probability to filter the false signals during the choppy market or if the reversal is false.
The second layer filter is the Williams Alligator indicator on 1D time frame. The 1D Alligator serves as a filter for identifying the primary trend and increases probability to avoid the trades with low potential because trading against major trend usually is more risky. It's much better to catch the trend continuation than local bounce.
Last but not least feature of this strategy is close trades condition. It uses the flexible approach. First of all, user can set up the fixed stop-loss according to his own risk-tolerance, by default this value is 2% of price movement. It restricts the potential loss at the moment when trade has just been opened. Moreover strategy utilizes the 4h Williams Alligator's jaw line to exit the trade. If price fell below it trade is closed. This approach helps to not keep open trade if trend is not developing and hold it if price continues going up.
Backtest Results:
Operating window: Date range of backtests is 2021.01.01 - 2024.05.01. It is chosen to let the strategy to close all opened positions.
Commission and Slippage: Includes a standard Binance commission of 0.1% and accounts for possible slippage over 5 ticks.
Initial capital: 10000 USDT
Percent of capital used in every trade: 50%
Maximum Single Position Loss: -3.04%
Maximum Single Profit: +29.67%
Net Profit: +6228.01 USDT (+62.28%)
Total Trades: 118 (24.58% win rate)
Profit Factor: 1.71
Maximum Accumulated Loss: 1527.69 USDT (-11.52%)
Average Profit per Trade: 52.78 USDT (+0.89%)
Average Trade Duration: 60 hours
These results are obtained with realistic parameters representing trading conditions observed at major exchanges such as Binance and with realistic trading portfolio usage parameters.
How to Use:
Add the script to favorites for easy access.
Apply to the 4h timeframe desired chart (optimal performance observed on the BTC/USDT).
Configure settings using the dropdown choice list in the built-in menu.
Set up alerts to automate strategy positions through web hook with the text: {{strategy.order.alert_message}}
Disclaimer:
Educational and informational tool reflecting Skyrex commitment to informed trading. Past performance does not guarantee future results. Test strategies in a simulated environment before live implementation
Random Entry and ExitStrategy for Researching Whether It Is Possible to Earn Consistently by Opening Random Trades
The essence of the strategy lies in generating random entries and exits based on pseudorandom numbers. The generation of pseudorandom numbers is performed by the function random_number based on the value of the seed variable. The variables entry_threshold and exit_threshold control the frequency of entries and exits. Lower values mean less frequent trades. To increase the number of trades, increase the values of these variables.
The strategy was created as part of research into whether it is possible to earn randomly in financial markets by making chaotic actions of opening and closing trades. However, it adheres to a few rules: open only long positions (in the direction of the global trend) and do not use leverage. Positions are opened with the entire available capital.
100 generations of the strategy on the daily chart of the S&P 500 (seed 1-101) give 100% positive mathematical expectations. Similar results are observed on higher timeframes of assets that are in a global uptrend.
There is also the possibility of opening only short positions for the research. Note that the logic of the strategy is built in such a way that only one trading direction can operate simultaneously (either longs or shorts). On higher timeframes, random shorts show negative results. Positive mathematical expectations for short positions can be found on lower timeframes (1 min, etc.), where a large amount of noise is observed.
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Стратегия для исследования, можно ли стабильно зарабатывать при открытии случайных сделок
Суть стратегии заключается в генерации случайных входов и выходов на основе псевдослучайных чисел. Генерация псевдослучайных чисел происходит функцией random_number на основе значения переменной seed. Переменные entry_threshold и exit_threshold контролируют частоту входов и выходов. Более низкие значения означают менее частые сделки. Для увеличения количества сделок - увеличивайте значения переменных.
Стратегия создавалась в рамках исследования вопроса, можно ли случайным образом зарабатывать на фин. рынках, совершая хаотичные открытия и закрытия сделок. НО, придерживаясь нескольких правил: открывать только длинные позиции (в сторону глобального тренда) и не использовать кредитные плечи. Открытие позиций происходит на весь доступный капитал.
100 генераций стратегии на дневном графике S&P500 (seed 1-101) дают 100% положительных математических ожиданий. Похожие результаты наблюдаются на высоких таймфреймах активов, которые глобально находятся в восходящем тренде.
Также для исследования предусмотрена возможность открытия только коротких позиций. Обратите внимание, что логика стратегии построена таким образом, что одновременно может работать только одно направление торговли (либо лонги, либо шорты). На старших таймфреймах случайные шорты показывают негативные результаты. Положительное математическое ожидание для коротких позиций можно обнаружить на младших таймфреймах (1 min, etc), где наблюдается большое количество шумов.
IsAlgo - Reverse Band Strategy► Overview:
The Reverse Band Strategy leverages a custom band indicator combined with a candlestick pattern for trade entries. The strategy initiates trades when a candle closes outside the bands, anticipating that the price will revert inside the bands and reach the opposite side.
► Description:
The Reverse Band Strategy is built around a sophisticated custom band indicator designed to identify potential reversal points in the market. The bands are calculated using a proprietary formula that factors in the trend's slope, the highest and lowest points within the trend, the average price movement, and the number of candles that form the trend. This advanced calculation allows for a dynamic and responsive band that adjusts to market conditions.
Once the band edges are identified, the strategy continuously monitors for candles that close outside these bands. When such a candle is detected, it signals a potential reversal, triggering an entry. The expectation is that the price will revert back inside the bands and move towards the opposite band edge.
How it Works:
Band Calculation: The strategy continuously updates the band edges using the aforementioned factors.aforementioned factors.
Signal Detection: It waits for a candle to close outside the bands.
Trade Entry: When an outside-close candle is detected, the strategy enters a trade expecting the price to revert to the opposite band edge.
Customization: Users can define the characteristics of the entry candle, such as its size relative to previous candles, to ensure it meets specific conditions before triggering a trade.
↑ Long Trade Example:
The entry candle closes below the lower band, indicating a potential upward reversal. The strategy enters a long position expecting the price to move towards the upper band.
↓ Short Trade Example:
The entry candle closes above the upper band, signaling a potential downward reversal. The strategy enters a short position anticipating the price to revert towards the lower band.
► Features and Settings:
⚙︎ Band Customization: Adjust band length, smoothness, and minimum distance to fit different market conditions and trading styles.
⚙︎ Entry Candle: Customize criteria such as candle size, body, and relative position to previous candles to ensure precise entry signals.
⚙︎ Trading Session: This feature allows users to define specific trading hours during which the strategy should operate, ensuring trades are executed only during preferred market periods.
⚙︎ Trading Days: Users can specify which days the strategy should be active, offering the flexibility to avoid trading on specific days of the week.
⚙︎ Backtesting: Enables a backtesting period during which the strategy can be tested over a selected start and end date. This feature can be deactivated if not needed.
⚙︎ Trades: Configure trade direction (long, short, or both), position sizing (fixed or percentage-based), maximum number of open trades, and trade limitations per day or based on band.
⚙︎ Trades Exit: Set profit/loss limits, specify trade duration, or exit based on band reversal signals.
⚙︎ Stop Loss: Various stop-loss methods are available, including a fixed number of pips, ATR-based, or using the highest or lowest price points within a specified number of previous candles. Additionally, trades can be closed after a specific number of candles move in the opposite direction of the trade.
⚙︎ Break Even: This feature adjusts the stop loss to a break-even point once certain conditions are met, such as reaching predefined profit levels, to protect gains.
⚙︎ Trailing Stop: The trailing stop feature adjusts the stop loss as the trade moves into profit, securing gains while potentially capturing further upside.
⚙︎ Take Profit: Up to three take-profit levels can be set using various methods, such as a fixed amount of pips, ATR, or risk-to-reward ratios based on the stop loss. Alternatively, users can specify a set number of candles moving in the direction of the trade.
