Gap Trend Lines by @eyemaginativeSummary:
The "Gap Trend Lines" script is designed to identify and visualize gaps between the close of one candle and the opening of the next on a TradingView chart. It draws extended trend lines to visually connect these gaps, helping traders to identify significant price movements between consecutive candles.
Functionality:
Indicator Setup:
The script is set as an overlay indicator on the main chart.
It includes settings for maximum line and label counts, ensuring efficient performance.
Parameter Customization:
Gap Threshold: Defines the minimum gap size considered significant.
Line Colors: Allows customization of colors for small and large gaps.
Line Thickness and Style: Provides options to adjust the thickness and style (solid, dotted, dashed) of the trend lines.
Drawing Extended Trend Lines:
For each bar (candlestick) on the chart, the script checks if there is a gap between the previous candle's close and the current candle's open.
If a gap is detected (i.e., close != open), it determines the size of the gap.
Depending on the size relative to the defined threshold, it selects the appropriate color (small or large gap).
It then draws an extended trend line that starts from the close of the previous candle (bar_index , close ) and extends to the open of the current candle (bar_index, open).
The trend line is drawn with the specified thickness, color, and style.
Dynamic Line Attribute Changes:
The script includes a function (changeLineAttributes()) that periodically changes the color and style of the trend lines.
By default, it changes the color every 4 hours (adjustable), alternating between green and the original color.
Enhanced Functionality:
Handles both small and large gaps with different visual cues (colors).
Supports extended trend lines that span both past and future directions (extend=extend.both), ensuring visibility across the entire chart.
Usage:
Traders can use the "Gap Trend Lines" script to:
Identify and analyze gaps between candlesticks.
Visualize significant price movements or breaks in continuity.
Customize the appearance of trend lines for better clarity and analysis.
By utilizing this script, traders can gain insights into price gap dynamics directly on TradingView charts, aiding in decision-making and strategy development.
Wyszukaj w skryptach "chart"
TASC 2024.07 Gaps and Extreme Closes█ OVERVIEW
This script, inspired by Perry Kaufman's article "Trading Opening Gaps and Extreme Closes in Stocks" from the TASC's July 2024 edition of Traders' Tips , provides analytical insights into stock price behaviors following significant price moves. The information about the frequency, pullbacks, and closing patterns of these extreme price movements can aid in developing more effective trading strategies by understanding what to expect during volatile market conditions.
█ CONCEPTS
Perry Kaufman's article investigates the behavior of stock prices following substantial opening gaps and extreme closing moves to identify patterns and expectations that traders can utilize to make informed decisions. The motivation behind the article is to offer traders a more scientific approach to understanding price movements during volatile market conditions, particularly during earnings season or significant economic events. Kaufman's analysis reveals that stock prices have a history of exhibiting certain behaviors after substantial price gaps and extreme closes. This script follows Perry Kaufman's study and helps provide insight into how prices often behave after significant price changes. This analysis can help traders establish price movement expectations and potential strategies for trading such occurrences.
█ CALCULATIONS
Input Parameters:
This script offers users the choice to analyze "Opening Gaps" or "Extreme Closes" for price movements of different predefined magnitudes in a specified direction ("Upward" or "Downward").
Outputs:
Based on the specified inputs, the script performs the following calculations for the active ticker displayed on the chart:
Frequency of Extreme Price Movements : Quantifies the occurrences of directional price movements within predefined percentage ranges.
Average Pullbacks : Computes the average retracement (pullback) from analyzed price movements within each percentage range.
Average Closes : Analyzes the typical closing behavior relative to the directional price movements within each range.
The script organizes the results from these calculations within the table on a separate chart pane, providing users with helpful insights into how a stock historically behaved following significant price movements.
Three Thumbs IndicatorChecks following on daily chart:
current close above previous year close
5th close above previous year close
current close above SMA200
Volumetric Fair Value Gaps [AlgoAlpha]🎯 Introducing the Volumetric Fair Value Gaps by AlgoAlpha 🎯
Embrace the power of volume and price action with the Volumetric Fair Value Gaps (VFVG) indicator, designed meticulously by AlgoAlpha. This innovative tool enhances your charting capabilities by highlighting fair value gaps in real-time, facilitating superior market entry and exit decisions. 🚀📈
🔍 Key Features:
🔹 Fair Value Gap Detection: Utilizes price action and volume to identify significant fair value gaps, offering potential high-probability trading opportunities.
🔹 Adjustability: Customize the sensitivity with 'FVG Noise Reduction Length' and 'Noise Reduction Factor' to match the volatility and characteristics of the asset being traded.
🔹 Visual Appeal: Displays bullish gaps in a soothing Bullish Color and bearish gaps in a striking Bearish Color, making it easy to spot and analyze trends on the fly.
🔹 Overlay Feature: Plots directly on the price chart for seamless integration and analysis.
🌟 Quick Guide to Using the Volumetric Fair Value Gaps Indicator:
🛠 Add the Indicator: Add the indicator to favourites and set it up with your desired settings.
📊 Market Analysis: Watch for the appearance of colored boxes (blue for bearish, gray for bullish) which represent the fair value gaps. These are high-probability areas for reversals or continuations. FVGs with higher volume are implied to induce a stronger reaction on price.
🔔 Alerts: Set up alerts to notify you when new gaps are detected, ensuring you never miss out on potential trades!
🛠 How It Works:
The Volumetric Fair Value Gaps (VFVG) indicator identifies significant price gaps that are not just based on price action but are also substantiated by volume, which are often overlooked in typical analyses. It operates by comparing the current candle’s price range against historical averages and is calculated over a user-defined period, displayed with volume for further insights. For a gap to be recognized as significant (either bullish or bearish), it must exceed a certain size relative to these averages, which can be adjusted for sensitivity using the provided settings. Bullish gaps are identified when the current low is higher than the second previous high after surpassing the threshold, and bearish gaps are marked when the current high is below the second previous low, similarly surpassing the threshold. This dual-confirmation (volume and price deviation) approach minimizes false signals and enhances the reliability of identified gaps.
Maximize your trading strategy with the VFVG Indicator by AlgoAlpha and turn those gaps into opportunities! 🌈✨
TTrades Daily Bias [TFO]Inspired by @TTrades_edu video on daily bias, this indicator aims to develop a higher timeframe bias and collect data on its success rate. While a handful of concepts were introduced in said video, this indicator focuses on one specific method that utilizes previous highs and lows. The following description will outline how the indicator works using the daily timeframe as an example, but the weekly timeframe is also an included option that functions in the exact same manner.
On the daily timeframe, there are a handful of possible scenarios that we consider: if price closes above its previous day high (PDH), the following day's bias will target PDH; if price trades above its PDH but closes back below it, the following day's bias will target its previous day low (PDL).
Similarly, if price closes below its PDL, the following day's bias will target PDL. If price trades below its PDL but closes back above it, the following day's bias will target PDH.
If price trades as an inside bar that doesn't take either PDH or PDL, it will refer to the previous candle for bias. If the previous day closed above its open, it will target PDH and vice versa. If price trades as an outside bar that takes both PDH and PDL, but closes inside that range, no bias is assigned.
