BBSR Extreme Strategy [nachodog]The Bollinger Bands Stochastic RSI Extreme Strategy is a comprehensive trading approach designed for use on the TradingView platform, employing a combination of Bollinger Bands and the Stochastic RSI to identify potential entry and exit points in the market. This strategy is converted into Pine Script version 5 and is specifically tailored as a strategy rather than a mere study, allowing traders to simulate and backtest their trades within the TradingView environment.
Strategy Overview:
Bollinger Bands serve as the primary tool for volatility and price level analysis. By calculating the standard deviation of price movements around a simple moving average (SMA), this strategy identifies the upper and lower bounds of price fluctuations, helping traders spot potential reversal points.
Stochastic RSI is used to gauge the momentum by comparing the closing price's position relative to its price range over a certain period. This indicator helps in determining overbought or oversold conditions, providing insights into potential bullish or bearish momentum.
Entry Signals:
Bullish Entry: The strategy signals a long entry when the price moves from below to above the lower Bollinger Band, coupled with a Stochastic RSI indicating an exit from oversold conditions. This suggests an uptrend initiation, prompting a buy order.
Bearish Entry: Conversely, a short entry is signaled when the price drops from above to below the upper Bollinger Band while the Stochastic RSI moves from overbought territory. This condition indicates a potential downtrend, triggering a sell order.
Exit Criteria:
Stop Loss: A key feature of this strategy is the inclusion of a user-defined stop loss percentage, which helps manage risk by specifying the maximum allowable loss per trade.
Bearish Exit for Long Positions: Long positions are exited either when a bearish signal is detected or when the price crosses below the lower Bollinger Band, suggesting a reversal or weakening of the bullish trend.
Bullish Exit for Short Positions: Short positions are closed upon a bullish signal or when the price crosses above the upper Bollinger Band, indicating a potential reversal or diminishing bearish momentum.
Strategy Benefits:
The strategy provides a structured framework for entering and exiting trades, leveraging the strengths of both Bollinger Bands and Stochastic RSI.
It includes parameters for customization, such as the stop loss percentage, allowing traders to align the strategy with their risk tolerance and trading objectives.
The ability to backtest and simulate trades on TradingView enhances its utility, offering insights into the strategy's performance under historical market conditions.
Overall, the Bollinger Bands Stochastic RSI Extreme Strategy is designed for traders who seek to capitalize on trend reversals and momentum shifts, with built-in risk management features to safeguard against significant losses.
Tìm kiếm tập lệnh với "stop loss"
Strategy / Connectable [Azullian]The connectable strategy serves as a foundational component in our indicator system on TradingView, designed for intuitive testing, visualization, and construction of trading strategies. In concert with the connectable signal filter , it forms a cohesive unit that allows for efficient signal processing and strategy implementation. This integration enables the strategy to receive and act on weighted signals from various connectable indicators, making it a versatile tool for both novice and experienced traders.
Let's review the separate parts of this indicator.
█ STRATEGY INPUTS
We've provided an input to connect a signal filter or indicators or chains (→) which is set to 'Close' by default.
An input has several controls:
• Input: Connect indicators or signal filter here, choose indicators with a compatible : Signal connector.
• SM - Signal Mode: Choose a trading direction compatible with the settings in your signal filter
█ POSITION INVESTMENT
Determine the percentage of your trading budget you would like to use in each position based on the strategy's profit or loss.
• LINVB - Loss Investment Base: Choose which base to use to determine the investment percentage when the strategy is in a loss.
○ Equity: Use the equity as the base for percentage calculation.
○ Initial capital: Use the initial capital as the base for percentage calculation.
• LINV% - Loss Investment Percentage: Set a percentage of the chosen investment base as the investment for a new position.
○ For example, when 10% in loss, and a initial capital of $100, and the investment base is set to equity with a percentage of 50%, your investment will be 50% of $90, $45.
• PINVB - Profit Investment Base: Choose which base to use to determine the investment percentage when the strategy is in profit.
○ Equity: Use the equity as the base for percentage calculation.
○ Initial capital: Use the initial capital as the base for percentage calculation.
• PINV% - Profit Investment Percentage: Set a percentage of the chosen investment base as the investment for a new position.
○ For example, when 10% in profit, and an initial capital of $100, and the investment base is set to equity with a percentage of 100%, your investment will be 100% of $110, $110.
• RISK% - Risk Percentage:
○ Determine how much of the calculated position investment is at risk when the stop-loss is hit.
- For example, 1% of $45 represents a maximum loss of $0.45.
○ Risk percentage works together with the stop loss and the max leverage.
• MXLVG - Maximum Leverage:
○ Investigate the trading rules for your trading pair and use the maximum allowed amount of leverage.
○ To determine the number of contracts to be bought or sold, considering the stop loss and the specified risk percentage, the maximum leverage available will constrain the amount of leverage utilized to ensure that the maximum risk threshold is not exceeded. For instance, suppose the stop loss is set at 1%, and the risk percentage is defined as 10%. Initially, the calculated leverage to be used would be 10. However, if there is a maximum leverage cap set at 5, it would constrain the calculated leverage of 10 to adhere to the maximum limit of 5.
█ EXIT STOP LOSS
Determine the Stop Loss price based on your selected configuration.
As the stop loss is an integral part of the ordered contracts calculation used in conjunction with the Risk and Max leverage, you'll always need to provide a stop loss price.
• SLB - Stop Loss Base: Choose a stop loss mode for calculating stop loss prices.
○ Risk: Determines the price using the Risk parameter (RISK%) and maximum leverage (MXLVG). In this case, SLB% will not have any impact.
○ Price Entry + Offset: Calculates the stop loss price based on a offset percentage (SLB%) from the entry price of the position.
• SLB% - Stop Loss Base Percentage: Define an offset percentage that will be applied in the price entry + offset stop loss mode.
• SLT - Stop Loss Trailing:
○ Fixed: The initial stop loss will be kept and no trailing stop loss will be applied.
○ Trail Price: Computes the trailing stop loss price based on an offset percentage (SLT%) from the closing price of the current candle.
- If a better stop loss price is calculated, it will be set as the new stop loss price.
○ Trail Incr: Adapts the trailing stop loss price based on the offset percentage (SLT%).
- Each price change in favor of your position will incrementally adapt the trailing stop loss with SLT%.
• SLT% - Stop Loss Trailing Percentage: This percentage serves as an offset or increment depending on your chosen trailing mode.
█ EXIT TAKE PROFIT
Determine the Take Profit price based on your selected configuration.
• TPB - Take Profit Base: Choose a take profit mode for calculating take profit prices.
○ Reward: Determines the take profit price using the Risk parameter (RISK%) and the calculated Stop Loss price and the set reward percentage (TPB%).
- For example: Risk 1%, Calculated Stop loss price: $90, Entry price: $100, Reward (TPB%): 2%, will result in a take profit price on $120.
○ Price Entry + Offset: Calculates the take profit price based on a offset percentage (TPB%) from the entry price of the position.
- For example: Entry price: $100, Offset (TPB%): 2%, will result in a take profit price on $102.
• TPB% - Take Profit Base Percentage: Define an offset percentage that will be applied in the price entry + offset take profit mode.
• TPT - Take Profit Trailing:
○ Fixed: The initial take profit will be kept and no trailing take profit will be applied.
○ Trail Price: Computes the trailing take profit price based on an offset percentage (TPT%) from the closing price of the current candle.
- If an applicable take profit price is calculated, it will be set as the new take profit price.
○ Trail Incr: Adapts the trailing take profit price based on the offset percentage (TPT%). Each price change against your position will incrementally adapt the trailing take profit with TPT%.
• TPT% - Take Profit Trailing Percentage: This percentage serves as an offset or increment depending on your chosen trailing mode.
█ STRATEGY CONDITIONS
Specify when the strategy is permitted to execute trades.
• DATE: Enable the Date Range filter to restrict entries to a specific date range.
○ START: Set a start date and hour to commence trading.
○ END: Set an end date and hour to conclude trading within the defined range.
■ VISUALS
• LINE: Activate a colored dashed diagonal line to visually connect the entry and exit points of positions.
• SLTP: Enable visualization of stop loss, take profit, and break-even levels.
• PNL: Enable Break-Even and Close Lines along with a colored area in between to visualize profit and loss.
• ☼: Brightness % : Adjust the opacity of the plotted trading visuals.
• P - Profit Color : Choose the color for profit-related elements.
• L - Loss Color: Choose the color for loss-related elements.
• B - Breakeven Color : Select the color for break-even points.
• EL - Long Color: Specify the color for long positions.
• ES - Short Color: Specify the color for short positions.
• TRADE LABELING: For better analysis we've labeled all entries and exits conform with the type of order your strategy has executed, some examples:
○ XL-TP-150: Exit Long - Take Profit - Position 150
○ XS-TP-154: Exit Short - Take Profit - Position 154
○ XL-SL-160: Exit Long - Stop Loss - Position 160
○ XS-SL-164: Exit Short - Stop Loss - Position 164
█ USAGE OF CONNECTABLE INDICATORS
■ Connectable chaining mechanism
Connectable indicators can be connected directly to the signal monitor, signal filter or strategy , or they can be daisy chained to each other while the last indicator in the chain connects to the signal monitor, signal filter or strategy. When using a signal filter you can chain the filter to the strategy input to make your chain complete.
• Direct chaining: Connect an indicator directly to the signal monitor, signal filter or strategy through the provided inputs (→).
• Daisy chaining: Connect indicators using the indicator input (→). The first in a daisy chain should have a flow (⌥) set to 'Indicator only'. Subsequent indicators use 'Both' to pass the previous weight. The final indicator connects to the signal monitor, signal filter, or strategy.
■ Set up the strategy with a signal filter and an RSI indicator
Let's connect the Strategy to a connectable signal filter and a connectable RSI indicator :
1. Load all relevant indicators
• Load RSI / Connectable
• Load Signal filter / Connectable
• Load Strategy / Connectable
2. Signal Filter: Connect the RSI to the Signal Filter
• Open the signal filter settings
• Choose one of the three input dropdowns (1→, 2→, 3→) and choose : RSI / Connectable: Signal Connector
• Toggle the enable box before the connected input to enable the incoming signal
3. Signal Filter: Update the filter signals settings if needed
• The default settings of the filter enable EL (Enter Long), XL (Exit Long), ES (Enter Short) and XS (Exit Short).
4. Signal Filter: Update the weight threshold settings if needed
• All connectable indicators load by default with a score of 6 for each direction (EL, XL, ES, XS)
• By default, weight threshold (TH) is set at 5. This allows each occurrence to score, as the default score in each connectable indicator is 1 point above the threshold. Adjust to your liking.
5. Strategy: Connect the strategy to the signal filter in the strategy settings
• Select the strategy input → and select the Signal filter: Signal connector
6. Strategy: Enable filter compatible directions
• Set the signal mode of the strategy to a compatible direction with the signal filter.
Now that everything is connected, you'll notice green spikes in the signal filter representing long signals, and red spikes indicating short signals. Trades will also appear on the chart, complemented by a performance overview. Your journey is just beginning: delve into different scoring mechanisms, merge diverse connectable indicators, and craft unique chains. Instantly test your results and discover the potential of your configurations. Dive deep and enjoy the process!
█ BENEFITS
• Adaptable Modular Design: Arrange indicators in diverse structures via direct or daisy chaining, allowing tailored configurations to align with your analysis approach.
• Streamlined Backtesting: Simplify the iterative process of testing and adjusting combinations, facilitating a smoother exploration of potential setups.
• Intuitive Interface: Navigate TradingView with added ease. Integrate desired indicators, adjust settings, and establish alerts without delving into complex code.
• Signal Weight Precision: Leverage granular weight allocation among signals, offering a deeper layer of customization in strategy formulation.
• Advanced Signal Filtering: Define entry and exit conditions with more clarity, granting an added layer of strategy precision.
• Clear Visual Feedback: Distinct visual signals and cues enhance the readability of charts, promoting informed decision-making.
• Standardized Defaults: Indicators are equipped with universally recognized preset settings, ensuring consistency in initial setups across different types like momentum or volatility.
• Reliability: Our indicators are meticulously developed to prevent repainting. We strictly adhere to TradingView's coding conventions, ensuring our code is both performant and clean.
█ COMPATIBLE INDICATORS
Each indicator that incorporates our open-source 'azLibConnector' library and adheres to our conventions can be effortlessly integrated and used as detailed above.
For clarity and recognition within the TradingView platform, we append the suffix ' / Connectable' to every compatible indicator.
█ COMMON MISTAKES AND CLARIFICATIONS
• Removing an indicator from a chain: Deleting a linked indicator and confirming the "remove study tree" alert will also remove all underlying indicators in the object tree. Before removing one, disconnect the adjacent indicators and move it to the object stack's bottom.
• Point systems: The azLibConnector provides 500 points for each direction (EL: Enter long, XL: Exit long, ES: Enter short, XS: Exit short) Remember this cap when devising a point structure.
• Flow misconfiguration: In daisy chains the first indicator should always have a flow (⌥) setting of 'indicator only' while other indicator should have a flow (⌥) setting of 'both'.
• Recalculate: While this strategy has undergone extensive testing, enabling recalculation options like 'After order is filled' or 'On every tick' may lead to unexpected behavior.