⚙︎ Alerts: The strategy includes a comprehensive alert system that informs the user of all significant actions, such as trade openings and closings. It supports placeholders for dynamic values like take-profit levels and stop-loss prices.
⚙︎ Dashboard: A visual display provides detailed information about ongoing and past trades on the chart, helping users monitor the strategy's performance and make informed decisions.
► Backtesting Details:
Timeframe: 30-minute GBPUSD chart
Initial Balance: $10,000
Order Size: 5000 units
Commission: 0.02%
Slippage: 5 ticks
Bitcoin Futures vs. Spot Tri-Frame - Strategy [presentTrading]Prove idea with a backtest is always true for trading.
I developed and open-sourced it as an educational material for crypto traders to understand that the futures and spot spread may be effective but not be as effective as they might think. It serves as an indicator of sentiment rather than a reliable predictor of market trends over certain periods. It is better suited for specific trading environments, which require further research.
█ Introduction and How it is Different
The "Bitcoin Futures vs. Spot Tri-Frame Strategy" utilizes three different timeframes to calculate the Z-Score of the spread between BTC futures and spot prices on Binance and OKX exchanges. The strategy executes long or short trades based on composite Z-Score conditions across the three timeframes.
The spread refers to the difference in price between BTC futures and BTC spot prices, calculated by taking a weighted average of futures prices from multiple exchanges (Binance and OKX) and subtracting a weighted average of spot prices from the same exchanges.
BTCUSD 1D L/S Performance
█ Strategy, How It Works: Detailed Explanation
🔶 Calculation of the Spread
The spread is the difference in price between BTC futures and BTC spot prices. The strategy calculates the spread by taking a weighted average of futures prices from multiple exchanges (Binance and OKX) and subtracting a weighted average of spot prices from the same exchanges. This spread serves as the primary metric for identifying trading opportunities.
Spread = Weighted Average Futures Price - Weighted Average Spot Price
🔶 Z-Score Calculation
The Z-Score measures how many standard deviations the current spread is from its historical mean. This is calculated for each timeframe as follows:
Spread Mean_tf = SMA(Spread_tf, longTermSMA)
Spread StdDev_tf = STDEV(Spread_tf, longTermSMA)
Z-Score_tf = (Spread_tf - Spread Mean_tf) / Spread StdDev_tf
Local performance
🔶 Composite Entry Conditions
The strategy triggers long and short entries based on composite Z-Score conditions across all three timeframes:
- Long Condition: All three Z-Scores must be greater than the long entry threshold.
Long Condition = (Z-Score_tf1 > zScoreLongEntryThreshold) and (Z-Score_tf2 > zScoreLongEntryThreshold) and (Z-Score_tf3 > zScoreLongEntryThreshold)
- Short Condition: All three Z-Scores must be less than the short entry threshold.
Short Condition = (Z-Score_tf1 < zScoreShortEntryThreshold) and (Z-Score_tf2 < zScoreShortEntryThreshold) and (Z-Score_tf3 < zScoreShortEntryThreshold)
█ Trade Direction
The strategy allows the user to specify the trading direction:
- Long: Only long trades are executed.
- Short: Only short trades are executed.
- Both: Both long and short trades are executed based on the Z-Score conditions.
█ Usage
The strategy can be applied to BTC or Crypto trading on major exchanges like Binance and OKX. By leveraging discrepancies between futures and spot prices, traders can exploit market inefficiencies. This strategy is suitable for traders who prefer a statistical approach and want to diversify their timeframes to validate signals.
█ Default Settings
- Input TF 1 (60 minutes): Sets the first timeframe for Z-Score calculation.
- Input TF 2 (120 minutes): Sets the second timeframe for Z-Score calculation.
- Input TF 3 (180 minutes): Sets the third timeframe for Z-Score calculation.
- Long Entry Z-Score Threshold (3): Defines the threshold above which a long trade is triggered.
- Short Entry Z-Score Threshold (-3): Defines the threshold below which a short trade is triggered.
- Long-Term SMA Period (100): The period used to calculate the simple moving average for the spread.
- Use Hold Days (true): Enables holding trades for a specified number of days.
- Hold Days (5): Number of days to hold the trade before exiting.
- TPSL Condition (None): Defines the conditions for taking profit and stop loss.
- Take Profit (%) (30.0): The percentage at which the trade will take profit.
- Stop Loss (%) (20.0): The percentage at which the trade will stop loss.
By fine-tuning these settings, traders can optimize the strategy to suit their risk tolerance and trading style, enhancing overall performance.
Ultimate Trading StrategyDescription:
In this TradingView Pine Script publication, we introduce a powerful tool designed to enhance your trading strategies by combining the Exponential Moving Average (EMA) and the Relative Strength Index (RSI). This strategy is specifically tailored for the EGLD/USDT.P pair on Binance, using a 5-minute interval to capture timely trading opportunities in a volatile market.
Key Features:
Combining EMA and RSI for Robust Signals
This script combines the EMA, which helps identify the overall trend direction, with the RSI, which measures the speed and change of price movements to identify overbought and oversold conditions.
The combination ensures that you get high-probability signals by leveraging both trend-following and momentum-based indicators.
Multiple Timeframe Analysis
Analyze the EMA and RSI across different timeframes to gain a comprehensive view of market conditions and make more informed trading decisions.
Reversing and Extending Signals
Reverse signals generated by indicators to adapt to various market conditions.
Extend signals by specifying conditions such as "RSI cross AND EMA cross WITHIN 2 bars" to capture more nuanced trading opportunities.
Backtesting and Risk Management
Evaluate the performance of your strategies by feeding the results into a backtesting engine.
The strategy risks a maximum of 10% of the account on a single trade to maintain sustainable risk levels.
Available Indicators:
EMA (Exponential Moving Average)
Helps identify the overall trend direction.
Signals:
Long Entry: When the price closes above the EMA.
Short Entry: When the price closes below the EMA.
RSI (Relative Strength Index)
Measures the speed and change of price movements.
Signals:
Long Entry: When RSI is below the oversold level (30).
Short Entry: When RSI is above the overbought level (70).
How It Works:
Long Entry: A buy signal is generated when the price closes above the EMA and the RSI is below the oversold level (30). This indicates that the price is in an upward trend and temporarily oversold, presenting a potential buying opportunity.
Short Entry: A sell signal is generated when the price closes below the EMA and the RSI is above the overbought level (70). This indicates that the price is in a downward trend and temporarily overbought, presenting a potential selling opportunity.
Close Long Position: The script closes long positions when the conditions for a short entry are met.
Close Short Position: The script closes short positions when the conditions for a long entry are met.
Parameters:
EMA Length: 20 (default)
RSI Length: 14 (default)
RSI Overbought Level: 70 (default)
RSI Oversold Level: 30 (default)
Initial Capital: 10,000 USDT (default) – Realistic starting capital for an average trader.
Commission: 0.1% (default) – Reflects typical trading commissions.
Slippage: 0.5 ticks (default) – Accounts for market conditions and potential price slippage during order execution.
Backtesting:
Trading Range: – Ensure that the dataset used covers a significant period to generate a sufficient number of trades.
Dataset Limitation: Due to TradingView Premium's limitation of backtesting only 20,000 candles, it may not be possible to generate more than 100 trades. This limitation affects the statistical relevance of the backtesting results, but the strategy has been tested to provide meaningful insights within these constraints.
Use Case:
This strategy combines the EMA and RSI to identify potential trading opportunities by detecting trend direction and overbought/oversold conditions. It is particularly effective in volatile markets where quick trend reversals are common.
How to Use:
Set the parameters according to your preference or use the default values.
Run the script on the EGLD/USDT.P pair with a 5-minute interval.
Monitor the signals and adjust your trades accordingly.
Double Vegas SuperTrend Enhanced - Strategy [presentTrading]
█ Introduction and How It Is Different
The "Double Vegas SuperTrend Enhanced" strategy is a sophisticated trading system that combines two Vegas SuperTrend Enhanced. Very Powerful!