With a rigid framework in place, we can apply it to the charts and observe the results.
As shown above, each new day starts by drawing out the PDH and PDL levels. They start out as blue and turn red once traded through (these are the default colors which can be changed in the indicator's settings). The triangles you see are plotted to indicate the time at which PDH or PDL was traded through. This color scheme is also applied to the table in the top right; once a bias is determined, that cell's color starts out as blue and turns red once the level is traded through.
The table indicates the success rate of price hitting the levels provided by each period's bias, followed by the success rate of price closing through said levels after reaching them, as well as the sample size of data collected for each scenario.
In the above crude oil futures (CL1!) 30m chart, we can glean a lot of information from the table in the top right. First we may note that the "PDH" cell is red, which indicates that the current day's bias was targeting PDH and it has already traded through that level. We might also note that the "PWH" cell is blue, which indicates that the weekly bias is targeting the previous week high (PWH) but price has yet to reach that level.
As an example of how to read the table's data, we can look at the "PDH" row of the crude oil chart above. The sample size here indicates that there were 279 instances where the daily bias was assigned as PDH. From this sample size, 76.7% of instances did go on to trade through PDH, and only 53.7% of those instances actually went on to close through PDH after hitting that level.
Of course, greater sample sizes and therefore greater statistical significance may be derived from higher timeframe charts that may go further back in time. The amount of data you can observe may also depend on your TradingView plan.
If we don't want to see the labels describing why bias is assigned a certain way, we can simply turn off the "Show Bias Reasoning" option. Additionally, if we want to see a visual of what the daily and weekly bias currently is, we can plot that along the top and bottom of the chart, as shown above. Here I have daily bias plotted at the top and weekly bias at the bottom, where the default colors of green and red indicate that the bias logic is expecting price to draw towards the given timeframe's previous high or low, respectively.
For a compact table view that doesn't take up much chart space, simply deselect the "Show Statistics" option. This will only show the color-coded bias column for a quick view of what levels are being anticipated (more user-friendly for mobile and other smaller screens).
Alerts can be configured to indicate the bias for a new period, and/or when price hits its previous highs and lows. Simply enable the alerts you want from the indicator's settings and create a new alert with this indicator as the condition. There will be options to use "Any alert() function call" which will alert whatever is selected from the settings, or you can use more specific alerts for bullish/bearish bias, whether price hit PDH/PDL, etc.
Lastly, while the goal of this indicator was to evaluate the effectiveness of a very specific bias strategy, please understand that past performance does not guarantee future results.
Nightrangers IndicatorDescription
This indicator combines three EMA's, Ichimoku Cloud, RSI and MACD. By combining and modifying their use case this turns into an extremely powerful and accessible indicator for finding long and short position entries, below is a description of how to use this indicator, and what makes it different.
Primary Use case
The three EMA's would be the initial indicators you would be looking at, they are based on the 7d, 25d and 200d MA - Used on their own, they would be worthless, and this is where the Ichimoku Cloud comes into it, I have removed all other aspects of the Ichimoku Cloud and only kept the baseline, combine this with the three MA's and we have a very powerful indicator for finding Long entries, that is used uniquely in a way to which the Ichimoku Cloud is not originally meant to be used for.
An early indication of a LONG entry would be when the 7d MA crosses above the Ichimoku Baseline, through this early indicator, you are able to watch and monitor the chart, you would be waiting to see if the 25d MA then also crosses above the Ichimoku Baseline, This would be the second important indication of a long entry. The 200d MA helps here when making decisions on where to set your own personal take profits - If the Ichimoku baseline, and the MA's are below the 200d MA, you would be expecting a bounce point here, or heavy resistance so the long entry could be over a shorter period, than that if it was above the 200d MA, which is why it is included here, to help make a better informed choice.
The latter is reversed for finding short positions, and entries. This indicator is completely reliant on each other to find the best possible entry/exit by complementing each other, and by using the Ichimoku Baseline on it's own, and not as the Ichimoku Cloud is intended.
Just using these though, is not enough, which is why the RSI and MACD are also combined, once the conditions are met above, You may find that there can be false positives for entries, and this is where the RSI has multiple use cases within this script.
Firstly the backdrop colour will change based on whether the chart is in an uptrend or downtrend, This is a visual indicator provided to work simultaneaously on the chart itself to help identification of entries/exits easier to identify in conjunction with the above.
Secondly, It is used to display in the top right, The current Trend in a text format, as well as if the current chart is in one of three phases, these are Overbrought, Oversold and accumulation.
And finally it will display the current RSI Value on the last candle in a clear to see blue Label, This helps with the visual accessible side, to help you make a more informed choice depending on your own personal tolerance.
This ties into the above Indicators, by combining the information, you would not be looking to take a long, if for example, the RSI showed it was over-brought, and in a downtrend, even if the MA's had crossed above the Baseline, as this would most likely be a fakeout.
However if the Indicators above, showed a potential long, and the backdrop had flipped green, indicating an uptrend, and it was in an accumulation phase, you would consider this position. and this is where the MACD comes into play.
You would use the MACD to see whether or not the Signal line has crossed over the MACD line, and vice versa - However this script uses it to simplify and portray current market sentiment, and visually display by reducing clutter on screen, and making it more accessible.
It is designed to portray an easy to read and understand visual indicator by displaying in the top right simply as Bullish or Bearish, with markers above the candles ( "M" and "MX" ).
The M indicator is to show where the MACD Crosses above the Signal, and if aligned with all the other indicators within the script, shows a very strong confirmation for a buying opportunity, and vice versa for the "MX" indicator if aligned with the other indicators in reverse, provides a very strong confirmation for opening a short position or for selling.
Secondary Use case
By combining the indicators above, the secondary conditions you would be looking for, If you opened a LONG position, would be knowing when to sell, On top of what has been described above already regarding this, you would be looking to start taking profits, when the 7d MA crosses above or across the candles, and looking to close the position, when the 25d MA also crosses above the candles, and respectively, in reverse for closing short positions. This is shown across the charts to be extremely useful, however, combine this with the other indicators, portrayed in an easy to use and understand visual representation, you are now able to make more informed decisions, on whether to close a position or not.
How is it different and not just a mash up
I have combined these indicators to make the world of trading more accessible for everyone regardless of circumstances, by creating an easy to understand visual representation, keeping colours vibrant and easy to stand out, with clear and simple to read text indications. So whether you are a seasoned trader, or just starting out, you can make more informed choices, without the need of learning how to use multiple different indicators, and learning how to combine them all, or if you have difficulties learning, this indicator also simplifies a lot of the more technical intricacies, by still allowing you to make a more informed choice.
Custom Hourly Highlight PeriodsThis Pine Script indicator for TradingView allows users to visually highlight up to five distinct periods within a trading day directly on their chart. It's designed to enhance chart analysis by emphasizing specific time frames that may coincide with increased market activity, trading sessions, or personal trading strategies.
Features:
Customizable Highlight Periods: Users can define up to five separate highlight periods, specifying both start and end hours for each. This flexibility supports a wide range of trading strategies and time zones.
