ATRs in Days📌 ATR in Days
This script tracks how price moves in relation to ATR over multiple days, providing a powerful volatility framework for traders.
🔹 Key Features:
✅ 4 ATRs in 5 Days – Measures if a stock has moved 4x its ATR within the last 5 days, identifying extreme volatility zones.
✅ Daily ATR Calculation – Tracks average true range over time to gauge market conditions.
✅ Clear Table Display – Real-time ATR readings for quick decision-making.
✅ Intraday & Swing Trading Compatible – Works across multiple timeframes for day traders & swing traders.
📊 How to Use:
Look for stocks that exceed 4 ATRs in 5 days to spot extended moves.
Use ATR as a reversion or continuation signal depending on market structure.
🚀 Perfect for traders looking to quantify volatility & structure trades effectively!
Biến động
Spent Output Profit Ratio (SOPR) Z-Score | [DeV]SOPR Z-Score
The Spent Output Profit Ratio (SOPR) is an advanced on-chain metric designed to provide deep insights into Bitcoin market dynamics by measuring the ratio between the combined USD value of all Bitcoin outputs spent on a given day and their combined USD value at the time of creation (typically, their purchase price). As a member of the Realized Profit/Loss family of metrics, SOPR offers a window into aggregate seller behavior, effectively representing the USD amount received by sellers divided by the USD amount they originally paid. This indicator enhances this metric by normalizing it into a Z-Score, enabling a statistically robust analysis of market sentiment relative to historical trends, augmented by a suite of customizable features for precision and visualization.
SOPR Settings -
Lookback Length (Default: 150 days): Determines the historical window for calculating the Z-Score’s mean and standard deviation. A longer lookback captures broader market cycles, providing a stable baseline for identifying extreme deviations, which is particularly valuable for long-term strategic analysis.
Smoothing Period (Default: 100 days): Applies an EMA to the raw SOPR, balancing responsiveness to recent changes with noise reduction. This extended smoothing period ensures the indicator focuses on sustained shifts in seller behavior, ideal for institutional-grade trend analysis.
Moving Average Settings -
MA Lookback Length (Default: 90 days): Sets the period for the Z-Score’s moving average, offering a shorter-term trend signal relative to the 150-day Z-Score lookback. This contrast enhances the ability to detect momentum shifts within the broader context.
MA Type (Default: EMA): Provides six moving average types, from the simple SMA to the volume-weighted VWMA. The default EMA strikes an optimal balance between smoothness and responsiveness, while alternatives like HMA (Hull) or VWMA (volume-weighted) allow for specialized applications, such as emphasizing recent price action or incorporating volume dynamics.
Display Settings -
Show Moving Average (Default: True): Toggles the visibility of the Z-Score MA plot, enabling users to focus solely on the raw Z-Score when preferred.
Show Background Colors (Default: True): Activates dynamic background shading, enhancing visual interpretation of market regimes.
Background Color Source (Default: SOPR): Allows users to tie the background color to either the SOPR Z-Score’s midline (reflecting adjustedZScore > 0) or the MA’s trend direction (zScoreMA > zScoreMA ). This dual-source option provides flexibility to align the visual context with the primary analytical focus.
Analytical Applications -
Bear Market Resistance: When the Z-Score approaches or exceeds zero (raw SOPR near 1), it often signals resistance as sellers rush to exit at break-even, a pattern historically observed during downtrends. A rising Z-Score MA crossing zero can confirm this pressure.
Bull Market Support: Conversely, a Z-Score dropping below zero in uptrends indicates reluctance to sell at a loss, forming support as sell pressure diminishes. The MA’s bullish coloring reinforces confirmation of renewed buying interest.
Extreme Deviations: Values significantly above or below zero highlight overbought or oversold conditions, respectively, offering opportunities for contrarian positioning when paired with other on-chain or price-based metrics.
OG ATR RangeDescription:
The OG ATR Tool is a clean, visualized version of the Average True Range indicator for identifying volatility, stop-loss levels, and realistic price movement expectations.
How it works:
Calculates the average range (in points/pips) of recent candles.
Overlays ATR bands to help define breakout potential or squeeze zones.
Can be used to size trades or set dynamic stop-loss and target levels.
Best for:
Intraday traders who want to avoid unrealistic targets.
Volatility-based setups and breakout strategies.
Creating position sizing rules based on instrument volatility.
Pro Tip: Combine with your trend indicators to set sniper entries and exits that respect volatility.
PumpC Opening Range Breakout (ORB) Stretch RangePumpC ORB Stretch
The PumpC ORB Stretch is a volatility-based indicator that helps traders identify potential breakout zones by analyzing how price typically behaves around the open. This tool is inspired by concepts introduced by Toby Crabel in his well-known book “Day Trading with Short-Term Price Patterns and Opening Range Breakout.”
Rather than predicting market direction, this indicator highlights areas where price is likely to expand based on recent volatility. It is designed for traders who prefer dynamic, data-driven breakout levels over static support and resistance zones.
What Is the "Stretch"?
In Toby Crabel’s framework, the Stretch is the average of the smaller of two price moves:
The distance from the open to the high of the bar
The distance from the open to the low of the bar
This smaller value captures the “quiet side” of the candle and reflects recent price compression. Averaged over multiple periods (commonly 10 daily bars), it creates a baseline to assess how far price may move away from the open under typical market conditions.
How the Indicator Works
The PumpC ORB Stretch follows this process:
Uses a higher timeframe (such as daily) to calculate the open, high, and low.
For each bar, measures the smaller of the two distances: open to high or open to low.
Applies a moving average to the result over a user-defined number of bars (default is 10).
Multiplies the average stretch by customizable levels (e.g., 0.382, 1.0, 2.0).
Plots breakout levels above and below the open of the selected timeframe.
The result is a set of adaptive levels that expand or contract with market volatility.
Customization Options
Stretch Timeframe: Choose the timeframe used for stretch calculation (default: Daily).
Stretch Length: Set the number of bars to include in the moving average.
Breakout Levels: Enable or disable individual levels and define multipliers.
Color Settings: Customize colors for each range level for easy visual distinction.
Plot Style: Circular markers are used to reduce chart clutter and improve readability.
How to Use It
Use plotted levels to anticipate possible breakouts from the open.
Adjust stretch length to reflect short-term or longer-term volatility trends.
Combine this tool with momentum indicators, volume, or price action for confirmation.
Use levels to help guide stop placement or profit targets in breakout strategies.
Important Notes
This script is based on an interpretation of Crabel’s concepts and is not affiliated with Crabel Capital or the original author.
The indicator does not predict direction; it is a tool for context and structure.
It is recommended that users test and validate this tool in a simulated environment before applying it to live trading.
This indicator is intended for educational purposes only.
Licensing and Attribution
This script is built entirely in Pine Script v5 and follows TradingView’s open-source standards. It does not include any third-party or proprietary code. If you modify or share it, please credit the original idea and follow all TradingView script publishing rules.
Ehlers Adaptive Trend Indicator [Alpha Extract]Ehlers Adaptive Trend Indicator
The Ehlers Adaptive Trend Indicator combines Ehlers' advanced digital signal processing techniques with dynamic volatility bands to identify robust trend conditions and potential reversals. This powerful tool helps traders visualize trend strength, adaptive support/resistance levels, and momentum shifts across various market conditions.
🔶 CALCULATION
The indicator employs a sophisticated adaptive algorithm that responds to changing market conditions:
• Ehlers Filter : Calculates a weighted average based on momentum differences to create an adaptive trend baseline.
• Dynamic Bands : Volatility-adjusted bands that expand and contract based on recent price action.
• Trend Level : A dynamic support/resistance level that adapts to the current trend direction.
• Smoothed Volatility : Market volatility measured and smoothed to provide reliable band width.
Formula:
• Ehlers Basis = Weighted average of price, with weights determined by momentum differences
• Volatility = Standard deviation of price over Ehlers Length period
• Smoothed Volatility = EMA of volatility over Smoothing Length
• Upper Band = Ehlers Basis + Smoothed Volatility × Sensitivity
• Lower Band = Ehlers Basis - Smoothed Volatility × Sensitivity
• Trend Level = Adaptive support in uptrends, resistance in downtrends
🔶 DETAILS
Visual Features :
• Ehlers Basis Line (Yellow): The core adaptive trend reference that serves as the primary trend indicator.
