TMA StrategyThe **TMA Strategy** is a trend-following strategy that leverages **Smoothed Moving Averages (SMMA)** and **candlestick patterns** to identify high-probability trading opportunities. It is designed for traders who want to capture strong trends while minimizing noise from short-term fluctuations.
**Key Features:**
✔ **Multiple Smoothed Moving Averages (SMMA):** Uses 21, 50, 100, and 200-period SMMAs to identify market trends and key support/resistance zones.
✔ **Candlestick Pattern Confirmation:** Incorporates **3-line strike** and **engulfing candle** patterns to confirm trade entries.
✔ **Dynamic Trend Filter:** A **2-period EMA** ensures that trades align with the dominant trend, reducing false signals.
✔ **Customizable Session Filter:** Allows users to enable/disable trading within specific market sessions (New York, London, Tokyo, etc.), ensuring trades are executed only during high-liquidity hours.
✔ **Risk Management:** Uses predefined exit conditions based on EMA/SMMA crossovers to lock in profits and minimize losses.
**Trading Logic:**
📌 **Long Entry:**
- Bullish Engulfing or 3-Line Strike pattern appears.
- Price is above the 200 SMMA.
- 2 EMA confirms an uptrend.
- Trade executes if session filter allows.
📌 **Short Entry:**
- Bearish Engulfing or 3-Line Strike pattern appears.
- Price is below the 200 SMMA.
- 2 EMA confirms a downtrend.
- Trade executes if session filter allows.
📌 **Exit Conditions:**
- Long trades exit when EMA(2) crosses **below** SMMA(200).
- Short trades exit when EMA(2) crosses **above** SMMA(200).
**Ideal Markets & Timeframes:**
✅ Best suited for **Forex, Stocks, and Crypto** markets.
✅ Works well on **higher timeframes (15m, 1H, 4H, Daily)** for stronger trend confirmation.
📢 **Disclaimer:**
This strategy is for educational purposes only. Backtest results do not guarantee future performance. Always use proper risk management and test in a demo account before live trading.
🚀 **Try the TMA Strategy now and enhance your trend-following approach!**
在腳本中搜尋"Candlestick"
Candle Range-BarsThe Candle Range Bars indicator visually represents the range of each candlestick in either pips or ticks, depending on your preference. It plots vertical bars to show the size of each candle, making it easy to identify periods of high or low volatility. The indicator also displays the exact range value (in pips or ticks) above each bar, with customizable text size and color for better readability.
Key Features
Pips or Ticks Mode:
Choose to display the candle range in pips (for forex traders) or ticks (for other instruments).
Customizable Text:
Adjust the text color and text size (Tiny, Small, Normal, Large) to suit your chart style.
Clear Visuals:
Bars are colored green for bullish candles and red for bearish candles, making it easy to distinguish between up and down moves.
Flexible Use:
Ideal for analyzing volatility, identifying consolidation zones, and comparing candle ranges across different timeframes.
How to Use:
Add the indicator to your chart.
Customize the settings:
Choose between pips or ticks.
Adjust the text color and text size for the range values.
Observe the bars and their corresponding range values to analyze market volatility.
Why Use This Indicator?:
Simplify Range Analysis: Quickly see the size of each candlestick without manual calculations.
Customizable: Tailor the appearance to match your trading style.
Versatile: Works on any instrument and timeframe.
Settings:
Show Pips (Otherwise Ticks): Toggle between pips and ticks mode.
Text Color: Choose the color of the range value text.
Text Size: Select the size of the range value text (Tiny, Small, Normal, Large).
Ideal For:
Forex, stocks, commodities, and crypto traders.
Traders who focus on volatility and range analysis.
Anyone looking for a clear and customizable way to visualize candle ranges.
This description highlights the key features, benefits, and usability of your indicator, making it appealing to other TradingView members. Let me know if you'd like to tweak it further! 😊
Enhanced Doji Candle StrategyYour trading strategy is a Doji Candlestick Reversal Strategy designed to identify potential market reversals using Doji candlestick patterns. These candles indicate indecision in the market, and when detected, your strategy uses a Simple Moving Average (SMA) with a short period of 20 to confirm the overall market trend. If the price is above the SMA, the trend is considered bullish; if it's below, the trend is bearish.
Once a Doji is detected, the strategy waits for one or two consecutive confirmation candles that align with the market trend. For a bullish confirmation, the candles must close higher than their opening price without significant bottom wicks. Conversely, for a bearish confirmation, the candles must close lower without noticeable top wicks. When these conditions are met, a trade is entered at the market price.
The risk management aspect of your strategy is clearly defined. A stop loss is automatically placed at the nearest recent swing high or low, with a tighter distance of 5 pips to allow for more trading opportunities. A take-profit level is set using a 2:1 reward-to-risk ratio, meaning the potential reward is twice the size of the risk on each trade.
Additionally, the strategy incorporates an early exit mechanism. If a reversal Doji forms in the opposite direction of your trade, the position is closed immediately to minimize losses. This strategy has been optimized to increase trade frequency by loosening the strictness of Doji detection and confirmation conditions while still maintaining sound risk management principles.
The strategy is coded in Pine Script for use on TradingView and uses built-in indicators like the SMA for trend detection. You also have flexible parameters to adjust risk levels, take-profit targets, and stop-loss placements, allowing you to tailor the strategy to different market conditions.
Half Candle RetraceThis custom indicator draws a horizontal line at the 50% retracement level of each candlestick on the chart. It calculates the midpoint between the high and low of each candle, which is often used by traders to identify potential entry, exit and take-profit levels. Once price action returns to an untouched level, the line will be removed, leaving only the levels where price action is still missing.