Individual Period Activation: Each highlight period can be individually enabled or disabled, allowing users to focus on specific times of interest without cluttering the chart.
Color-Coded Visualization: Each period is highlighted with a different transparent color (blue, red, green, purple, and orange) for clear distinction between different segments of the trading day. Colors are customizable to fit personal preferences or chart themes.
User-Friendly Inputs: Simple input fields make it easy to adjust start/end times and toggle the visibility of each period, requiring no coding experience to customize.
Use Cases:
Identifying Repeating Patterns: Certain regional markets exhibit unique behaviors, with some creating sell pressure in the morning, while others generate buy pressure. This indicator allows for clear visualization of these patterns.
Market Session Highlights: Emphasize the opening and closing hours of major markets (e.g., NYSE, NASDAQ, Forex markets) to identify potential volatility or trading opportunities.
Personal Trading Hours: Mark the time frames when you typically trade or when your trading strategy performs best.
Economic Release Times: Highlight periods when important economic reports are released, which can significantly impact market movement.
Institutional Supply and Demand ZonesThis indicator aims to identify price levels where institutional investors have positioned their buy or sell orders. These buy orders establish "demand zones," while sell orders create "supply zones." Identifying these zones enables us to anticipate potential reversals in price trends, allowing us to profitably engage in these significant market movements alongside major institutions. These zones are formed when price action goes from balanced to imbalanced. These zones are based on orders. Unlike standard support and resistance levels, when price breaks below a demand zone or above a supply zone, these zones disappear from the chart.
Supply is formed by a green candle followed by a major red candle that is at least double the size of previous green candle. The zone is then charted from the open of the green candle to the highest point in the candle. Vice versa for a demand zone (red into green).
These zones are traded by:
1. Look for a volume spike in a zone
2. A trend/trendline break out of the zone
Multi-Timeframe Recursive Zigzag [Trendoscope®]🎲 Welcome to the Advanced World of Zigzag Analysis
Embark on a journey through the most comprehensive and feature-rich Zigzag implementation you’ll ever encounter. Our Multi-Timeframe Recursive Zigzag Indicator is not just another tool; it's a groundbreaking advancement in technical analysis.
🎯 Key Features
Multi Time-Frame Support - One of the rare open-source Zigzag indicators with robust multi-timeframe capabilities, this feature sets our tool apart, enabling a broader and more dynamic market analysis.
Innovative Recursive Zigzag Algorithm - At its core is our unique Recursive Zigzag Algorithm, a pioneering development that powers multiple Zigzag levels, offering an intricate view of market movements. This proprietary algorithm is the backbone of our advanced pattern recognition indicators.
Sub-Waves and Micro-Waves Analysis - Dive deeper into market trends with our Sub-Waves and Micro-Waves feature. Sub-Waves reveal the interconnectedness of various Zigzag levels, while Micro-Waves offer insight into the fundamental waves at the base level.
Enhanced Indicator Tracking - Integrate and track your custom indicators or oscillators with the zigzag, capturing their values at each Zigzag level, complete with retracement ratios. This offers a comprehensive view of market dynamics.
Curved Zigzag Visualization - Experience a new way of visualizing market movements with our Curved Zigzag Display, employing Pine Script’s polyline feature for a more intuitive and visually appealing representation.
Built-in Customizable Alerts - Stay ahead with built-in alerts that can be customized via user input settings.
🎯 Practical Applications
Our Zigzag Indicator is designed with an understanding of its inherent nature - the last unconfirmed pivot that consistently repaints. This characteristic, while by design, directs its usage more towards pattern recognition rather than direct identification of market tops and bottoms. Here's how you can leverage the Zigzag Indicator:
Harmonic Patterns - Ideal for those familiar with harmonic patterns, this tool simplifies the manual spotting of complex XABCD, ABC, and ABCD patterns on charts.
Chart Patterns - Effortlessly identify patterns like Double/Triple Taps, Head and Shoulders, Inverse Head and Shoulders, and Cup and Handle patterns with enhanced clarity. Navigate through challenging patterns such as Triangles, Wedges, Flags, and Price Channels, where the Zigzag Indicator adds a layer of precision to your breakout strategy.
Elliott Wave Components - The indicator's detailed pivot highlighting aids in identifying key Elliott Wave components, enhancing your wave analysis and decision-making process.
🎲 Deep Dive into Indicator Features
Join us as we explore the intricate features of our indicator in more detail.
🎯 Multi-Timeframe Capability
Our indicator comes equipped with an input option for selecting the desired resolution. This unique feature allows users to view higher timeframe Zigzag patterns directly on their lower timeframe charts.
🎯 Recursive Multi Level Zigzag
Our advanced recursive approach creates multi-level Zigzags from lower-level data. For instance, the level 0 Zigzag forms the base, calculated from specified length and depth parameters, while level 1 Zigzag is derived using level 0 as its foundation, and so forth.
The indicator not only displays multiple Zigzag levels but also offers settings to emphasize specific levels for more detailed analysis.
🎯 Sub-Components and Micro-Components of Zigzag Wave
Sub-components within a Zigzag wave consist of the previous level's Zigzag pivots. Meanwhile, the micro-components are composed of the base level (Level 0) Zigzag pivots encapsulated within the wave.
🎯 Curved Zigzag
Experience a new perspective with our curved Zigzag display. This innovative feature utilizes the polyline curved option to automatically generate sinusoidal waves based on multiple points.
🎯 Indicator Tracking
Default indicators such as RSI, MFI, and OBV are included, alongside the ability to track one external indicator at each Zigzag pivot.
🎯 Customizable Alerts
Our indicator employs the `alert()` function for alert creation. While this means the absence of a customization text box in the alert settings, we've included a custom text area for users to create their own alert templates.
Template placeholders include:
{alertType} - type of alert. Either Confirmed Pivot Update or Last Pivot Update. Depends on the alert type selected in the inputs.
When Last Pivot Update type is selected, the alerts are triggered whenever there is a new Zigzag Pivot. This may also be a repaint of last unconfirmed pivot.
When Confirmed Pivot Update type is selected, the alerts are triggered only when a pivot becomes a confirmed pivot.
{level} - Zigzag level on which the alert is triggered.
{pivot} - Details of the last pivot or confirmed pivot including price, ratio, indicator values and ratios, subcomponent and micro-component pivots.
🎲 User Settings Overview
🎯 Zigzag and Generic Settings
This involves some generic zigzag calculation settings such as length, depth, and timeframe. And few display options such as theme, Highlight Level and Curved Zigzag. By default, zigzag calculation is done based on the latest real time bar. An option is provided to disable this and use only confirmed bars for the calculation.
Indicator Settings
Allows users to track one or more oscillators or volume indicators. Option to add any indicator via external input is provided.
🎯 Alert Settings
Has input fields required to select and customize alerts.
Measured MoveThis indicator was made for those who look to profit on “Measured Moves.”
Upon opening the settings one will need to set the time to begin (Start Time in settings) the colored background of the potential move areas, and the high (First Price Level in settings) and low (Second Price Level in settings) prices for the measured area for the measured move.
After those are selected they can be easily moved on the chart. I created a table for the user to tap with the pointer to highlight the setting lines for easy adjustment.