Let's celebrate the joy of Children's Day on June 1st! Enjoyyy!
BTCUSD LS performance
The strategy aims to pinpoint market trends with greater accuracy and generate trades that align with the overall market direction.
This approach differentiates itself by integrating volatility adjustments and leveraging the Vegas Channel's width to refine the SuperTrend calculations, resulting in a dynamic and responsive trading system.
Additionally, the strategy incorporates customizable take-profit and stop-loss levels, providing traders with a robust framework for risk management.
-> check Vegas SuperTrend Enhanced - Strategy
█ Strategy, How It Works: Detailed Explanation
🔶 Vegas Channel and SuperTrend Calculations
The strategy initiates by calculating the Vegas Channel, which is derived from a simple moving average (SMA) and the standard deviation (STD) of the closing prices over a specified window length. This channel helps in measuring market volatility and forms the basis for adjusting the SuperTrend indicator.
Vegas Channel Calculation:
- vegasMovingAverage = SMA(close, vegasWindow)
- vegasChannelStdDev = STD(close, vegasWindow)
- vegasChannelUpper = vegasMovingAverage + vegasChannelStdDev
- vegasChannelLower = vegasMovingAverage - vegasChannelStdDev
SuperTrend Multiplier Adjustment:
- channelVolatilityWidth = vegasChannelUpper - vegasChannelLower
- adjustedMultiplier = superTrendMultiplierBase + volatilityAdjustmentFactor * (channelVolatilityWidth / vegasMovingAverage)
The adjusted multiplier enhances the SuperTrend's sensitivity to market volatility, making it more adaptable to changing market conditions.
BTCUSD Local picture.
🔶 Average True Range (ATR) and SuperTrend Values
The ATR is computed over a specified period to measure market volatility. Using the ATR and the adjusted multiplier, the SuperTrend upper and lower levels are determined.
ATR Calculation:
- averageTrueRange = ATR(atrPeriod)
**SuperTrend Calculation:**
- superTrendUpper = hlc3 - (adjustedMultiplier * averageTrueRange)
- superTrendLower = hlc3 + (adjustedMultiplier * averageTrueRange)
The SuperTrend levels are continuously updated based on the previous values and the current market trend direction. The market trend is determined by comparing the closing prices with the SuperTrend levels.
Trend Direction:
- If close > superTrendLowerPrev, then marketTrend = 1 (bullish)
- If close < superTrendUpperPrev, then marketTrend = -1 (bearish)
🔶 Trade Entry and Exit Conditions
The strategy generates trade signals based on the alignment of both SuperTrends. Trades are executed only when both SuperTrends indicate the same market direction.
Entry Conditions:
- Long Position: Both SuperTrends must signal a bullish trend.
- Short Position: Both SuperTrends must signal a bearish trend.
Exit Conditions:
- Positions are exited if either SuperTrend reverses its trend direction.
- Additional conditions include holding periods and configurable take-profit and stop-loss levels.
█ Trade Direction
The strategy allows traders to specify the desired trade direction through a customizable input setting. Options include:
- Long: Only enter long positions.
- Short: Only enter short positions.
- Both: Enter both long and short positions based on the market conditions.
█ Usage
To utilize the "Double Vegas SuperTrend Enhanced" strategy, traders need to configure the input settings according to their trading preferences and market conditions. The strategy includes parameters for ATR periods, Vegas Channel window lengths, SuperTrend multipliers, volatility adjustment factors, and risk management settings such as hold days, take-profit, and stop-loss percentages.
█ Default Settings
The strategy comes with default settings that can be adjusted to fit individual trading styles:
- trade Direction: Both (allows trading in both long and short directions for maximum flexibility).
- ATR Periods: 10 for SuperTrend 1 and 5 for SuperTrend 2 (shorter ATR period results in more sensitivity to recent price movements).
- Vegas Window Lengths: 100 for SuperTrend 1 and 200 for SuperTrend 2 (longer window length results in smoother moving averages and less sensitivity to short-term volatility).
- SuperTrend Multipliers: 5 for SuperTrend 1 and 7 for SuperTrend 2 (higher multipliers lead to wider SuperTrend channels, reducing the frequency of trades).
- Volatility Adjustment Factors: 5 for SuperTrend 1 and 7 for SuperTrend 2 (higher adjustment factors increase the responsiveness to changes in market volatility).
- Hold Days: 5 (defines the minimum duration a position is held, ensuring trades are not exited prematurely).
- Take Profit: 30% (sets the target profit level to lock in gains).
- Stop Loss: 20% (sets the maximum acceptable loss level to mitigate risk).
Mateo's Time of Day Analysis LEThis strategy takes a trade every day at a specified time and then closes it at a specified time.
The purpose of this strategy is to help determine if there are better times to day to buy or sell.
I was originally inspired to write this when a YouTuber stated that SPX had been up during the last 30 minutes of the day over 80% of the time the past year. No matter who says it, test it, and in my opinion, TradingView is one of the easiest placed to do that! Unfortunately, that particular claim did not turn out to be accurate, but this tool remains for those who want to optimize timing their entries and exits at specific times of day.
HilalimSB Strategy HilalimSB A Wedding Gift 🌙
What is HilalimSB🌙?
First of all, as mentioned in the title, HilalimSB is a wedding gift.
HilalimSB - Revealing the Secrets of the Trend
HilalimSB is a powerful indicator designed to help investors analyze market trends and optimize trading strategies. Designed to uncover the secrets at the heart of the trend, HilalimSB stands out with its unique features and impressive algorithm.
Hilalim Algorithm and Fixed ATR Value:
HilalimSB is equipped with a special algorithm called "Hilalim" to detect market trends. This algorithm can delve into the depths of price movements to determine the direction of the trend and provide users with the ability to predict future price movements. Additionally, HilalimSB uses its own fixed Average True Range (ATR) value. ATR is an indicator that measures price movement volatility and is often used to determine the strength of a trend. The fixed ATR value of HilalimSB has been tested over long periods and its reliability has been proven. This allows users to interpret the signals provided by the indicator more reliably.
ATR Calculation Steps
1.True Range Calculation:
+ The True Range (TR) is the greatest of the following three values:
1. Current high minus current low
2. Current high minus previous close (absolute value)
3. Current low minus previous close (absolute value)
2.Average True Range (ATR) Calculation:
-The initial ATR value is calculated as the average of the TR values over a specified period
(typically 14 periods).
-For subsequent periods, the ATR is calculated using the following formula:
ATRt=(ATRt−1×(n−1)+TRt)/n
Where:
+ ATRt is the ATR for the current period,
+ ATRt−1 is the ATR for the previous period,
+ TRt is the True Range for the current period,
+ n is the number of periods.
Pine Script to Calculate ATR with User-Defined Length and Multiplier
Here is the Pine Script code for calculating the ATR with user-defined X length and Y multiplier:
//@version=5
indicator("Custom ATR", overlay=false)
// User-defined inputs
X = input.int(14, minval=1, title="ATR Period (X)")
Y = input.float(1.0, title="ATR Multiplier (Y)")
// True Range calculation
TR1 = high - low
TR2 = math.abs(high - close )
TR3 = math.abs(low - close )
TR = math.max(TR1, math.max(TR2, TR3))
// ATR calculation
ATR = ta.rma(TR, X)
// Apply multiplier
customATR = ATR * Y
// Plot the ATR value
plot(customATR, title="Custom ATR", color=color.blue, linewidth=2)
This code can be added as a new Pine Script indicator in TradingView, allowing users to calculate and display the ATR on the chart according to their specified parameters.
HilalimSB's Distinction from Other ATR Indicators
HilalimSB emerges with its unique Average True Range (ATR) value, presenting itself to users. Equipped with a proprietary ATR algorithm, this indicator is released in a non-editable form for users. After meticulous testing across various instruments with predetermined period and multiplier values, it is made available for use.