Key Features:
Timeframe: Works on all timeframes.
Line Color: Customize the line color to suit your charting preferences.
Line Width: Adjust the thickness of the retracement line for better visibility.
Line Style: Choose between solid, dotted, or dashed lines.
Up/Down Candle Selection: Option to only display retracement lines for up (bullish) candles, down (bearish) candles, or both.
Full Customization: Control the transparency (opacity) of the line for enhanced visual clarity.
Simple Setup: No complicated settings – simply choose your preferred color, line style, and visibility options.
This indicator is perfect for traders who prefer to use price action and retracement levels to identify potential trade opportunities.
How It Works:
The indicator automatically calculates the 50% level (midpoint) for each candlestick, drawing a line at this level. It will only draw lines for candles that match your chosen criteria (up or down candles), ensuring the chart remains clean and relevant to your trading strategy. Lines are automatically removed as soon as price crosses them.
50% Candle RetraceThis custom indicator draws a horizontal line at the 50% retracement level of each candlestick on the chart. It calculates the midpoint between the high and low of each candle, which is often used by traders to identify potential entry, exit and take-profit levels. Once price action returns to an untouched level, the line will be removed, leaving only the levels where price action is still missing.
Key Features:
Timeframe: Works on all timeframes.
Line Color: Customize the line color to suit your charting preferences.
Line Width: Adjust the thickness of the retracement line for better visibility.
Line Style: Choose between solid, dotted, or dashed lines.
Up/Down Candle Selection: Option to only display retracement lines for up (bullish) candles, down (bearish) candles, or both.
Full Customization: Control the transparency (opacity) of the line for enhanced visual clarity.
Simple Setup: No complicated settings – simply choose your preferred color, line style, and visibility options.
This indicator is perfect for traders who prefer to use price action and retracement levels to identify potential trade opportunities.
How It Works:
The indicator automatically calculates the 50% level (midpoint) for each candlestick, drawing a line at this level. It will only draw lines for candles that match your chosen criteria (up or down candles), ensuring the chart remains clean and relevant to your trading strategy. Lines are automatically removed as soon as price crosses them.
CBC Strategy with Trend Confirmation & Separate Stop LossCBC Flip Strategy with Trend Confirmation and ATR-Based Targets
This strategy is based on the CBC Flip concept taught by MapleStax and inspired by the original CBC Flip indicator by AsiaRoo. It focuses on identifying potential reversals or trend continuation points using a combination of candlestick patterns (CBC Flips), trend filters, and a time-based entry window. This approach helps traders avoid false signals and increase trade accuracy.
What is a CBC Flip?
The CBC Flip is a candlestick-based pattern that identifies moments when the market is likely to change direction or strengthen its trend. It checks for a shift in price behavior between consecutive candles, signaling a bullish (upward) or bearish (downward) move.
However, not all flips are created equal! This strategy differentiates between Strong Flips and All Flips, allowing traders to choose between a more conservative or aggressive approach.
Strong Flips vs. All Flips
Strong Flips
A Strong Flip is a high-probability setup that occurs only after liquidity is swept from the previous candle’s high or low.
What is a liquidity sweep? This happens when the price briefly moves beyond the high or low of the previous candle, triggering stop-losses and trapping traders in the wrong direction. These sweeps often create fuel for the next move, making them powerful reversal signals.
Examples:
Long Setup: The price dips below the previous candle’s low (sweeping liquidity) and then closes higher, signaling a potential bullish move.
Short Setup: The price moves above the previous candle’s high and then closes lower, signaling a potential bearish move.
Why Use Strong Flips?
They provide fewer signals, but the accuracy is generally higher.
Ideal for trending markets where liquidity sweeps often mark key turning points.
All Flips
All Flips are less selective, offering both Strong Flips and additional signals without requiring a liquidity sweep.
This approach gives traders more frequent opportunities but comes with a higher risk of false signals, especially in sideways markets.
Examples:
Long Setup: A CBC flip occurs without sweeping the previous low, but the trend direction is confirmed (slow EMA is still above VWAP).
Short Setup: A CBC flip occurs without sweeping the previous high, but the trend is still bearish (slow EMA below VWAP).
Why Use All Flips?
Provides more frequent entries for active or aggressive traders.
Works well in trending markets but requires caution during consolidation periods.
How This Strategy Works
The strategy combines CBC Flips with multiple filters to ensure better trade quality:
Trend Confirmation: The slow EMA (20-period) must be positioned relative to the VWAP to confirm the overall trend direction.
Long Trades: Slow EMA must be above VWAP (upward trend).
Short Trades: Slow EMA must be below VWAP (downward trend).
Time-Based Filter: Traders can specify trading hours to limit entries to a particular time window, helping avoid low-volume or high-volatility periods.
Profit Target and Stop-Loss:
Profit Target: Defined as a multiple of the 14-period ATR (Average True Range). For example, if the ATR is 10 points and the profit target multiplier is set to 1.5, the strategy aims for a 15-point profit.
Stop-Loss: Uses a dynamic, candle-based stop-loss:
Long Trades: The trade closes if the market closes below the low of two candles ago.
Short Trades: The trade closes if the market closes above the high of two candles ago.
This approach adapts to recent price behavior and protects against unexpected reversals.
Customizable Settings
Strong Flips vs. All Flips: Choose between a more selective or aggressive entry style.
Profit Target Multiplier: Adjust the ATR multiplier to control the distance for profit targets.
Entry Time Range: Define specific trading hours for the strategy.