Measured moves are used by some algo’s and some traders to determine the take profit levels. They are moves from a particular pattern conclusion to a distance equal to that distance in the desired direction.
This is an image of the measured move which occurred on Dec 13th, 2023 at about 1pm on the ES 1m chart:
The center area in lightly shaded blue is the measured area. The green and red would be the same distance and would equate to the measured move distance.
This example shows the same day – the second move up was a measured move by some traders:
www.tradingview.com
Again, the same day on the way down. This one didn’t quite complete the move:
Again, same day on the way back up – almost perfect:
And, finally, the same day for the last move up:
This indicator will require the user to know what to look for in creating the measured movement. The script is quite simple – but, can be effective in assisting a user to know potential profit targets.
I conducted several searches for “measured move” and found no other indicators that provide this functionality. I understand that one could use fibs to do the same thing – but, I didn’t want to have to alter the fib settings (which I use for actual fibs) to perform this functionality.
Please comment with any questions/suggestions/etc.
ICT HTF FVGs (fadi)ICT HTF FVGs displays the higher timeframe FVGs on current chart. This allows the trader to easily visualize the higher timeframe FVGs without having to mark them manually and see when price reaches point of interest for possible reversals or reaction.
This indicator attempts to provide as much flexibility possible by being able to define the following:
Higher Timeframe Settings
Timeframe to monitor
Bullish FVG color for this timeframe
Bearish FVG color for this timeframe
Maximum number of FVGs to display for this timeframe
Distance from current bar. This prevents overcrowding of FVGs
Hide Lower Timeframes from current chart. If this option is turned off, 5m timeframe FVGs will be displayed on an hourly chart as an example.
Show Border for the FVGs. Border color is derived from the FVG color
Show Mitigated FVG on the chart. The labels are removed to prevent the labels from overlapping with the candles on the chart/
Show C.E. Draws a line at the middle point of the FVG. This is usually an area of interest.
Show Label Shows the label with label color, background color, and label size.
Engulfing and emaThis is a Pine Script script that helps you see the Engulfing Candlestick and Inside Bar (Boring Candle) candle patterns on the TradingView chart, as well as drawing two Exponential Moving Averages (EMA). Here's a simple explanation:
1. **Candle Pattern**:
- This script identifies the Engulfing Candlestick pattern, which indicates potential changes to the price. If this pattern is detected, the script will show a green (for buy) or red (for sell) arrow above or below that candle.
- The script also identifies the Inside Bar (Boring Candle), which indicates the period area in the market. This candle will be the color you choose (default is orange).
2. **Moving Average (EMA)**:
- This script also plots two Exponential Moving Averages (EMA) on the chart. EMA is a tool that helps you see price trends more clearly.
3. **Risk Management**:
- This script calculates the Stop Loss (SL) and Take Profit (TP) levels for each Engulfing pattern. This helps you manage your trading risks.
- Labels are displayed on the charts for SL and TP, so you know where to place them.
With the help of this script, you can easily identify important patterns in the market and manage your risks better. Make sure to choose a demo account before using it in real trading.
Zaree - FX Index RSI IndicatorDescription:
The "Zaree - FX Index RSI Indicator" (FIRI) is a technical analysis tool designed to provide insights into the relative strength of two selected currency indices using the Relative Strength Index (RSI). It allows traders to compare the RSI values of a primary currency index and a secondary currency index, helping them identify potential overbought and oversold conditions in the currency market.
Details of the Indicator:
The indicator calculates the RSI for both the primary and secondary currency indices based on the user's selections.
Traders can choose from a variety of currency indices to use as the primary and secondary indices for comparison.
The indicator offers settings for customizing the calculation of the RSI, including selecting the type of moving average (SMA, EMA, WMA, SMMA) and adjusting the length of the RSI and moving average.
Upper and lower RSI bands are displayed on the chart to highlight potential overbought and oversold conditions.
The RSI values and their corresponding moving average values are plotted on the chart, allowing traders to visually analyze the relative strength of the indices.
How to Use the Indicator:
Select the primary and secondary currency indices you want to compare from the provided dropdown menus. These indices will serve as the basis for RSI calculation.
Choose the type of moving average (SMA, EMA, WMA, SMMA) to use for RSI calculation and set the desired length for the moving average.
Decide whether you want to visualize the RSI and moving average values for the primary and secondary indices on the chart.
Observe the RSI values and moving averages plotted on the chart. The indicator's upper and lower bands can help you identify potential overbought (above the upper band) and oversold (below the lower band) conditions.
Pay attention to the intersections between the RSI values and the moving average lines. These intersections can provide insights into potential trend changes or reversals in the currency market.
Example of Usage:
Let's say you're a swing trader focusing on currency pairs involving the US Dollar (USD) and Euro (EUR). You want to compare the relative strength of the USD Index (USDINX) and the EUR Index (EURINX) to identify potential trading opportunities. Here's how you can use the FIRI indicator:
Select "USDINX" as the primary index and "EURINX" as the secondary index.
Choose "SMA" as the moving average type and set the RSI length to 14.
Enable the visualization of RSI values for both the primary and secondary indices.
Observe the chart to identify instances where the RSI values of the indices cross above the upper band (potential overbought) or below the lower band (potential oversold).
Look for intersections between the RSI values and the moving average lines. A bullish signal may occur when the RSI crosses above the moving average, indicating potential upward momentum, while a bearish signal may occur when the RSI crosses below the moving average, indicating potential downward momentum.
Remember that the FIRI indicator is a tool to assist you in your analysis. It's important to consider other technical and fundamental factors before making trading decisions.
Feel free to adjust the settings of the indicator based on your trading preferences and strategy. Keep in mind that no indicator is foolproof, and it's recommended to use the FIRI indicator in conjunction with other analysis techniques for a comprehensive trading approach.
Realtime Divergence for Any Indicator - By John BartleThe main purpose of this script is to show historical and real-time divergences for any oscillating indicator. The secondary purpose is to give the user a lot of precise control over identifying divergences and determining what they are. This is an improved version of my other script which is similarly called "Realtime Divergence for Any Indicator"
There are four types of divergences that are offered:
Bull divergence
Hidden bull divergence
Bear divergence
Hidden Bear divergence
There are three types of potential(real-time) divergences which include:
1) Without right side bars for rightside pivots. Plus without waiting for the rightside pivot bar to complete
2) Without right side bars for rightside pivots. Plus with waiting for the rightside pivot bar to complete
3) With right side bars for rightside pivots. Plus without waiting for the rightside pivot right-most bar to complete
A definite divergence occurs when all specified bars are accounted for and fully formed.
Potential divergences use dashed lines and definite(historical) divergences use solid lines.
In addition to several other categories of settings to filter out unwanted divergences or manipulate the search process, this script also offers Alerts. Remember that alerts must not only be set within this scripts settings but also your "Alerts" panel on your right. It's strange but BOTH must be set for alerts to work...
Other interesting Things To Know:
1)I actually don't trade and so I have no need of a paid account. Unpaid accounts don't have the playback feature so I haven't really tested this script out very well. Sorry. Just let me know if something seems off and IF I have time I'll try to fix it.