• Fill orders: The strategy is thoroughly tested, yet enabling fill order options such as 'Using bar magnifier', 'On bar close', or 'Using standard OHLC' might result in unexpected outcomes.
• Layout and abbreviations: To maintain a consistent structure, we use abbreviations for each input. While this may initially seem complex, you'll quickly become familiar with them. Each abbreviation is also explained in the inline tooltips.
• Optimized for crypto trading: While many principles are common across markets, this strategy is specifically optimized and tested for crypto trading.
• Inputs: Connecting a connectable indicator directly to the strategy delivers the raw signal without a weight threshold, meaning every signal will trigger a trade.
█ A NOTE OF GRATITUDE
Through years of exploring TradingView and Pine Script, we've drawn immense inspiration from the community's knowledge and innovation. Thank you for being a constant source of motivation and insight.
█ RISK DISCLAIMER
Azullian's content, tools, scripts, articles, and educational offerings are presented purely for educational and informational uses. Please be aware that past performance should not be considered a predictor of future results.
3kilos BTC 15mThe "3kilos BTC 15m" is a comprehensive trading strategy designed to work on a 15-minute timeframe for Bitcoin (BTC) or other cryptocurrencies. This strategy combines multiple indicators, including Triple Exponential Moving Averages (TEMA), Average True Range (ATR), and Heikin-Ashi candlesticks, to generate buy and sell signals. It also incorporates risk management features like take profit and stop loss.
Indicators
Triple Exponential Moving Averages (TEMA): Three TEMA lines are used with different lengths and sources:
Short TEMA (Red) based on highs
Long TEMA 1 (Blue) based on lows
Long TEMA 2 (Green) based on closing prices
Average True Range (ATR): Custom ATR calculation with EMA smoothing is used for volatility measurement.
Supertrend: Calculated using ATR and a multiplier to determine the trend direction.
Simple Moving Average (SMA): Applied to the short TEMA to smooth out its values.
Heikin-Ashi Close: Used for additional trend confirmation.
Entry & Exit Conditions
Long Entry: Triggered when the short TEMA is above both long TEMA lines, the Supertrend is bullish, the short TEMA is above its SMA, and the Heikin-Ashi close is higher than the previous close.
Short Entry: Triggered when the short TEMA is below both long TEMA lines, the Supertrend is bearish, the short TEMA is below its SMA, and the Heikin-Ashi close is lower than the previous close.
Take Profit and Stop Loss: Both are calculated as a percentage of the entry price, and they are set for both long and short positions.
Risk Management
Take Profit: Set at 1% above the entry price for long positions and 1% below for short positions.
Stop Loss: Set at 3% below the entry price for long positions and 3% above for short positions.
Commission and Pyramiding
Commission: A 0.07% commission is accounted for in the strategy.
Pyramiding: The strategy does not allow pyramiding.
Note
This strategy is designed for educational purposes and should not be considered as financial advice. Always do your own research and consider consulting a financial advisor before engaging in trading.
JS-TechTrading: Supertrend-Strategy_Basic versionAre you looking for a reliable and profitable algorithmic trading strategy for TradingView? If so, you might be interested in our Supertrend basic strategy, which is based on three powerful indicators: Supertrend (ATR), RSI and EMA.
Supertrend is a trend-following indicator that helps you identify the direction and strength of the market. It also gives you clear signals for entry and exit points based on price movements.
RSI is a momentum indicator that measures the speed and change of price movements. It helps you filter out false signals and avoid overbought or oversold conditions.
EMA is a moving average indicator that smooths out price fluctuations and shows you the long-term trend of the market. It helps you confirm the validity of your trades and avoid trading against the trend.
Our Supertrend basic strategy combines these three indicators to give you a simple yet effective way to trade any market. Here's how it works:
- For long trades, you enter when the price is above Supertrend and pulls back below it (the low of the candle crosses Supertrend) and then rebounds above it (the high of the next candle goes above the pullback candle). You exit when the price closes below Supertrend or when you reach your target profit or stop loss.
- For short trades, you enter when the price is below Supertrend and pulls back above it (the high of the candle crosses Supertrend) and then drops below it (the low of the next candle goes below the pullback candle). You exit when the price closes above Supertrend or when you reach your target profit or stop loss.
- You can also use RSI and EMA filters to improve your results. For long trades, you only enter if RSI is above 50 and price is above 200 EMA. For short trades, you only enter if RSI is below 50 and price is below 200 EMA.
- You can set your stop loss and target profit as a percentage of your entry price or based on other criteria. You can also adjust the parameters of each indicator according to your preferences and risk tolerance.
Our Supertrend basic strategy is easy to use and has been tested on various markets and time frames. It can help you capture consistent profits while minimizing your losses.
Orion:SagittaSagitta
Sagitta is an indicator the works to assist in the validation of potential long entries and to place stop-loss orders. Sagitta is not a "golden indicator" but more of a confirmation indicator of what prices might be suggesting.
The concept is that while stocks can turn in one bar, it usually takes two bars or more to signal a turn. So, using a measurement of two bars help determine the potential turning of prices.
Behind the scenes, Sagitta is nothing more than a 2 period stochastic which has had its values divided into five specific zones.
Dividing the range of the two bars in five sections, the High is equal to 100 and the Low is equal to 0.
The zones are:
20 = bearish (red) – This is when the close is the lower 20% of the two bars
40 = bearish (orange) – This is when the close is between the lower 20% and 40% of the two bars.
60 = neutral (yellow) – This is when the close is between the middle 40% - 60% of the two bars.
80 = bullish (blue) – This is when the close is between the upper 60% - 80% of the two bars.
100 = bullish (green) – This is when the close is above the upper 80% of the bar.
The general confirmation concept works as such:
When the following bar is of a higher value than the previous bar, there is potential for further upward price movement. Conversely when the following bar is lower than the previous bar, there is potential for further downward movement.
Going from a red bar to orange bar Might be an indication of a positive turn in direction of prices.
Going from a green bar to an orange bar would also be considered a negative directional turn of prices.
When the follow on bar decreases (ie, green to blue, blue to yellow, etc) placing a stop-loss would be prudent.
Maroon lines in the middle of a bar is an indication that prices are currently caught in consolidation.
Silver/Gray bars indicate that a high potential exists for a strong upward turn in prices exists.
Consolidation is calculated by determining if the close of one bar is between the high and low of another bar. This then establishes the range high and low. As long as closes continue with this range, the high and low of the range can expand. When the close is outside of the range, the consolidation is reset.
Signals in areas of consolidation (maroon center bar) should be looked upon as if the prices are going to challenge the high of the consolidation range and not necessarily break through.
The entry technique used is:
The greater of the following two calculations:
High of signal bar * 1.002 or High of signal bar + .03
The stop-loss technique used is:
The lesser of the following two calculations:
Low of signal bar * .998 or Low of signal bar - .03
IF an entry signal is generated and the price doesn’t reach the entry calculation. It is considered a failed entry and is not considered a negative or that you missed out on something. This has saved you from losing money since the prices are not ready to commit to the direction.
When placing a stop-loss, it is never suggested that you lower the value of a stop-loss. Always move your stop-losses higher in order to lock in profit in case of a negative turn.
Investments/swing trading strategy for different assetsStop worrying about catching the lowest price, it's almost impossible!: with this trend-following strategy and protection from bearish phases, you will know how to enter the market properly to obtain benefits in the long term.
Backtesting context: 1899-11-01 to 2023-02-16 of SPX by Tvc. Commissions: 0.05% for each entry, 0.05% for each exit. Risk per trade: 2.5% of the total account
For this strategy, 5 indicators are used:
One Ema of 200 periods
Atr Stop loss indicator from Gatherio
Squeeze momentum indicator from LazyBear
Moving average convergence/divergence or Macd
Relative strength index or Rsi
Trade conditions:
There are three type of entries, one of them depends if we want to trade against a bearish trend or not.
---If we keep Against trend option deactivated, the rules for two type of entries are:---
First type of entry:
With the next rules, we will be able to entry in a pull back situation:
Squeeze momentum is under 0 line (red)
Close is above 200 Ema and close is higher than the past close
Histogram from macd is under 0 line and is higher than the past one
Once these rules are met, we enter into a buy position. Stop loss will be determined by atr stop loss (white point) and break even(blue point) by a risk/reward ratio of 1:1.
For closing this position: Squeeze momentum crosses over 0 and, until squeeze momentum crosses under 0, we close the position. Otherwise, we would have closed the position due to break even or stop loss.
Second type of entry:
With the next rules, we will not lose a possible bullish movement:
Close is above 200 Ema
Squeeze momentum crosses under 0 line
Once these rules are met, we enter into a buy position. Stop loss will be determined by atr stop loss (white point) and break even(blue point) by a risk/reward ratio of 1:1.
Like in the past type of entry, for closing this position: Squeeze momentum crosses over 0 and, until squeeze momentum crosses under 0, we close the position. Otherwise, we would have closed the position due to break even or stop loss.
---If we keep Against trend option activated, the rules are the same as the ones above, but with one more type of entry. This is more useful in weekly timeframes, but could also be used in daily time frame:---
Third type of entry:
Close is under 200 Ema
Squeeze momentum crosses under 0 line
Once these rules are met, we enter into a buy position. Stop loss will be determined by atr stop loss (white point) and break even(blue point) by a risk/reward ratio of 1:1.
Like in the past type of entries, for closing this position: Squeeze momentum crosses over 0 and, until squeeze momentum crosses under 0, we close the position. Otherwise, we would have closed the position due to break even or stop loss.
Risk management
For calculating the amount of the position you will use just a small percent of your initial capital for the strategy and you will use the atr stop loss for this.
Example: You have 1000 usd and you just want to risk 2,5% of your account, there is a buy signal at price of 4,000 usd. The stop loss price from atr stop loss is 3,900. You calculate the distance in percent between 4,000 and 3,900. In this case, that distance would be of 2.50%. Then, you calculate your position by this way: (initial or current capital * risk per trade of your account) / (stop loss distance).
Using these values on the formula: (1000*2,5%)/(2,5%) = 1000usd. It means, you have to use 1000 usd for risking 2.5% of your account.
We will use this risk management for applying compound interest.
In settings, with position amount calculator, you can enter the amount in usd of your account and the amount in percentage for risking per trade of the account. You will see this value in green color in the upper left corner that shows the amount in usd to use for risking the specific percentage of your account.
Script functions
Inside of settings, you will find some utilities for display atr stop loss, break evens, positions, signals, indicators, etc.
You will find the settings for risk management at the end of the script if you want to change something. But rebember, do not change values from indicators, the idea is to not over optimize the strategy.
If you want to change the initial capital for backtest the strategy, go to properties, and also enter the commisions of your exchange and slippage for more realistic results.
If you activate break even using rsi, when rsi crosses under overbought zone break even will be activated. This can work in some assets.
---Important: In risk managment you can find an option called "Use leverage ?", activate this if you want to backtest using leverage, which means that in case of not having enough money for risking the % determined by you of your account using your initial capital, you will use leverage for using the enough amount for risking that % of your acount in a buy position. Otherwise, the amount will be limited by your initial/current capital---
Some things to consider
USE UNDER YOUR OWN RISK. PAST RESULTS DO NOT REPRESENT THE FUTURE.
DEPENDING OF % ACCOUNT RISK PER TRADE, YOU COULD REQUIRE LEVERAGE FOR OPEN SOME POSITIONS, SO PLEASE, BE CAREFULL AND USE CORRECTLY THE RISK MANAGEMENT
Do not forget to change commissions and other parameters related with back testing results!
Some assets and timeframes where the strategy has also worked:
BTCUSD : 4H, 1D, W
SPX (US500) : 4H, 1D, W
GOLD : 1D, W
SILVER : 1D, W
ETHUSD : 4H, 1D
DXY : 1D
AAPL : 4H, 1D, W
AMZN : 4H, 1D, W
META : 4H, 1D, W
(and others stocks)
BANKNIFTY : 4H, 1D, W
DAX : 1D, W
RUT : 1D, W
HSI : 1D, W
NI225 : 1D, W
USDCOP : 1D, W
Harmonic Pattern Detection, Prediction, and Backtesting ToolOverview:
The ultimate harmonic XABCD pattern identification, prediction, and backtesting system.
Harmonic patterns are among the most accurate of trading signals, yet they're widely underutilized because they can be difficult to spot and tedious to validate. If you've ever come across a pattern and struggled with questions like "are these retracement ratios close enough to the harmonic ratios?" or "what are the Potential Reversal levels and are they confluent with point D?", then this tool is your new best friend. Or, if you've never traded harmonic patterns before, maybe it's time to start. Put away your drawing tools and calculators, relax, and let this indicator do the heavy lifting for you.
- Identification -
An exhaustive search across multiple pivot lengths ensures that even the sneakiest harmonic patterns are identified. Each pattern is evaluated and assigned a score, making it easy to differentiate weak patterns from strong ones. Tooltips under the pattern labels show a detailed breakdown of the pattern's score and retracement ratios (see the Scoring section below for details).