• Trend Level Line (Dynamic Color): Changes between green (bullish) and red (bearish) based on the current trend state.
• Fill Areas : Transparent green fill during bullish trends and transparent red fill during bearish trends for clear visual identification.
• Bar Coloring : Optional price bar coloring that reflects the current trend direction for enhanced visualization.
Interpretation :
• **Bullish Signal**: Price crosses above the upper band, triggering a trend change with the Trend Level becoming dynamic support.
• **Bearish Signal**: Price drops below the lower band, confirming a trend change with the Trend Level becoming dynamic resistance.
• **Trend Continuation**: Trend Level rises in bullish markets and falls in bearish markets, providing adaptive trailing support/resistance.
🔶 EXAMPLES
The chart demonstrates:
• Bullish Trend Identification : When price breaks above the upper band, the indicator shifts to bullish mode with green trend level and fill.
• Bearish Trend Identification : When price falls below the lower band, the indicator shifts to bearish mode with red trend level and fill.
• Trend Persistence : Trend Level adapts to market movement, rising during uptrends to provide dynamic support and falling during downtrends to act as resistance.
Example Snapshots :
• During a strong uptrend, the Trend Level continuously adjusts upward, keeping traders in the trend while filtering out minor retracements.
• During trend reversals, clear color changes and Trend Level shifts provide early warning of potential direction changes.
🔶 SETTINGS
Customization Options :
• Ehlers Length (p1) (Default: 30): Controls the primary adaptive calculation period, balancing responsiveness with stability.
• Momentum Length (p2) (Default: 25): Determines the lag for momentum calculations used in the adaptive weighting.
• Smoothing Length (Default: 10): Adjusts the volatility smoothing period—higher values provide more stable bands.
• Sensitivity (Default: 1.0): Multiplier for band width—higher values increase distance between bands, lower values tighten them.
• Visual Settings : Customizable colors for bullish and bearish trends, basis line, and optional bar coloring.
The Ehlers Adaptive Trend Indicator combines John Ehlers' digital signal processing expertise with modern volatility analysis to create a robust trend-following system that adapts to changing market conditions, helping traders stay on the right side of the market.
Nasan Risk Score & Postion Size Estimator** THE RISK SCORE AND POSITION SIZE WILL ONLY BE CALCUTAED ON DIALY TIMEFRAME NOT IN OTHER TIMEFRAMES.
The typically accepted generic rule for risk management is not to risk more than 1% - 2 % of the capital in any given trade. It has its own basis however it does not take into account the stocks historic & current performance and does not consider the traders performance metrics (like win rate, profit ratio).
The Nasan Risk Score & Position size calculator takes into account all the listed parameters into account and estimates a Risk %. The position size is calculated using the estimated risk % , current ATR and a dynamically adjusted ATR multiple (ATR multiple is adjusted based on true range's volatility and stocks relative performance).
It follows a series of calculations:
Unadjusted Nasan Risk Score = (Min Risk)^a + b*
Min Risk = ( 5 year weighted avg Annual Stock Return - 5 year weighted avg Annual Bench Return) / 5 year weighted avg Annual Max ATR%
Max Risk = ( 5 year weighted avg Annual Stock Return - 5 year weighted avg Annual Bench Return) / 5 year weighted avg Annual Min ATR%
The min and max return is calculated based on stocks excess return in comparison to the Benchmark return and adjusted for volatility of the stock.
When a stock underperforms the benchmark, the default is, it does not calculate a position size , however if we opt it to calculate it will use 1% for Min Risk% and 2% for Max Risk% but all the other calculations and scaling remain the same.
Rationale:
Stocks outperforming their benchmark with lower volatility (ATR%) score higher.
A stock with high returns but excessive volatility gets penalized.
This ensures volatility-adjusted performance is emphasized rather than absolute returns.
Depending on the risk preference aggressive or conservative
Aggressive Risk Scaling: a = max (m, n) and b = min (m, n)
Conservative Scaling: a = min (m, n) and b = max (m, n)
where n = traders win % /100 and m = 1 - (1/ (1+ profit ratio))
A default of 50% is used for win factor and 1.5 for profit ratio.
Aggressive risk scaling increases exposure when the strategy's strongest factor is favorable.
Conservative risk scaling ensures more stable risk levels by focusing on the weaker factor.
The Unadjusted Nasan risk is score is further refined based on a tolerance factor which is based on the stocks maximum annual drawdown and the trader's maximum draw down tolerance.
Tolerance = /100
The correction factor (Tolerance) adjusts the risk score based on downside risk. Here's how it works conceptually:
The formula calculates how much the stock's actual drawdown exceeds your acceptable limit.
If stocks maximum Annual drawdown is smaller than Trader's maximum acceptable drawdown % , this results in a positive correction factor (indicating the drawdown is within your acceptable range and increases the unadjusted score.
If stocks maximum Annual drawdown exceeds Trader's maximum acceptable drawdown %, the correction factor will decrease (indicating that the downside risk is greater than what you are comfortable with, so it will adjust the risk exposure).
Once the Risk Score (numerically equal to Risk %) The position size is calculated based on the current market conditions.
Nasan Risk Score (Risk%) = Unadjusted Nasan Risk Score * Tolerance.
Position Size = (Capital * Risk% )/ ATR-Multiplier * ATR
The ATR Multiplier is dynamically adjusted based on the stocks recent relative performance and the variability of the true range itself. It would range between 1 - 3.5.
The multiplier widens when conditions are not favorable decreasing the position size and increases position size when conditions are favorable.
This Calculation /Estimate Does not give you a very different result than the arbitrary 1% - 2%. However it does fine tune the % based on sock performance, traders performance and tolerance level.
Correlation Coefficient TableThis Pine Script generates a dynamic table for analyzing how multiple assets correlate with a chosen benchmark (e.g., NZ50G). Users can input up to 12 asset symbols, customize the benchmark, and define the beta calculation periods (e.g., 15, 30, 90, 180 days). The script calculates Correlation values for each asset over these periods and computes the average beta for better insights.
The table includes:
Asset symbols: Displayed in the first row.
Correlation values: Calculated for each defined period and displayed in subsequent columns.
Average Correlation: Presented in the final column as an overall measure of correlation strength.
Color coding: Background colors indicate beta magnitude (green for high positive beta, yellow for near-neutral beta, red for negative beta).
ATR & PTR TableThe ATR & PTR Table Indicator displays a dynamic table that provides Average True Range (measures market volatility over 1D, 1W, and 1M timeframes), Price trading range (difference between the high and low prices over the same periods) & percentage of the typical range that has been traded. This indicator will help traders identify potential breakout zones and assess volatility across multiple timeframes.
This had been optimized to show ATR and PTR on every time frame. The (1D) represents ATR on whatever timeframe you are currently on.
ATR SL and TP with Candle Freeze & DataWindowThis indicator uses the Average True Range (ATR) to automatically calculate your stop loss (SL) and take profit (TP) levels based on the current market volatility and your chosen multipliers. Here's how it works:
ATR Calculation:
The indicator computes the ATR, which measures the average market volatility over a set period. This value helps gauge how much the price typically moves.
SL and TP Determination:
Depending on whether you're in a long or short trade, the SL and TP are calculated relative to the current price:
For a long trade, the stop loss is set below the current price (by subtracting a multiple of the ATR) and the take profit is set above it (by adding a multiple of the ATR).
For a short trade, the calculations are reversed.
Candle Freeze Feature:
Once a new candle starts, the calculated SL and TP values are "frozen" for that candle. This means they remain constant during the candle's formation, preventing them from updating continuously as the price fluctuates. This can make it easier to plan your trades without the levels shifting mid-candle.
Data Window & Labels:
The SL and TP values are plotted on the chart as lines and displayed in labels for quick reference. Additionally, they appear in TradingView's Data Window, so you can easily copy the price numbers if needed.
Overall, the indicator is designed to help you manage your trades by setting dynamic, volatility-adjusted SL and TP levels that only update at the start of each new candle, aligning with your chosen timeframe. Let me know if you have any more questions or need further adjustments!