2)Keep in mind that Pinescript limits the number of lines that can be shown at one time. This means that if your settings allow for a large number of divergence lines they will be removed from the leftward side of your chart but appear in the rightward side.
3) The time and the values for the price or oscillator are not the same things as each other nor are they physical things with physical space. This means that slopes of lines using the time as X and value as Y can not have definite angles. Consequently, under the setting "DIVERGENCES: SLOPE ANGLE EXCLUSION" YOU have to decide what slope equals what angle by using the setting called "Normalization Factor".
4) Remember that some individual settings apply to both the oscillator and price chart. This means that even if the setting's conditions are fulfilled in one they may not be fulfilled in the other.
5) Under the category "DIVERGENCES: INTERSECTION ALLOWANCE", if you set the "Measurement Type" to Relative Percentage then FYI any single given length will equate to an increasingly smaller percentage the further away from zero it is. Because of this, I think "Reletive Percentage" is probably only useful for price charts or oscillators with big values. Maybe >200 is OK ?
Errors:
1) If you get the error mentioning that the script must complete execution within X amount of time, this is because this is a big script and sometimes takes longer than your service plan's allotted time limit. You can just disable some of the settings to reduce the scripts amount of work and time. The biggest time savers will be to disable some lines and labels
2) If you get an error saying the script accessed a negative index(e.g. ) then try temporarily increasing the "Add More Array Elements" setting to 100-200. Sometimes it fixes the problem.
3) You may sometimes temporarily get an error that reads: "Pine cannot determine the referencing length of a series. Try using max_bars_back in the study or strategy function".
If this happens there are several things that you can do:
3A) Create a copy of my script. Then edit the section of code that looks like this ")//, max_bars_back = INSERT_YOUR_QUANTITY_HERE)" and transform it to look like this new code ", max_bars_back = INSERT_YOUR_QUANTITY_HERE)" then repeatedly try replacing "INSERT_YOUR_QUANTITY_HERE" with an increasingly larger number greater than 244 but less than 5000.
This method will increase your system resources and could cause other problems. Try changing the code back after a few hours and see if all is well again. It is a Pinescript limitation issue and happens when certain functions or variables don't get used at least once within the first 244 bars.
3B) Adjust your settings to hopefully find a divergence within the first 244 bars. If one is found then the problematic variables or functions should get used and the Pinescript 244 bar limitation should be temporarily resolved.
3C) Wait for X number of new bars to occur. If a divergence is eventually found within the first 244 bars that should solve the issue.
Tips:
1) If the amount that a setting changes value is undesirable for each time you click it then you can change that amount in the code. To do that, you'll need your own copy of my script. To make your own copy just click on "create a working copy" in the brown colored strip area above the code. Then within approximately the first 108 lines find the title of the setting you want to change. Then look to it's right to find the parameter called "step =". Change what the step equals to whatever you want. FYI, you can hover your mouse over the blue colored code and a popup will tell you what parameters(i.e. settings) that function(e.g. "input.int()") has available.
Bitcoin CME Gap TrackerCME Bitcoin Futures Gaps: What Are They and Why Are They Important?
Gaps are breaks between price candles on charts, illustrating the intervals between the closing price of the previous period and the opening price of the next. For Bitcoin on CME, these gaps arise due to the particular workings of this market.
Bitcoin and other cryptocurrencies trade 24/7 without breaks. However, CME Bitcoin Futures, like many other financial instruments on traditional exchanges, have weekends and trading pauses. When the Bitcoin market continues to move during weekends or CME closures, and then CME opens on the subsequent trading day, a price disparity can occur, perceived as a gap.
Several studies suggest that in most cases (approximately 70% and more), the market reverts to "close" these gaps. This phenomenon is observed because large liquidity is concentrated at these gap points. There are many unfilled orders in gap zones, placed at specific prices. When the price reaches these levels, it can swiftly react to this "clustering" of orders, potentially leading to the gap's closure.
Therefore, CME Bitcoin Futures gaps not only reflect crucial psychological moments in the market but can also serve as potential entry or exit points, considering the high liquidity in these zones.
Technical Description:
The script is designed to identify gaps in the Bitcoin Futures chart on CME. It automatically detects gaps that appear on Mondays (since CME is closed on weekends) and are larger than the user-specified percentage.
Key Features:
Identification of the weekday to detect gaps that arose on Monday.
Calculation of positive and negative gaps by comparing the highs and lows of the previous candles with the current ones.
Graphical representation of the gaps using lines and labels on the chart.
User Guide:
Add this script to your TradingView chart.
You can adjust the "Show gaps larger than %" parameter to determine the minimum gap size of interest.
Gaps will be automatically displayed on your chart with lines and labels.
Bullish and Bearish Candlestick Patterns StrategyThe strategy is a combination of candlestick pattern analysis and Fibonacci retracement levels to identify potential buy and sell signals in the market. Here's how the strategy works and how you can trade accordingly:
Candlestick Pattern Analysis:
The strategy looks for specific bullish and bearish candlestick patterns to identify potential trend reversals or continuations. The bullish patterns include:
Bullish Engulfing: This pattern occurs when a bullish candle fully engulfs the previous bearish candle.
Hammer: It is a single candlestick pattern with a small body and a long lower wick, indicating a potential bullish reversal.
Morning Star: This pattern consists of three candles, with the middle one being a small-bodied candle that gaps down and the other two being bullish candles.
The bearish patterns include:
Bearish Engulfing: Similar to the bullish engulfing, but this time, a bearish candle fully engulfs the previous bullish candle.
Shooting Star: A single candlestick pattern with a small body and a long upper wick, suggesting a potential bearish reversal.
Evening Star: This pattern is the opposite of the morning star, with a small-bodied candle that gaps up between two bearish candles.
Fibonacci Retracement Levels:
The strategy uses Fibonacci retracement levels to determine potential support and resistance levels in the market. The main level considered in this strategy is the Fibonacci 0.5 level, which is the midpoint of the previous swing move.
Trading Accordingly:
To trade using this strategy, follow these steps:
a. Observe the Chart: Apply the indicator to your preferred chart, and observe the candlestick patterns and the plotted support, resistance, and Fibonacci 0.5 levels.
b. Buy Signal: A buy signal is generated when any of the bullish candlestick patterns (Bullish Engulfing, Hammer, Morning Star) occur, and the low price of the current candle is above or equal to the Fibonacci 0.5 level. This suggests a potential bullish reversal or continuation of an existing uptrend.
c. Sell Signal: A sell signal is generated when any of the bearish candlestick patterns (Bearish Engulfing, Shooting Star, Evening Star) occur, and the high price of the current candle is below or equal to the Fibonacci 0.5 level. This indicates a potential bearish reversal or continuation of an existing downtrend.
d. Risk Management: Place stop-loss orders to protect your position in case the market moves against your trade. Consider setting the stop-loss below the recent swing low for buy trades and above the recent swing high for sell trades.
e. Take Profit: Set a target for taking profits based on your risk-reward ratio. You can use the recent swing high for buy trades as a potential target and the recent swing low for sell trades.
f. Filter Signals: Keep in mind that not all signals will result in profitable trades. It's essential to filter signals with other technical analysis tools and consider the overall market context.