Indicators and Visuals
Fast EMA (10-Period) – Black Line
Slow EMA (20-Period) – Red Line
VWAP (Volume-Weighted Average Price) – Orange Line
Visual Labels:
▵ (Triangle Up) – Marks long entries (buy signals).
▿ (Triangle Down) – Marks short entries (sell signals).
Credits
CBC Flip Concept: Inspired by MapleStax, who teaches this concept.
Original Indicator: Developed by AsiaRoo, this strategy builds on the CBC Flip framework with additional features for improved trade management.
Risks and Disclaimer
This strategy is for educational purposes only and does not constitute financial advice.
Trading involves significant risk and may result in the loss of capital. Past performance does not guarantee future results. Use this strategy in a simulated environment before applying it to live trading.
Reversal rehersal v1This indicator was designed to identify potential market reversal zones using a combination of RSI thresholds (shooting range/falling range), candlestick patterns, and Fair Value Gaps (FVGs). By combining all these elements into one indicator, it allow for outputting high probability buy/sell signals for use by scalpers on low timeframes like 1-15 mins, for quick but small profits.
Note: that this has been mainly tested on DE40 index on the 1 min timeframe, and need to be adjusted to whichever timeframe and symbol you intend to use. Refer to the backtester feature for checking if this indicator may work for you.
The indicator use RSI ranges from two timeframes to highlight where momentum is building up. During these areas, it will look for certain candlestick patterns (Sweeps as the primary one) and check for existance of fair value gaps to further enhance the hitrate of the signal.
The logic for FVG detection was based on ©pmk07's work with MTF FVG tiny indicator. Several major changes was implemented though and incorporated into this indicator. Among these are:
Automatically adjustments of FVG boxes when mitigated partially and options to extend/cull boxes for performance and clarity.
Backtesting Table (Experimental):
This indicator also features an optional simplified table to review historical theoretical performance of signals, including win rate, profit/loss, and trade statistics. This does not take commision or slippage into consideration.
Usage Notes:
Setup:
1. Add the indicator to your chart.
2. Decide if you want to use Long or Short (or both).
3. If you're scalping on ie. 1 min time frame, make sure to set FVG's to higher timeframes (ie. 5, 15, 60).
4. Enable the 'Show backtest results' and adjust the 'Signals' og 'Take profit' and 'Stop loss' values until you are satisfied with the results.
Use:
1. Setup an alert based on either of the 'BullishShooting range' or 'BearishFalling range' alerts. This will draw your attention to watch for the possible setups.
2. Verify if there's a significant imbalance prior to the signal before taking the trade. Otherwise this may invalidate the setup.
3. Once a signal is shown on the graph (either Green arrow up for buys/Red arrow down for sells) - you should enter a trade with the given 'Take profit' and 'Stop loss' values.
4. (optional) Setup an alert for either the Strong/Weak signals. Which corresponds to when one of the arrows are printed.
Important: This is the way I use it myself, but use at own risk and remember to combine with other indicators for further confluence. Remember this is no crystal ball and I do not guarantee profitable results. The indicator merely show signals with high probability setups for scalping.
Engulfing and ATR-Imbalance [odnac]This Pine Script indicator combines two powerful concepts—Engulfing Candlestick Patterns and ATR Imbalance—to identify potential market reversal points with increased precision.
Engulfing Candlestick Patterns:
Bullish Engulfing: Identified when a candle closes higher than it opens, and it completely engulfs the previous candle (previous close is lower than the current open, and previous high is lower than the current close).
Bearish Engulfing: Identified when a candle closes lower than it opens, and it completely engulfs the previous candle (previous close is higher than the current open, and previous low is higher than the current close).
Bar Coloring: These patterns are highlighted with a customizable color (light gray by default) to make them easily identifiable.
ATR-Based Imbalance:
The Average True Range (ATR) is used to measure market volatility, and this script checks if the current candle’s range (difference between high and low) exceeds a defined multiple of the ATR, indicating a possible imbalance.
Imbalance Detection: If the current candle’s range is greater than ATR * imbalance multiplier (default multiplier: 1.5), it is marked as an ATR imbalance.
Bar Coloring: Candles with a significant imbalance (greater range than the ATR-based threshold) are highlighted in yellow, indicating an outlier or extreme price movement.
Engulfing + ATR Imbalance:
When both a Bullish Engulfing pattern and an ATR Imbalance are detected, a green triangle up is plotted below the bar, signaling a potential bullish reversal.
Conversely, when both a Bearish Engulfing pattern and an ATR Imbalance occur, a red triangle down is plotted above the bar, signaling a potential bearish reversal.
User Inputs:
Engulfing Plot: Enable or disable the plotting of Engulfing Candles.
ATR Length: Set the period used to calculate the ATR (default is 5).
Imbalance Multiplier: Adjust the multiplier to define the threshold for ATR imbalance detection (default is 1.5).
Bar Colors: Customizable color for both Engulfing candles and Imbalance candles.
Engulfing & Imbalance Plot: Enable or disable plotting of the combined conditions (Engulfing + ATR Imbalance) with arrows.
How This Indicator Helps:
By combining price action patterns with volatility analysis, this indicator highlights high-probability reversal points where significant price movement (imbalance) coincides with a clear Engulfing pattern. Traders can use these signals to time entries or exits based on both price action and market volatility.
