One For All - Trend Insight System v1.0
- Introduction :
The TIS takes price action, volume and volatility, to :
- provite a clear and easy to interpret global picture on the current trend siuations
- give hints for good take profit and exit points (see local consolidation line)
- help find support and resistance levels
- assess trend strength and momentum
- Disclaimer :
The Trend Insight System (TIS) is among the most perfected trend following indicator. Built around the Verbatim (the main colored line), it is inspired by Tushar S. Chande's work on volatility, that I really enjoyed reworking in-depth and re-engineer from scratch, after some tweaks and managing to factor-in the volumes, the Verbatim was born.
The Verbatim is essentially a "smart" moving average that will adapt itself to the price action, the volatility and the volumes, in order to filter-out whipsaw price action and help the user clarify opportunities for trend trading. Since the various components of the TIS helps serve as Support & Resistance level (see examples below), it will also prove to be helpful for swing traders.
Please use with caution, proper risk management and along with your favorite oscillator, channels, candlestick reading and signals system (such as the Pattern Detection System that will be provided complimentary to the TIS, in a separate script).
- Some explanation :
Verbatim line :
- Green is bullish trend, orange for consolidation and red for bearish trend
- When it consolidates, it and be extended to the right to be used as a Support & Resistance line
example use case :
Local consolidation line :
- A more optimal way to find an exit point when we have missed a top formation
example use case :
Verbatim channel :
- A way to visualize price disequilibrium
example use case:
Verbatim cloud:
- Stronger Support and Resistance levels
- Price disequilibrium
- Consolidation range (when Verbatim is inside the cloud and did not go through)
example use case:
Trend Strength and Momentum:
- Read the current status at a glance
- Trend strength is the relative position of each trend lines, from -100% (=bear power) to +100% (=bull power)
- Momentum is measuring their slope also from -100% to +100%; trend lines pointing downwards = bears waking up / in force, horizontal = consolidation or upwards = bulls waking up/in force
- Important notes :
While is a very powerful yet easy to read Technical Analysis tool, it has been fully optimized for continuous markets such as crypto.
Each item of the Trend Insigth System can be disabled to suit your personal use. It is highly advised to use the default settings provided.
To prevent confusing casual users and to avoid overoptimization -risky at best and counter productive at worst, according to legendary traders such as Mark Douglas- this version has most of the customization settings locked out; volume integration, smoothing method used, smoothing constant, volatility setting, period of study. The settings left available are :
- continuous market / call market selection, selecting "continuous maket" will use a specifically designed method of calculation for volatility, based on ATR, while selecting "call market" will automatically use ATR for calculating the volatility, and
- input source selection for the volatility calculation, which only works for "continuous market".
The locked out settings might be included in the future in a more restricted yet complete "Expert mode" version.
- End notes :
It will always be considered a work in progress to help bring out the best of trend analysis.
Suggestions are welcomed to make it a more user-friendly tool.
發布通知:
Fixed Verbatim cloud not visible on Light color theme with the possibility to change its color.
Enabled color selection for some elements of the TIS.
Enabled color selection for some elements of the TIS.
發布通知:
Major update :
- Added alert for Verbatim color change
- Added Keltner-like channel centered on the Verbatim and the Cloud.
Based on the Overexetended Price Channel (OPC) provided along with the TIS, these channels were specifically designed for the TIS as theyr are centered on the Verbatim (blue channel) and the lower line of the Foresight Cloud (orange channel). Having two channels helps highlight confluences, please check the description of the Overexetended Price Channel for more details.
These channel will prove to be very valuable to spot overextended price that are prone to a retracement towards the Verbatim during a trending market (similar to the Mean Reversion Theory). Depending on the volatility settings, those channels will be also of great use to swing-traders.
The channels have a configurable volatility to adapt the bands location and width, while the smoothing method used for the channel and period are fixed (and similar to the Verbatim/Cloud for this version; again, to avoid the danger overoptimisation, these will be unlocked in a fully configurable version in the near-future.
- Added alert for Verbatim color change
- Added Keltner-like channel centered on the Verbatim and the Cloud.
Based on the Overexetended Price Channel (OPC) provided along with the TIS, these channels were specifically designed for the TIS as theyr are centered on the Verbatim (blue channel) and the lower line of the Foresight Cloud (orange channel). Having two channels helps highlight confluences, please check the description of the Overexetended Price Channel for more details.
These channel will prove to be very valuable to spot overextended price that are prone to a retracement towards the Verbatim during a trending market (similar to the Mean Reversion Theory). Depending on the volatility settings, those channels will be also of great use to swing-traders.
The channels have a configurable volatility to adapt the bands location and width, while the smoothing method used for the channel and period are fixed (and similar to the Verbatim/Cloud for this version; again, to avoid the danger overoptimisation, these will be unlocked in a fully configurable version in the near-future.
發布通知:
- Added the "volume integration" selection to make the tool work on all markets (the Verbatim was previously not working on markets for which TradingView doesn't have volumes data such as some "call markets" like gold (XAU chart).
發布通知:
Minor bug fix : volume integration.