Composite Reversal IndicatorOverview
The "Composite Reversal Indicator" aggregates five technical signals to produce a composite score that ranges from -5 (strongly bearish) to +5 (strongly bullish). These signals come from:
Relative Strength Index (RSI)
Moving Average Convergence Divergence (MACD)
Accumulation/Distribution (A/D)
Volume relative to its moving average
Price proximity to support and resistance levels
Each signal contributes a value of +1 (bullish), -1 (bearish), or 0 (neutral) to the total score. The raw score is plotted as a histogram, and a smoothed version is plotted as a colored line to highlight trends.
Step-by-Step Explanation
1. Customizable Inputs
The indicator starts with user-defined inputs that allow traders to tweak its settings. These inputs include:
RSI: Length (e.g., 14), oversold level (e.g., 30), and overbought level (e.g., 70).
MACD: Fast length (e.g., 12), slow length (e.g., 26), and signal length (e.g., 9).
Volume: Moving average length (e.g., 20) and multipliers for high (e.g., 1.5) and low (e.g., 0.5) volume thresholds.
Price Levels: Period for support and resistance (e.g., 50) and proximity percentage (e.g., 2%).
Score Smoothing: Length for smoothing the score (e.g., 5).
These inputs make the indicator adaptable to different trading styles, assets, or timeframes.
2. Indicator Calculations
The script calculates five key indicators using the input parameters:
RSI: Measures momentum and identifies overbought or oversold conditions.
Formula: rsi = ta.rsi(close, rsi_length)
Example: With a length of 14, it analyzes the past 14 bars of closing prices.
MACD: Tracks trend and momentum using two exponential moving averages (EMAs).
Formula: = ta.macd(close, macd_fast, macd_slow, macd_signal)
Components: MACD line (fast EMA - slow EMA), signal line (EMA of MACD line).
Accumulation/Distribution (A/D): A volume-based indicator showing buying or selling pressure.
Formula: ad = ta.accdist
Reflects cumulative flow based on price and volume.
Volume Moving Average: A simple moving average (SMA) of trading volume.
Formula: vol_ma = ta.sma(volume, vol_ma_length)
Example: A 20-bar SMA smooths volume data.
Support and Resistance Levels: Key price levels based on historical lows and highs.
Formulas:
support = ta.lowest(low, price_level_period)
resistance = ta.highest(high, price_level_period)
Example: Over 50 bars, it finds the lowest low and highest high.
These calculations provide the raw data for generating signals.
3. Signal Generation
Each indicator produces a signal based on specific conditions:
RSI Signal:
+1: RSI < oversold level (e.g., < 30) → potential bullish reversal.
-1: RSI > overbought level (e.g., > 70) → potential bearish reversal.
0: Otherwise.
Logic: Extreme RSI values suggest price may reverse.
MACD Signal:
+1: MACD line > signal line → bullish momentum.
-1: MACD line < signal line → bearish momentum.
0: Equal.
Logic: Crossovers indicate trend shifts.
A/D Signal:
+1: Current A/D > previous A/D → accumulation (bullish).
-1: Current A/D < previous A/D → distribution (bearish).
0: Unchanged.
Logic: Rising A/D shows buying pressure.
Volume Signal:
+1: Volume > high threshold (e.g., 1.5 × volume MA) → strong activity (bullish).
-1: Volume < low threshold (e.g., 0.5 × volume MA) → weak activity (bearish).
0: Otherwise.
Logic: Volume spikes often confirm reversals.
Price Signal:
+1: Close near support (within proximity %, e.g., 2%) → potential bounce.
-1: Close near resistance (within proximity %) → potential rejection.
0: Otherwise.
Logic: Price near key levels signals reversal zones.
4. Composite Score
The raw composite score is the sum of the five signals:
Formula: score = rsi_signal + macd_signal + ad_signal + vol_signal + price_signal
Range: -5 (all signals bearish) to +5 (all signals bullish).
Purpose: Combines multiple perspectives into one number.
5. Smoothed Score
A smoothed version of the score reduces noise:
Formula: score_ma = ta.sma(score, score_ma_length)
Example: With a length of 5, it averages the score over 5 bars.
Purpose: Highlights the trend rather than short-term fluctuations.
6. Visualization
The indicator plots two elements:
Raw Score: A gray histogram showing the composite score per bar.
Style: plot.style_histogram
Color: Gray.
Smoothed Score: A line that changes color:
Green: Score > 0 (bullish).
Red: Score < 0 (bearish).
Gray: Score = 0 (neutral).
Style: plot.style_line, thicker line (e.g., linewidth=2).
These visuals make it easy to spot potential reversals.
How It Works Together
The indicator combines signals from:
RSI: Momentum extremes.
MACD: Trend shifts.
A/D: Buying/selling pressure.
Volume: Confirmation of moves.
Price Levels: Key reversal zones.
By summing these into a composite score, it filters out noise and provides a unified signal. A high positive score (e.g., +3 to +5) suggests a bullish reversal, while a low negative score (e.g., -3 to -5) suggests a bearish reversal. The smoothed score helps traders focus on the trend.
Practical Use
Bullish Reversal: Smoothed score is green and rising → look for buying opportunities.
Bearish Reversal: Smoothed score is red and falling → consider selling or shorting.
Neutral: Score near 0 → wait for clearer signals.
Traders can adjust inputs to suit their strategy, making it versatile for stocks, forex, or crypto.
Pivot S/R with Volatility Filter## *📌 Indicator Purpose*
This indicator identifies *key support/resistance levels* using pivot points while also:
✅ Detecting *high-volume liquidity traps* (stop hunts)
✅ Filtering insignificant pivots via *ATR (Average True Range) volatility*
✅ Tracking *test counts and breakouts* to measure level strength
---
## *⚙ SETTINGS – Detailed Breakdown*
### *1️⃣ ◆ General Settings*
#### *🔹 Pivot Length*
- *Purpose:* Determines how many bars to analyze when identifying pivots.
- *Usage:*
- *Low values (5-20):* More pivots, better for scalping.
- *High values (50-200):* Fewer but stronger levels for swing trading.
- *Example:*
- Pivot Length = 50 → Only the most significant highs/lows over 50 bars are marked.
#### *🔹 Test Threshold (Max Test Count)*
- *Purpose:* Sets how many times a level can be tested before being invalidated.
- *Example:*
- Test Threshold = 3 → After 3 tests, the level is ignored (likely to break).
#### *🔹 Zone Range*
- *Purpose:* Creates a price buffer around pivots (±0.001 by default).
- *Why?* Markets often respect "zones" rather than exact prices.
---
### *2️⃣ ◆ Volatility Filter (ATR)*
#### *🔹 ATR Period*
- *Purpose:* Smoothing period for Average True Range calculation.
- *Default:* 14 (standard for volatility measurement).
#### *🔹 ATR Multiplier (Min Move)*
- *Purpose:* Requires pivots to show *meaningful price movement*.
- *Formula:* Min Move = ATR × Multiplier
- *Example:*
- ATR = 10 pips, Multiplier = 1.5 → Only pivots with *15+ pip swings* are valid.
#### *🔹 Show ATR Filter Info*
- Displays current ATR and minimum move requirements on the chart.
---
### *3️⃣ ◆ Volume Analysis*
#### *🔹 Volume Change Threshold (%)*
- *Purpose:* Filters for *unusual volume spikes* (institutional activity).
- *Example:*
- Threshold = 1.2 → Requires *120% of average volume* to confirm signals.
#### *🔹 Volume MA Period*
- *Purpose:* Lookback period for "normal" volume calculation.
---
### *4️⃣ ◆ Wick Analysis*
#### *🔹 Wick Length Threshold (Ratio)*
- *Purpose:* Ensures rejection candles have *long wicks* (strong reversals).
- *Formula:* Wick Ratio = (Upper Wick + Lower Wick) / Candle Range
- *Example:*
- Threshold = 0.6 → 60% of the candle must be wicks.
#### *🔹 Min Wick Size (ATR %)*
- *Purpose:* Filters out small wicks in volatile markets.
- *Example:*
- ATR = 20 pips, MinWickSize = 1% → Wicks under *0.2 pips* are ignored.
---
### *5️⃣ ◆ Display Settings*
- *Show Zones:* Toggles support/resistance shaded areas.
- *Show Traps:* Highlights liquidity traps (▲/▼ symbols).
- *Show Tests:* Displays how many times levels were tested.
- *Zone Transparency:* Adjusts opacity of zones.