Swing & Day Trading Strategy dddddThis TradingView Pine Script is designed for swing and day trading, incorporating multiple technical indicators and tools to enhance decision-making. It calculates and plots exponential moving averages (EMAs) for 5, 9, 21, 50, and 200 periods to identify trends and crossovers. The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) provide momentum and overbought/oversold signals. The script dynamically identifies and marks support and resistance levels based on recent highs and lows, while also detecting and labeling key candlestick patterns such as bullish and bearish engulfing, doji, and hammer candles. Bullish and bearish signals are highlighted on the chart with green and red backgrounds, respectively, and alerts are generated to notify traders of these conditions. All visualizations, including EMAs, support/resistance lines, and candlestick labels, are overlaid directly on the stock chart for easy interpretation. This comprehensive approach assists traders in spotting potential trading opportunities effectively.
Exponential Avg Body Size Green vs RedDescription :
This indicator calculates and plots the Exponential Moving Average (EMA) of green and red candlestick body sizes, allowing traders to easily visualize market momentum and sentiment shifts. The script includes the following features:
Customizable EMA Period: Users can set the number of candles to calculate the EMA through an input setting, with a default value of 21.
Separate Green and Red Candle Averages: Differentiates between bullish (green) and bearish (red) candlestick movements, plotting them as distinct lines.
Dynamic Range Control: Users can adjust the chart range (e.g., -50 to 50) for better visibility of the plotted lines.
Baseline for Reference: A horizontal baseline at 0 serves as a visual aid for easier interpretation.
Standalone Indicator Pane: The script is designed to display in a separate pane, preventing overlap with the price chart.
Use Case:
This indicator is ideal for traders seeking to analyze the relative strength of bullish versus bearish price movements over a specific period. The separation of green and red averages helps identify trends, potential reversals, or shifts in momentum.
Engulfing Patterns & Inside Bar at NWOGEngulfing Patterns & Inside Bar at NWOG:
This indicator is designed to detect and display specific candlestick patterns (Bearish Engulfing, Bullish Engulfing, and Inside Bar) when they occur at the New Week Open Gap (NWOG). The indicator provides tiny dots plotted at the top of the candle for each detected pattern, keeping the chart clean and minimal. Below is a detailed description of the logic and components:
Candlestick Patterns Detected:
Bearish Engulfing:
A Bearish Engulfing pattern occurs when:
The current candle’s high is above the previous candle’s high.
The current candle’s close is below the previous candle’s low.
This pattern signals a potential downtrend and is marked by a red dot at the top of the candle.
Bullish Engulfing:
A Bullish Engulfing pattern occurs when:
The current candle’s low is below the previous candle’s low.
The current candle’s close is above the previous candle’s high.
This pattern signals a potential uptrend and is marked by a green dot at the top of the candle.
Inside Bar:
An Inside Bar pattern occurs when:
The current candle’s high is lower than the previous candle’s high.
The current candle’s low is higher than the previous candle’s low.
This pattern indicates a period of consolidation and possible breakout or breakdown, and is marked by a blue dot at the top of the candle.
New Week Open Gap (NWOG) Condition:
The patterns (Bearish Engulfing, Bullish Engulfing, and Inside Bar) are only considered valid if the candles occur within or touch the range of the New Week Open Gap (NWOG).
The NWOG is defined as the gap between:
The Friday close (previous week’s closing price).
The Monday open (current week’s opening price).
If the signal patterns (Bullish Engulfing, Bearish Engulfing, Inside Bar) align with the NWOG, a tiny dot is plotted at the top of the candle where the pattern occurs.
Visual Representation:
Red Dots: Indicate Bearish Engulfing signals that occur at the NWOG.
Green Dots: Indicate Bullish Engulfing signals that occur at the NWOG.
Blue Dots: Indicate Inside Bar Breakdown signals that occur at the NWOG.
Each dot is plotted as a tiny circle at the top of the candle, ensuring the chart remains minimal and clean without cluttering the view.
Key Features:
Minimal and Clean: The indicator only plots tiny dots at the top of the candles for the detected signals. No additional lines, labels, or other visual elements clutter the chart.
Customizable Signal Colors: Users can customize the colors for each signal type (Bearish Engulfing, Bullish Engulfing, and Inside Bar).
Alerts: Alerts are included for all detected patterns (Bullish Engulfing, Bearish Engulfing, Inside Bar) at the NWOG.
Alerts:
Bearish Engulfing Detected: Alerts when a Bearish Engulfing pattern occurs at the NWOG.
Bullish Engulfing Detected: Alerts when a Bullish Engulfing pattern occurs at the NWOG.
Inside Bar Breakdown Detected: Alerts when an Inside Bar Breakdown pattern occurs at the NWOG.
This indicator is helpful for traders who want to focus on clean, easy-to-spot patterns and trade based on market conditions near the New Week Open Gap (NWOG). The tiny dots ensure that only relevant signals are displayed without any distractions.
Wick Detection (1 and 0) - AYNETDetailed Scientific Explanation
1. Wick Detection Logic
Definition of a Wick:
A wick, also known as a shadow, represents the price action outside the range of a candlestick's body (the region between open and close).
Upper Wick: Occurs when the high value exceeds the greater of open and close.
Lower Wick: Occurs when the low value is lower than the smaller of open and close.
Upper Wick Detection:
pinescript
Kodu kopyala
bool has_upper_wick = high > math.max(open, close)
This checks if the high price of the candle is greater than the maximum of the open and close prices. If true, an upper wick exists.
Lower Wick Detection:
pinescript
Kodu kopyala
bool has_lower_wick = low < math.min(open, close)
This checks if the low price of the candle is less than the minimum of the open and close prices. If true, a lower wick exists.