- Prediction -
After a pattern is identified, paths to potential targets are drawn, and Potential Reversal Zone (PRZ) levels are plotted based on the retracement ratios of the harmonic pattern. Targets are customizable by pattern type (e.g. you can specify one set of targets for a Gartley and another for a Bat, etc).
- Backtesting -
A table shows the results of all the patterns found in the chart. Change your target, stop-loss, and % error inputs and observe how it affects your success rate.
//------------------------------------------------------
// Scoring
//------------------------------------------------------
A percentage-based score is calculated from four components:
(1) Retracement % Accuracy - this measures how closely the pattern's retracement ratios match the theoretical values (fibs) defined for a given harmonic pattern. You can change the "Allowed fib ratio error %" in Settings to be more or less inclusive.
(2) PRZ Level Confluence - Potential Reversal Zone levels are projected from retracements of the XA and BC legs. The PRZ Level Confluence component measures the closeness of the closest XA and BC retracement levels, relative to the total height of the PRZ.
(3) Point D / PRZ Confluence - this measures the closeness of point D to either of the closest two PRZ levels (identified in the PRZ Level Confluence component above), relative to the total height of the PRZ. In theory, the closer together these levels are, the higher the probability of a reversal.
(4) Leg Length Symmetry - this measures the ΔX symmetry of each leg. You can change the "Allowed leg length asymmetry %" in settings to be more or less inclusive.
So, a score of 100% would mean that (1) all leg retracements match the theoretical fib ratios exactly (to 16 decimal places), (2) the closest XA and BC PRZ levels are exactly the same, (3) point D is exactly at the confluent PRZ level, and (4) all legs are exactly the same number of bars. While this is theoretically possible, you have better odds of getting struck by lightning twice on a sunny day.
Calculation weights of all four components can be changed in Settings.
//------------------------------------------------------
// Targets
//------------------------------------------------------
A hard-coded set of targets are available to choose from, and can be applied to each pattern type individually:
(1) .618 XA = .618 retracement of leg XA, measured from point D
(2) 1.272 XA = 1.272 retracement of leg XA, measured from point D
(3) 1.618 XA = 1.618 retracement of leg XA, measured from point D
(4) .618 CD = .618 retracement of leg CD, measured from point D
(5) 1.272 CD = 1.272 retracement of leg CD, measured from point D
(6) 1.618 CD = 1.618 retracement of leg CD, measured from point D
(7) A = point A
(8) B = point B
(9) C = point C
//------------------------------------------------------
// Stops
//------------------------------------------------------
Stop-loss levels are also user-defined, in one of three ways:
(1) % beyond the furthest PRZ level (below the PRZ level for bullish patterns, and above for bearish)
(2) % beyond point D
(3) % of distance to Target 1, beyond point D. This method allows for a proper Risk:Reward approach by defining your potential losses as a percentage of the potential gains. This is the default.
//------------------------------------------------------
// Results Table / Backtesting Statistics
//------------------------------------------------------
To properly assess the effectiveness of a specific pattern type, a time limit is enforced for a completed pattern to reach the targets or the stop level. When this time limit expires, the pattern has "timed out", and is no longer considered in the Success Rate statistics. During the time limit period, if price reaches Target 1 before reaching the Stop level, the pattern is considered successful. Conversely, if price reaches the Stop level before reaching Target 1, the pattern is considered a failure. The time limit can be changed in Settings, and is defined in terms of the total pattern length (point X to point D). It is set to 1.5 by default.
Increasing the time limit value will give you more realistic Success Rate values, but will less accurately represent the success rate of the harmonic patterns (i.e. the more time that elapses after a pattern completes, the less likely it is that the price action is related to that pattern).
//------------------------------------------------------
// Coming soon...
//------------------------------------------------------
I have a handful of other features in development, including:
(1) Drawing incomplete patterns as they develop. This will allow you more time to plan entries and stops, or potentially trade reversals from point C to point D PRZ levels.
(2) Support for the Shark and Cypher patterns
(3) Alerts
Please report any bugs, runtime errors, other issues or enhancement suggestions.
I also welcome any feedback from experienced harmonic pattern traders, especially regarding your strategy for setting targets and stop-losses.
@reees
Multi-Timeframe Trend Indicator with Signals═══════════════════════════════════════════════════════════════
Multi-Timeframe Trend Indicator with Signals
by Zakaria Safri
═══════════════════════════════════════════════════════════════
⚠️ IMPORTANT DISCLAIMERS:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
• This indicator may REPAINT on unconfirmed bars
• Signals appear in real-time but may change or disappear
• FOR EDUCATIONAL PURPOSES ONLY - NOT FINANCIAL ADVICE
• Past performance does not guarantee future results
• Always do your own research and use proper risk management
• The Risk Management feature is VISUAL ONLY - does not execute trades
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
📊 OVERVIEW:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
This indicator combines multiple technical analysis tools to help identify
potential trend directions and entry/exit points across different timeframes.
It uses SuperTrend, EMAs, ADX, RSI, and Keltner Channels to generate signals.
🎯 KEY FEATURES:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
📍 SIGNAL TYPES:
• All Signals: Shows all SuperTrend crossovers
• Filtered Signals: Additional EMA filter for potentially higher quality signals
• Signals use barstate.isconfirmed to reduce (but not eliminate) repainting
📈 TREND ANALYSIS:
• Trend Ribbon: 8 EMAs creating a visual trend direction indicator
• Trend Cloud: EMA 150/250 cloud for long-term trend context
• Chaos Trend Line: Dynamic support/resistance trend line
• Multi-timeframe dashboard showing trend across 8 timeframes (3m to Daily)
📊 TECHNICAL INDICATORS:
• Keltner Channels: Dynamic price channels
• RSI Background: Visual overbought/oversold zones
• Candlestick Coloring: Three modes (CleanScalper/Trend Ribbon/Moving Average)
• ADX-based trend strength analysis for MTF dashboard
🎯 VISUAL TOOLS:
• Order Blocks: Supply/demand zones (optional)
• Channel Breakouts: Pivot-based support/resistance levels
• Reversal Signals: RSI-based potential reversal indicators
• Visual TP/SL Lines: For reference only - does NOT execute trades
📊 DASHBOARD:
• Real-time multi-timeframe trend analysis
• Volatility indicator (Very Low to Very High)
• Current RSI value with color coding
• Customizable position and size
⚙️ SETTINGS:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
MAIN SETTINGS:
• Sensitivity: Controls signal frequency (lower = more signals)
• Signal Type: Choose between All Signals or Filtered Signals
• Factor: ATR multiplier for SuperTrend calculation
TREND SETTINGS:
• Toggle Trend Ribbon, Trend Cloud, Chaos Trend, Order Blocks
• Moving Average: Customizable EMA (default 200)
ADVANCED SETTINGS:
• Candlestick coloring with 3 different modes
• Overbought/Oversold background coloring
• Channel breakout levels
• Show/hide signals
RISK MANAGEMENT (VISUAL ONLY):
• ⚠️ Does NOT execute trades automatically
• Shows potential Take Profit levels (TP1, TP2, TP3)
• Shows potential Stop Loss level
• Adjustable TP strength multiplier
• For educational reference only
📖 HOW TO USE:
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1. SIGNAL INTERPRETATION:
• "Buy" signals appear below candles when conditions are met
• "Sell" signals appear above candles when conditions are met
• Wait for bar close confirmation to avoid repainting
• Use multiple timeframes for confluence
2. TREND CONFIRMATION:
• Check the multi-timeframe dashboard for trend alignment
• Use Trend Ribbon for visual trend direction
• Trend Cloud shows longer-term market bias
• Green candles = potential uptrend, Red = potential downtrend
3. ENTRY/EXIT STRATEGY:
• Combine signals with other analysis tools
• Check volatility status before entering trades
• Use support/resistance levels for confirmation
• The visual TP/SL lines are for planning only
4. RISK MANAGEMENT:
• Always use stop losses (indicator shows suggested levels only)
• Position size according to your risk tolerance
• Never risk more than you can afford to lose
• The indicator does NOT manage trades automatically
⚠️ LIMITATIONS & RISKS:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
REPAINTING:
• Signals may appear and disappear on unconfirmed bars
• Always wait for bar close before taking action
• Historical performance may look better than real-time results
FALSE SIGNALS:
• No indicator is 100% accurate
• Signals can fail in ranging/choppy markets
• Use additional confirmation methods
• Consider market context and fundamentals
VISUAL TP/SL:
• Lines are for reference/planning only
• Does NOT place or manage actual trades
• You must manually set your own stop losses
• TP levels are calculated estimates, not guarantees
🔧 TECHNICAL DETAILS:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
• Version: Pine Script v5
• Overlay: Yes (displays on main chart)
• Anti-repaint measures: Uses barstate.isconfirmed on signals
• Security function: Uses lookahead protection for higher timeframes
• Dynamic requests: Enabled for MTF analysis
• Max labels: 500
📚 COMPONENTS EXPLAINED:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
SUPERTREND:
• Core signal generator using ATR-based bands
• Crossovers indicate potential trend changes
• Adjustable via Sensitivity and Factor inputs
EMA FILTER:
• Uses 200 EMA as trend filter (customizable)
• Filtered signals require price above/below EMA
• Helps reduce false signals in ranging markets
ADX TREND QUALITY:
• Measures trend strength across timeframes
• Used in multi-timeframe dashboard
• Shows Bullish/Bearish/Neutral states
KELTNER CHANNELS:
• Multiple bands showing volatility zones
• Color-coded based on RSI levels
• Helps identify overbought/oversold conditions
ORDER BLOCKS:
• Identifies supply/demand zones
• Based on price structure and pivots
• Can extend to the right for projection
💡 BEST PRACTICES:
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✓ Use multiple timeframe confirmation
✓ Wait for bar close before acting on signals
✓ Combine with support/resistance analysis
✓ Check overall market conditions
✓ Use proper risk management (1-2% per trade)
✓ Backtest on your specific market/timeframe
✓ Paper trade before using real money
✓ Keep a trading journal
✓ Adjust settings to your trading style
✗ Don't rely solely on this indicator
✗ Don't ignore risk management
✗ Don't trade on unconfirmed signals
✗ Don't overtrade every signal
✗ Don't use without understanding how it works
✗ Don't expect the TP/SL feature to trade for you
📞 SUPPORT & UPDATES:
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Creator: Zakaria Safri
Version: 4.3 (Compliance Update)
For questions or feedback, please use TradingView's comment section.
⚖️ FINAL DISCLAIMER:
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
This indicator is provided for EDUCATIONAL and INFORMATIONAL purposes only.
It is NOT financial advice, investment advice, or a recommendation to buy/sell.
Trading involves substantial risk of loss. Past performance, whether actual or
indicated by historical tests of strategies, is not indicative of future results.
The creator assumes NO responsibility for your trading results. You are solely
responsible for your own investment decisions and due diligence.
Always consult with a qualified financial advisor before making investment decisions.
By using this indicator, you acknowledge and accept these risks and limitations.
Cnagda Pure Price ActionCnagda Pure Price Action (CPPA) indicator is a pure price action-based system designed to provide traders with real-time, dynamic analysis of the market. It automatically identifies key candles, support and resistance zones, and potential buy/sell signals by combining price, volume, and multiple popular trend indicators.
How Price Action & Volume Analysis Works
Silver Zone – Logic, Reason, and Trade Planning
Logic & Visualization:
The Silver Zone is created when the closing price is the lowest in the chosen window and volume is the highest in that window.
Visually, a large silver-colored box/rectangle appears on the chart.
Thick horizontal lines (top and bottom) are drawn at the high and low of that candle/bar, extending to the right.
Reasoning:
This combination typically occurs at strong “accumulation” or support areas:
Sellers push the price down to the lowest point, but aggressive buyers step in with high volume, absorbing supply.
Indicates potential exhaustion of selling and likely shift in market control to buyers.
How to Plan Trades Using Silver Zone:
Watch if price returns to the Silver Zone in the future: It often acts as powerful support.
Bullish entries (buys) can be planned when price tests or slightly pierces this zone, especially if new buy signals occur (like yellow/green candle labels).
Place your stop-loss below the bottom line of the Silver Zone.
Target: Look for the nearest resistance or opposing zone, or use indicator’s bullish label as confirmation.
Extra Tip:
Multiple touches of the Silver Zone reinforce its importance, but if price closes deeply below it with high volume, that’s a caution signal—support may be breaking.
Black Zone – Logic, Reason, and Trade Planning (as CPPA):
Logic & Visualization:
The Black Zone is created when the closing price is the highest in the chosen window and volume is the lowest in that window.
Visually, a large black-colored box/rectangle appears on the chart, along with thick horizontal lines at the top (high) and bottom (low) of the candle, extending to the right.
Reasoning:
This combination signals a strong “distribution” or resistance area:
Buyers push the price up to a local high, but low volume means there is not much follow-through or conviction in the move.
Often marks exhaustion where uptrend may pause or reverse, as sellers can soon step in.
How to Plan Trades Using Black Zone:
If price revisits the Black Zone in the future, it often acts as major resistance.
Bearish entries (sells) are considered when price is near, testing, or slightly above the Black Zone—especially if new sell signals appear (like blue/red candle labels).
Place your stop-loss just above the top line of the Black Zone.
Target: Nearest support zone (such as a Silver Zone) or next indicator’s bearish label.