Remember that no trading strategy guarantees profits, and trading always carries inherent risks. It's crucial to practice proper risk management, use appropriate position sizing, and test the strategy thoroughly in a demo environment before applying it to live trading. Additionally, consider combining this strategy with other indicators or analysis methods to make more informed .
Correlation TrackerCorrelation Tracker Indicator
The Correlation Tracker indicator calculates and visualizes the correlation between two symbols on a chart. It helps traders and investors understand the relationship and strength of correlation between the selected symbol and another symbol of their choice.
Indicator Features:
- Correlation Calculation: The indicator calculates the correlation between two symbols based on the provided lookback period.
- Correlation Scale: The correlation value is normalized to a scale ranging from 0 to 1 for easy interpretation.
- Table Display: A table is displayed on the chart showing the correlation value and a descriptive label indicating the strength of the correlation.
- Customization Options: Users can customize the text color, table background color, and choose whether to display the Pearson correlation value.
- The Correlation Tracker indicator utilizes a logarithmic scale calculation, making it particularly suitable for longer timeframes such as weekly charts, thereby providing a more accurate and balanced measure of correlations across a wide range of values.
How to Use:
1. Select the symbol for which you want to track the correlation (default symbol is "SPX").
2. Adjust the lookback period to define the historical data range for correlation calculation.
3. Customize the text color and table background color according to your preference.
4. Choose whether to display the Pearson correlation value or a descriptive label for correlation strength.
5. Observe the correlation line on the chart, which changes color based on the strength of the correlation.
6. Refer to the correlation table for the exact correlation value or the descriptive label indicating the correlation strength.
Note: The indicator can be applied to any time frame chart and is not limited to logarithmic scale.
Rounded Forex Levels: Big-Figure, Mid-Figure, 80-20 levels, BFRNSimple indicator to show Rounded levels in typical Forex pairs: Big figure, Mid-figure, 80-20 Insitutional Levels, 10pip levels, 5pip levels
Wrote this indicator because other ones out there seem to clutter the chart. This is simple, low-clutter and can be set by user to have arbitrary start and end points for the lines.
I wanted the ability for lines to plot discreetly to the right hand side of price as in the chart above, since in my opinion, these are only of secondary consideration to a trader, an extra confirmation/confluence to an existing idea.
//Purpose & Usage:
-Big-figure levels (100pips) & Mid-figure levels (50pips) will have a senstitivity to price, that can be an additional tool when looking for confluence for a target or an entry.
-As well as BF levels and MF levels; Institutional levels (20pips below and 20 pips above a Big Figure level) and standard 10pip or 5pip levels, can be useful in the right context (i.e added confirmation that of a minor sweep target; added conviction in an idea if the level aligns with another seperately derived level).
//User inputs:
-Toggle on/off each of the types of level.
-Line spacing: choose pip spacing of lines .
-Number of lines above/below (i.e. setting of 5 will be 11 lines. One central, 5 above, 5 below).
-Formatting: for each class of lines, code by color, style and width (as per the example chart below).
-Line start offset and line end offset: bars forward/back for each of start point and end point. So lines could be spread right across chart; or neatly pushed to the far right or left of the chart.
//Notes:
-Designed for typical Forex pairs with units close to 1.0 (like Eur/Usd, Usd/Cad, Aud/Usd, Gbp/Usd, Eur/Gbp, Nzd/Usd).
-Lines are based from the rounded close of the previous bar, Updating (if applicable) on each new bar.
Demo Plotting levels in the past; Dialog box example display:
RD Key Levels (Weekly, Daily, Previous vWAP)The RexDog Key Levels indicator plots the weekly open, daily open, and the previous day vWAP close.
These are all critical price levels (zones) to know when trading any market or instrument. These areas are also high probability reaction areas that you can trade using simple confirmation trading patterns.
First, I'll cover an overview of the indicator then I'll share general usage tips.
Weekly Open - default is white/orange. White is when price is above the weekly open. Orange is when price is below the weekly open.
Weekly High/Low - there are options to turn on the weekly high and lows. Default plot is circles. Green is the high. Red is the low.
Daily Open - default is green/red. Green is when price is above the daily open. Red is when price is below the daily open.
Previous vWAPs - aqua single lines. These are the closing price of the daily vWAPs.
Top Indicators - The triangles at the top of the chart signify is price is currently above or below the weekly open. This is helpful on lower timeframe charts (5m, 15m) to get a quick indication when price is far extended beyond the weekly open. Green triangle = above weekly open. Red triangle = below weekly open.
General Usage
Each one of these levels are important levels markets look use for continuation or failure of momentum and bias. I also find it extremely helpful to think of these levels as magnets, dual magnets. They both attract and repel price at the same time. Now you might say, how is that helpful to have opposing views at the same time? Be indifferent to direction, create your own rules on when these price zones repel or attract price, I have my own.
Here's the easiest way to use these price levels.
As price approaches one of these levels to expect a reaction. A reaction is price is going in one direction and price hits a price level zone and reacts in the opposite direction.
These are price zones, sometimes you will see a reaction right at the price but visualize these areas as zones of reaction.
A high percentage of the time when price approaches these level zones there will be a reaction. So trade the reaction .
How do you do that?
Simple. Trade patterns that repeat. I have 3 solid patterns I trade around these key levels:
The first pattern is early entry with precise scale in rules and a very effective protective stop loss placement.
The second pattern is wait for confirmation that the level holds. This requires more patience and for you to fully trust the chart. The benefit of this pattern is with confirmation you have even more precise stop placement.
There is a bonus third pattern I trade around these levels. I call this the confirmation and bluff entry. It's a combination of both of the patterns above. You wait for confirmation but on any pull back you call the bluff on the market and enter on key test. Trade management here is critical. In addition to the pattern you trade you should have a series of failure patterns that tell you to get out of the trade, I use 2 primary failure patterns.
I trade all markets, same system, same rules, so I'll show a few examples.
Usually I start with Bitcoin but let's start with equities:
BA - Boeing - 8 Trades
Here we see weekly low patterns, previous week low test, vwAP hold patterns, day magnets and day holding. Then 2 week failures and a double hold pattern.
These are all straightforward trades to execute following really simple patterns.
BTCUSD Previous vWAP and Day Open Trades
We see here on the circle areas both daily open and previous day vWAP zone tests. Within this chart are all 3 highly effective patterns I trade.
SPY - 7 High Probability Trades
Here we see a pDay vWAP mixed with a daily failure. Next a daily retest, then a pDay vWAP failure, then a vWAP capture and test. Then a double weekly failure test (great trade there) and finally a daily test.
I could provide more examples but most are just derivatives of the above examples.
Parallel Projections [theEccentricTrader]█ OVERVIEW
This indicator automatically projects parallel trendlines or channels, from a single point of origin. In the example above I have applied the indicator twice to the 1D SPXUSD. The five upper lines (green) are projected at an angle of -5 from the 1-month swing high anchor point with a projection ratio of -72. And the seven lower lines (blue) are projected at an angle of 10 with a projection ratio of 36 from the 1-week swing low anchor point.