---
## *🎯 Practical Use Cases*
### *1️⃣ Liquidity Trap Detection*
- *Scenario:* Price spikes *above resistance* then reverses sharply.
- *Requirements:*
- Long wick (Wick Ratio > 0.6)
- High volume (Volume > Threshold)
- *Outcome:* *Short Trap* signal (▼) appears.
### *2️⃣ Strong Support Level*
- *Scenario:* Price bounces *3 times* from the same level.
- *Indicator Action:*
- Labels the level with test count (3/5 = 3 tests out of max 5).
- Turns *red* if broken (Break Count > 0).
Deep Dive: How This Indicator Works*
This indicator combines *four professional trading concepts* into one powerful tool:
1. *Classic Pivot Point Theory*
- Identifies swing highs/lows where price previously reversed
- Unlike basic pivot indicators, ours uses *confirmed pivots only* (filtered by ATR)
2. *Volume-Weighted Validation*
- Requires unusual trading volume to confirm levels
- Filters out "phantom" levels with low participation
3. *ATR Volatility Filtering*
- Eliminates insignificant price swings in choppy markets
- Ensures only meaningful levels are plotted
4. *Liquidity Trap Detection*
- Spots institutional stop hunts where markets fake out traders
- Uses wick analysis + volume spikes for high-probability signals
---
Deep Dive: How This Indicator Works*
This indicator combines *four professional trading concepts* into one powerful tool:
1. *Classic Pivot Point Theory*
- Identifies swing highs/lows where price previously reversed
- Unlike basic pivot indicators, ours uses *confirmed pivots only* (filtered by ATR)
2. *Volume-Weighted Validation*
- Requires unusual trading volume to confirm levels
- Filters out "phantom" levels with low participation
3. *ATR Volatility Filtering*
- Eliminates insignificant price swings in choppy markets
- Ensures only meaningful levels are plotted
4. *Liquidity Trap Detection*
- Spots institutional stop hunts where markets fake out traders
- Uses wick analysis + volume spikes for high-probability signals
---
## *📊 Parameter Encyclopedia (Expanded)*
### *1️⃣ Pivot Engine Settings*
#### *Pivot Length (50)*
- *What It Does:*
Determines how many bars to analyze when searching for swing highs/lows.
- *Professional Adjustment Guide:*
| Trading Style | Recommended Value | Why? |
|--------------|------------------|------|
| Scalping | 10-20 | Captures short-term levels |
| Day Trading | 30-50 | Balanced approach |
| Swing Trading| 50-200 | Focuses on major levels |
- *Real Market Example:*
On NASDAQ 5-minute chart:
- Length=20: Identifies levels holding for ~2 hours
- Length=50: Finds levels respected for entire trading day
#### *Test Threshold (5)*
- *Advanced Insight:*
Institutions often test levels 3-5 times before breaking them. This setting mimics the "probe and push" strategy used by smart money.
- *Psychology Behind It:*
Retail traders typically give up after 2-3 tests, while institutions keep testing until stops are run.
---
### *2️⃣ Volatility Filter System*
#### *ATR Multiplier (1.0)*
- *Professional Formula:*
Minimum Valid Swing = ATR(14) × Multiplier
- *Market-Specific Recommendations:*
| Market Type | Optimal Multiplier |
|------------------|--------------------|
| Forex Majors | 0.8-1.2 |
| Crypto (BTC/ETH) | 1.5-2.5 |
| SP500 Stocks | 1.0-1.5 |
- *Why It Matters:*
In EUR/USD (ATR=10 pips):
- Multiplier=1.0 → Requires 10 pip swings
- Multiplier=1.5 → Requires 15 pip swings (fewer but higher quality levels)
---
### *3️⃣ Volume Confirmation System*
#### *Volume Threshold (1.2)*
- *Institutional Benchmark:*
- 1.2x = Moderate institutional interest
- 1.5x+ = Strong smart money activity
- *Volume Spike Case Study:*
*Before Apple Earnings:*
- Normal volume: 2M shares
- Spike threshold (1.2): 2.4M shares
- Actual volume: 3.1M shares → STRONG confirmation
---
### *4️⃣ Liquidity Trap Detection*
#### *Wick Analysis System*
- *Two-Filter Verification:*
1. *Wick Ratio (0.6):*
- Ensures majority of candle shows rejection
- Formula: (UpperWick + LowerWick) / Total Range > 0.6
2. *Min Wick Size (1% ATR):*
- Prevents false signals in flat markets
- Example: ATR=20 pips → Min wick=0.2 pips
- *Trap Identification Flowchart:*
Price Enters Zone →
Spikes Beyond Level →
Shows Long Wick →
Volume > Threshold →
TRAP CONFIRMED
---
## *💡 Master-Level Usage Techniques*
### *Institutional Order Flow Analysis*
1. *Step 1:* Identify pivot levels with ≥3 tests
2. *Step 2:* Watch for volume contraction near levels
3. *Step 3:* Enter when trap signal appears with:
- Wick > 2×ATR
- Volume > 1.5× average
### *Multi-Timeframe Confirmation*
1. *Higher TF:* Find weekly/monthly pivots
2. *Lower TF:* Use this indicator for precise entries
3. *Example:*
- Weekly pivot at $180
- 4H shows liquidity trap → High-probability reversal
---
## *⚠ Critical Mistakes to Avoid*
1. *Using Default Settings Everywhere*
- Crude oil needs higher ATR multiplier than bonds
2. *Ignoring Trap Context*
- Traps work best at:
- All-time highs/lows
- Major psychological numbers (00/50 levels)
3. *Overlooking Cumulative Volume*
- Check if volume is building over multiple tests
Price Extreme BandsPrice Extreme Bands Description
This indicator calculates and displays Price Extreme Bands based on an Exponential Moving Average (EMA) and True Range Average True Range (TR ATR). It utilizes a custom "Super Smoother" function to smooth the bands, providing a clearer representation of potential price extremes without sacrificing accuracy.
Usage
Built for specifically for intraday timeframes, this indicator identifies short term price extremes and volatility ranges. Traders can observe when price moves towards the outer bands, suggesting strong momentum or potential overbought/oversold conditions. The filled zones highlight areas of increased volatility which can used as exit criteria for a trade, possible reversal points in ranging markets or price ranges where price momentum could slow in trending markets.
Key Features
Length Input: Controls the length of the EMA and TR ATR calculations.
Multiplier Inputs: Uses two fixed multipliers (1.71 and 2.50) to create bands.
Super Smoother: Applies a custom smoothing function to the bands for reduced noise.
Fill Zones: Fills the areas between the inner and outer bands to highlight potential volatility ranges.
Calculation:
1. EMA (Basis): Calculates the Exponential Moving Average of the selected source.
2. TR ATR: Calculates the True Range and then smoothes it using RMA (Rolling Moving Average).
3. Bands: Calculates upper and lower bands using the EMA and ATR, with multipliers of 1.71 and 2.50.
4. Super Smoother: Applies a smoothing function to the calculated bands.
Visuals:
Basis Line: Plots the EMA (basis) (invisible by default).
Inner Bands (1.71 Multiplier): Plots the smoothed bands with a distinct color (e.g., orange) (invisible by default).
Outer Bands (2.50 Multiplier): Plots the smoothed bands with a different color (e.g., purple) (invisible by default).
Fill Zones: Fills the region between the inner and outer upper bands and the inner and outer lower bands with a translucent color (e.g. light blue).
// Note: The plot lines are invisible by default. To view the basis, upper and lower band lines, adjust the visibility settings in the indicator's settings.
Uniqueness: Ready of the box. Code and parameters built specifically for 1m to 15m timeframes provides users with an indicator to easily identify price extremes. The use of TR ATR and addition of the Super Smoother calculation create a easier visualization and implementation compared to existing price band options.
AI Trend Momentum SniperThe AI Trend Momentum Sniper is a powerful technical analysis tool designed for day trading. This strategy combines multiple momentum and trend indicators to identify high-probability entry and exit points. The indicator utilizes a combination of Supertrend, MACD, RSI, ATR (Average True Range), and On-Balance Volume (OBV) to generate real-time signals for buy and sell opportunities.
Key Features:
Supertrend for detecting market direction (bullish or bearish).
MACD for momentum confirmation, highlighting changes in market momentum.