2. Binary Representation
The presence of a wick is encoded as a binary value for simplicity and computational analysis:
Upper Wick: Represented as 1 if present, otherwise 0.
pinescript
Kodu kopyala
float upper_wick_binary = has_upper_wick ? 1 : 0
Lower Wick: Represented as 1 if present, otherwise 0. This value is inverted (-1) for visualization purposes.
pinescript
Kodu kopyala
float lower_wick_binary = has_lower_wick ? 1 : 0
3. Visualization with Histograms
The plot function is used to create histograms for visualizing the binary wick data:
Upper Wicks: Plotted as positive values with green columns:
pinescript
Kodu kopyala
plot(upper_wick_binary, title="Upper Wick", color=color.new(color.green, 0), style=plot.style_columns, linewidth=2)
Lower Wicks: Plotted as negative values with red columns:
pinescript
Kodu kopyala
plot(lower_wick_binary * -1, title="Lower Wick", color=color.new(color.red, 0), style=plot.style_columns, linewidth=2)
Features and Applications
1. Wick Visualization:
Upper wicks are displayed as positive green columns.
Lower wicks are displayed as negative red columns.
This provides a clear visual representation of wick presence in historical data.
2. Technical Analysis:
Wick formations often indicate market sentiment:
Upper Wicks: Sellers pushed the price lower after buyers drove it higher, signaling rejection at the top.
Lower Wicks: Buyers pushed the price higher after sellers drove it lower, signaling rejection at the bottom.
3. Signal Generation:
Traders can use wick detection to build strategies, such as identifying key price levels or market reversals.
Enhancements and Future Improvements
1. Wick Length Measurement
Instead of binary detection, measure the actual length of the wick:
pinescript
Kodu kopyala
float upper_wick_length = high - math.max(open, close)
float lower_wick_length = math.min(open, close) - low
This approach allows for thresholds to identify significant wicks:
pinescript
Kodu kopyala
bool significant_upper_wick = upper_wick_length > 10 // For wicks longer than 10 units.
bool significant_lower_wick = lower_wick_length > 10
2. Alerts for Long Wicks
Trigger alerts when significant wicks are detected:
pinescript
Kodu kopyala
alertcondition(significant_upper_wick, title="Long Upper Wick", message="A significant upper wick has been detected.")
alertcondition(significant_lower_wick, title="Long Lower Wick", message="A significant lower wick has been detected.")
3. Combined Wick Analysis
Analyze both upper and lower wicks to assess volatility:
pinescript
Kodu kopyala
float total_wick_length = upper_wick_length + lower_wick_length
bool high_volatility = total_wick_length > 20 // Combined wick length exceeds 20 units.
Conclusion
This script provides a compact and computationally efficient way to detect candlestick wicks and represent them as binary data. By visualizing the data with histograms, traders can easily identify wick formations and use them for technical analysis, signal generation, and volatility assessment. The approach can be extended further to measure wick length, detect significant wicks, and integrate these insights into automated trading systems.
Bullish/Bearish Reversal Bars Indicator [Skyrexio]Introduction
Bullish/Bearish Reversal Bars Indicator leverages the combination of candlestick reversal bar pattern and the Williams Alligator indicator to help traders in understanding where there is a high probability of market reversal or correction. Indicator works for both bearish and bullish cases. It visualizes the bearish and bullish reversal bars with red and green dots and also plots the Alligator's lips to make it more convenient for traders to understand if price is above or below lips line (more information in "Methodology and it's justification" paragraph).
Features
Market Facilitation Index(MFI) filter: with the specified parameter in settings user can choose to filter bullish and bearish reversal bars which passed the MFI condition.
Awesome Oscillator(AO) filter: with the specified parameter in settings user can choose to filter bullish and bearish reversal bars which passed the AO condition.
Alerts: user can set up the alert and have notifications when bullish/bearish reversal bar has been printed.
Methodology and it's justification
In the script’s methodology, we apply the concepts of bullish and bearish reversal bars introduced by Bill Williams in his book Trading Chaos. So, what exactly is a bullish or bearish reversal bar? At its core, it’s a candlestick pattern. A bullish reversal bar is a bar that closes in its upper half, while a bearish reversal bar closes in its lower half.
Why is this type of bar significant? Let’s look at the bullish reversal bar as an example. When the price is trending upward, forming higher highs with each candle, and we suddenly see a bullish bar that makes a new high but ultimately closes in its lower half, it signals a shift in control. Bears have taken control toward the end of that candle's period, pushing the price back down. This can be interpreted as a sign of trend weakness and a potential reversal (or at least a correction).
An additional key point is that a reversal bar often indicates a possible end to the trend. Therefore, for a reversal bar to be valid, several preceding candles should show lower highs (for bullish bars) or higher lows (for bearish bars), reinforcing the likelihood of a trend change.
The second step on methodology is the location of the bar related to Williams Alligator. The Williams Alligator Indicator, developed by Bill Williams, is a technical analysis tool that helps traders identify trends and potential turning points in the market. It consists of three lines, often called the jaw, teeth, and lips of the alligator, each representing different moving averages:
Jaw (Blue Line): A slower moving average, typically a 13-period smoothed moving average shifted 8 bars into the future.
Teeth (Red Line): A medium moving average, typically an 8-period smoothed moving average shifted 5 bars into the future.
Lips (Green Line): A faster moving average, usually a 5-period smoothed moving average shifted 3 bars into the future.
When the three lines are spread out and moving in the same direction, it suggests a strong trend (the "alligator" is "awake and feeding"). When they intertwine, the indicator suggests that the market is moving sideways, or in a range, signaling a lack of clear trend (the "alligator" is "sleeping"). Traders use the Alligator Indicator to enter trades in trending markets and avoid trades in choppy, non-trending markets.