Extra Tip:
Multiple touches of the Black Zone make it stronger, but if price closes far above with rising volume, be cautious—resistance might be breaking.
Support Line – Logic, Reason, and Trade Planning (as Cppa):
Logic & Visualization:
The Support Line is a dynamically drawn dashed line (usually blue) that marks key price levels where the market has previously shown significant buying interest.
The line is generated whenever a candle forms a high price with high volume (orange logic).
The script checks for historical pivot lows, past support zones, and even higher timeframe (HTF) supports, and then extends a blue dashed line from that price level to the right, labeling it (sometimes as “Prev Support Orange, HTF”).
Reasoning:
This line helps you visually identify where demand has been strong enough to hold price from falling further—essentially a floor in the market used by professional traders.
If price approaches or re-tests this line, there’s a good chance buyers will defend it again.
How to Plan Trades Using Support Line:
Watch for price to approach the Support Line during down moves. If you see a bullish candlestick pattern, buy labels (yellow/green), or other indicators aligning, this can be a high-probability entry zone.
Great for planning stop-loss for long trades: place stops just below this line.
Target: Next resistance zone, Black Zone, or the top of the last swing.
Extra Tip:
Multiple confirmations (support line + Silver Zone + bullish label) provide powerful entry signals.
If price closes strongly below the Support Line with volume, be cautious—support may be breaking, and a trend reversal or deeper correction could follow.
Resistance Line – Logic, Reason, and Trade Planning (from CPPA):
Logic & Visualization:
The Resistance Line is a dynamically drawn dashed line (usually purple or red) that identifies price levels where the market has previously faced significant selling pressure.
This line is created when a candle reaches a high price combined with high volume (orange logic), or from a historical pivot high/resistance,
The script also tracks higher timeframe (HTF) resistance lines, labeled as “Prev Resistance Orange, HTF,” and extends these dashed lines to the right across the chart.
Reasoning:
Resistance Lines are visual markers of “supply zones,” where buyers previously failed, and sellers took control.
If the price returns to this line later, sellers may get active again to defend this level, halting the uptrend.
How to Plan Trades Using Resistance Line:
Watch for price to approach the Resistance Line during up moves. If you see bearish candlestick patterns, sell labels (blue/red), or bearish indicator confirmation, this becomes a strong shorting opportunity.
Perfect for placing stop-loss in short trades—put your stop just above the Resistance Line.
Target: Next support zone (Silver Zone) or bottom of the last swing.
If the price breaks above with high volume, avoid shorting—resistance may be failing.
Extra Tip:
Multiple resistances (Resistance Line + Black Zone + bearish label) make short signals stronger.
Choppy movement around this line often signals indecision; wait for a clear rejection before entering trades.
Bullish / Bearish Label – Logic, Reason, and Trade Planning:
Logic & Visualization:
The indicator constantly calculates a "Bull Score" and a "Bear Score" based on several factors:
Trend direction from price slope
Confirmation by popular indicators (RSI, ADX, SAR, CMF, OBV, CCI, Bollinger Bands, TWAP)
Adaptive scoring (higher score for each bullish/bearish condition met)
If Bull Score > Bear Score, the chart displays a green "BULLISH" label (usually below the bar).
If Bear Score > Bull Score, the chart displays a red "BEARISH" label (usually above the bar).
If neither dominates, a "NEUTRAL" label appears.
Reasoning:
The labels summarize complex price action and indicator analysis into a simple, actionable sentiment cue:
Bullish: Majority of conditions indicate buying strength; trend is up.
Bearish: Majority signals show selling pressure; trend is down.
How to Use in Trade Planning:
Use the Bullish label as confirmation to enter or hold long (buy) positions, especially if near support/Silver Zone.
Use the Bearish label to enter/hold short (sell) positions, especially if near resistance/Black Zone.
For best results, combine with candle color, volume analysis, or other labels (yellow/green for buys, blue/red for sells).
Avoid trading against these labels unless you have strong confluence from zones/support levels.
Yellow Label (Buy Signal) – Logic, Reason & Trade Planning:
Logic & Visualization:
The yellow label appears below a candle (label.style_label_up, yloc.belowbar) and marks a potential buy signal.
Script conditions:
The candle must be a “yellow candle” (which means it’s at the local lowest close, not a high, with normal volume).
Volume is decreasing for 2 consecutive candles (current volume < previous volume, previous volume < second previous).
When these conditions are met, a yellow label is plotted below the candle.
Reasoning:
This scenario often marks the end of selling pressure and start of possible accumulation—buyers may be stepping in as sellers exhaust.
Decreasing volume during a local price low means selling is slowing, possibly hinting at a reversal.
How to Trade Using Yellow Label:
Entry: Consider buying at/just above the yellow-labeled candle’s close.
Stop-loss: A bit below the candle’s low (or Silver Zone line, if present).
Target: Next resistance level, Black Zone, or chart’s bullish label.
Extra Tip:
If the yellow label is found at/near a Silver Zone or Support Line, and trend is “Bullish,” the setup gets even stronger.
Avoid trading if overall indicator shows “Bearish.”
Green Label (Buy with Increasing Volume) – Logic, Reason & Trade Planning:
Logic & Visualization:
The green label is plotted below a candle (label.style_label_up, yloc.belowbar) and marks a strong buy signal.
Script conditions:
The candle must be a “yellow candle” (at the local lowest close, normal volume).
Volume is increasing for 2 consecutive candles (current volume > previous volume, previous volume > second previous).
When these conditions are met, a green label is plotted below the candle.
Reasoning:
This scenario signals that buyers are stepping in aggressively at a local price low—the end of a downtrend with strong, rising activity.
Increasing volume at a price low is a classic sign of accumulation, where institutions or large players may be buying.
How to Trade Using Green Label:
Entry: Consider buying at/just above the green-labeled candle’s close for a momentum-based reversal.
Stop-loss: Slightly below the candle’s low, or the Silver Zone/support line if present.
Target: Nearest resistance zone/Black Zone, indicator’s bullish label, or next swing high.
Extra Tip:
If the green label is near other supports (Silver Zone, Support Line), the setup is extra strong.
Use confirmation from Bullish labels or trend signals for best results.
Green label setups are suitable for quick, high momentum trades due to increasing volume
Blue Label (Sell Signal on Decreasing Volume) – Logic, Reason & Trade Planning:
Logic & Visualization:
The blue label is plotted above a candle (label.style_label_down, yloc.abovebar) as a potential sell signal.
Script conditions:
The candle is a “blue candle” (local highest close, but not also lowest, and volume is neither highest nor lowest).
Volume is decreasing over 2 consecutive candles (current volume < previous, previous < two ago).
When these match, a blue label appears above the candle.
Reasoning:
This typically signals buyer exhaustion at a local high: price has gone up, but volume is dropping, suggesting big players may not be buying any more at these levels.
The trend is losing strength, and a reversal or pullback is likely.
How to Trade Using Blue Label:
Entry: Look to sell at/just below the candle with the blue label.
Stop-loss: Just above the candle’s high (or above the Black Zone/resistance if present).
Target: Nearest support, Silver Zone, or a swing low.
Extra Tip:
Blue label signals are stronger if they appear near Black Zones or Resistance Lines, or when the general market label is "Bearish."
As with buy setups, always check for confirmation from trend or volume before trading aggressively.
Blue Label (Sell Signal on Decreasing Volume) – Logic, Reason & Trade Planning:
Logic & Visualization:
The blue label is plotted above a candle (label.style_label_down, yloc.abovebar) as a potential sell signal.
Script conditions:
The candle is a “blue candle” (local highest close, but not also lowest, and volume is neither highest nor lowest).
Volume is decreasing over 2 consecutive candles (current volume < previous, previous < two ago).
When these match, a blue label appears above the candle.
Reasoning:
This typically signals buyer exhaustion at a local high: price has gone up, but volume is dropping, suggesting big players may not be buying any more at these levels.
The trend is losing strength, and a reversal or pullback is likely.
How to Trade Using Blue Label:
Entry: Look to sell at/just below the candle with the blue label.
Stop-loss: Just above the candle’s high (or above the Black Zone/resistance if present).
Target: Nearest support, Silver Zone, or a swing low.
Extra Tip:
Blue label signals are stronger if they appear near Black Zones or Resistance Lines, or when the general market label is "Bearish."
As with buy setups, always check for confirmation from trend or volume before trading aggressively.
Here’s a summary of all key chart labels, zones, and trading logic of your Price Action script:
Silver Zone: Powerful support zone. Created at lowest close + highest volume. Best for buy entries near its lines.
Black Zone: Strong resistance zone. Created at highest close + lowest volume. Ideal for short trades near its levels.
Support Line: Blue dashed line at historical demand; buyers defend here. Look for bullish setups when price approaches.
Resistance Line: Purple/red dashed line at supply; sellers defend here. Great for bearish setups when price nears.
Bullish/Bearish Labels: Summarize trend direction using price action + multiple indicator confirmations. Plan buys, holds on bullish; sells, shorts on bearish.
Yellow Label: Buy signal on decreasing volume and local price low. Entry above candle, stop below, target next resistance.
Green Label: Strong buy on increasing volume at a price low. Entry for momentum trade, stop below, target next zone.
Blue Label: Sell signal on dropping volume and local price high. Entry below candle, stop above, target next support.
Best Practices:
Always combine zone/label signals for higher probability trades.
Use stop-loss near zones/lines for risk management.
Prefer trading in the trend direction (bullish/bearish label agrees with your entry).
if Any Question, Suggestion Feel free to ask
Disclaimer:
All information provided by this indicator is for educational and analysis purposes only, and should not be considered financial advice.
Trend Candle CounterComplete Tutorial: Trend Candle Counter Pine ScriptTable of Contents
Installation Guide
Understanding the Indicator
How It Works
Customization Options
Trading Strategies
Setting Up Alerts
Troubleshooting
1. Installation Guide {#installation}Step-by-Step Installation:Step 1: Open TradingView
Go to www.tradingview.com
Log in to your account
Step 2: Access Pine Editor
Click on "Pine Editor" tab at the bottom of the chart
Or press Alt + E (Windows) or Option + E (Mac)
Step 3: Create New Indicator
Click "Open" → "New blank indicator"
Delete any default code
Step 4: Paste the Script
Copy the entire Trend Candle Counter script
Paste it into the editor
Step 5: Save and Apply
Click "Save" (or Ctrl + S)
Give it a name: "Trend Candle Counter"
Click "Add to Chart"
✅ Done! The indicator should now appear on your chart.2. Understanding the Indicator {#understanding}What Does It Do?This indicator numbers each candle based on the current trend: {scrollbar-width:none;-ms-overflow-style:none;-webkit-overflow-scrolling:touch;} ::-webkit-scrollbar{display:none}Trend TypeNumberingVisualUptrend+1, +2, +3, +4...🟢 Green labelsDowntrend-1, -2, -3, -4...🔴 Red labelsTrend ChangeResets to ±1Label color switchesVisual Components:
Candle Labels - Numbers above each candle
Trend Line (EMA) - Green (up) / Red (down)
Background Shading - Light green/red tint
Info Table - Top-right corner showing:
Current trend direction
Current candle number
Current price
3. How It Works {#how-it-works}Trend Detection Logic:IF Close > EMA → UPTREND (positive counting)
IF Close < EMA → DOWNTREND (negative counting)
Counting Mechanism:Example Uptrend:Candle 1: Close > EMA → Label: +1
Candle 2: Close > EMA → Label: +2
Candle 3: Close > EMA → Label: +3
Candle 4: Close < EMA → Label: -1 (trend changed!)
Example Downtrend:Candle 1: Close < EMA → Label: -1
Candle 2: Close < EMA → Label: -2
Candle 3: Close < EMA → Label: -3
Candle 4: Close > EMA → Label: +1 (trend changed!)