RSI to filter out overbought/oversold conditions and ensure high-quality trades.
ATR as a volatility filter to adjust for changing market conditions.
OBV (On-Balance Volume) to confirm volume strength and trend validity.
Dynamic Stop-Loss & Take-Profit based on ATR to manage risk and lock profits.
This indicator is tailored for intraday traders looking for quick market moves, especially in volatile and high liquidity assets like Bitcoin (BTC) and Ethereum (ETH). It helps traders capture short-term trends with efficient risk management tools.
How to Apply:
Set Your Chart: Apply the AI Trend Momentum Sniper to a 5-minute (M5) or 15-minute (M15) chart for optimal performance.
Buy Signal: When the indicator generates a green arrow below the bar, it indicates a buy signal based on positive trend and momentum alignment.
Sell Signal: A red arrow above the bar signals a sell condition when the trend and momentum shift bearish.
Stop-Loss and Take-Profit: The indicator automatically calculates dynamic stop-loss and take-profit levels based on the ATR value for each trade, ensuring proper risk management.
Alerts: Set up custom alerts for buy or sell signals, and get notified instantly when opportunities arise.
Best Markets for Use:
BTC/USDT, ETH/USDT – High liquidity and volatility.
Major altcoins with sufficient volume.
Avoid using it on low-liquidity assets where price action may become erratic.
Timeframes:
This indicator is best suited for lower timeframes (5-minute to 15-minute charts) to capture quick price movements in trending markets.
SuperTrend MTF Pro [Cometreon]The SuperTrend MTF Pro takes the classic SuperTrend to a whole new level of customization and accuracy. Unlike the standard version, this indicator allows you to select different moving averages, apply it to various chart types, and fine-tune every key parameter.
If you're looking for an advanced, non-repainting, and highly configurable SuperTrend, this is the right choice for you.
🔷 New Features and Improvements
🟩 Multi-MA SuperTrend
Now you can customize the SuperTrend calculation by choosing from 15 different moving averages:
SMA (Simple Moving Average)
EMA (Exponential Moving Average)
WMA (Weighted Moving Average)
RMA (Smoothed Moving Average)
HMA (Hull Moving Average)
JMA (Jurik Moving Average)
DEMA (Double Exponential Moving Average)
TEMA (Triple Exponential Moving Average)
LSMA (Least Squares Moving Average)
VWMA (Volume-Weighted Moving Average)
SMMA (Smoothed Moving Average)
KAMA (Kaufman’s Adaptive Moving Average)
ALMA (Arnaud Legoux Moving Average)
FRAMA (Fractal Adaptive Moving Average)
VIDYA (Variable Index Dynamic Average)
🟩 Multiple Chart Types
You're no longer limited to candlestick charts! Now you can use SuperTrend with different chart formats, including:
Heikin Ashi
Renko
Kagi
Line Break
Point & Figure
🟩 Customizable Timeframe
Now you can adjust the SuperTrend timeframe without repainting issues, avoiding signal distortions.
🔷 Technical Details and Customizable Inputs
SuperTrend offers multiple customization options to fit any trading strategy:
1️⃣ ATR Period – Defines the ATR length, affecting the indicator’s sensitivity.
2️⃣ Source – Selects the price value used for calculations (Close, HL2, Open, etc.).
3️⃣ ATR Mult – Multiplies the ATR to determine band distance. Higher values reduce false signals, lower values make it more reactive.
4️⃣ Change ATR Calculation Method – When enabled, uses the default ATR method; when disabled, allows selecting another Moving Average with "Use Different Type".
5️⃣ Source Break – Defines the price source for trend changes (Close for more stability, High/Low for more reactivity).
6️⃣ Use Different Type – Allows selecting an alternative Moving Average for ATR calculation if "Change ATR Calculation Method" is disabled.
7️⃣ SuperTrend Type – Advanced options for specific MAs (JMA, ALMA, FRAMA, VIDYA), with dedicated parameters like Phase, Sigma, and Offset for optimized responsiveness.
8️⃣ Ticker Settings – Customize parameters for special chart types such as Renko, Heikin Ashi, Kagi, Line Break, and Point & Figure, adjusting reversal, number of lines, and ATR length.
9️⃣ Timeframe – Enables using SuperTrend on a higher timeframe.
🔟 Wait for Timeframe Closes -
Enabled ✅ – Prevents multiple signals, useful for precise alerts.
Disabled ❌ – Displays SuperTrend smoothly without interruptions.
🔷 How to Use SuperTrend MTF Pro
🔍 Identifying Trends
SuperTrend follows the ongoing trend and provides clear visual signals:
When the price is above the line, the trend is bullish.
When the price is below the line, the trend is bearish.
📈 Interpreting Signals
Line color and position change → Possible trend reversal
Bounce off the line → Potential trend continuation
Strong breakout of the line → Possible reversal
🛠 Integration with Other Tools
RSI or MACD to filter false signals
Moving Averages to confirm trend direction
Support and Resistance to improve entry points
☄️ If you find this indicator useful, leave a Boost to support its development!
Every feedback helps to continuously improve the tool, offering an even more effective trading experience. Share your thoughts in the comments! 🚀🔥
FFT Approximation StrategyExperimenting FFT Strategy on YCL (USD/JPY 2 x)
This script approximates the effects of FFT by identifying convergence between short- and long-term cycles. While it doesn't provide the precision of true spectral analysis, it captures the essence of cyclical market behavior.
How FFT Concepts Improve YCL Entry Points
Cycle Identification:
Use external FFT analysis to identify dominant cycles in USD/JPY price movements.
Apply these cycles to refine entry zones for YCL.
Noise Filtering:
High-frequency components identified by FFT can help filter out market noise.
Focus on low-frequency trends for more reliable signals.
Timing Optimization:
Combine cycle analysis with gamma exposure proxies to pinpoint moments of accelerated price movement.
Volume Pro Indicator## Volume Pro Indicator
A powerful volume indicator that visualizes volume distribution across different price levels. This tool helps you easily identify where trading activity concentrates within the price range.
### Key Features:
- **Volume visualization by price levels**: Green (lower zone), Magenta (middle zone), Cyan (upper zone)
- **VPOC (Volume Point of Control)**: Shows the price level with the highest volume concentration
- **High and Low lines**: Highlights the extreme levels of the analyzed price range
- **Customizable historical analysis**: Configurable number of days for calculation
### How to use it:
- Colored volumes show where trading activity concentrates within the price range
- The VPOC helps identify the most significant price levels
- Different colors allow you to quickly visualize volume distribution in different price areas
Customizable with numerous options, including analysis period, calculation resolution, colors, and visibility of different components.
### Note:
This indicator works best on higher timeframes (1H, 4H, 1D) and liquid markets. It's a visual analysis tool that enhances your understanding of market structure.
#volume #vpoc #distribution #volumeprofile #trading #analysis #indicator #professional #pricelevels #volumedistribution
Fourier Trend Energy (Prototype)Fourier Trend Energy (Prototype)
This indicator brings the logic of Fourier-based trend analysis into Pine Script.
It estimates two key components:
Low-Frequency Energy — representing the strength of the underlying trend
High-Frequency Energy — representing noise, volatility, or deviation from the trend
🔹 Green line → trend strength
🔸 Orange line → short-term noise
🟩🟥 Background color → shows whether trend energy is increasing or decreasing
You can use it to:
Detect early trend formation
Filter fakeouts during consolidation
Spot momentum shifts based on energy crossovers
This is not a traditional oscillator — it’s a frequency-inspired tool to help you understand when the market is charging for a move.
VIX Implied MovesKey Features:
Three Timeframe Bands:
Daily: Blue bands showing ±1σ expected move
Weekly: Green bands showing ±1σ expected move
30-Day: Red bands showing ±1σ expected move
Calculation Methodology:
Uses VIX's annualized volatility converted to specific timeframes using square root of time rule
Trading day convention (252 days/year)
Band width = Price × (VIX/100) ÷ √(number of periods)
Visual Features:
Colored semi-transparent backgrounds between bands
Progressive line thickness (thinner for shorter timeframes)
Real-time updates as VIX and ES prices change
Example Calculation (VIX=20, ES=5000):
Daily move = 5000 × (20/100)/√252 ≈ ±63 points
Weekly move = 5000 × (20/100)/√50 ≈ ±141 points
Monthly move = 5000 × (20/100)/√21 ≈ ±218 points
This indicator helps visualize expected price ranges based on current volatility conditions, with wider bands indicating higher market uncertainty. The probabilistic ranges represent 68% confidence levels (1 standard deviation) derived from options pricing.