If bullish reversal bar's high is not below and bearish reversal bar's low is not above all three Alligator's lines (jaw, lips, teeth) they cannot be interpreted as these types of bars. It can be explained as following: if we are waiting for the bullish reversal bar it shall be reversal from downtrend. If price is not below all three lines it can't be interpret as the downtrend according to this method. The opposite is true for the bearish reversal bar.
All described above are obligatory conditions for reversal bar, now let's discuss two not obligatory conditions. The first one is Market Facilitation Index (MFI) restriction. Let's briefly look what is MFI. The Market Facilitation Index (MFI) is a technical indicator that measures the price movement per unit of volume, helping traders gauge the efficiency of price movement in relation to trading volume. Here's how you can calculate it:
MFI = (High−Low)/Volume
MFI can be used in combination with volume, so we can divide 4 states. Bill Williams introduced these to help traders interpret the interaction between volume and price movement. Here’s a quick summary:
Green Window (Increased MFI & Increased Volume): Indicates strong momentum with both price and volume increasing. Often a sign of trend continuation, as both buying and selling interest are rising.
Fake Window (Increased MFI & Decreased Volume): Shows that price is moving but with lower volume, suggesting weak support for the trend. This can signal a potential end of the current trend.
Squat Window (Decreased MFI & Increased Volume): Shows high volume but little price movement, indicating a tug-of-war between buyers and sellers. This often precedes a breakout as the pressure builds.
Fade Window (Decreased MFI & Decreased Volume): Indicates a lack of interest from both buyers and sellers, leading to lower momentum. This typically happens in range-bound markets and may signal consolidation before a new move.
For our purposes we are interested in squat bars. This is the sign that volume cannot move the price easily. This type of bar increases the probability of trend reversal. In this indicator we added to enable the MFI filter of reversal bars. If potential reversal bar or two preceding bars have squat state this bar can be interpret as a reversal one.
The second additional filter is Awesome Oscillator. The Awesome Oscillator (AO), developed by Bill Williams, is a momentum indicator that measures market momentum by comparing recent price action to a longer historical context. It helps traders identify potential trend reversals and the strength of trends. Formula:
AO = SMA5(Median Price) − SMA34(Median Price)
where:
Median Price = (High + Low) / 2
SMA5 = 5-period Simple Moving Average of the Median Price
SMA 34 = 34-period Simple Moving Average of the Median Price
If AO is decreasing momentum is bearish, if increasing - bullish. According to Bill Williams approach reversal bars are the potential trades against the trend. As a result we added second filter for bullish reversal bars AO shall be decreasing, for bearish increasing.
How to use indicator
Apply it to desired chart and time frame. It works on every time frame.
Setup the filters with the "Enable MFI" and "Enable AO" checkboxes in the settings. By default they are turned on.
Analyze the price action. Indicator plotted the white line, this is the lips of an Alligator. It will help you to understand how price is moving in comparison to lips line. Indicator will print the green dot and text "BULL" below it current bar is bullish reversal. It will print the red dot and text "BEAR" above it if current bar is interpreted by algorithm as a bearish reversal.
Set up the alerts if it's needed. Indicator has two custom alerts called "Bullish reversal bar has been printed" and "Bearish reversal bar has been printed"
Disclaimer:
Educational and informational tool reflecting Skyrex commitment to informed trading. Past performance does not guarantee future results. Test indicators before live implementation.
Trend Strength After Reversal
This indicator measures trend strength after the reversal.
It can catch early reversal based on engulfing candlestick pattern or just the regular reversal.
Every reversal have to be confirmed by a close above reversal pattern.
Trend strength is measured by counting subsequent closing confirming the reversal
EagleVision.V33 - Inside Pin Bar EagleVision.V33 is a specialized indicator designed for traders who focus on price action. It detects and highlights the Inside Pin Bar candle pattern, a key signal that can indicate potential market reversals or trend continuations. This tool is invaluable for traders who rely on precise candlestick patterns to make data-driven decisions.
Features:
• Customizable Pattern Highlighting: EagleVision.V33 allows traders to choose custom colors to highlight Inside Pin Bar patterns directly on the chart. This makes identifying critical trading signals straightforward, even in busy market conditions.
• Pin Bar Candle Customization: Beyond just highlighting, the indicator enables users to change the color of the detected pin bar itself, ensuring that crucial patterns are immediately visible and easy to track.
• Versatile Timeframe Application: The indicator can be applied across various timeframes, from intraday (1 minute, 5 minutes) to longer-term charts (daily, weekly). Users can easily switch between timeframes within the settings, making it adaptable to different trading strategies.
• Enhanced Visual Clarity with Background Highlighting: For traders who prefer additional emphasis, EagleVision.V33 offers an option to apply a background color that highlights the entire region where the Inside Pin Bar pattern is detected.
How It Works:
• Inside Bar Identification: The indicator first identifies an Inside Bar, where a candle’s high and low fall within the range of the preceding candle (the mother bar). This is a foundational pattern in price action trading.
• Pin Bar Detection: It then checks if the candle is a Pin Bar, characterized by a small body and a prominent wick (either upper or lower), which typically signals potential market turning points.
• Pattern Highlighting & Visualization: Upon detecting both conditions (Inside Bar and Pin Bar), EagleVision.V33 highlights the pattern using customizable shapes and colors, and optionally applies a background shade to further enhance visibility.