Key Insight:The higher the absolute number, the longer the trend has been running!4. Customization Options {#customization}Accessing Settings:
Click the gear icon ⚙️ next to the indicator name
Go to "Inputs" tab
Available Parameters: {scrollbar-width:none;-ms-overflow-style:none;-webkit-overflow-scrolling:touch;} ::-webkit-scrollbar{display:none}ParameterDefaultDescriptionRecommendationTrend Detection Length14EMA period for trend5-10: Scalping14-20: Day trading50-200: Swing tradingShow Candle Numbers✅ YesDisplay labelsDisable for cleaner chartLabel SizeSmallSize of numbersTiny: Multi-timeframeLarge: Focus on one chartUptrend ColorGreenPositive number colorCustomize to preferenceDowntrend ColorRedNegative number colorCustomize to preferenceOptimization by Trading Style:For Scalpers (1m - 5m charts):Trend Detection Length: 5-10
Label Size: Tiny
Show Labels: Optional (can be cluttered)
For Day Traders (15m - 1h charts):Trend Detection Length: 14-20
Label Size: Small
Show Labels: Yes
For Swing Traders (4h - Daily charts):Trend Detection Length: 50-100
Label Size: Normal
Show Labels: Yes
5. Trading Strategies {#strategies}Strategy 1: Trend Reversal TradingEntry Signals:
Buy: When counter changes from negative to +1
Sell: When counter changes from positive to -1
Confirmation:
Wait for +2 or -2 to confirm trend strength
Use additional indicators (RSI, MACD) for validation
Example:Candle: -5, -6, -7, -8, +1, +2 ← BUY HERE
Stop Loss: Below the -8 candle low
Target: When counter reaches +8 to +10
Strategy 2: Trend Continuation TradingEntry Signals:
Buy: Enter on pullbacks during uptrend (e.g., at +3, +5, +7)
Sell: Enter on bounces during downtrend (e.g., at -3, -5, -7)
Risk Management:
Avoid entering at high numbers (+15, -15) - trend may be exhausted
Example:Candle: +1, +2, +3 ← Small pullback, BUY
Continue: +4, +5, +6, +7
Exit: When counter resets to -1
Strategy 3: Trend Exhaustion DetectionWarning Signs:
Counter reaches +10 or higher → Uptrend may be overextended
Counter reaches -10 or lower → Downtrend may be overextended
Action:
Tighten stop losses
Take partial profits
Watch for reversal patterns (doji, engulfing)
Strategy 4: Multi-Timeframe AnalysisSetup:
Add indicator to 3 timeframes (e.g., 15m, 1h, 4h)
Look for alignment
Best Trades:15m: +1 (new uptrend)
1h: +5 (established uptrend)
4h: +3 (strong uptrend)
→ HIGH PROBABILITY BUY
6. Setting Up Alerts {#alerts}Built-in Alert Conditions:The script includes 2 automatic alerts:
"Uptrend Started" - Triggers when counter = +1
"Downtrend Started" - Triggers when counter = -1
How to Set Up Alerts:Step 1: Right-click on chart
Select "Add Alert"
Step 2: Configure Alert
Condition: Select "Trend Candle Counter"
Choose: "Uptrend Started" or "Downtrend Started"
Options:
Once per bar close (recommended)
Webhook URL (for automation)
Step 3: Notification Settings
✅ Popup
✅ Send email
✅ Push notification (mobile app)
✅ Play sound
Step 4: Create Alert
Click "Create"
Custom Alert Ideas:Alert for Specific Candle Numbers:
Notify when counter reaches +5 or -5
Notify when counter exceeds +10 or -10 (exhaustion)
7. Troubleshooting {#troubleshooting}Common Issues & Solutions:Issue 1: Labels are too cluttered
Solution:
Disable "Show Candle Numbers" in settings
Use larger timeframe
Reduce label size to "tiny"
Issue 2: Too many false signals
Solution:
Increase "Trend Detection Length" (e.g., 20, 50)
Wait for +2 or -2 confirmation
Combine with other indicators
Issue 3: Trend line doesn't match price action
Solution:
Adjust EMA length to match your trading style
Consider using different trend detection (SMA, HMA)
Issue 4: Indicator not showing on chart
Solution:
Check if it's in a separate pane - move to main chart
Refresh the page
Re-add the indicator
Issue 5: Counter seems delayed
Solution:
This is normal - indicator confirms on candle close
For faster signals, use lower timeframe
Reduce EMA length (but expect more noise)
8. Advanced Tips 💡Combining with Other Indicators:Best Combinations:
RSI + Trend Candle Counter
Buy at +1 when RSI > 50
Sell at -1 when RSI < 50
MACD + Trend Candle Counter
Confirm +1 with MACD bullish crossover
Confirm -1 with MACD bearish crossover
Volume + Trend Candle Counter
Strong trends (+1) should have increasing volume
Low volume at high numbers (+10) = exhaustion
Reading Market Psychology: {scrollbar-width:none;-ms-overflow-style:none;-webkit-overflow-scrolling:touch;} ::-webkit-scrollbar{display:none}Counter ValueMarket Psychology+1 to +3Early adopters entering+4 to +7Momentum building+8 to +12FOMO phase+13+Extreme greed - caution!-1 to -3Early sellers-4 to -7Panic building-8 to -12Capitulation-13+Extreme fear - reversal likely9. Real Trading Example 📊Scenario: BTC/USD 1H ChartTime | Counter | Action
--------|---------|----------------------------------
10:00 | -8 | Downtrend established
11:00 | -9 | Still falling
12:00 | -10 | Exhaustion zone - watch closely
13:00 | +1 | ✅ BUY SIGNAL - Trend reversal!
14:00 | +2 | Confirmation - trend valid
15:00 | +3 | Hold position
16:00 | +4 | Add to position (optional)
17:00 | +5 | Move stop loss to breakeven
...
22:00 | +11 | Take partial profits
23:00 | +12 | Tighten stop loss
00:00 | -1 | ❌ EXIT - Trend reversed
AVGO Advanced Day Trading Strategy📈 Overview
The AVGO Advanced Day Trading Strategy is a comprehensive, multi-timeframe trading system designed for active day traders seeking consistent performance with robust risk management. Originally optimized for AVGO (Broadcom), this strategy adapts well to other liquid stocks and can be customized for various trading styles.
🎯 Key Features
Multiple Entry Methods
EMA Crossover: Classic trend-following signals using fast (9) and medium (16) EMAs
MACD + RSI Confluence: Momentum-based entries combining MACD crossovers with RSI positioning
Price Momentum: Consecutive price action patterns with EMA and RSI confirmation
Hybrid System: Advanced multi-trigger approach combining all methodologies
Advanced Technical Arsenal
When enabled, the strategy analyzes 8+ additional indicators for confluence:
Volume Price Trend (VPT): Measures volume-weighted price momentum
On-Balance Volume (OBV): Tracks cumulative volume flow
Accumulation/Distribution Line: Identifies institutional money flow
Williams %R: Momentum oscillator for entry timing
Rate of Change Suite: Multi-timeframe momentum analysis (5, 14, 18 periods)
Commodity Channel Index (CCI): Cyclical turning points
Average Directional Index (ADX): Trend strength measurement
Parabolic SAR: Dynamic support/resistance levels
🛡️ Risk Management System
Position Sizing
Risk-based position sizing (default 1% per trade)
Maximum position limits (default 25% of equity)
Daily loss limits with automatic position closure
Multiple Profit Targets
Target 1: 1.5% gain (50% position exit)
Target 2: 2.5% gain (30% position exit)
Target 3: 3.6% gain (20% position exit)
Configurable exit percentages and target levels
Stop Loss Protection
ATR-based or percentage-based stop losses
Optional trailing stops
Dynamic stop adjustment based on market volatility
📊 Technical Specifications
Primary Indicators
EMAs: 9 (Fast), 16 (Medium), 50 (Long)
VWAP: Volume-weighted average price filter
RSI: 6-period momentum oscillator
MACD: 8/13/5 configuration for faster signals
Volume Confirmation
Volume filter requiring 1.6x average volume
19-period volume moving average baseline
Optional volume confirmation bypass
Market Structure Analysis
Bollinger Bands (20-period, 2.0 multiplier)
Squeeze detection for breakout opportunities
Fractal and pivot point analysis
⏰ Trading Hours & Filters
Time Management
Configurable trading hours (default: 9:30 AM - 3:30 PM EST)
Weekend and holiday filtering
Session-based trade management
Market Condition Filters
Trend alignment requirements
VWAP positioning filters
Volatility-based entry conditions
📱 Visual Features
Information Dashboard
Real-time display of:
Current entry method and signals
Bullish/bearish signal counts
RSI and MACD status
Trend direction and strength
Position status and P&L
Volume and time filter status
Chart Visualization
EMA plots with customizable colors
Entry signal markers
Target and stop level lines
Background color coding for trends
Optional Bollinger Bands and SAR display
🔔 Alert System
Entry Alerts
Customizable alerts for long and short entries
Method-specific alert messages
Signal confluence notifications
Advanced Alerts
Strong confluence threshold alerts
Custom alert messages with signal counts
Risk management alerts
⚙️ Customization Options
Strategy Parameters
Enable/disable long or short trades
Adjustable risk parameters
Multiple entry method selection
Advanced indicator on/off toggle
Visual Customization
Color schemes for all indicators
Dashboard position and size options
Show/hide various chart elements
Background color preferences
📋 Default Settings
Initial Capital: $100,000
Commission: 0.1%
Default Position Size: 10% of equity
Risk Per Trade: 1.0%
RSI Length: 6 periods
MACD: 8/13/5 configuration
Stop Loss: 1.1% or ATR-based
🎯 Best Use Cases
Day Trading: Designed for intraday opportunities
Swing Trading: Adaptable for longer-term positions
Momentum Trading: Excellent for trending markets
Risk-Conscious Trading: Built-in risk management protocols
⚠️ Important Notes
Paper Trading Recommended: Test thoroughly before live trading
Market Conditions: Performance varies with market volatility
Customization: Adjust parameters based on your risk tolerance
Educational Purpose: Use as a learning tool and customize for your needs
🏆 Performance Features
Detailed performance metrics
Trade-by-trade analysis capability
Customizable risk/reward ratios
Comprehensive backtesting support
This strategy is for educational purposes. Past performance does not guarantee future results. Always practice proper risk management and consider your financial situation before trading.
5m Exit AlertsThese can help a lot with Daytrading if you don't have a price target in mind when there's no clear resistance / support nearby, and you don't trust the market enough to hold it as a swing trade.
Keep in mind that its main purpose is to give you a "warning" that it might be good to look at your screen, instead of guaranteeing you "now is the best time to exit". You won't reach high winning stats by blindly following this alert.
"A Exit LONG":
(I'm using letters instead of numbers for all Exit alerts to make sure I don't accidentally confuse Enter and Exit alerts).
There are 4 conditions that might trigger it. The reasons show up in the exit alert message (unfortunately only as a number, since alert messages can't have "dynamic text" in TradingView), and can also be displayed as symbols in the chart (see image above - make sure to enable "Show Signals" in the indicator settings first though).
Here are the conditions sorted from best to worst:
Technical reversal: Bearish Hammer candle with Volume > 2 * avg volume (of last 30 candles), when 5m candle closed. Reversal very likely. This is usually the best time to take your gains for the rest of the day.
EMA 3/8 cross: standard 5m EMA 3/8 cross, indicating a trend reversal, or at least a pullback. Can also be helpful to detect double tops / double bottoms.
Trailing Stop Loss: Crossed below 30m EMA 8, 5m candle closed. This is a "fallback" alert in case EMA 3 was already below EMA 8 before you set up the alert. It's not unlikely that the stock might go further down to VWAP, so depending on the chart and market this might be a good opportunity to save the gains you have left.
"Final" Stop Loss: Crossed below VWAP. Usually not a good sign. If you entered around VWAP your losses shouldn't be big yet, but if you plan on holding the stock the Daily chart and market outlook should better be quite convincing, and you wouldn't have needed to use this alert in the first place.
Keep in mind these work of course best if you picked a "good" stock: clear movement, tidy price action, high volume. Otherwise alerts are more likely to be triggered redundantly.
Always consider how the market and stock looks like, then decide whether to exit or not! Usually it makes sense to wait a bit to see f. e. whether the stock bounces off the 30m EMA 8, and it's just a pullback.
"B Enter SHORT":
Similar, but for shorts...
"C 1m Scalp LONG" + "D 1m Scalp SHORT":
Simple Scalping alert for EMA 3/8 cross on a 1m chart - but without needing to use a 1m chart to set it up!
Unfortunately it's not as accurate as manually setting this alert up on a 1m chart. It might be an advantage though that it sometimes is triggered 1-2 min later, since this means there are less redundant triggerings.
It can be useful esp. on high momentum trades, but I honestly haven't used it in a looong while.
"X Candle Close":
same as in 5m Entry indicator: triggered when 5m candle is confirmed
"Z Trend Change: UP" + "Z Trend Change: DOWN":
This one is meant to be used only on SPY: It alerts you when SPY is changing its trending direction, which might mean entering or closing existing trades.
I have therefore set it up to never end (by setting it to "Once Per Bar Close" in the alert settings).
It's based on DMI positive or negative being > 25. I had it based on VWAP at the beginning, but there were days where it was triggered every 5 minutes...
More infos: www.reddit.com
Breakout Range Signal with Quality Analysis [Dova Lazarus]📌 Breakout Range Signal with Quality Analysis
🎓 Training-focused indicator for breakout logic, SL & TP behavior and signal quality assessment
🔷 PURPOSE
This tool identifies breakout candles from a calculated channel range and visually simulates entries, stop losses, and take profits, providing live and historical performance metrics.
⚙️ MAIN SETTINGS
1️⃣ Channel Setup
channel_length = 10 → how many candles are averaged to form channel boundaries
channel_multiplier = 0.0 → adds expansion above/below the base channel
channel_smoothing_type = SMA → smoothing method for high/low averaging
📊 The channel consists of two moving averages: one from highs, the other from lows. When expanded (via multiplier), it creates a buffer range for breakout validation.