█ CONCEPTS
Green and Red Candles
• A green candle is one that closes with a high price equal to or above the price it opened.
• A red candle is one that closes with a low price that is lower than the price it opened.
Swing Highs and Swing Lows
• A swing high is a green candle or series of consecutive green candles followed by a single red candle to complete the swing and form the peak.
• A swing low is a red candle or series of consecutive red candles followed by a single green candle to complete the swing and form the trough.
Peak and Trough Prices (Basic)
• The peak price of a complete swing high is the high price of either the red candle that completes the swing high or the high price of the preceding green candle, depending on which is higher.
• The trough price of a complete swing low is the low price of either the green candle that completes the swing low or the low price of the preceding red candle, depending on which is lower.
Historic Peaks and Troughs
The current, or most recent, peak and trough occurrences are referred to as occurrence zero. Previous peak and trough occurrences are referred to as historic and ordered numerically from right to left, with the most recent historic peak and trough occurrences being occurrence one.
Support and Resistance
• Support refers to a price level where the demand for an asset is strong enough to prevent the price from falling further.
• Resistance refers to a price level where the supply of an asset is strong enough to prevent the price from rising further.
Support and resistance levels are important because they can help traders identify where the price of an asset might pause or reverse its direction, offering potential entry and exit points. For example, a trader might look to buy an asset when it approaches a support level , with the expectation that the price will bounce back up. Alternatively, a trader might look to sell an asset when it approaches a resistance level , with the expectation that the price will drop back down.
It's important to note that support and resistance levels are not always relevant, and the price of an asset can also break through these levels and continue moving in the same direction.
Trendlines
Trendlines are straight lines that are drawn between two or more points on a price chart. These lines are used as dynamic support and resistance levels for making strategic decisions and predictions about future price movements. For example traders will look for price movements along, and reactions to, trendlines in the form of rejections or breakouts/downs.
█ FEATURES
Inputs
• Anchor Point Type
• Swing High/Low Occurrence
• HTF Resolution
• Highest High/Lowest Low Lookback
• Angle Degree
• Projection Ratio
• Number Lines
• Line Color
Anchor Point Types
• Swing High
• Swing Low
• Swing High (HTF)
• Swing Low (HTF)
• Highest High
• Lowest Low
• Intraday Highest High (intraday charts only)
• Intraday Lowest Low (intraday charts only)
Swing High/Swing Low Occurrence
This input is used to determine which historic peak or trough to reference for swing high or swing low anchor point types.
HTF Resolution
This input is used to determine which higher timeframe to reference for swing high (HTF) or swing low (HTF) anchor point types.
Highest High/Lowest Low Lookback
This input is used to determine the lookback length for highest high or lowest low anchor point types.
Intraday Highest High/Lowest Low Lookback
When using intraday highest high or lowest low anchor point types, the lookback length is calculated automatically based on number of bars since the daily candle opened.
Angle Degree
This input is used to determine the angle of the trendlines. The output is expressed in terms of point or pips, depending on the symbol type, which is then passed through the built in math.todegrees() function. Positive numbers will project the lines upwards while negative numbers will project the lines downwards. Depending on the market and timeframe, the impact input values will have on the visible gaps between the lines will vary greatly. For example, an input of 10 will have a far greater impact on the gaps between the lines when viewed from the 1-minute timeframe than it would on the 1-day timeframe. The input is a float and as such the value passed through can go into as many decimal places as the user requires.
It is also worth mentioning that as more lines are added the gaps between the lines, that are closest to the anchor point, will get tighter as they make their way up the y-axis. Although the gaps between the lines will stay constant at the x2 plot, i.e. a distance of 10 points between them, they will gradually get tighter and tighter at the point of origin as the slope of the lines get steeper.
Projection Ratio
This input is used to determine the distance between the parallels, expressed in terms of point or pips. Positive numbers will project the lines upwards while negative numbers will project the lines downwards. Depending on the market and timeframe, the impact input values will have on the visible gaps between the lines will vary greatly. For example, an input of 10 will have a far greater impact on the gaps between the lines when viewed from the 1-minute timeframe than it would on the 1-day timeframe. The input is a float and as such the value passed through can go into as many decimal places as the user requires.
Number Lines
This input is used to determine the number of lines to be drawn on the chart, maximum is 500.
█ LIMITATIONS
All green and red candle calculations are based on differences between open and close prices, as such I have made no attempt to account for green candles that gap lower and close below the close price of the preceding candle, or red candles that gap higher and close above the close price of the preceding candle. This may cause some unexpected behaviour on some markets and timeframes. I can only recommend using 24-hour markets, if and where possible, as there are far fewer gaps and, generally, more data to work with.
If the lines do not draw or you see a study error saying that the script references too many candles in history, this is most likely because the higher timeframe anchor point is not present on the current timeframe. This problem usually occurs when referencing a higher timeframe, such as the 1-month, from a much lower timeframe, such as the 1-minute. How far you can lookback for higher timeframe anchor points on the current timeframe will also be limited by your Trading View subscription plan. Premium users get 20,000 candles worth of data, pro+ and pro users get 10,000, and basic users get 5,000.
█ RAMBLINGS
It is my current thesis that the indicator will work best when used in conjunction with my Wavemeter indicator, which can be used to set the angle and projection ratio. For example, the average wave height or amplitude could be used as the value for the angle and projection ratio inputs. Or some factor or multiple of such an average. I think this makes sense as it allows for objectivity when applying the indicator across different markets and timeframes with different energies and vibrations.
“If you want to find the secrets of the universe, think in terms of energy, frequency and vibration.”
― Nikola Tesla
Fan Projections [theEccentricTrader]█ OVERVIEW
This indicator automatically projects trendlines in the shape of a fan, from a single point of origin. In the example above I have applied the indicator twice to the 1D SPXUSD. The seven upper lines (green) are projected at an angle of -5 from the 1-month swing high anchor point. And the five lower lines (blue) are projected at an angle of 10 from the 1-week swing low anchor point.
█ CONCEPTS
Green and Red Candles
• A green candle is one that closes with a high price equal to or above the price it opened.
• A red candle is one that closes with a low price that is lower than the price it opened.
Swing Highs and Swing Lows
• A swing high is a green candle or series of consecutive green candles followed by a single red candle to complete the swing and form the peak.
• A swing low is a red candle or series of consecutive red candles followed by a single green candle to complete the swing and form the trough.
Peak and Trough Prices (Basic)
• The peak price of a complete swing high is the high price of either the red candle that completes the swing high or the high price of the preceding green candle, depending on which is higher.
• The trough price of a complete swing low is the low price of either the green candle that completes the swing low or the low price of the preceding red candle, depending on which is lower.
Historic Peaks and Troughs
The current, or most recent, peak and trough occurrences are referred to as occurrence zero. Previous peak and trough occurrences are referred to as historic and ordered numerically from right to left, with the most recent historic peak and trough occurrences being occurrence one.
Support and Resistance
• Support refers to a price level where the demand for an asset is strong enough to prevent the price from falling further.
