Optimal Retracement

📘 Optimal Retracement
Fibonacci Retracement Confluence Indicator
(Protected Source)

🧭 Overview
Optimal Retracement is a clean, professional Fibonacci retracement engine that finds price cluster zones where multiple retracements from recent swings align within a tight range. It mirrors the minimalist style of your projection tool: single horizontal lines, right-edge labels with ratio and price, optional price-scale markers, and a clustering core that designates one Prime retracement level with spaced Secondary levels.

⚙️ Core Features

Automatic Trend Bias
Select Auto (EMA-based), Up, or Down to focus calculations on the relevant swing direction.

Swing-Based Anchoring (Non-Repainting)
Builds swing legs from confirmed pivots (left/right bars), scanning a user-defined number of recent swings before computing retracement sets.

Fibonacci Retracements (Boroden)
Standard ratios: 0.236, 0.382, 0.500, 0.618, 0.786
• Up bias (Low→High): computes pullback support below the high.
• Down bias (High→Low): computes pullback resistance above the low.

Cluster Engine (Confluence Finder)
Groups nearby retracement levels within a tick-based tolerance, selects the highest-overlap Prime Cluster, and filters Secondary targets using a minimum spacing rule—keeping charts crisp and readable.

Smart Visualization
• One line per level, extending right a fixed length (configurable).
• Compact right-edge labels (ratio + exact price).
• Optional price-scale markers (Prime + up to two Secondaries).
• Distinct colors/widths for Prime vs Secondary levels.

Alerts Built-In
• Near Prime Cluster — when price approaches the Prime zone.
• Crossed Prime Cluster — when price breaks through the Prime zone.
(Optional runtime alerts include symbol, timeframe, and price.)

🎯 How to Use

Timeframe: Works on any TF; many prefer 1H–Daily for structure.

Bias: Set Auto, Up, or Down to align with trend context.

Swings: Tune Pivot Left/Right and Swings to Scan (e.g., 5–8).

Ratios: Toggle which retracement ratios to include.

Clustering: Adjust Cluster Tolerance (ticks), Min Members, and Min Spacing to instrument volatility/tick size.

Read: Use the Prime retracement cluster as your decision zone; Secondaries offer alternates if Prime is invalidated.

Alerts: Enable Near / Cross alerts to automate monitoring.

💡 Why It’s Different
Basic fib tools draw static lines from one swing. Optimal Retracement aggregates retracements across multiple recent swings and performs mathematical clustering to isolate the most overlapped zone. You get fewer lines, higher informational density, and an objective Prime level—a clean pullback map that pairs perfectly with projection/extension tools.

🔐 Protected Source Notice
Published as a Protected Script to preserve proprietary clustering, swing selection, and visualization design. All calculations, alerts, and visuals are fully functional while the core logic remains secured, consistent with TradingView’s standards for unique, non-trivial scripts.

⚠️ Disclaimer
For educational and analytical purposes only. This tool does not constitute financial advice or performance guarantees. Always perform independent analysis and manage risk appropriately.

🏷 Credits
Methodology inspired by Carolyn Boroden’s Fibonacci work (retracements & price clusters), adapted into a modern, cluster-driven retracement workflow with a minimal chart footprint.