2️⃣ Signal Detection
Body > Channel % = 50 → a breakout candle's body must exceed 150% of the channel width
Signal Mode:
• Weak → every valid breakout candle is highlighted
• Strong → only the first signal in a sequence is shown (helps reduce noise)
🟦 Bullish signals (blue):
• Candle opens inside the channel
• Closes above the channel
• Body is large enough
• Optional: confirms with trend (if enabled)
🟨 Bearish signals (yellow):
• Candle opens inside the channel
• Closes below the channel
• Body is large enough
• Optional: confirms with trend
3️⃣ Trend Filter (optional)
Enabled via checkbox
Uses a higher timeframe MA to filter signals
Bullish signals are allowed only if price is below the trend MA
Bearish signals only if price is above it
⏱️ trend_timeframe = 1D (typically set higher than the chart's timeframe)
🟢 Trend line is plotted if enabled
🎯 ENTRY, STOP LOSS & TAKE PROFIT LOGIC
SL and TP are based on channel width, not fixed pip/tick size:
📍 Entry Price = close of the breakout candle
🛑 Stop Loss:
• Bullish → below the lower channel border (minus offset)
• Bearish → above the upper channel border (plus offset)
🎯 Take Profit:
• Bullish → entry + channel width × profit multiplier
• Bearish → entry − channel width × profit multiplier
You can control:
Profit Target Multiplier (e.g., 1.0 → TP = 1×channel width)
Stop Loss Target Multiplier (e.g., 0.5 → SL = 0.5×channel width)
Signals to Show = how many historical SL/TP setups to display
📈 Lines and labels ("TP", "SL") are drawn on the chart for clarity.
🧪 QUALITY ANALYSIS MODULE
If enabled, the indicator will:
Track each new signal (entry, SL, TP)
Analyze outcomes:
• Win = TP hit before SL
• Loss = SL hit before TP
• Expired = signal unresolved after N bars
Display statistics in a table (top-right corner):
📋 Table fields:
✅ Overall win rate
📈 Bullish win rate
📉 Bearish win rate
🔢 Total signals
🕓 Pending (still active trades)
Maximum bars to wait for outcome is customizable (max_bars_to_analyze).
📐 VISUALIZATION TOOLS
TP / SL lines per signal
Labels “TP” and “SL”
Optional channel lines and trendline for better context
Colored bars for valid signals (blue/yellow)
📌 BEST USE CASES
Understand how breakout signals are formed
Learn SL/TP logic based on dynamic range
Test how volatility affects trade outcomes
Use as a visual simulation of trade behavior over time
Dskyz (DAFE) Quantum Sentiment Flux - Beginners Dskyz (DAFE) Quantum Sentiment Flux - Beginners:
Welcome to the Dskyz (DAFE) Quantum Sentiment Flux - Beginners , a strategy and concept that’s your ultimate wingman for trading futures like MNQ, NQ, MES, and ES. This gem combines lightning-fast momentum signals, market sentiment smarts, and bulletproof risk management into a system so intuitive, even newbies can trade like pros. With clean DAFE visuals, preset modes for every vibe, and a revamped dashboard that’s basically a market GPS, this strategy makes futures trading feel like a high-octane sci-fi mission.
Built on the Dskyz (DAFE) legacy of Aurora Divergence, the Quantum Sentiment Flux is designed to empower beginners while giving seasoned traders a lean, sentiment-driven edge. It uses fast/slow EMA crossovers for entries, filters trades with VIX, SPX trends, and sector breadth, and keeps your account safe with adaptive stops and cooldowns. Tuned for more action with faster signals and a slick bottom-left dashboard, this updated version is ready to light up your charts and outsmart institutional traps. Let’s dive into why this strat’s a must-have and break down its brilliance.
Why Traders Need This Strategy
Futures markets are a wild ride—fast moves, volatility spikes (like the April 28, 2025 NQ 1k-point drop), and institutional games that can wreck unprepared traders. Beginners often get lost in complex systems or burned by impulsive trades. The Quantum Sentiment Flux is the antidote, offering:
Dead-Simple Setup: Preset modes (Aggressive, Balanced, Conservative) auto-tune signals, risk, and sizing, so you can trade without a quant degree.
Sentiment Superpower: VIX filter, SPX trend, and sector breadth visuals keep you aligned with market health, dodging chop and riding trends.
Ironclad Safety: Tighter ATR-based stops, 2:1 take-profits, and preset cooldowns protect your capital, even in chaotic sessions.
Next-Level Visuals: Green/red entry triangles, vibrant EMAs, a sector breadth background, and a beefed-up dashboard make signals and context pop.
DAFE Swagger: The clean aesthetics, sleek dashboard—ties it to Dskyz’s elite brand, making your charts a work of art.
Traders need this because it’s a plug-and-play system that blends beginner-friendly simplicity with pro-level market awareness. Whether you’re just starting or scalping 5min MNQ, this strat’s your key to trading with confidence and style.
Strategy Components
1. Core Signal Logic (High-Speed Momentum)
The strategy’s engine is a momentum-based system using fast and slow Exponential Moving Averages (EMAs), now tuned for faster, more frequent trades.
How It Works:
Fast/Slow EMAs: Fast EMA (Aggressive: 5, Balanced: 7, Conservative: 9 bars) and slow EMA (12/14/18 bars) track short-term vs. longer-term momentum.
Crossover Signals:
Buy: Fast EMA crosses above slow EMA, and trend_dir = 1 (fast EMA > slow EMA + ATR * strength threshold).
Sell: Fast EMA crosses below slow EMA, and trend_dir = -1 (fast EMA < slow EMA - ATR * strength threshold).
Strength Filter: ma_strength = fast EMA - slow EMA must exceed an ATR-scaled threshold (Aggressive: 0.15, Balanced: 0.18, Conservative: 0.25) for robust signals.
Trend Direction: trend_dir confirms momentum, filtering out weak crossovers in choppy markets.
Evolution:
Faster EMAs (down from 7–10/21–50) catch short-term trends, perfect for active futures markets.
Lower strength thresholds (0.15–0.25 vs. 0.3–0.5) make signals more sensitive, boosting trade frequency without sacrificing quality.
Preset tuning ensures beginners get optimized settings, while pros can tweak via mode selection.
2. Market Sentiment Filters
The strategy leans hard into market sentiment with a VIX filter, SPX trend analysis, and sector breadth visuals, keeping trades aligned with the big picture.
VIX Filter:
Logic: Blocks long entries if VIX > threshold (default: 20, can_long = vix_close < vix_limit). Shorts are always allowed (can_short = true).
Impact: Prevents longs during high-fear markets (e.g., VIX spikes in crashes), while allowing shorts to capitalize on downturns.
SPX Trend Filter:
Logic: Compares S&P 500 (SPX) close to its SMA (Aggressive: 5, Balanced: 8, Conservative: 12 bars). spx_trend = 1 (UP) if close > SMA, -1 (DOWN) if < SMA, 0 (FLAT) if neutral.
Impact: Provides dashboard context, encouraging trades that align with market direction (e.g., longs in UP trend).
Sector Breadth (Visual):
Logic: Tracks 10 sector ETFs (XLK, XLF, XLE, etc.) vs. their SMAs (same lengths as SPX). Each sector scores +1 (bullish), -1 (bearish), or 0 (neutral), summed as breadth (-10 to +10).
Display: Green background if breadth > 4, red if breadth < -4, else neutral. Dashboard shows sector trends (↑/↓/-).
Impact: Faster SMA lengths make breadth more responsive, reflecting sector rotations (e.g., tech surging, energy lagging).
Why It’s Brilliant:
- VIX filter adds pro-level volatility awareness, saving beginners from panic-driven losses.
- SPX and sector breadth give a 360° view of market health, boosting signal confidence (e.g., green BG + buy signal = high-probability trade).
- Shorter SMAs make sentiment visuals react faster, perfect for 5min charts.
3. Risk Management
The risk controls are a fortress, now tighter and more dynamic to support frequent trading while keeping accounts safe.
Preset-Based Risk:
Aggressive: Fast EMAs (5/12), tight stops (1.1x ATR), 1-bar cooldown. High trade frequency, higher risk.
Balanced: EMAs (7/14), 1.2x ATR stops, 1-bar cooldown. Versatile for most traders.
Conservative: EMAs (9/18), 1.3x ATR stops, 2-bar cooldown. Safer, fewer trades.
Impact: Auto-scales risk to match style, making it foolproof for beginners.
Adaptive Stops and Take-Profits:
Logic: Stops = entry ± ATR * atr_mult (1.1–1.3x, down from 1.2–2.0x). Take-profits = entry ± ATR * take_mult (2x stop distance, 2:1 reward/risk). Longs: stop below entry, TP above; shorts: vice versa.
Impact: Tighter stops increase trade turnover while maintaining solid risk/reward, adapting to volatility.
Trade Cooldown:
Logic: Preset-driven (Aggressive/Balanced: 1 bar, Conservative: 2 bars vs. old user-input 2). Ensures bar_index - last_trade_bar >= cooldown.
Impact: Faster cooldowns (especially Aggressive/Balanced) allow more trades, balanced by VIX and strength filters.
Contract Sizing:
Logic: User sets contracts (default: 1, max: 10), no preset cap (unlike old 7/5/3 suggestion).
Impact: Flexible but risks over-leverage; beginners should stick to low contracts.
Built To Be Reliable and Consistent:
- Tighter stops and faster cooldowns make it a high-octane system without blowing up accounts.
- Preset-driven risk removes guesswork, letting newbies trade confidently.
- 2:1 TPs ensure profitable trades outweigh losses, even in volatile sessions like April 27, 2025 ES slippage.
4. Trade Entry and Exit Logic
The entry/exit rules are simple yet razor-sharp, now with VIX filtering and faster signals:
Entry Conditions:
Long Entry: buy_signal (fast EMA crosses above slow EMA, trend_dir = 1), no position (strategy.position_size = 0), cooldown passed (can_trade), and VIX < 20 (can_long). Enters with user-defined contracts.
Short Entry: sell_signal (fast EMA crosses below slow EMA, trend_dir = -1), no position, cooldown passed, can_short (always true).
Logic: Tracks last_entry_bar for visuals, last_trade_bar for cooldowns.
Exit Conditions:
Stop-Loss/Take-Profit: ATR-based stops (1.1–1.3x) and TPs (2x stop distance). Longs exit if price hits stop (below) or TP (above); shorts vice versa.
No Other Exits: Keeps it straightforward, relying on stops/TPs.
5. DAFE Visuals
The visuals are pure DAFE magic, blending clean function with informative metrics utilized by professionals, now enhanced by faster signals and a responsive breadth background:
EMA Plots:
Display: Fast EMA (blue, 2px), slow EMA (orange, 2px), using faster lengths (5–9/12–18).
Purpose: Highlights momentum shifts, with crossovers signaling entries.
Sector Breadth Background:
Display: Green (90% transparent) if breadth > 4, red (90%) if breadth < -4, else neutral.
Purpose: Faster breadth_sma_len (5–12 vs. 10–50) reflects sector shifts in real-time, reinforcing signal strength.
- Visuals are intuitive, turning complex signals into clear buy/sell cues.
- Faster breadth background reacts to market rotations (e.g., tech vs. energy), giving a pro-level edge.
6. Sector Breadth Dashboard
The new bottom-left dashboard is a game-changer, a 3x16 table (black/gray theme) that’s your market command center:
Metrics:
VIX: Current VIX (red if > 20, gray if not).
SPX: Trend as “UP” (green), “DOWN” (red), or “FLAT” (gray).
Trade Longs: “OK” (green) if VIX < 20, “BLOCK” (red) if not.
Sector Breadth: 10 sectors (Tech, Financial, etc.) with trend arrows (↑ green, ↓ red, - gray).
Placeholder Row: Empty for future metrics (e.g., ATR, breadth score).
Purpose: Consolidates regime, volatility, market trend, and sector data, making decisions a breeze.
- VIX and SPX metrics add context, helping beginners avoid bad trades (e.g., no longs if “BLOCK”).
Sector arrows show market health at a glance, like a cheat code for sentiment.
Key Features
Beginner-Ready: Preset modes and clear visuals make futures trading a breeze.
Sentiment-Driven: VIX filter, SPX trend, and sector breadth keep you in sync with the market.
High-Frequency: Faster EMAs, tighter stops, and short cooldowns boost trade volume.
Safe and Smart: Adaptive stops/TPs and cooldowns protect capital while maximizing wins.
Visual Mastery: DAFE’s clean flair, EMAs, dashboard—makes trading fun and clear.
Backtestable: Lean code and fixed qty ensure accurate historical testing.
How to Use
Add to Chart: Load on a 5min MNQ/ES chart in TradingView.
Pick Preset: Aggressive (scalping), Balanced (versatile), or Conservative (safe). Balanced is default.
Set Contracts: Default 1, max 10. Stick low for safety.
Check Dashboard: Bottom-left shows preset, VIX, SPX, and sectors. “OK” + green breadth = strong buy.
Backtest: Run in strategy tester to compare modes.
Live Trade: Connect to Tradovate or similar. Watch for slippage (e.g., April 27, 2025 ES issues).
Replay Test: Try April 28, 2025 NQ drop to see VIX filter and stops in action.
Why It’s Brilliant
The Dskyz (DAFE) Quantum Sentiment Flux - Beginners is a masterpiece of simplicity and power. It takes pro-level tools—momentum, VIX, sector breadth—and wraps them in a system anyone can run. Faster signals and tighter stops make it a trading machine, while the VIX filter and dashboard keep you ahead of market chaos. The DAFE visuals and bottom-left command center turn your chart into a futuristic cockpit, guiding you through every trade. For beginners, it’s a safe entry to futures; for pros, it’s a scalping beast with sentiment smarts. This strat doesn’t just trade—it transforms how you see the market.