Low Liquidity Zones [PhenLabs]📊 Low Liquidity Zones
Version: PineScript™ v6
📌 Description
Low Liquidity Zones identifies and highlights periods of unusually low trading volume on your chart, marking areas where price movement occurred with minimal participation. These zones often represent potential support and resistance levels that may be more susceptible to price breakouts or reversals when revisited with higher volume.
Unlike traditional volume analysis tools that focus on high volume spikes, this indicator specializes in detecting low liquidity areas where price moved with minimal resistance. Each zone displays its volume delta, providing insight into buying vs. selling pressure during these thin liquidity periods. This combination of low volume detection and delta analysis helps traders identify potential price inefficiencies and weak structures in the market.
🚀 Points of Innovation
• Identifies low liquidity zones that most volume indicators overlook but which often become significant technical levels
• Displays volume delta within each zone, showing net buying/selling pressure during low liquidity periods
• Dynamically adjusts to different timeframes, allowing analysis across multiple time horizons
• Filters zones by maximum size percentage to focus only on precise price levels
• Maintains historical zones until they expire based on your lookback settings, creating a cumulative map of potential support/resistance areas
🔧 Core Components
• Low Volume Detection: Identifies candles where volume falls below a specified threshold relative to recent average volume, highlighting potential liquidity gaps.
• Volume Delta Analysis: Calculates and displays the net buying/selling pressure within each low liquidity zone, providing insight into the directional bias during low participation periods.
• Dynamic Timeframe Adjustment: Automatically scales analysis periods to match your selected timeframe preference, ensuring consistent identification of low liquidity zones regardless of chart settings.
• Zone Management System: Creates, tracks, and expires low liquidity zones based on your configured settings, maintaining visual clarity on the chart.
🔥 Key Features
• Low Volume Identification: Automatically detects and highlights candles where volume falls below your specified threshold compared to the moving average.
• Volume Delta Visualization: Shows the net volume delta within each zone, providing insight into whether buyers or sellers were dominant despite the low overall volume.
• Flexible Timeframe Analysis: Analyze low liquidity zones across multiple predefined timeframes or use a custom lookback period specific to your trading style.
• Zone Size Filtering: Filters out excessively large zones to focus only on precise price levels, improving signal quality.
• Automatic Zone Expiration: Older zones are automatically removed after your specified lookback period to maintain a clean, relevant chart display.
🎨 Visualization
• Volume Delta Labels: Each zone displays its volume delta with “+” or “-” prefix and K/M suffix for easy interpretation, showing the strength and direction of pressure during the low volume period.
• Persistent Historical Mapping: Zones remain visible for your specified lookback period, creating a cumulative map of potential support and resistance levels forming under low liquidity conditions.
📖 Usage Guidelines
Analysis Timeframe
Default: 1D
Range/Options: 15M, 1HR, 3HR, 4HR, 8HR, 16HR, 1D, 3D, 5D, 1W, Custom
Description: Determines the historical period to analyze for low liquidity zones. Shorter timeframes provide more recent data while longer timeframes offer a more comprehensive view of significant zones. Use Custom option with the setting below for precise control.
Custom Period (Bars)
Default: 1000
Range: 1+
Description: Number of bars to analyze when using Custom timeframe option. Higher values show more historical zones but may impact performance.
Volume Analysis
Volume Threshold Divisor
Default: 0.5
Range: 0.1-1.0
Description: Maximum volume relative to average to identify low volume zones. Example: 0.5 means volume must be below 50% of the average to qualify as low volume. Lower values create more selective zones while higher values identify more zones.
Volume MA Length
Default: 15
Range: 1+
Description: Period length for volume moving average calculation. Shorter periods make the indicator more responsive to recent volume changes, while longer periods provide a more stable baseline.
Zone Settings
Zone Fill Color
Default: #2196F3 (80% transparency)
Description: Color and transparency of the low liquidity zones. Choose colors that stand out against your chart background without obscuring price action.
Maximum Zone Size %
Default: 0.5
Range: 0.1+
Description: Maximum allowed height of a zone as percentage of price. Larger zones are filtered out. Lower values create more precise zones focusing on tight price ranges.
Display Options
Show Volume Delta
Default: true
Description: Toggles the display of volume delta within each zone. Enabling this provides additional insight into buying vs. selling pressure during low volume periods.
Delta Text Position
Default: Right
Options: Left, Center, Right
Description: Controls the horizontal alignment of the delta text within zones. Adjust based on your chart layout for optimal readability.
✅ Best Use Cases
• Identifying potential support and resistance levels that formed during periods of thin liquidity
• Spotting price inefficiencies where larger players may have moved price with minimal volume
• Finding low-volume consolidation areas that may serve as breakout or reversal zones when revisited
• Locating potential stop-hunting zones where price moved on minimal participation
• Complementing traditional support/resistance analysis with volume context
⚠️ Limitations
• Requires volume data to function; will not work on symbols where the data provider doesn’t supply volume information
• Low volume zones don’t guarantee future support/resistance - they simply highlight potential areas of interest
• Works best on liquid instruments where volume data has meaningful fluctuations
• Historical analysis is limited by the maximum allowed box count (500) in TradingView
• Volume delta in some markets may not perfectly reflect buying vs. selling pressure due to data limitations
💡 What Makes This Unique
• Focus on Low Volume: Unlike some indicators that highlight high volume events particularly like our very own TLZ indicator, this tool specifically identifies potentially significant price zones that formed with minimal participation.
• Delta + Low Volume Integration: Combines volume delta analysis with low volume detection to reveal directional bias during thin liquidity periods.
• Flexible Lookback System: The dynamic timeframe system allows analysis across any timeframe while maintaining consistent zone identification criteria.
• Support/Resistance Zone Generation: Automatically builds a visual map of potential technical levels based on volume behavior rather than just price patterns.
🔬 How It Works
1. Volume Baseline Calculation:
The indicator calculates a moving average of volume over your specified period to establish a baseline for normal market participation. This adaptive baseline accounts for natural volume fluctuations across different market conditions.
2. Low Volume Detection:
Each candle’s volume is compared to the moving average and flagged when it falls below your threshold divisor. The indicator also filters zones by maximum size to ensure only precise price levels are highlighted.
3. Volume Delta Integration:
For each identified low volume candle, the indicator retrieves the volume delta from a lower timeframe. This delta value is formatted with appropriate scaling (K/M) and displayed within the zone.
4. Zone Management:
New zones are created and tracked in a dynamic array, with each zone extending rightward until it expires. The system automatically removes expired zones based on your lookback period to maintain a clean chart.
💡 Note:
Low liquidity zones often represent areas where price moved with minimal participation, which can indicate potential market inefficiencies. These zones frequently become important support/resistance levels when revisited, especially if approached with higher volume. Consider using this indicator alongside traditional technical analysis tools for comprehensive market context. For best results, experiment with different volume threshold settings based on the specific instrument’s typical volume patterns.
HEMA Trend Levels [AlgoAlpha]OVERVIEW
This script plots two Hull-EMA (HEMA) curves to define a color-coded dynamic trend zone and generate context-aware breakout levels, allowing traders to easily visualize prevailing momentum and identify high-probability breakout retests. The script blends smoothed price tracking with conditional box plotting, delivering both trend-following and mean-reversion signals within one system. It is designed to be simple to read visually while offering nuanced trend shifts and test confirmations.
█ CONCEPTS
The Hull-EMA (HEMA) is a hybrid moving average combining the responsiveness of short EMAs with the smoothness of longer ones. It applies layered smoothing: first by subtracting a full EMA from a half-length EMA (doubling the short EMA's weight), and then by smoothing the result again with the square root of the original length. This process reduces lag while maintaining clarity in direction changes. In this script, two HEMAs—fast and slow—are used to define the trend structure and trigger events when they cross. These crossovers generate "trend shift boxes"—temporary support or resistance zones drawn immediately after trend transitions—to detect price retests in the new direction. When price cleanly retests these levels, the script marks them as confirmations with triangle symbols, helping traders isolate better continuation setups. Color-coded bars further enhance visual interpretation: bullish bars when price is above both HEMAs, bearish when below, and neutral (gray) when indecisive.