ATR is acknowledged as a critical calculation tool in the financial sector. The ATR calculation process of HilalimSB is conducted as a result of various research efforts and concrete data-based computations. Therefore, the HilalimSB indicator is published with its proprietary ATR values, unavailable for modification.
The ATR period and multiplier values provided by HilalimSB constitute the fundamental logic of a trading strategy. This unique feature aids investors in making informed decisions.
Visual Aesthetics and Clear Charts:
HilalimSB provides a user-friendly interface with clear and impressive graphics. Trend changes are highlighted with vibrant colors and are visually easy to understand. You can choose colors based on eye comfort, allowing you to personalize your trading screen for a more enjoyable experience. While offering a flexible approach tailored to users' needs, HilalimSB also promises an aesthetic and professional experience.
Strong Signals and Buy/Sell Indicators:
After completing test operations, HilalimSB produces data at various time intervals. However, we would like to emphasize to users that based on our studies, it provides the best signals in 1-hour chart data. HilalimSB produces strong signals to identify trend reversals. Buy or sell points are clearly indicated, allowing users to develop and implement trading strategies based on these signals.
For example, let's imagine you wanted to open a position on BTC on 2023.11.02. You are aware that you need to calculate which of the buying or selling transactions would be more profitable. You need support from various indicators to open a position. Based on the analysis and calculations it has made from the data it contains, HilalimSB would have detected that the graph is more suitable for a selling position, and by producing a sell signal at the most ideal selling point at 08:00 on 2023.11.02 (UTC+3 Istanbul), it would have informed you of the direction the graph would follow, allowing you to benefit positively from a 2.56% decline.
Technology and Innovation:
HilalimSB aims to enhance the trading experience using the latest technology. With its innovative approach, it enables users to discover market opportunities and support their decisions. Thus, investors can make more informed and successful trades. Real-Time Data Analysis: HilalimSB analyzes market data in real-time and identifies updated trends instantly. This allows users to make more informed trading decisions by staying informed of the latest market developments. Continuous Update and Improvement: HilalimSB is constantly updated and improved. New features are added and existing ones are enhanced based on user feedback and market changes. Thus, HilalimSB always aims to provide the latest technology and the best user experience.
Social Order and Intrinsic Motivation:
Negative trends such as widespread illegal gambling and uncontrolled risk-taking can have adverse financial effects on society. The primary goal of HilalimSB is to counteract these negative trends by guiding and encouraging users with data-driven analysis and calculable investment systems. This allows investors to trade more consciously and safely.
What is HilalimSB Strategy🌙?
HilalimSB Strategy is a strategy that is supported by the HilalimSB algorithm created by the creator of HilalimSB and continues transactions with take profit and stop loss levels determined by users who strategically and automatically open transactions as a result of the data it receives and automatically closes transactions under necessary conditions. It is a first in the tradingview world with its unique take profit and stop loss markings. HilalimSB Strategy is open to users' initiatives and is a trading strategy developed on BTC.
What does the HilalimSB Strategy target?
The main purpose of HilalimSB Strategy is to reduce the transaction load of traders and to be integrated into various brokerage firms and operated by automatic trading bots, and it is aimed to serve this purpose. In addition to the strategies currently available in the markets, HilalimSB Strategy offers a useful infrastructure to traders with its useful interface. HilalimSB Strategy, which was decided to be published as a result of various calculations, was offered to the users with its unique visual effects after the completion of the testing procedures under market conditions.
HilalimSB Strategy and Heikin Ashi
HilalimSB Strategy produces data in Heikin Ashi chart types, but since Heikin Ashi chart types have their own calculation method, HilalimSB Strategy has been published in a way that cannot produce data in this chart type due to HilalimSB Strategy's ideology of appealing to all types of users, and any confusion that may arise is prevented in this way.
After the necessary conditions determined by the creator of HilalimSB are met, HilalimSB Heikin Ashi will be shared exclusively with invited users only, upon request, to users who request an invitation.
Differences between HilalimSB Strategy and HilalimSB
HilalimSB Strategy has been shared as a strategy and its features have been explained above. HilalimSB is a trading indicator and this is the main difference between them.We can explain it briefly this way.
Here are the differences between indicators and strategies:
1.Purpose and Use:
Indicators: Analyze market data to provide information about price movements and trends. They typically generate buy and sell signals and give traders clues about when to make trades in the market.
Strategies: These are plans for trading based on specific rules. They use signals from indicators and other market data to execute buy and sell transactions.
2.Features:
Indicators: Operate independently and are based on specific mathematical formulas. Examples include moving averages, RSI, and MACD.
Strategies: Combine one or more indicators and other market analysis tools to create a comprehensive trading plan. This plan determines entry and exit points, risk management, and trade size.
3.Scope:
Indicators: Are single analysis tools focusing on specific time frames or price movements.
Strategies: Are comprehensive trading plans that typically involve multiple trades over a certain period.
4.Decision Making:
Indicators: Provide information to traders and help in the decision-making process.
Strategies: Are direct decision-making mechanisms that execute trades automatically according to predetermined rules.
5.Automation:
Indicators: Are mostly interpreted manually and used based on the trader’s discretion.
Strategies: Can be used in automated trading systems and execute trades automatically according to the set rules.
The shared image is a 1-hour chart of BTCUSDC.P determined by the user as 1 percent take profit and 1 percent stop loss. And transactions were opened on Binance with the commission rate determined as 0.017 for the USDC trading pair.
HilalimSB Strategy, which presents users with completely concrete data, has proven itself in testing processes and is a project of SB that aims to reach all user profiles.🌙
market slayerInput Parameters:
Various input parameters allow customization of the strategy, including options to show trend confirmation, specify trend timeframes and values, set SMA lengths, enable take profit and stop loss, and define their respective values.
Calculations:
Simple Moving Averages (SMAs) are calculated based on the specified lengths.
Buy and sell signals are generated based on the crossover and crossunder of the short and long SMAs.
Confirmation Bars:
Functions are defined to determine bullish or bearish confirmation bars based on certain conditions.
These confirmation bars are used to confirm trend direction and generate additional signals.
Plotting:
SMAs are plotted on the chart.
Trend labels and signal markers are plotted based on the calculated conditions.
Trade Signals:
Buy and sell conditions are defined based on the crossover/crossunder of SMAs and confirmation of trend direction.
Strategy entries and exits are executed accordingly.
Take Profit and Stop Loss:
Optional take profit and stop loss functionality is included.
Trades are automatically closed when profit or loss thresholds are reached.
Closing Trades:
Trades are also closed based on changes in trend confirmation bars to ensure alignment with the overall market direction.
Alerts:
Alert conditions are defined for opening and closing trades, providing notifications when certain conditions are met.
Overall, this script aims to provide a systematic approach to trading by combining moving average crossovers with trend confirmation bars, along with options for risk management through take profit and stop loss orders. Users can customize various parameters to adapt the strategy to different market conditions and trading preferences.
The script uses the request.security() function with the lookahead parameter set to barmerge.lookahead_on to access data from a higher timeframe within the Pine Script on TradingView. Let's break down why it's used:
Higher Timeframe Analysis:
By default, Pine Script operates on the timeframe of the chart it's applied to. However, in trading strategies, it's common to incorporate signals or data from higher timeframes to confirm or validate signals generated on lower timeframes. This helps traders to align their trades with the broader market trend.
Trend Confirmation:
In this script, the confirmationTrendTimeframe parameter allows users to specify a higher timeframe for trend confirmation. The request.security() function fetches the data from this higher timeframe and applies the defined conditions to confirm the trend direction.
Lookahead Behavior:
The lookahead parameter set to barmerge.lookahead_on ensures that the script considers the most up-to-date information available on the higher timeframe when making trading decisions on the lower timeframe. This prevents the script from lagging behind or using outdated data, enhancing the accuracy of trend confirmation.