Final Notes
This is more than a strategy—it’s your launchpad to mastering futures with Dskyz (DAFE) flair. The Quantum Sentiment Flux blends accessibility, speed, and market savvy to help you outsmart the game. Load it, watch those triangles glow, and let’s make the markets your canvas!
Official Statement from Pine Script Team
(see TradingView help docs and forums):
"This warning may appear when you call functions such as ta.sma inside a request.security in a loop. There is no runtime impact. If you need to loop through a dynamic list of tickers, this cannot be avoided in the present version... Values will still be correct. Ignore this warning in such contexts."
(This publishing will most likely be taken down do to some miscellaneous rule about properly displaying charting symbols, or whatever. Once I've identified what part of the publishing they want to pick on, I'll adjust and repost.)
Use it with discipline. Use it with clarity. Trade smarter.
**I will continue to release incredible strategies and indicators until I turn this into a brand or until someone offers me a contract.
Created by Dskyz, powered by DAFE Trading Systems. Trade fast, trade bold.
Adaptive RSI with Real-Time Divergence [AIBitcoinTrend]👽 Adaptive RSI Trailing Stop (AIBitcoinTrend)
The Adaptive RSI Trailing Stop is an indicator that integrates Gaussian-weighted RSI calculations with real-time divergence detection and a dynamic ATR-based trailing stop. This advanced approach allows traders to monitor momentum shifts, identify divergences early, and manage risk with adaptive trailing stop levels that adjust to price action.
👽 What Makes the Adaptive RSI with Signals and Trailing Stop Unique?
Unlike traditional RSI indicators, this version applies a Gaussian-weighted smoothing algorithm, making it more responsive to price action while reducing noise. Additionally, the trailing stop feature dynamically adjusts based on volatility and trend conditions, allowing traders to:
Detects real-time divergences (bullish/bearish) with a smart pivot-based system.
Filter noise with Gaussian weighting, ensuring smoother RSI transitions.
Utilize crossover-based trailing stop activation, for systematic trade management.
👽 The Math Behind the Indicator
👾 Gaussian Weighted RSI Calculation
Traditional RSI calculations rely on simple averages of gains and losses. Instead, this indicator weights recent price changes using a Gaussian distribution, prioritizing more relevant data points while maintaining smooth transitions.
Key Features:
Exponential decay ensures recent price changes are weighted more heavily.
Reduces short-term noise while maintaining responsiveness.
👾 Real-Time Divergence Detection
The indicator detects bullish and bearish divergences using pivot points on RSI compared to price action.
👾 Dynamic ATR-Based Trailing Stop
Bullish Trailing Stop: Activates when RSI crosses above 20 and dynamically adjusts based on low - ATR multiplier.
Bearish Trailing Stop: Activates when RSI crosses below 80 and adjusts based on high + ATR multiplier
This allows traders to:
Lock in profits systematically by adjusting stop-losses dynamically.
Stay in trades longer while maintaining adaptive risk management.
👽 How It Adapts to Market Movements
✔️ Gaussian Filtering ensures smooth RSI transitions while preventing excessive lag.
✔️ Real-Time Divergence Alerts provide early trade signals based on price-RSI discrepancies.
✔️ ATR Trailing Stop dynamically expands or contracts based on market volatility.
✔️ Crossover-Based Activation enables the stop-loss system only when RSI confirms a momentum shift.
👽 How Traders Can Use This Indicator
👾 Divergence Trading
Traders can use real-time divergence detection to anticipate reversals before they happen.
Bullish Divergence Setup:
Look for RSI making a higher low, while price makes a lower low.
Enter long when RSI confirms upward momentum.
Bearish Divergence Setup:
Look for RSI making a lower high, while price makes a higher high.
Enter short when RSI confirms downward momentum.
👾 Trailing Stop Signals
Bullish Signal and Trailing Stop Activation:
When RSI crosses above 20, a trailing stop is placed using low - ATR multiplier.
If price crosses below the stop, it exits the trade and removes the stop.
Bearish Signal and Trailing Stop Activation:
When RSI crosses below 80, a trailing stop is placed using high + ATR multiplier.
If price crosses above the stop, it exits the trade and removes the stop.
This makes trend-following strategies more efficient, while ensuring proper risk management.
👽 Why It’s Useful for Traders
✔️ Dynamic and Adaptive: Adjusts to changing market conditions automatically.
✔️ Noise Reduction: Gaussian-weighted RSI reduces short-term price distortions.
✔️ Comprehensive Strategy Tool: Combines momentum detection, divergence analysis, and automated risk management into a single indicator.
✔️ Works Across Markets & Timeframes: Suitable for stocks, forex, crypto, and futures trading.
👽 Indicator Settings
RSI Length: Defines the lookback period for RSI smoothing.
Gaussian Sigma: Controls how much weight is given to recent data points.
Enable Signal Line: Option to display an RSI-based moving average.
Divergence Lookback: Configures how far back pivot points are detected.
Crossover/crossunder values for signals: Set the crossover/crossunder values that triggers signals.
ATR Multiplier: Adjusts trailing stop sensitivity to market volatility.
Disclaimer: This indicator is designed for educational purposes and does not constitute financial advice. Please consult a qualified financial advisor before making investment decisions.
ATR Trailing Stop by GideonMATR Trailing Stop Indicator
This ATR Trailing Stop Indicator is designed for traders who wish to enhance their exit strategies by leveraging volatility-based stops. It offers a systematic approach to trend management and risk control, enabling traders to capture extended trends while protecting their capital during market reversals. Works on Indian Indices as well.
Overview:
The ATR Trailing Stop indicator is a dynamic trend-following tool that adjusts stop levels based on market volatility. By incorporating the Average True Range (ATR), the indicator provides a flexible exit strategy that adapts to changing market conditions, helping traders lock in profits during trends and limit losses during reversals.
How It Works:
True Range and ATR Calculation:
The indicator first calculates the True Range (TR) for each bar, defined as the maximum of:
The difference between the high and low,
The absolute difference between the high and the previous close, and
The absolute difference between the low and the previous close.
Using the TR values, the ATR is computed over a user-defined period (default is 14 bars) with an option to use either a Simple Moving Average (SMA) or an Exponential Moving Average (EMA) as the smoothing method.
Trailing Stop Determination:
Two potential stop levels are calculated:
For an uptrend, the stop is determined as:
Stop = Close – (Multiplier × ATR)
For a downtrend, the stop is:
Stop = Close + (Multiplier × ATR)
The indicator maintains a persistent trailing stop that dynamically adjusts:
In an uptrend, the trailing stop only moves upward (or remains flat) to secure gains.
In a downtrend, it only moves downward, thereby protecting the position from excessive losses.
A reversal in trend is identified when the price crosses the trailing stop level, at which point the indicator flips the trend and resets the stop level accordingly.
Rationale:
Utilizing the ATR for trailing stops ensures that the stop levels are directly influenced by market volatility. This dynamic adjustment helps accommodate the natural price fluctuations of the market, providing a more adaptive risk management tool compared to fixed stop-loss levels. The approach is particularly useful in volatile markets where traditional static stops might be triggered prematurely.
Customization:
Key parameters that can be adjusted include:
ATR Period: The number of bars used to calculate the ATR.
ATR Multiplier: The factor that determines how far the trailing stop is set from the current price.
Smoothing Method: Option to choose between SMA and EMA for ATR calculation, allowing traders to tailor the sensitivity of the indicator to their specific trading style.
CandelaCharts - Swing Failure Pattern (SFP)# SWING FAILURE PATTERN
📝 Overview
The Swing Failure Pattern (SFP) indicator is designed to identify and highlight Swing Failure Patterns on a user’s chart. This pattern typically emerges when significant market participants generate liquidity by driving price action to key levels. An SFP occurs when the price temporarily breaks above a resistance level or below a support level, only to quickly reverse and return within the previous range. These movements are often associated with stop-loss hunting or liquidity grabs, providing traders with potential opportunities to anticipate reversals or key market turning points.
A Bullish SFP occurs when the price dips below a key support level, triggering stop-loss orders, but then swiftly reverses upward, signaling a potential upward trend or reversal.
A Bearish SFP happens when the price spikes above a key resistance level, triggering stop-losses of short positions, but then quickly reverses downward, indicating a potential bearish trend or reversal.
The indicator is a powerful tool for traders, helping to identify liquidity grabs and potential reversal points in real-time. Marking bullish and bearish Swing Failure Patterns on the chart, it provides clear visual cues for spotting market traps set by major players, enabling more informed trading decisions and improved risk management.
📦 Features
Bullish/Bearish SFPs
Styling
⚙️ Settings
Length: Determines the detection length of each SFP
Bullish SFP: Displays the bullish SFPs
Bearish SFP: Displays the bearish SFPs
Label: Controls the size of the label
⚡️ Showcase
Bullish
Bearish
Both
📒 Usage
The best approach is to combine a few complementary indicators to gain a clearer market perspective. This doesn’t mean relying on the Golden Cross, RSI divergences, SFPs, and funding rates simultaneously, but rather focusing on one or two that align well in a given scenario.
The example above demonstrates the confluence of a Bearish Swing Failure Pattern (SFP) with an RSI divergence. This combination strengthens the signal, as the Bearish SFP indicates a potential reversal after a liquidity grab, while the RSI divergence confirms weakening momentum at the key level. Together, these indicators provide a more robust setup for identifying potential market reversals with greater confidence.
🚨 Alerts
This script provides alert options for all signals.
Bearish Signal
A bearish signal is triggered when a Bearish SFP is formed.
Bullish Signal
A bullish signal is triggered when a Bullish SFP is formed.
⚠️ Disclaimer
Trading involves significant risk, and many participants may incur losses. The content on this site is not intended as financial advice and should not be interpreted as such. Decisions to buy, sell, hold, or trade securities, commodities, or other financial instruments carry inherent risks and are best made with guidance from qualified financial professionals. Past performance is not indicative of future results.
4Vietnamese 3x SupertrendThis strategy attempts to capture long positions in the Vietnamese stock market using a combination of three Supertrend indicators and additional filters. It utilizes pyramiding to enter up to three long positions with a 33.33% allocation each.
Key Elements:
Supertrend Indicators: Three Supertrend indicators are used with different lengths and multipliers to identify potential trend changes.
Entry Conditions:
The strategy looks for a downtrend on the slowest Supertrend (Supertrend3) followed by uptrends on the medium (Supertrend2) and fast (Supertrend1) Supertrends.
Alternatively, if Supertrend3 is still downtrending, but Supertrend1 is downtrending and a significant previous high (highestGreen) exists, an entry signal is generated.
An optional filter allows using the highest of the last two red candles for highestGreen calculation.
Entry Stop Loss:
An optional stop loss can be set based on the entry price of previous long positions, preventing further losses if the price falls below entry prices.
Exit Conditions:
Three exit options are available:
- All Downtrend Exit: Close all positions if all Supertrends turn uptrend and a bearish candlestick pattern (close price lower than open price) is formed.
- Average Price in Loss Exit: Close all positions if the average entry price of open positions is higher than the current closing price (indicating a loss).
- All Positions in Loss Exit: Close all positions if any of the following conditions are met:
A single open position exists, and its entry price is higher than the current close price.
Two open positions exist, and their entry prices are both higher than the current close price.
Three open positions exist, and their entry prices are all higher than the current close price.
Pyramiding: The strategy allows entering up to three long positions with a fixed allocation of 33.33% each.
Customization Options:
The strategy provides various input parameters to customize its behavior:
Supertrend lengths and multipliers for each indicator.
Option to use the highest of the last two red candles for highestGreen calculation.
Enabling/disabling Entry Stop Loss and different exit conditions.
Further Enhancements:
Explore additional entry and exit filters to refine trade signals.
Consider incorporating risk management techniques like position sizing and trailing stops.
Backtest the strategy with historical data to evaluate its effectiveness and identify potential areas for improvement.
Lot Size & Risk Calculator (All Pairs)this indicator is designed to simplify and optimize risk management. It automatically calculates the ideal lot size based on your account balance, risk percentage, and defined entry and exit levels. Additionally, it includes visual tools to represent stop-loss (SL) and take-profit (TP) levels, helping you trade with precision and consistency.
WHAT IS THIS INDICATOR FOR?
This indicator is essential for traders who want to:
Maintain consistent risk in their trades.
Quickly calculate lot sizes for Forex, XAUUSD, BTCUSD, and US100.
Visualize key levels (Entry, SL, and TP) on the chart.
Monitor potential losses and gains in real time.
COMPATIBLE ASSETS
The Lot Size Calculator works with the following assets:
Forex: Standard currency pairs.
XAUUSD: Gold versus the US dollar.
BTCUSD: Bitcoin versus the US dollar.
US100: Nasdaq 100 index.
Calculations adjust automatically based on the selected asset.
TAKE-PROFIT (TP) LEVELS
The indicator allows you to define up to three take-profit levels:
TP1
TP2
TP3
.
Each level is configurable based on your exit strategy.
DASHBOARD
The dashboard is a visual tool that consolidates key information about your trade:
Account balance: Total amount available in your account.
