Exhaustion Signal

16 thg 8, 2023

Exhaustion Signal

The Exhaustion Signal involves monitoring a sequence of consecutive bars within a price chart. This analytical approach aims to identify instances where the price exhibits pronounced movement, potentially indicating an upcoming shift in the current trend. The methodology works by assigning values to bars based on their relationship with the closing price of a bar from four periods ago. If a subsequent bar's closing price surpasses the close of the bar from four periods ago, the count advances. However, if the closing price falls below the close of the bar from four periods ago, the count is reset. This counting process continues until a predetermined count value is reached. The appearance of this count value within the exhaustion signal framework signifies a market that has extended beyond typical levels, suggesting the possibility of a temporary pause or even a reversal in the existing trend.

It's important to note that, as per the principles of this approach, the exhaustion signal by itself is not designed to function as a standalone trading indicator. The broader market context and the application of additional analysis techniques influence its significance and potential trading implications.

17 thg 8, 2023

Phát hành các Ghi chú

Minor backend code change - no impact on user.

17 thg 8, 2023

Phát hành các Ghi chú

Modified to allow users to change the number of candles counted (default is nine).

7 thg 9, 2023

Phát hành các Ghi chú

Added a second exhaustion signal with a default value of 12.

17 thg 5, 2024

Phát hành các Ghi chú

Updated the alert mechanism

17 thg 5, 2024

Phát hành các Ghi chú

Minor clean-up of script.

30 thg 5, 2024

Phát hành các Ghi chú

Minor clean-up and updated chart image

20 thg 7, 2024

Phát hành các Ghi chú

Improved the calculation so both exhaustion signal counts only reset after a successful 12 count (or failure beforehand), rather than having the 9 reset on a successful 9 count.

22 thg 7, 2024

Phát hành các Ghi chú

Additional improvements to the calculation function.
Candles after the first exhaustion signal (9 count) must now close above (or below) the candle 3 prior, rather than 4 prior. This ensures the second exhaustion signal candle closed above (or below) the first exhaustion signal.

22 thg 12, 2024

Phát hành các Ghi chú

Level 3 signals were triggering on incorrect candles. The logic for the calculation section has been overhauled and fixed.

23 thg 12, 2024

Phát hành các Ghi chú

Bug fix on the new calculation - cycles were resetting to 0 instead of 1

23 thg 12, 2024

Phát hành các Ghi chú

Another bug fix in the calculation logic.

3 thg 1

Phát hành các Ghi chú

Found another issue with how the cycle was being calculated and reset after implementation of the level 3 signal. It should be resolved now.

4 thg 1

Phát hành các Ghi chú

Minor formatting changes

6 thg 1

Phát hành các Ghi chú

Minor formatting updates

6 thg 1

Phát hành các Ghi chú

Minor formatting updates

11 thg 1

Phát hành các Ghi chú

Adding the third level signal created a lot of unexpected complexities to the script. There are certain scenarios of price action that can throw it off and are hard to catch during development and testing.

This update attempts to resolve any remaining bugs with the script since introducing the level 3 signal.

1 thg 5

Phát hành các Ghi chú

Bug fix on some level 3 counts and script optimization.

12 thg 7

Phát hành các Ghi chú

New Feature: Alerts
How to use:

• Enter indicator settings and select which alerts you want to receive (bias and signal level)
  
• Choose timeframe on chart
  
• Right click on signal and select Add Alert on ES
• Leave it set to Any alert() function call

Before setting another alert, make sure to update the settings to the alerts you want to receive for that ticker and timeframe.

Additional code cleanup and optimization was done.