Usage in confirmationTrendBullish and confirmationTrendBearish:
These variables are assigned the values returned by the request.security() function, which represents the bullish or bearish trend confirmation based on the conditions applied to the data from the higher timeframe.
Entry Fragger - Strategy
For basic instructions please visit my other script "Entry Fragger".
The Signal Logic is explained there.
v1.4:
- Added advanced backtesting with fully customizable entries.
- Fully automated Buy Signals (profitable).
- Adjustable timeframes for signal logic. (requested)
Every setting affects the accuracy and profitability greatly now, based on settings applied.
The strategy performs best on high timeframes with larger capital and no leverage.
Useless for Forex, but absolutely smashes stocks and crypto on mid to high timeframes.
Please read through my other scripts description.
Set values as preferred and try your assets.
It does NOT work on low timeframes and forex!
Hint: BTC 4H, Custom Timeframe 1h, Moon Mode and Show Sell Signals enabled, R2R: 2.
KumoTrade Ichimoku StrategyThe KumoTrade Ichimoku Strategy is an advanced trading strategy designed to help users identify market trends and potential trading opportunities using the Ichimoku Kinko Hyo technical analysis indicator. This strategy leverages the Ichimoku cloud (Kumo) along with other crucial indicators such as the Tenkan-sen and Kijun-sen lines to generate strong signals.
Main Components of the Strategy:
Tenkan-sen (Conversion Line): Indicates the short-term direction of the price, typically calculated as the average of the highest high and the lowest low over the past 9 periods.
Kijun-sen (Base Line): Indicates the medium-term direction of the price, usually calculated as the average of the highest high and the lowest low over the past 26 periods.
Senkou Span A and Senkou Span B: These two lines form the cloud (Kumo), which projects future support and resistance levels.
Chikou Span (Lagging Span): Plots the current closing price 26 periods back to measure the market's momentum.
Strategy Rules:
Bullish Bias (Bias Bull): Indicates that the prices are in a long-term uptrend. In this strategy, this is confirmed if the low prices are above the daily EMA (Exponential Moving Average).
Kijun Sen Touch Down: Occurs when prices cross below the Kijun-sen line and then close back above it, indicating a potential bullish reversal.
Tenkan-Kijun Cross Up: A bullish signal generated when the Tenkan-sen line crosses above the Kijun-sen line.
Close Over Tenkan and Kijun: A strong bullish signal when the close price crosses above both the Tenkan-sen and Kijun-sen lines.
Trading Setups:
Long Setup: Generated when the Kijun-sen is above the highest point of the Kumo (senkou_max) and the closing price is below the lowest point of the Kumo (senkou_min). This setup is checked over the last 21 bars.
Short Setup: Generated when the Kijun-sen is below the lowest point of the Kumo (senkou_min) and the closing price is above the highest point of the Kumo (senkou_max). This setup is also checked over the last 21 bars. (Not avalible yet)
Entry Conditions:
Ultra Long Entry: This condition checks for a bullish bias, the Tenkan-Kijun cross up or Kijun Sen touch down, high volume, and that the price is not within the Kumo cloud.
Main Long Entry: This condition requires the closing price to be above the Kumo cloud, a green Kumo cloud, a bullish bias, the Tenkan rule, and that the price is not within the Kumo cloud.
Exit Conditions:
A trailing stop loss is implemented to protect profits. The stop loss level is dynamically updated based on the highest high of the last 5 bars minus three times the ATR (Average True Range) value.
Visuals on the Chart:
The Tenkan-sen and Kijun-sen lines are plotted for visual reference.
The Kumo cloud is displayed with different colors indicating bullish (green) or bearish (red) conditions.
Entry points are marked on the chart, and the trailing stop loss levels are plotted as well.
The KumoTrade Ichimoku Strategy aims to provide a comprehensive approach to trading by combining multiple aspects of the Ichimoku indicator to generate reliable trading signals and manage risk effectively.
Korneev Reverse RSIRethinking the Legendary Relative Strength Index by John Welles Wilder
The essence of the new approach lies in the reverse use of the so-called "overbought" and "oversold" zones. In his 1978 book, "New Concepts in Technical Trading Systems," where the RSI mechanism was thoroughly described, Wilder writes that one way to use the oscillator is to open a long position when the RSI drops into oversold territory (below 30) and to open a short position when the RSI rises to overbought levels (above 70). However, backtesting this strategy with such inputs yields rather mediocre results.
Based on the calculation formula, the RSI calculates the rate of price change over a certain period. Therefore, overbought and oversold zones will have relative significance (relative to the set calculation period). It is no coincidence that the word "relative" was added to the name of the oscillator. It is worth accepting as an axiom the assertion that the price of an asset is fair at every moment in time.
Essentially, the RSI calculates the strength of a trend. If the oscillator value is above 70, it is highly likely that an upward movement is occurring in the market. Therefore, in the current strategy, a long position is opened precisely at the moment of greatest buyer strength (when RSI > 80), i.e., in the direction of the trend, since counter-trend trading with the RSI has proven to be ineffective. The position is closed after the buyers lose their advantage and the RSI drops to 40.
The strategy is recommended to be used only with long positions, as short positions show negative results. The strategy uses a moving average for the RSI with a period of 14 to smooth the oscillator data.
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Переосмысление легендарного осциллятора Relative strength index Джона Уэллса Уайлдера
Суть нового подхода заключается в реверсивном использовании так называемых зон "перекупленности" и "перепроданности". В своей книге от 1978 года "New concepts in tecnical trading systems", в которой был подробно описан механизм работы RSI, Уайлдер пишет, что один из способов использования осциллятора - открытие длинной позиции при снижении RSI в перепроданность (ниже 30) и открытие короткой позиции при повышении RSI до перекупленности (выше 70). Однако бэктест стратегии с такими вводными дает весьма посредственные результаты.
Исходя из формулы расчета, RSI рассчитывает скорость изменения цены за определенный период. Поэтому зоны перекупленности и перепроданности будут иметь относительное значение (относительно установленного периода расчета). Не зря ведь в названии осциллятора было добавлено слово "относительной". Стоит принять за аксиому утверждение, что цена актива справедлива в каждый момент времени.
По сути, RSI рассчитывает силу тренда. Если значение осциллятора выше 70, то на рынке с высокой долей вероятности происходит восходящее движение. Поэтому в текущей стратегии открытие лонга происходит именно в момент наибольшей силы покупателей (когда RSI > 80), то есть в сторону тренда, поскольку контртрендовая торговля по RSI показала свою несостоятельность. Закрытие позиции происходит после того, как покупатели теряют преимущество и RSI снижается до 40.
Стратегию рекомендуется использовать только с длинными позициями, поскольку короткие позиции показывают отрицательный результат. В стратегии используется скользящая средняя для RSI с периодом 14 для сглаживания данных осциллятора.
Wunder False Breakout1. The basic concept for this strategy is to use false breakout logic based on price levels.
2. We will enter a trade when the price exhibits a false breakout, where it initially breaks a level but then reverses direction.
3. The main concept of this strategy is to capitalize on false breakouts of price levels. The strategy involves building levels based on the highs and lows over a certain period. When these price levels appear to break out but then reverse, we use these false breakouts as entry points. You can adjust the period to find setups that suit your trading pair and timeframe.
4. A function for calculating risk on the portfolio (your deposit) has been added to the Wunder False Breakout. When this option is enabled, you get a calculation of the entry amount in dollars relative to your Stop Loss. In the settings, you can select the risk percentage on your portfolio. The loss will be calculated from the amount that will be displayed on the chart.
5. For example, if your deposit is $1000 and you set the risk to 1%, with a Stop Loss of 5%, the entry volume will be $200. The loss at SL will be $10. 10$, which is your 1% risk or 1% of the deposit.
Important! The risk per trade must be less than the Stop Loss value. If the risk is greater than SL, then you should use leverage.