█ FEATURES
Bullish and bearish bar coloring based on price and HEMA alignment.
Box plotting at each crossover (bullish or bearish) to create short-term decision zones.
Real-time test detection: price must cleanly test and bounce from box levels to be considered valid.
Multiple alert conditions: crossover alerts, test alerts, and trend continuation alerts.
█ USAGE
Use this indicator on any time frame and asset. Adjust HEMA lengths to match your trading style—shorter lengths for scalping or intraday, longer for swing trading. The shaded area between HEMAs helps visually define the current trend. Watch for crossovers: a bullish crossover plots a green support box just below price, and a bearish one plots a red resistance box just above. These zones act as short-term decision points. When price returns to test a box and confirms with strong rejection (e.g., closes above for bullish or below for bearish), a triangle symbol is plotted. These tests can signal strong trend continuation. For traders looking for clean entries, combining the crossover with a successful retest improves reliability. Alerts can be enabled for all key signals: trend shift, test confirmations, and continuation conditions, making it suitable for automated setups or discretionary traders tracking multiple charts.
Dynamic Momentum Bands | AlphaAlgosDynamic Momentum Bands | AlphaAlgos
Overview
The Dynamic Momentum Bands indicator is an advanced technical analysis tool that combines multiple analytical techniques to provide a comprehensive view of market momentum and trend dynamics. By integrating RSI (Relative Strength Index), volatility analysis, and adaptive moving averages, this indicator offers traders a nuanced perspective on market conditions.
Key Features
Adaptive band calculation based on price momentum
Integrated RSI-driven volatility scaling
Multiple moving average type options (EMA, SMA, VWMA)
Smooth, gradient-based band visualization
Optional price bar coloring for trend identification
Technical Methodology
The indicator employs a sophisticated approach to market analysis:
1. Momentum Calculation
Calculates RSI using a customizable length
Uses RSI to dynamically adjust band volatility
Scales band width based on distance from the 50 RSI level
2. Band Construction
Applies a selected moving average type to the price source
Calculates deviation using ATR (Average True Range)
Smooths band edges for improved visual clarity
Configuration Options
Core Settings:
Price Source: Choose the price data used for calculations
RSI Length: Customize the RSI calculation period (1-50)
Band Length: Adjust the moving average period (5-100)
Volatility Multiplier: Fine-tune band width
Band Type: Select between EMA, SMA, and VWMA
Visual Settings:
Bar Coloring: Toggle color-coded price bars
Gradient-based band visualization
Smooth color transitions for trend representation
Trend Identification
The indicator provides trend insights through:
Color-coded bands (blue for bullish, pink for bearish)
Smooth gradient visualization
Optional price bar coloring
Trading Applications
Trend Following:
- Use band position relative to price as trend indicator
- Identify momentum shifts through color changes
- Utilize gradient zones for trend strength assessment
Volatility Analysis:
Observe band width changes
Detect potential breakout or consolidation periods
Use RSI-driven volatility scaling for market context
Best Practices
Adjust RSI length to match trading timeframe
Experiment with different moving average types
Use in conjunction with other technical indicators
Consider volatility multiplier for different market conditions
This indicator is provided for informational purposes only. Always use proper risk management when trading. Past performance is not indicative of future results. Not financial Advise
Nef33-Volume Footprint ApproximationDescription of the "Volume Footprint Approximation" Indicator
Purpose
The "Volume Footprint Approximation" indicator is a tool designed to assist traders in analyzing market volume dynamics and anticipating potential trend changes in price. It is inspired by the concept of a volume footprint chart, which visualizes the distribution of trading volume across different price levels. However, since TradingView does not provide detailed intrabar data for all users, this indicator approximates the behavior of a footprint chart by using available volume and price data (open, close, volume) to classify volume as buy or sell, calculate volume delta, detect imbalances, and generate trend change signals.
The indicator is particularly useful for identifying areas of high buying or selling activity, imbalances between supply and demand, delta divergences, and potential reversal points in the market. It provides specific signals for bullish and bearish trend changes, making it suitable for traders looking to trade reversals or confirm trends.
How It Works
The indicator uses volume and price data from each candlestick to perform the following calculations:
Volume Classification:
Classifies the volume of each candlestick as "buy" or "sell" based on price movement:
If the closing price is higher than the opening price (close > open), the volume is classified as "buy."
If the closing price is lower than the opening price (close < open), the volume is classified as "sell."
If the closing price equals the opening price (close == open), it compares with the previous close to determine the direction:
If the current close is higher than the previous close, it is classified as "buy."
If the current close is lower than the previous close, it is classified as "sell."
If the current close equals the previous close, the classification from the previous bar is used.
Delta Calculation:
Calculates the volume delta as the difference between buy volume and sell volume (buyVolume - sellVolume).
A positive delta indicates more buy volume; a negative delta indicates more sell volume.
Imbalance Detection:
Identifies imbalances between buy and sell volume:
A buy imbalance occurs when buy volume exceeds sell volume by a defined percentage (default is 300%).
A sell imbalance occurs when sell volume exceeds buy volume by the same percentage.
Delta Divergence Detection:
Positive Delta Divergence: Occurs when the price is falling (for at least 2 bars) but the delta is increasing or becomes positive, indicating that buyers are entering despite the price decline.
Negative Delta Divergence: Occurs when the price is rising (for at least 2 bars) but the delta is decreasing or becomes negative, indicating that sellers are entering despite the price increase.
Trend Change Signals:
Bullish Signal (trendChangeBullish): Generated when the following conditions are met:
There is a positive delta divergence.
The delta has moved from a negative value (e.g., -500) to a positive value (e.g., +200) over the last 3 bars.
There is a buy imbalance.
The price is near a historical support level (approximated as the lowest low of the last 50 bars).
Bearish Signal (trendChangeBearish): Generated when the following conditions are met:
There is a negative delta divergence.
The delta has moved from a positive value (e.g., +500) to a negative value (e.g., -200) over the last 3 bars.
There is a sell imbalance.
The price is near a historical resistance level (approximated as the highest high of the last 50 bars).
Visual Elements
The indicator is displayed in a separate panel below the price chart (overlay=false) and includes the following elements:
Volume Histograms:
Buy Volume: Represented by a green histogram. Shows the volume classified as "buy."
Sell Volume: Represented by a red histogram. Shows the volume classified as "sell."
Note: The histograms overlap, and the last plotted histogram (red) takes visual precedence, meaning the sell volume may cover the buy volume if it is larger.
Delta Line:
Delta Volume: Represented by a blue line. Shows the difference between buy and sell volume.
A line above zero indicates more buy volume; a line below zero indicates more sell volume.
A dashed gray horizontal line marks the zero level for easier interpretation.
Imbalance Backgrounds:
Buy Imbalance: Light green background when buy volume exceeds sell volume by the defined percentage.
Sell Imbalance: Light red background when sell volume exceeds buy volume by the defined percentage.
Divergence Backgrounds:
Positive Delta Divergence: Lime green background when a positive delta divergence is detected.
Negative Delta Divergence: Fuchsia background when a negative delta divergence is detected.
Trend Change Signals:
Bullish Signal: Green label with the text "Bullish Trend Change" when the conditions for a bullish trend change are met.
Bearish Signal: Red label with the text "Bearish Trend Change" when the conditions for a bearish trend change are met.
Information Labels:
Below each bar, a label displays:
Total Vol: The total volume of the bar.
Delta: The delta volume value.
Alerts
The indicator generates the following alerts:
Positive Delta Divergence: "Positive Delta Divergence Detected! Price is falling, but delta is increasing."
Negative Delta Divergence: "Negative Delta Divergence Detected! Price is rising, but delta is decreasing."
Bullish Trend Change Signal: "Bullish Trend Change Signal! Positive Delta Divergence, Delta Rise, Buy Imbalance, and Near Support."
Bearish Trend Change Signal: "Bearish Trend Change Signal! Negative Delta Divergence, Delta Drop, Sell Imbalance, and Near Resistance."
These alerts can be configured in TradingView to receive real-time notifications.
Adjustable Parameters
The indicator allows customization of the following parameters:
Imbalance Threshold (%): The percentage required to detect an imbalance between buy and sell volume (default is 300%).