Use Cases:
• Reversals at Key Levels: The Inside Pin Bar pattern often appears at significant support or resistance levels, signaling potential reversals. EagleVision.V33 helps traders spot these opportunities early.
• Trend Continuations: In trending markets, this pattern can confirm the continuation of a trend, providing traders with the confidence to hold positions or enter new ones.
Customization Options:
• Pattern Highlight Color: Choose a distinct color for the label or shape that marks the Inside Pin Bar pattern, making it stand out against other chart elements.
• Pin Bar Candle Color: Customize the color of the Pin Bar itself, ensuring that it is immediately recognizable on the chart.
• Background Highlighting: Optionally apply a background color to the chart area where the pattern is detected, further enhancing visual clarity and making it easier to spot potential trading opportunities.
Why EagleVision.V33 Stands Out:
EagleVision.V33 is not just another pattern detection tool; it’s engineered for precision and clarity, with highly customizable features that cater to the unique needs of price action traders. By combining both Inside Bar and Pin Bar detection, it offers a powerful edge, providing traders with actionable insights directly on their charts.
MMDN-Pin BarThis Pine Script code is designed to highlight Pin Bars on a TradingView chart by changing their color to yellow. A Pin Bar is a type of candlestick pattern that typically indicates a potential reversal in the market. The script uses specific conditions to identify bullish and bearish Pin Bars based on the size of the candlestick body and the length of the shadows (wicks).
1. Calculate Body and Shadows:
body: The absolute difference between the close and open prices.
upshadow: The upper shadow, calculated differently depending on whether the close is higher or lower than the open.
downshadow: The lower shadow, calculated similarly.
2. Define Pin Bar Conditions:
pinbar_h: Identifies a bullish Pin Bar if the previous candle's close is greater than its open, the previous candle's body is larger than the current candle's body, the upper shadow is more than half the size of the body, and the upper shadow is more than twice the size of the body.
pinbar_l: Identifies a bearish Pin Bar with similar conditions but for the lower shadow.
Set Pin Bar Color:
barcolor: Changes the color of the identified Pin Bars to yellow.
Wick Strength [MS]Overview
The Wick Strength indicator is a unique script designed to measure and visualize the relative strength of candlestick wicks over time. By analyzing the relationship between upper and lower wicks, this indicator provides insights into potential market dynamics and price action patterns.
How It Works
The Wick Strength indicator calculates the "strength" of candlestick wicks by comparing the upward and downward movements within each candle's range. This calculation results in a dynamic line plot that represents the evolving wick strength across your chosen timeframe.
Strength is not range-bound, allowing the score to reach extremes and be compared relatively across time.
Interpretation
Positive values indicate stronger upper wicks (potential bearish pressure)
Negative values suggest stronger lower wicks (potential bullish pressure)
Extreme readings might signal overextended moves or potential reversals
Key Features
Measures relative wick strength candle by candle
Smooths the values by summation based on user preference
Adaptable to all timeframes and markets
Potential Applications
While extensive backtesting has not been performed, the Wick Strength indicator may offer valuable insights for:
Identifying potential divergences between price action and wick strength
Spotting changes in market sentiment or volatility
Complementing other technical analysis tools for a more comprehensive trading approach
Developing unique trading strategies based on wick behavior
Artaking 2Components of the Indicator:
Moving Averages:
Short-Term Moving Average (MA): This is a 50-period Simple Moving Average (SMA) applied to the closing price. It is used to track the short-term trend of the market.
Long-Term Moving Average (MA): This is a 200-period SMA used to track the long-term trend.
Day Trading Moving Average: A 20-period SMA is used specifically for day trading signals, focusing on shorter-term price movements.
Purpose:
The crossing of these moving averages (short-term crossing above or below long-term) provides basic buy and sell signals, indicative of potential trend reversals or continuations.
ADX (Average Directional Index) for Trend Strength:
ADX Calculation: The ADX is calculated using a 14-period length with 14-period smoothing. The ADX value indicates the strength of a trend, regardless of direction.
Strong Trend Condition: The indicator considers a trend to be strong if the ADX value is above 25. This threshold helps filter out trades during weak or sideways markets.
Purpose:
To ensure that the strategy only generates signals when there is a strong trend, thus avoiding whipsaws in low volatility or range-bound conditions.
Support Levels:
Support Level Calculation: The indicator calculates the lowest close over the last 100 periods. This level is used to identify significant support zones where the price might find a floor.
Purpose:
Support levels are critical in identifying potential areas where the price might bounce, making them ideal for setting stop losses or identifying buy opportunities.
Volatility Spike (Proxy for News Trading):
ATR (Average True Range) Calculation: The indicator uses a 14-period ATR to measure market volatility. A volatility spike is identified when the ATR is greater than 1.5 times the 14-period SMA of the ATR.
Purpose:
This serves as a proxy for news events or other sudden market movements that could make the market unpredictable. The indicator avoids generating signals during these periods to reduce the risk of being caught in a volatile, potentially news-driven move.
Fibonacci Retracement Levels:
61.8% Fibonacci Level: Calculated from the highest high and lowest low over the long MA period, this retracement level is widely regarded as a significant support or resistance level.
Purpose:
Position traders often use Fibonacci levels to identify potential reversal points. The indicator incorporates the 61.8% level to fine-tune entries and exits.
Candlestick Patterns for Price Action Trading:
Bullish Engulfing Pattern: A bullish reversal pattern where a green candle fully engulfs the previous red candle.
Bearish Engulfing Pattern: A bearish reversal pattern where a red candle fully engulfs the previous green candle.