The amount of funds entering the trade is calculated in dollars. This option was created if you want to send the dollar amount from Tradingview to the exchange. However, putting your volume in dollars you get the incorrect net profit and drawdown indication in the backtest results, as TradingView calculates the backtest volume in contracts.
To display the correct net profit and drawdown values in Tradingview Backtest results, use the ”Volume in contract” option.
trend_switch
█ Description
Asset price data was time series data, commonly consisting of trends, seasonality, and noise. Many applicable indicators help traders to determine between trend or momentum to make a better trading decision based on their preferences. In some cases, there is little to no clear market direction, and price range. It feels much more appropriate to use a shorter trend identifier, until clearly defined market trend. The indicator/strategy developed with the notion aims to automatically switch between shorter and longer trend following indicator. There were many methods that can be applied and switched between, however in this indicator/strategy will be limited to the use of predictive moving average and MESA adaptive moving average (Ehlers), by first determining if there is a strong trend identified by calculating the slope, if slope value is between upper and lower threshold assumed there is not much price direction.
█ Formula
// predictive moving average
predict = (2*wma1-wma2)
trigger = (4*predict+3*predict +2*predict *predict)
// MESA adaptive moving average
mama = alpha*src+(1-alpha)*mama
fama = .5*alpha*mama+(1-.5-alpha)*fama
█ Feature
The indicator will have a specified default parameter of:
source = ohlc4
lookback period = 10
threshold = 10
fast limit = 0.5
slow limit = 0.05
Strategy type can be switched between Long/Short only and Long-Short strategy
Strategy backtest period
█ How it works
If slope between the upper (red) and lower (green) threshold line, assume there is little to no clear market direction, thus signal predictive moving average indicator
If slope is above the upper (red) or below the lower (green) threshold line, assume there is a clear trend forming, the signal generated from the MESA adaptive moving average indicator
█ Example 1 - Slope fall between the Threshold - activate shorter trend
█ Example 2 - Slope fall above/below Threshold - activate longer trend
Triple EMA + QQE Trend Following Strategy [TradeDots]The "Triple EMA + QQE Trend Following Strategy" harnesses the power of two sophisticated technical indicators, the Triple Exponential Moving Average (TEMA) and the Qualitative Quantitative Estimation (QQE), to generate precise buy and sell signals. This strategy excels in capturing shifts in trends by identifying short-term price momentum and dynamic overbought or oversold conditions.
HOW IT WORKS
This strategy integrates two pivotal indicators:
Triple Exponential Moving Average (TEMA): TEMA enhances traditional moving averages by reducing lag and smoothing the data more effectively. It achieves this by applying the EMA formula three times onto the price, as follows:
tema(src, length) =>
ema1 = ta.ema(src, length)
ema2 = ta.ema(ema1, length)
ema3 = ta.ema(ema2, length)
tema = 3*ema1 - 3*ema2 + ema3
This computation helps to sharpen the sensitivity to price movements.
Qualitative Quantitative Estimation (QQE): The QQE indicator improves upon the standard RSI by incorporating a smoothing mechanism. It starts with the standard RSI, overlays a 5-period EMA on this RSI, and then enhances the result using a double application of a 27-period EMA. A slow trailing line is then derived by multiplying the result with a factor number. This approach establishes a more refined and less jittery trend-following signal, complementing the TEMA to enhance overall market timing during fluctuating conditions.
APPLICATION
Referenced from insights on "Trading Tact," the strategy implementation follows:
First of all, we utilize two TEMA lines: one set at a 20-period and the other at a 40-period. Then following the rules below:
40-period TEMA is rising
20-period TEMA is above 40-period TEMA
Price closes above 20-period TEMA
Today is not Monday
RSI MA crosses the Slow trailing line
This strategy does not employ an active take profit mechanism; instead, it utilizes a trailing stop loss to allow the price to reach the stop loss naturally, thereby maximizing potential profit margins.
DEFAULT SETUP
Commission: 0.01%
Initial Capital: $10,000
Equity per Trade: 80%
Users are advised to adjust and personalize this trading strategy to better match their individual trading preferences and style.
RISK DISCLAIMER
Trading entails substantial risk, and most day traders incur losses. All content, tools, scripts, articles, and education provided by TradeDots serve purely informational and educational purposes. Past performances are not definitive predictors of future results.
Reference:
Trading Tact. What Is the QQE Indicator? Retrieved from: tradingtact.com
Kaufman Adaptive Moving Average (KAMA) Strategy [TradeDots]"The Kaufman Adaptive Moving Average (KAMA) Strategy" is a trend-following system that leverages the adaptive qualities of the Kaufman Adaptive Moving Average (KAMA). This strategy is distinguished by its ability to adjust dynamically to market volatility, enhancing trading accuracy by minimizing the effects of false and delayed signals often associated with the Simple Moving Average (SMA).
HOW IT WORKS
This strategy is centered around use of the Kaufman Adaptive Moving Average (KAMA) indicator, which refines the principles of the Exponential Moving Average (EMA) with a superior smoothing technique.
KAMA distinguishes itself by its responsiveness to changes in market prices through an "Efficiency Ratio (ER)." This ratio is computed by dividing the recent absolute net price change by the cumulative sum of the absolute price changes over a specified period. The resulting ER value ranges between 0 and 1, where 0 indicates high market noise and 1 reflects stronger market momentum.
Using ER, we could get the smoothing constant (SC) for the moving average derived using the following formula:
fastest = 2/(fastma_length + 1)
slowest = 2/(slowma_length + 1)
SC = math.pow((ER * (fastest-slowest) + slowest), 2)
The KAMA line is then calculated by applying the SC to the difference between the current price and the previous KAMA.
APPLICATION
For entering long positions, this strategy initializes when there is a sequence of 10 consecutive rising KAMA lines. Conversely, a sequence of 10 consecutive falling KAMA lines triggers sell orders for long positions. The same logic applies inversely for short positions.
DEFAULT SETUP
Commission: 0.01%
Initial Capital: $10,000
Equity per Trade: 80%
Users are advised to adjust and personalize this trading strategy to better match their individual trading preferences and style.
RISK DISCLAIMER
Trading entails substantial risk, and most day traders incur losses. All content, tools, scripts, articles, and education provided by TradeDots serve purely informational and educational purposes. Past performances are not definitive predictors of future results.
Multi-Timeframe Trend Following with 200 EMA Filter - Longs OnlyOverview
This strategy is designed to trade long positions based on multiple timeframe Exponential Moving Averages (EMAs) and a 200 EMA filter. The strategy ensures that trades are only entered in strong uptrends and aims to capitalize on sustained upward movements while minimizing risk with a defined stop-loss and take-profit mechanism.
Key Components
Initial Capital and Position Sizing
Initial Capital: $1000.
Lot Size: 1 unit per trade.
Inputs
Fast EMA Length (fast_length): The period for the fast EMA.
Slow EMA Length (slow_length): The period for the slow EMA.
200 EMA Length (filter_length_200): Set to 200 periods for the primary trend filter.
Stop Loss Percentage (stop_loss_perc): Set to 1% of the entry price.
Take Profit Percentage (take_profit_perc): Set to 3% of the entry price.
Timeframes and EMAs
EMAs are calculated for the following timeframes using the request.security function:
5-minute: Short-term trend detection.
15-minute: Intermediate-term trend detection.
30-minute: Long-term trend detection.
The strategy also calculates a 200-period EMA on the 5-minute timeframe to serve as a primary trend filter.
Trend Calculation
The strategy determines the trend for each timeframe by comparing the fast and slow EMAs:
If the fast EMA is above the slow EMA, the trend is considered positive (1).
If the fast EMA is below the slow EMA, the trend is considered negative (-1).
Combined Trend Signal
The combined trend signal is derived by summing the individual trends from the 5-minute, 15-minute, and 30-minute timeframes.
A combined trend value of 3 indicates a strong uptrend across all timeframes.