Lot size: Calculated based on your risk and parameters.
Potential loss (SL): Amount you could lose if the price hits your stop-loss.
Potential gain (TP): Expected profit if the take-profit level is reached.
SETTINGS
The indicator offers multiple configurable options to adapt to your trading style:
Levels
Entry: Initial trade price.
Stop-Loss (SL): Maximum allowed loss level.
Take-Profit (TP): Up to three configurable levels.
Risk Management
Account balance ($): Enter your total available balance.
Risk percentage: Define how much you're willing to risk per trade
.
Visual Options
Visualization style: Choose between simple lines or visual fills.
Colors: Customize the colors of lines and labels.
Dashboard Settings
Statistics: Enable or disable key data display.
Size and position: Adjust the dashboard's size and location on the chart.
HOW TO CHANGE AN ENTRY?
Open the indicator settings in TradingView and entering the new data manually
Removing and re-adding the indicator to the chart
Dynamic RSI Mean Reversion StrategyDynamic RSI Mean Reversion Strategy
Overview:
This strategy uses an RSI with ATR-Adjusted OB/OS levels in order to enhance the quality of it's mean reversion trades. It also incorporates a form of trend filtering in an effort to minimize downside and maximize upside. The backtest has fewer trades, as it uses substantial filtering to enhance trade quality. As you can see, I didn't cherry pick the results, so the results aren't the most beautiful thing you'll see in your life. I did this to ensure nobody gets misled. If you need a higher frequency of trades, consider removing the trend filter or increasing the length of the EMAs used for trend detection.
Features:
Dynamic OB/OS Levels: Uses ATR to adjust overbought and oversold thresholds dynamically, making the RSI more responsive in varying volatility conditions. This approach enhances signal strength by expanding the RSI range in high volatility and tightening it in low volatility.
Mean Reversion Focus: Designed for mean reversion but incorporates a trend-following filter to reduce countertrend trades. When the RSI is high, it often indicates an uptrend, so a trend filter prevents shorting in these cases and the same goes for downtrends and longing.
Trend Filtering: A moving average cross trend filter checks for the trend direction, with the RSI signal line color-coded to reflect trend shifts. Entries occur when the RSI crosses above or below the dynamic thresholds and is not a countertrend trade.
Stop Losses: Stop losses are set based on ATR distance from the entry price, providing volatility-adjusted protection.
Note:
If you're using this strategy on assets with a higher price, remember to increase the initial capital in the strategy settings. Otherwise, the strategy won't generate any (or many) trades and you'll end up with some inaccurate results.
Recommended Use:
Test it on different assets and timeframes. I’ve found the best results with standard RSI inputs, a relatively slow ATR, and a slower MA cross for trend filtering. Thus, the defaults are set that way. If the trend metrics are too slow, you’ll filter out too many good trades while allowing crummy ones; if too fast, most trades may be filtered out. As always, this has a lot of configurability so experiment to find the balance that works for your trading style.
Supertrend (Buy/Sell) With TP & SLSupertrend (Buy/Sell) with TP & SL: An Enhanced Trading Tool
This Pine Script indicator combines the popular Supertrend indicator with multiple take-profit (TP) and stop-loss (SL) levels, providing traders with a comprehensive visual aid for potential entries, exits, and risk management.
Originality
Buffer Zones for Precision: Instead of relying solely on the Supertrend line, this script incorporates buffer zones around it. This helps filter out false signals, especially in volatile markets, leading to more accurate buy/sell signals.
Flexible Stop-Loss: Offers the choice between a fixed or trailing stop-loss, allowing traders to tailor their risk management approach based on their preferences and market conditions.
Multiple Take-Profit Levels: Provides three potential take-profit levels, giving traders the flexibility to secure profits at different stages of a trend.
Heikin Ashi Candles & VWAP: Incorporates Heikin Ashi candles for smoother trend visualization and adds a VWAP line for potential support/resistance levels.
Clear Table Display: Presents key information like Stop Loss and Take Profit levels in a user-friendly table, making it easier to track trade targets.
How It Works
Supertrend Calculation: The Supertrend is calculated using ATR (Average True Range) to gauge market volatility. The script then creates buffer zones around the Supertrend line for refined signal generation.
Buy/Sell Signals:
Buy: When the close price crosses above the upper buffer zone, indicating a potential uptrend.
Sell: When the close price crosses below the lower buffer zone, suggesting a potential downtrend.
Take Profit & Stop Loss:
Take Profits: Three TP levels are calculated based on ATR and a customizable profit factor.
Stop Loss: The stop-loss can be set as either a fixed value based on ATR or as a trailing stop-loss that dynamically adjusts to lock in profits.
How To Use
Add the Indicator: Search for "Supertrend (Buy/Sell) With TP & SL" in the TradingView indicators list and add it to your chart.
Customize Inputs: Adjust parameters like ATR Period, Factor, Take Profit Factor, Stop Loss Factor, Stop Loss Type, etc., based on your trading style and preferences.
Interpret Signals: Look for buy signals when the price crosses above the upper buffer and sell signals when it crosses below the lower buffer.
Manage Risk: Use the plotted Take Profit and Stop Loss levels to manage your risk and potential rewards.
Concepts
Supertrend: A trend-following indicator that helps identify the direction of the prevailing trend.
ATR (Average True Range): A measure of market volatility.
Buffer Zones: Used to filter out false signals by creating a zone around the Supertrend line.
Trailing Stop Loss: A dynamic stop-loss that moves with the price to protect profits.
Heikin Ashi: A type of candlestick chart designed to filter out market noise and make trends easier to identify.
VWAP (Volume Weighted Average Price): An indicator that shows the average price at which a security has traded throughout the day, based on both volume and price.
Important Note: This script is for educational and informational purposes only. Backtest thoroughly and use with caution in live trading. Always manage your risk appropriately.
2Mars - MA / BB / SuperTrend
The 2Mars strategy is a trading approach that aims to improve trading efficiency by incorporating several simple order opening tactics. These tactics include moving average crossovers, Bollinger Bands, and SuperTrend.
Entering a Position with the 2Mars Strategy:
Moving Average Crossover: This method considers the crossing of moving averages as a signal to enter a position.
Price Crossing Bollinger Bands: If the price crosses either the upper or lower Bollinger Band, it is seen as a signal to enter a position.
Price Crossing Moving Average: If the price crosses the moving average, it is also considered a signal to enter a position.
SuperTrend and Bars confirm:
The SuperTrend indicator is used to provide additional confirmation for entering positions and setting stop loss levels. "Bars confirm" is used only for entry to positions.
Moving Average Crossover Strategy:
A moving average crossover refers to the point on a chart where there is a crossover of the signal or fast moving average, above or below the basis or slow moving average. This strategy also uses moving averages for additional orders #3.
Basis Moving Average Length: Ratio * Multiplier
Signal Moving Average Length: Multiplier
Bollinger Bands:
Bollinger Bands consist of three bands: an upper band, a lower band, and a basis moving average. However, the 2Mars strategy incorporates multiple upper and lower levels for position entry and take profit.
Basis +/- StdDev * 0.618
Basis +/- StdDev * 1.618
Basis +/- StdDev * 2.618
Additional Orders:
Additional Order #1 and #2: closing price crosses above or below the Bollinger Bands.
Additional Order #3: closing price crosses above or below the basis or signal moving average.
Take Profit:
The strategy includes three levels for taking profits, which are based on the Bollinger Bands. Additionally, a percentage of the position can be chosen to close long or short positions.
Limit Orders:
The strategy allows for entering a position using a limit order. The calculation for the limit order involves the Average True Range (ATR) for a specific period.
For long positions: Low price - ATR * Multiplier
For short positions: High price + ATR * Multiplier
Stop Loss:
To manage risk, the strategy recommends using stop loss options. The stop loss is updated with each entry order and take-profit level 3. When using the SuperTrend Confirmation, the stop loss requires confirmation of a trend change. It allows for flexible adjustment of the stop loss when the trend changes.
There are three options for setting the stop loss:
1. ATR (Average True Range):
For long positions: Low price - ATR * Long multiplier
For short positions: High price + ATR * Short multiplier
2. SuperTrend + ATR:
For long positions: SuperTrend - ATR * Long multiplier
For short positions: SuperTrend + ATR * Short multiplier
3. StdDev:
For long positions: StdDev - ATR * Long multiplier
For short positions: StdDev + ATR * Short multiplier
Flexible Stop Loss:
There is also a flexible stop loss option for the ATR and StdDev methods. It is triggered when the SuperTrend or moving average trend changes unfavorably.
For long positions: Stop-loss price + (ATR * Long multiplier) * Multiplier
For short positions: Stop-loss price - (ATR * Short multiplier) * Multiplier
How configure:
Disable SuperTrend, take profit, stop loss, additional orders and begin setting up a strategy.
Pick soucre data
Number of bars for confirm
Pick up the ratio of the base moving average and the signal moving average.
Set up a SuperTrend
Time for set up of the Bollinger Bands and the take profit
And finaly set up of stop loss and limit orders
All done!
For OKX exchange:
Risk Management and Positionsize - MACD exampleMastering Risk Management
Risk management is the cornerstone of successful trading, and it's often the difference between turning a profit and suffering a loss. In light of its importance, I share a risk management tool which you can use for your trading strategies. The script not only assists in position sizing but also comes with built-in technical features that help in market timing. Let's delve into the nitty-gritty details.
Input Parameter: MarginFactor
One of the key features of the script is the MarginFactor input parameter. This element lets you control the portion of your equity used for placing each trade. A MarginFactor of -0.5 means 50% of your total equity will be deployed in placing the position size. Although Tradingview has a built-in option to adjust position sizing in a same way, I personally prefer to have the logic in my pinecode script. The main reason is userexperience in managing and testing different settings for different charts, timeframes and instruments (with the same strategy).
Stoploss and MarginFactor
If your strategy has a 4% stop-loss, you can choose to use only 50% of your equity by setting the MarginFactor to -0.5. In this case, you are effectively risking only 2% of your total capital per trade, which aligns well with the widely-accepted rule of thumb suggesting a 1-2% risk per trade. Similar if your stoploss is only 1% you can choose to change the MarginFactor to 1, resulting in a positionsize of 200% of your equity. The total risk would be again 2% per trade if your stoploss is set to 1%.
Max Drawdown and MarginFactor
Your MarginFactor setting can also be aligned with the maximum drawdown of your strategy, seen during a backtested period of 2-3 years. For example, if the max drawdown is 15%, you could calibrate your MarginFactor accordingly to limit your risk exposure.
Option to Toggle Number of Contracts
The script offers the option to toggle between using a percentage of equity for position sizing or specifying a fixed number of contracts. Utilizing a percentage of equity might yield unrealistic backtest results, especially over longer periods. This occurs because as the capital grows, the absolute position size also increases, potentially inflating the accumulated returns generated by the backtester. On the other hand, setting a fixed number of contracts as your position size offers a more stable and realistic ROI over the backtested period, as it removes the compounding effect on position sizes.
Key Features Strategy
MACD High Time Frame Entry and Exit Logic
The strategy employs a high time frame MACD (Moving Average Convergence Divergence) to make entry and exit decisions. You can easily adjust the timeframe settings and MACD settings in the inputsection to trade on lower timeframes. For more information on the HTF MACD with dynamic smoothing see:
Moving Average High Time Frame Filter
To reduce market 'noise', the strategy incorporates a high time frame moving average filter. This ensures that the trades are aligned with the dominant market trend (trading the trend). In the inputsection traders can easily switch between different type of moving averages. For more information about this HTF filter see:
Dynamic Smoothing
The script includes a feature for dynamic smoothing. The script contains The timeframeToMinutes(tf) function to convert any given time frame into its equivalent in minutes. For example, a daily (D) time frame is converted into 1440 minutes, a weekly (W) into 10,080 minutes, and so forth. Next the smoothing factor is calculated by dividing the minutes of the higher time frame by those of the current time frame. Finally, the script applies a Simple Moving Average (SMA) over the MACD, SIGNAL, and HIST values, MA filter using the dynamically calculated smoothing factor.
User Convenience: One of the major benefits is that traders don't need to manually adjust the smoothing factor when switching between different time frames. The script does this dynamically.
Visual Consistency: Dynamic smoothing helps traders to more accurately visualize and interpret HTF indicators when trading on lower time frames.
Time Frame Restriction: It's crucial to note that the operational time frame should always be lower than the time frame selected in the input sections for dynamic smoothing to function as intended.
By incorporating this dynamic smoothing logic, the script offers traders a nuanced yet straightforward way to adapt High Time Frame indicators for lower time frame trading, enhancing both adaptability and user experience.
Limitations: Exit Strategy
It's crucial to note that the script comes with a simplified exit strategy, devoid of features like a stop-loss, trailing stop-loss or multiple take profits. This means that while the script focuses on entries and risk management, it might result in higher losses if market conditions unexpectedly turn unfavorable.
Conclusion
Effective risk management is pivotal for trading success, and this TradingView script is designed to give you a better idea how to implement positions sizing with your preferred strategy. However, it's essential to note that this tool should not be considered financial advice. Always perform your due diligence and consult with financial advisors before making any trading decisions.
Feel free to use this risk management tool as building block in your trading scripts, Happy Trading!