• Resistance refers to a price level where the supply of an asset is strong enough to prevent the price from rising further.
Support and resistance levels are important because they can help traders identify where the price of an asset might pause or reverse its direction, offering potential entry and exit points. For example, a trader might look to buy an asset when it approaches a support level , with the expectation that the price will bounce back up. Alternatively, a trader might look to sell an asset when it approaches a resistance level , with the expectation that the price will drop back down.
It's important to note that support and resistance levels are not always relevant, and the price of an asset can also break through these levels and continue moving in the same direction.
Trendlines
Trendlines are straight lines that are drawn between two or more points on a price chart. These lines are used as dynamic support and resistance levels for making strategic decisions and predictions about future price movements. For example traders will look for price movements along, and reactions to, trendlines in the form of rejections or breakouts/downs.
█ FEATURES
Inputs
• Anchor Point Type
• Swing High/Low Occurrence
• HTF Resolution
• Highest High/Lowest Low Lookback
• Angle Degree
• Number Lines
• Line Color
Anchor Point Types
• Swing High
• Swing Low
• Swing High (HTF)
• Swing Low (HTF)
• Highest High
• Lowest Low
• Intraday Highest High (intraday charts only)
• Intraday Lowest Low (intraday charts only)
Swing High/Swing Low Occurrence
This input is used to determine which historic peak or trough to reference for swing high or swing low anchor point types.
HTF Resolution
This input is used to determine which higher timeframe to reference for swing high (HTF) or swing low (HTF) anchor point types.
Highest High/Lowest Low Lookback
This input is used to determine the lookback length for highest high or lowest low anchor point types.
Intraday Highest High/Lowest Low Lookback
When using intraday highest high or lowest low anchor point types, the lookback length is calculated automatically based on number of bars since the daily candle opened.
Angle Degree
This input is used to determine the angle of the trendlines. The output is expressed in terms of point or pips, depending on the symbol type, which is then passed through the built in math.todegrees() function. Positive numbers will project the lines upwards while negative numbers will project the lines downwards. Depending on the market and timeframe, the impact input values will have on the visible gaps between the lines will vary greatly. For example, an input of 10 will have a far greater impact on the gaps between the lines when viewed from the 1-minute timeframe than it would on the 1-day timeframe. The input is a float and as such the value passed through can go into as many decimal places as the user requires.
It is also worth mentioning that as more lines are added the gaps between the lines, that are closest to the anchor point, will get tighter as they make their way up the y-axis. Although the gaps between the lines will stay constant at the x2 plot, i.e. a distance of 10 points between them, they will gradually get tighter and tighter at the point of origin as the slope of the lines get steeper.
Number Lines
This input is used to determine the number of lines to be drawn on the chart, maximum is 500.
█ LIMITATIONS
All green and red candle calculations are based on differences between open and close prices, as such I have made no attempt to account for green candles that gap lower and close below the close price of the preceding candle, or red candles that gap higher and close above the close price of the preceding candle. This may cause some unexpected behaviour on some markets and timeframes. I can only recommend using 24-hour markets, if and where possible, as there are far fewer gaps and, generally, more data to work with.
If the lines do not draw or you see a study error saying that the script references too many candles in history, this is most likely because the higher timeframe anchor point is not present on the current timeframe. This problem usually occurs when referencing a higher timeframe, such as the 1-month, from a much lower timeframe, such as the 1-minute. How far you can lookback for higher timeframe anchor points on the current timeframe will also be limited by your Trading View subscription plan. Premium users get 20,000 candles worth of data, pro+ and pro users get 10,000, and basic users get 5,000.
█ RAMBLINGS
It is my current thesis that the indicator will work best when used in conjunction with my Wavemeter indicator, which can be used to set the angle. For example, the average wave height or amplitude could be used as the value for the angle input. Or some factor or multiple of such an average. I think this makes sense as it allows for objectivity when applying the indicator across different markets and timeframes with different energies and vibrations.
“If you want to find the secrets of the universe, think in terms of energy, frequency and vibration.”
― Nikola Tesla
2B Reversal Pattern (Expo)█ Overview
The 2B reversal pattern , also called the "spring pattern", is a popular chart pattern professional traders use to identify potential trend reversals. It occurs when the price appears to be breaking down or up and then suddenly bounces back up/down, forming a "spring" or "false breakout" pattern. This pattern indicates that the trend is losing momentum and that a reversal is coming.
In a bearish market , the "spring pattern" occurs when the price of an asset breaks below a support level, causing many traders to sell their positions and causing the price to drop even further. However, the selling pressure eases at some point, and the price begins to rebound, "springing" back above the support level. This rebound creates a long opportunity for traders who can enter the market at a lower price.
In a bullish market , the "spring pattern" occurs when the price of an asset breaks above a resistance level, causing many traders to buy into the asset and drive the price up even further. However, the buying pressure eases at some point, and the price begins to decline, "springing" below the resistance level. This decline creates a selling opportunity for traders who can short the market at a higher price.
█ What are the benefits of using the 2B Reversal Pattern?
The benefits of using the 2B Reversal pattern as a trader include identifying potential buying or selling opportunities with reduced risk. By waiting for the price to "spring back" to the initial breakout level, traders can avoid entering the market too soon and minimize the risk of potential losses.
█ How to use
Traders can use the 2B reversal pattern to identify reversals. If the pattern occurs after an uptrend, traders may sell their long positions or enter a short position, anticipating a reversal to a downtrend. If the pattern occurs after a downtrend, traders may sell their short positions or enter a long position, anticipating a reversal to an uptrend.
█ Consolidation Strategy
First, traders should identify a period of price consolidation or a trading range where the price has been trading sideways for some time. The key feature of the "spring pattern" is a sudden, sharp move downward/upwards through the lower/upper boundary of this trading range, often accompanied by high volume.
However, instead of continuing to move lower/higher, the price then quickly recovers and moves back into the trading range, often on low volume. This quick recovery is the "spring" part of the pattern and suggests that the market has rejected the lower/higher price and that buying/selling pressure is building.
Traders may use the "spring pattern" as a signal to buy/sell the asset, suggesting strong demand/supply for the stock at the lower/higher price level. However, as with all trading strategies, it is important to use other indicators and to manage risk to minimize potential losses carefully.
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Disclaimer
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
Pivot Pattern Boundaries [cajole]
This script automatically detects horizontal support / resistance levels based on user-programmable criteria.
For example, you can detect boundaries with >3 touches within 200 days, allowing a tolerance of 1/4*ATR.
"Touches" are defined from pivots on the chart. The best way to search for larger/smaller patterns is to increase/decrease the pivot size.*
Future versions will allow "exceptions (i.e. keep drawing the horizontal line even if it is breached once or twice).
*TradingView's Pine script defines a Pivot as the highest point in a group. So, entering "2" means that a day's high needs to be above 2 days before and after (xxYxx) to be considered a high pivot.
This script can be an aid in drawing multiple patterns with horizontal boundaries (rectangles, triangles, head and shoulders, cup & handles, VCPs). I have intentionally avoided trying to code detection of the "other side" of these patterns, as that is where the craft of charting becomes an art.