Any combined trend value less than 3 indicates a weakening or negative trend.
Entry and Exit Conditions
Entry Condition:
A long position is entered if:
The combined trend signal is 3 (indicating a strong uptrend across all timeframes).
The current close price is above the 200 EMA on the 5-minute timeframe.
Exit Condition:
The long position is exited if:
The combined trend signal is less than 3 (indicating a weakening trend).
The current close price falls below the 200 EMA on the 5-minute timeframe.
Stop Loss and Take Profit
Stop Loss: Set at 1% below the entry price.
Take Profit: Set at 3% above the entry price.
These levels are automatically set when entering a trade using the strategy.entry function with stop and limit parameters.
Plotting
The strategy plots the fast and slow EMAs for the 5-minute timeframe and the 200 EMA for visual reference on the chart:
Fast EMA (5-min): Plotted in blue.
Slow EMA (5-min): Plotted in red.
200 EMA (5-min): Plotted in green.
Adaptive RSI StrategyThe Adaptive RSI Strategy is designed to give you an edge by adapting to changing market conditions more effectively than the traditional RSI. By adjusting dynamically to recent price movements, this strategy aims to provide more timely and accurate trade signals.
How Does It Work?
You can set the number of periods for the RSI calculation. The default is 14, but feel free to experiment with different lengths to suit your trading style.
Choose the price data to base the RSI on, typically the closing price.
Decide if you want the strategy to visually highlight upward and downward movements of the Adaptive RSI (ARSI) on the chart. This can help you quickly spot trends.
Adaptive Calculation:
Alpha: The strategy uses an adaptive factor called alpha, which changes based on recent RSI values. This makes the RSI more sensitive to recent market conditions.
Adaptive RSI (ARSI): This is the core of our strategy. It calculates the ARSI using the adaptive alpha, making it more responsive to price changes compared to the traditional RSI.
Trade Signals:
Long Entry (Buy Signal): The strategy triggers a buy signal when the ARSI value crosses above its previous value. This indicates a potential upward trend, suggesting it's a good time to enter a long position.
Short Entry (Sell Signal): Conversely, a sell signal is triggered when the ARSI value crosses below its previous value, indicating a potential downward trend and suggesting it's a good time to enter a short position.
Visual Representation:
If you enable the highlight movements feature, the ARSI line on the chart will change color: green for upward movements and red for downward movements. This makes it easier to see potential trade opportunities at a glance.
Why Use the Adaptive RSI Strategy?
Responsiveness: The adaptive nature of this strategy means it's more sensitive to market changes, helping you react quicker to new trends.
Customization: You can tailor the length of the RSI period and decide whether to highlight movements, allowing you to adapt the strategy to your specific needs and preferences.
Visual Clarity: Highlighting the ARSI movements on the chart makes it easier to spot trends and potential entry points, giving you a clearer picture of the market.
Golden Cross VWMA & EMA 4h PinescriptlabsThis strategy combines the 50-period Volume-Weighted Moving Average (VWMA) on the current timeframe with a 200-period Simple Moving Average (SMA) on the 4-hour timeframe. This combination of indicators with different characteristics and time horizons aims to identify strong and sustained trends across multiple timeframes.
The VWMA is a variant of the moving average that assigns greater weight to periods of higher volatility, helping to avoid misleading signals. On the other hand, the 4-hour SMA is used as an additional trend filter in a shorter-term horizon. By combining these two indicators, the strategy can leverage the strength of the VWMA to capture the main trend, but only when confirmed by the SMA in the lower timeframe.
Buy signals are generated when the VWMA crosses above the 4-hour SMA, indicating a potential bullish trend aligned in both timeframes. Sell signals occur on a bearish cross, suggesting a possible reversal of the main trend.
The default parameters are a 50-period VWMA and a 200-period 4-hour SMA. It is recommended to adjust these lengths according to the traded instrument and the desired timeframe. It is also crucial to use stop losses and profit targets to properly manage risk.
By combining indicators of different types and timeframes, this strategy aims to provide a more comprehensive view of trend strength.
Español:
Esta estrategia combina la Volume-Weighted Moving Average (VWMA) de 50 períodos en el timeframe actual con una Simple Moving Average (SMA) de 200 períodos en el timeframe de 4 horas. Esta combinación de indicadores de distinta naturaleza y horizontes temporales busca identificar tendencias fuertes y sostenidas en múltiples timeframes.
La VWMA es una variante de la media móvil que asigna mayor ponderación a los períodos de mayor volatilidad, lo que ayuda a evitar señales engañosas. Por otro lado, la SMA de 4 horas se utiliza como un filtro adicional de tendencia en un horizonte de corto plazo. Al combinar estos dos indicadores, la estrategia puede aprovechar la fortaleza de la VWMA para capturar la tendencia principal, pero sólo cuando es confirmada por la SMA en el timeframe menor.
Las señales de compra se generan cuando la VWMA cruza al alza la SMA de 4 horas, indicando una potencial tendencia alcista alineada en ambos horizontes temporales. Las señales de venta ocurren en el cruce bajista, sugiriendo una posible reversión de la tendencia principal.
Los parámetros predeterminados son: VWMA de 50 períodos y SMA de 4 horas de 200 períodos. Se recomienda ajustar estas longitudes según el instrumento operado y el horizonte temporal deseado. También es crucial utilizar stops y objetivos de ganancias para controlar adecuadamente el riesgo.
Al combinar indicadores de diferentes tipos y timeframes, esta estrategia busca brindar una visión más completa de la fuerza de la tendencia.
Trend Following Parabolic Buy Sell Strategy [TradeDots]The Trend Following Parabolic Buy-Sell Strategy leverages the Parabolic SAR in combination with moving average crossovers to deliver buy and sell signals within a trend-following framework.
This strategy synthesizes proven methodologies sourced from various trading tutorials available on platforms such as YouTube and blogs, enabling traders to conduct robust backtesting on their selected trading pairs to assess the strategy's effectiveness.
HOW IT WORKS
This strategy employs four key indicators to orchestrate its trading signals:
1. Trend Alignment: It first assesses the relationship between the price and the predominant trendline to determine the directional stance—taking long positions only when the price trends above the moving average, signaling an upward market trajectory.
2. Momentum Confirmation: Subsequent to trend alignment, the strategy looks for moving average crossovers as a confirmation that the price is gaining momentum in the direction of the intended trades.
3. Signal Finalization: Finally, buy or sell signals are validated using the Parabolic SAR indicator. A long order is validated when the closing price is above the Parabolic SAR dots, and similarly, conditions are reversed for short orders.
4. Risk Management: The strategy institutes a fixed stop-loss at the moving average trendline and a take-profit level determinable by a prefixed risk-reward ratio calculated from the moving average trendline. These parameters are customizable by the users within the strategy settings.
APPLICATION
Designed for assets exhibiting pronounced directional momentum, this strategy aims to capitalize on clear trend movements conducive to achieving set take-profit targets.
As a lagging strategy that waits for multiple confirmatory signals, entry into trades might occasionally lag beyond optimal timing.
Furthermore, in periods of consolidation or sideways movement, the strategy may generate several false signals, suggesting the potential need for additional market condition filters to enhance signal accuracy during volatile phases.
DEFAULT SETUP
Commission: 0.01%
Initial Capital: $10,000
Equity per Trade: 70%
Users are advised to adjust and personalize this trading strategy to better match their individual trading preferences and style.
RISK DISCLAIMER
Trading entails substantial risk, and most day traders incur losses. All content, tools, scripts, articles, and education provided by TradeDots serve purely informational and educational purposes. Past performances are not definitive predictors of future results.
IsAlgo - AI Trend Strategy► Overview:
The AI Trend Strategy employs a combination of technical indicators to guide trading decisions across various markets and timeframes. It uses a custom Super Trend indicator and an Exponential Moving Average (EMA) to analyze market trends and executes trades based on specific candlestick patterns. This strategy includes options for setting stop losses, take profit levels, and features an alert system for trade notifications.
