SPY Weekly Trading Strategy - ARK Indicator
Disclaimer: This is not financial advise, please consult with your licensed Financial Advisor for investment advise
Hello everyone,
This Script is designed to spot trends and provide you with an entry and exit points.
Rules of Trading with this Indicator:
1- The best risk/reward ratio of this indicator is that you buy at the very first buy Signal "B" and Sell at the very first Sell Signal "S"
2- and Repeat ....as simple as that
Few notes:
1- The repeats of the buy/sell signal are just confirmation of the the trend so to maximize the chances of being profitable, always start when the trend flips (From Sell to buy and vice versa).
2- No signal indicates that you maybe on an up/down trend depending on what the last signal was but the trend is starting to get weak
3- Once a trend is spotted by the algorithm, it will plot a line to establish, entry and exit depending on the direction of the trend (green for buying and red for selling)
4- you will notice that during up trend since the indicator recommends buying only entry points will be suggested with the help of a green line to give you an exact entry point, it is important that the price reaches that entry point for you to pull the trigger, however once the trend gets exhausted it will start to plot a red line so you are mentally prepared that a counter trend might be just around the corner (this is a pretty useful feature)
5- Recommended Settings: The most important setting that you need to be mindful of is "Signal Frequency", based on my observation so far, 2 works best with Weekly & monthly Charts, 8 with Daily Charts , and 10 with hourly charts or lower. As you know the price of a security depends on countless variables, including but not limited to general market condition, success/failure of the underlying security, and the psychology of the market participants of the security, so you can play around with the signal frequency to see what gives you the optimal/profitable signal in the historical candles.
6- the indicator comes with 3 moving averages since some traders/investors like to use moving averages, if you don't need them feel free to turn them off in the settings. they aren't part of any thing used behind the scene.
any questions feel free to contact me by commenting below.
Note: if you have any useful ideas on how to enhance the indicator, please don't be shy!
Warm regards & best of luck!
Ahmad
Hello everyone,
This Script is designed to spot trends and provide you with an entry and exit points.
Rules of Trading with this Indicator:
1- The best risk/reward ratio of this indicator is that you buy at the very first buy Signal "B" and Sell at the very first Sell Signal "S"
2- and Repeat ....as simple as that
Few notes:
1- The repeats of the buy/sell signal are just confirmation of the the trend so to maximize the chances of being profitable, always start when the trend flips (From Sell to buy and vice versa).
2- No signal indicates that you maybe on an up/down trend depending on what the last signal was but the trend is starting to get weak
3- Once a trend is spotted by the algorithm, it will plot a line to establish, entry and exit depending on the direction of the trend (green for buying and red for selling)
4- you will notice that during up trend since the indicator recommends buying only entry points will be suggested with the help of a green line to give you an exact entry point, it is important that the price reaches that entry point for you to pull the trigger, however once the trend gets exhausted it will start to plot a red line so you are mentally prepared that a counter trend might be just around the corner (this is a pretty useful feature)
5- Recommended Settings: The most important setting that you need to be mindful of is "Signal Frequency", based on my observation so far, 2 works best with Weekly & monthly Charts, 8 with Daily Charts , and 10 with hourly charts or lower. As you know the price of a security depends on countless variables, including but not limited to general market condition, success/failure of the underlying security, and the psychology of the market participants of the security, so you can play around with the signal frequency to see what gives you the optimal/profitable signal in the historical candles.
6- the indicator comes with 3 moving averages since some traders/investors like to use moving averages, if you don't need them feel free to turn them off in the settings. they aren't part of any thing used behind the scene.
any questions feel free to contact me by commenting below.
Note: if you have any useful ideas on how to enhance the indicator, please don't be shy!
Warm regards & best of luck!
Ahmad