Lookback Period for Divergence: Number of bars to look back for detecting price and delta trends (default is 2 bars).
Support/Resistance Lookback Period: Number of bars to look back for identifying historical support and resistance levels (default is 50 bars).
Delta High Threshold (Bearish): Minimum delta value 2 bars ago for the bearish signal (default is +500).
Delta Low Threshold (Bearish): Maximum delta value in the current bar for the bearish signal (default is -200).
Delta Low Threshold (Bullish): Maximum delta value 2 bars ago for the bullish signal (default is -500).
Delta High Threshold (Bullish): Minimum delta value in the current bar for the bullish signal (default is +200).
Practical Use
The indicator is useful for the following purposes:
Identifying Trend Changes:
The trend change signals (trendChangeBullish and trendChangeBearish) indicate potential price reversals. For example, a bullish signal near a support level may be an opportunity to enter a long position.
Detecting Divergences:
Delta divergences (positive and negative) can anticipate trend changes by showing a disagreement between price movement and underlying buying/selling pressure.
Finding Key Levels:
Imbalances (green and red backgrounds) often coincide with support and resistance levels, helping to identify areas where the market might react.
Confirming Trends:
A consistently positive delta in an uptrend or a negative delta in a downtrend can confirm the strength of the trend.
Identifying Failed Auctions:
Although not detected automatically, you can manually identify failed auctions by observing a price move to new highs/lows with decreasing volume in the direction of the move.
Limitations
Intrabar Data: It does not use detailed intrabar data, making it less precise than a native footprint chart.
Approximations: Volume classification and support/resistance detection are approximations, which may lead to false signals.
Volume Dependency: It requires reliable volume data, so it may be less effective on assets with inaccurate volume data (e.g., some forex pairs).
False Signals: Divergences and imbalances do not always indicate a trend change, especially in strongly trending markets.
Recommendations
Combine with Other Indicators: Use tools like RSI, MACD, support/resistance levels, or candlestick patterns to confirm signals.
Trade on Higher Timeframes: Signals are more reliable on higher timeframes like 1-hour or 4-hour charts.
Perform Backtesting: Evaluate the indicator's accuracy on historical data to adjust parameters and improve effectiveness.
Adjust Parameters: Modify thresholds (e.g., imbalanceThreshold or supportResistanceLookback) based on the asset and timeframe you are trading.
Conclusion
The "Volume Footprint Approximation" indicator is a powerful tool for analyzing volume dynamics and anticipating price trend changes. By classifying volume, calculating delta, detecting imbalances and divergences, and generating trend change signals, it provides traders with valuable insights into market buying and selling pressure. While it has limitations due to the lack of intrabar data, it can be highly effective when used in combination with other technical analysis tools and on assets with reliable volume data.
Nasan Ultimate Health Index (NUHI)The Nasan Ultimate Health Index (NUHI) is a technical indicator designed to measure the relative health of a stock compared to a benchmark index or sector. By incorporating price action, volume dynamics, and volatility, NUHI provides traders with a clearer picture of a stock’s performance relative to the broader market.
The NUHI is based on the idea that a stock’s relative strength and momentum can be assessed more effectively when adjusted for volume behavior and benchmark comparison. Instead of looking at price movement alone, this indicator factors in:
The stock’s price trend (via EMA)
Volume participation (green vs. red volume) and volume ratio - SMA(volume, 21)/ SMA(volume, 252)
Volatility-adjusted performance (ATR-based scaling)
Comparison with a selected benchmark (e.g., SPX, NDX, sector ETFs)
This results in a normalized and comparative score that helps traders identify outperforming, neutral, and underperforming stocks within a specific market environment.
The NUHI is constructed using the following elements:
1️⃣ Stock Raw Score (Unadjusted Momentum)
The exponential moving average (EMA) of the hlc3 (average of high, low, close) is used to define the price trend.
The difference between the current EMA and the EMA from n bars ago shows whether the stock is gaining or losing momentum.
This difference is divided by the ATR (Average True Range) to adjust for volatility.
2️⃣ Volume Behavior Adjustment
Volume is split into green volume (up candles) and red volume (down candles).
The ratio of green to red volume determines whether buyers or sellers dominate over the selected period (n bars).
If the stock is in an uptrend, green volume is weighted higher; if in a downtrend, red volume is weighted higher.
The stock’s Volume Ratio (short-term SMA divided by long-term SMA) is adjusted based on this weight.
3️⃣ Benchmark Comparison
A similar Raw Score calculation is performed on the selected benchmark (SPX, NDX, or sector ETF).
Benchmark price movements, volume behavior, and ATR adjustments mirror the stock’s calculations.
This provides a reference point for evaluating the stock’s relative strength.
4️⃣ Normalization Process
Both the stock and benchmark raw scores are min-max normalized over the past 252 bars (1-year lookback).
This scales values between 0 and 1, ensuring fair comparisons regardless of absolute price differences.
5️⃣ NUHI Calculation
The final NUHI value is computed using a logarithmic ratio between the normalized stock score and the normalized benchmark score:
This transformation ensures a more symmetrical representation of overperformance and underperformance.
Performance Zones
Strong Outperforming (NUHI between >0.41 and 0.69)
Leading (NUHI between >0.10 and 0.41)
Transitioning Outperformance (NUHI between 0.10 and 0)
Equilibrium (NUHI 0)
Transitioning Underperformance (NUHI between -0.10 and 0)
Lagging (NUHI between < -0.1 and -0.41)
Strong Underperforming (NUHI between< -0.41 and -0.69 )
How to Use NUHI
✅ Identifying Strong Stocks
If NUHI > 0, the stock is outperforming its benchmark.
If NUHI < 0, the stock is underperforming the benchmark.
✅ Trend Confirmation
A steadily rising NUHI and raw score (colored green) suggests sustained strength bullish conditions.
A falling NUHI and raw score (colored orange) indicates weakness and possible rotation into other assets.
✅ Finding Reversals
Bullish Divergence: If NUHI is improving while the stock’s raw score is negative, it may signal a bottoming opportunity.
Bearish Signs: If NUHI is dropping despite price strength, it could hint at underlying weakness.
Why a Stock in a Downtrend Can Have NUHI > 0 (and Vice Versa )
NUHI measures performance relative to both its own history and the benchmark.
A stock’s recent movement is compared to how it usually behaves and how the benchmark is performing.
Example Scenarios:
Stock in a Downtrend but NUHI > 0
The stock may still be in a downtrend (negative raw score), but it’s performing better relative to its past downtrend behavior and better than the benchmark over the same period.
This could mean it’s showing relative strength compared to the broader market or sector.
Stock in an Uptrend but NUHI < 0
Even in a uptrend (positive raw score), the stock might be underperforming relative to its past uptrend behavior and underperforming the benchmark.
What This Means:
NUHI > 0 in a downtrend → The stock is falling less aggressively than usual and/or holding up better than the benchmark.
NUHI < 0 in an uptrend → The stock is gaining less than expected based on its history and/or lagging behind the benchmark.
NUHI helps identify relative strength or weakness .
Dynamic Heat Levels [BigBeluga]This indicator visualizes dynamic support and resistance levels with an adaptive heatmap effect. It helps traders identify key price interaction zones and potential mean reversion opportunities by displaying multiple levels that react to price movement.
🔵Key Features:
Multi-Level Heatmap Channel:
- The indicator plots multiple dynamic levels forming a structured channel.
- Each level represents a historical price interaction zone, helping traders identify critical areas.
- The channel expands or contracts based on market conditions, adapting dynamically to price movements.
Heatmap-Based Strength Indication:
- Levels change in transparency and color intensity based on price interactions for the length period .
- The more frequently price interacts with a level, the more visible and intense the color becomes.
- When a level reaches a threshold (count > 10), it starts to turn red, signaling a high-heat zone with significant price activity.
🔵Usage:
Support & Resistance Analysis: Identify price levels where the market frequently interacts, making them strong areas for trade decisions.
Heatmap Strength Assessment: More intense red levels indicate areas with heavy price activity, useful for detecting key liquidity zones.
Dynamic Heat Levels is a powerful tool for traders looking to analyze price interaction zones with a heatmap effect. It offers a structured visualization of market dynamics, allowing traders to gauge the significance of key levels and detect mean reversion setups effectively.