► Description:
This strategy focuses on identifying the optimal "entry candle," which signals either a potential correction within the ongoing trend or the emergence of a new trend. The entry criteria for this candle are highly customizable, allowing traders to specify dimensions such as the candle's minimum and maximum size and body ratio. Additional settings include whether this candle should be the highest or lowest compared to recent candles and if a confirmation candle is necessary to validate the entry.
The Super Trend indicator is central to the strategy’s operation, dictating the direction of trades by identifying bullish or bearish trends. Traders have the option to configure trades to align with the direction of the trend identified by this indicator, or alternatively, to take positions counter to the trend for potential reversal strategies. This flexibility can be crucial during varying market conditions.
Additionally, the strategy incorporates an EMA alongside the Super Trend indicator to further analyze trend directions. This combined approach aims to reduce the occurrence of false signals and improve the strategy's overall trend analysis.
The learning algorithm is a standout feature of the AI Trend Strategy. After accumulating data from a predefined number of trades (e.g., after the first 100 trades), the algorithm begins to analyze past performances to identify patterns in wins and losses. It considers variables such as the distance from the current price to the trend line, the range between the highest and lowest prices during the trend, and the duration of the trend. This data informs the algorithm's predictions for future trades, aiming to improve accuracy and reduce losses by adapting to the evolving market conditions.
► Examples of Trade Execution:
1. In an Uptrend: The strategy might detect a suitable entry candle during a correction phase, which aligns with the continuing uptrend for a potential long trade.
2. In a Downtrend: Alternatively, the strategy might identify an entry candle at the end of a downtrend, suggesting a potential reversal or correction where a long trade could be initiated.
3. In an Uptrend: The strategy may also spot an entry candle at the end of an uptrend and execute a short trade, anticipating a reversal or significant pullback.
4. In a Downtrend: The strategy might find a suitable entry candle during a correction phase, indicating a continuation of the downtrend for a potential short trade.
These examples illustrate how the strategy identifies potential trading opportunities based on trend behavior and candlestick patterns.
► Features and Settings:
⚙︎ Trend: Utilizes a custom Super Trend indicator to identify the direction of the market trend. Users can configure the strategy to execute trades in alignment with this trend, take positions contrary to the trend, or completely ignore the trend information for their trading decisions.
⚙︎ Moving average: Employs an Exponential Moving Average (EMA) to further confirm the trend direction indicated by the Super Trend indicator. This setting can be used in conjunction with the Super Trend or disabled if preferred.
⚙︎ Entry candle: Defines the criteria for the candle that triggers a trade. Users can customize aspects such as the candle's size, body, and its relative position to previous candles to ensure it meets specific trading requirements before initiating a trade.
⚙︎ Learning algorithm: This component uses historical trade data to refine the strategy. It assesses various aspects of past trades, such as price trends and market conditions, to make more informed trading decisions in the future.
⚙︎ Trading session: Users can define specific trading hours during which the strategy should operate, allowing trades to be executed only during preferred market periods.
⚙︎ Trading days: This option enables users to specify which days the strategy should be active, providing the flexibility to avoid trading on certain days of the week if desired.
⚙︎ Backtesting: Enables a period during which the strategy can be tested over a selected start and end date, with an option to deactivate this feature if not needed.
⚙︎ Trades: Detailed configuration options include the direction of trades (long, short, or both), position sizing (fixed or percentage-based), the maximum number of open trades, and limitations on the number of trades per day or based on trend changes.
⚙︎ Trades Exit: Offers various strategies for exiting trades, such as setting limits on profits or losses, specifying the duration a trade should remain open, or closing trades based on trend reversal signals.
⚙︎ Stop loss: Various methods for setting stop losses are available, including fixed pips, based on Average True Range (ATR), or utilizing the highest or lowest price points within a designated number of previous candles. Another option allows for closing the trade after a specific number of candles moving in the opposite direction.
⚙︎ Break even: This feature adjusts the stop loss to a break-even point under certain conditions, such as reaching predefined profit levels, to protect gains.
⚙︎ Trailing stop: The trailing stop feature adjusts the stop loss as the trade moves into profit, aiming to secure gains while potentially capturing further upside.
⚙︎ Take profit: Up to three take profit levels can be established using various methods, such as a fixed amount of pips, risk-to-reward ratios based on the stop loss, ATR, or after a set number of candles that move in the direction of the trade.
⚙︎ Alerts: Includes a comprehensive alert system that informs the user of all significant actions taken by the strategy, such as trade openings and closings. It supports placeholders for dynamic values like take profit levels, stop loss prices, and more.
⚙︎ Dashboard: Provides a visual display of detailed information about ongoing and past trades on the chart, helping users monitor the strategy’s performance and make informed decisions.
► Backtesting Details:
Timeframe: 15-minute BTCUSD chart.
Initial Balance: $10,000.
Order Size: 4% of equity per trade.
Commission: 0.01%.
Slippage: 5 ticks.
Risk Management: Strategic stop loss settings are applied based on the most extreme price points within the last 18 candles.
TASC 2024.06 REIT ETF Trading System█ OVERVIEW
This strategy script demonstrates the application of the Real Estate Investment Trust (REIT) ETF trading system presented in the article by Markos Katsanos titled "Is The Price REIT?" from TASC's June 2024 edition of Traders' Tips .
█ CONCEPTS
REIT stocks and ETFs offer a simplified, diversified approach to real estate investment. They exhibit sensitivity to interest rates, often moving inversely to interest rate and treasury yield changes. Markos Katsanos explores this relationship and the correlation of prices with the broader market to develop a trading strategy for REIT ETFs.
The script employs Bollinger Bands and Donchian channel indicators to identify oversold conditions and trends in REIT ETFs. It incorporates the 10-year treasury yield index (TNX) as a proxy for interest rates and the S&P 500 ETF (SPY) as a benchmark for the overall market. The system filters trade entries based on their behavior and correlation with the REIT ETF price.
█ CALCULATIONS
The strategy initiates long entries (buy signals) under two conditions:
1. Oversold condition
The weekly ETF low price dips below the 15-week Bollinger Band bottom, the closing price is above the value by at least 0.2 * ATR ( Average True Range ), and the price exceeds the week's median.
Either of the following:
– The TNX index is down over 15% from its 25-week high, and its correlation with the ETF price is less than 0.3.
– The yield is below 2%.
2. Uptrend
The weekly ETF price crosses above the previous week's 30-week Donchian channel high.
The SPY ETF is above its 20-week moving average.
Either of the following:
– Over ten weeks have passed since the TNX index was at its 30-week high.
– The correlation between the TNX value and the ETF price exceeds 0.3.
– The yield is below 2%.
The strategy also includes three exit (sell) rules:
1. Trailing (Chandelier) stop
The weekly close drops below the highest close over the last five weeks by over 1.5 * ATR.
The TNX value rises over the latest 25 weeks, with a yield exceeding 4%, or its value surges over 15% above the 25-week low.
2. Stop-loss
The ETF's price declines by at least 8% of the previous week's close and falls below the 30-week moving average.
The SPY price is down by at least 8%, or its correlation with the ETF's price is negative.
3. Overbought condition
The ETF's value rises above the 100-week low by over 50%.
The ETF's price falls over 1.5 * ATR below the 3-week high.
The ETF's 10-week Stochastic indicator exceeds 90 within the last three weeks.
█ DISCLAIMER
This strategy script educates users on the system outlined by the TASC article. However, note that its default properties might not fully represent real-world trading conditions for an individual. By default, it uses 10% of equity as the order size and a slippage amount of 5 ticks. Traders should adjust these settings and the commission amount when using this script. Additionally, since this strategy utilizes compound conditions on weekly data to trigger orders, it will generate significantly fewer trades than other, higher-frequency strategies.
