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Dynamic Support & Resistance (DSR)

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tndicator description: Dynamic Support & Resistance (DSR)

What it does
Plots dynamic support and resistance that adapt to any timeframe. In bullish phases it highlights resistances; in bearish phases it highlights supports. Works for scalping, binary options, and day trading.

How it works

Detects recent swing highs/lows with noise filtering.

Merges nearby levels into “zones” with configurable tolerance.

Promotes a zone after a valid break-and-close.

Classifies context as trend, channel, or range via slope and move strength.

Shows only context-relevant zones to reduce clutter.

Inputs

Swing length (pivot high/low).

Merge tolerance (%, ticks, or ATR fraction).

Lookback depth.

Trend filter (EMA or optional ADX).

Minimum touches to validate a zone.

Display mode: lines, bands, or blocks.

Break sensitivity (close condition, wick allowance, body %).

Visual outputs

Resistance zones during bullish phases.

Support zones during bearish phases.

Dual zones in ranges/channels.

Labels: touch count, zone strength, last test timestamp.

Signals and rules (suggested)

Reversal: rejection candle at a valid zone + momentum/volume confirmation.

Continuation: strong close through the zone + successful retest.

Invalidation: two full closes back inside the zone in the opposite direction.

Alerts (templates)

“Price touched DSR Resistance [strength X, touches N].”

“Break of DSR Support with close > sensitivity.”

“Successful retest at DSR Zone. Possible continuation.”

Timeframe guidance

1–5m: higher sensitivity, tighter tolerance. For scalping and binaries.

15–60m: balance between frequency and reliability.

4H–D: anchor levels for intraday planning.

Risk management

Technical stop: beyond the opposite zone + tolerance buffer.

Scaled TP: first at mid-range, second at next DSR zone.

Avoid trading into high-impact news.

Advantages

Auto-adapts to trend, channel, and range without constant tuning.

Reduces noise by merging redundant levels.

Focus on zones with verified touches and strength.

Limitations

Not predictive. Use with price/volume confirmation.

In high volatility, zones can update quickly. Tune tolerance accordingly.

Disclaimer
Educational only. Not financial advice. Test on demo before live use.

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