Purpose:
These patterns are classic signals used in price action trading to identify potential reversals at key levels, especially when they align with other conditions like support/resistance or Fibonacci levels.
Signal Generation:
The indicator generates buy and sell signals by combining the above elements:
Buy Signal:
A buy signal is triggered when:
The short-term MA crosses above the long-term MA (indicating a potential uptrend).
The trend is strong (ADX > 25).
The current price is near or below the 61.8% Fibonacci retracement level, suggesting a potential reversal.
No significant volatility spike is detected, ensuring the market isn’t reacting unpredictably to news.
Sell Signal:
A sell signal is triggered when:
The short-term MA crosses below the long-term MA (indicating a potential downtrend).
The trend is strong (ADX > 25).
The current price is near or above the 61.8% Fibonacci retracement level, suggesting potential resistance.
No significant volatility spike is detected.
Day Trading Signals:
Independent of the main trend signals, the indicator also generates intraday buy and sell signals when the price crosses above or below the 20-period day trading MA.
Price Action Signals:
The indicator can trigger buy or sell signals based purely on price action, such as the occurrence of bullish or bearish engulfing patterns. This is optional and can be enabled or disabled.
Alerts:
The indicator includes built-in alert conditions that notify the trader when a buy or sell signal is generated. This allows traders to act immediately without having to constantly monitor the charts.
Practical Application:
This indicator is versatile and can be used across various trading styles:
Position Trading: The long-term MA, Fibonacci retracement, and ADX provide a solid foundation for identifying long-term trends and potential entry/exit points.
Day Trading: The short-term MA and day trading MA offer quick signals for intraday trading.
Price Action: Candlestick pattern recognition allows for precise entry points based on market sentiment and behavior.
News Trading: The volatility spike filter helps avoid trading during periods of market instability, often driven by news events.
Conclusion:
The Comprehensive Trading Strategy Indicator is a robust tool designed to help traders navigate various market conditions by integrating multiple strategies into a single, coherent framework. It provides clear, actionable signals while filtering out potentially dangerous trades during volatile or weak market conditions. Whether you're a long-term trader, a day trader, or someone who relies on price action, this indicator can be a valuable addition to your trading toolkit.
Big Bar Followed by Doji/PinbarUsed find doji/pinbars after a Big candle showing the potential Morning/Evening star formation after x amount of consecutive up moves.
1. Doji Threshold (dojiThreshold)
What is a Doji?: A doji is a candlestick pattern where the opening and closing prices are very close to each other. It represents indecision in the market.
Threshold Explanation: The dojiThreshold is used to define what qualifies as a doji by comparing the size of the candle's body (the difference between the opening and closing prices) to the total range of the candle (the difference between the high and low prices).
How it works:
The formula in the script checks if the absolute difference between the close and open is less than or equal to a percentage of the entire candle's range.
Example: If the dojiThreshold is set to 0.1 (or 10%), this means that for a candle to be considered a doji, the size of the body (the difference between the open and close) must be 10% or less of the total candle's range (the difference between the high and low prices).
In other words, if the body is small enough (based on the threshold), the candle is considered a doji.
2. Pinbar Body Size (pinbarBodySize)
What is a Pinbar?: A pinbar (short for "pinocchio bar") is a candlestick pattern with a small body and a long wick (or shadow) on one side, indicating a potential reversal. The longer wick represents a rejection of a certain price level.
Body Size Explanation: The pinbarBodySize defines the maximum proportion of the candle's total range that the body can occupy for the candle to be considered a pinbar.
How it works:
The script compares the size of the body to the total range of the candle.
Example: If pinbarBodySize is set to 0.3 (or 30%), the body of the candle must be 30% or less of the total range for it to be considered a pinbar. This ensures that the candle has a small body and, therefore, a relatively long wick on one side.
The script then checks whether the longer wick is on the upper or lower side of the candle to determine if it's a valid pinbar pattern.
Summary:
Doji: The dojiThreshold parameter sets how close the open and close prices need to be relative to the candle's range for the candle to be considered a doji.
Pinbar: The pinbarBodySize parameter sets the maximum size of the body relative to the candle's total range to qualify it as a pinbar.
Both of these thresholds are adjustable in the script, allowing you to fine-tune what qualifies as a doji or pinbar based on your trading style and the market conditions you're analyzing.
Fresh Zones The indicator is named "Fresh Zones"
Bullish Fresh Zone:
- This part looks for a specific pattern in the price movement that indicates a potential bullish (upward) trend.
- It checks if the current bar's low price is higher than the previous bar's opening price.
- It also checks if the previous bar's closing price was higher than its opening price.
- Additionally, it checks if the bar before the previous one had a closing price lower than its opening price.
- If all these conditions are met, it identifies a bullish fresh zone.
Bearish Fresh Zone:
- This part looks for a specific pattern in the price movement that indicates a potential bearish (downward) trend.
- It checks if the current bar's high price is lower than the previous bar's opening price.
- It also checks if the previous bar's closing price was lower than its opening price.
- Additionally, it checks if the bar before the previous one had a closing price higher than its opening price.
- If all these conditions are met, it identifies a bearish fresh zone.
Color Coding:
- When a bullish fresh zone is identified, it colors the candlestick from two bars ago with a specific yellowish color (`color.rgb(240, 243, 33)`).
- When a bearish fresh zone is identified, it colors the candlestick from two bars ago with a specific pink color (`color.rgb(255, 0, 191)`).
Alert:
- The script creates an alert condition.
- If either a bullish or bearish fresh zone pattern appears, it triggers an alert with the message "A Fresh zone has appeared!".
Candle Price MovementThis Pine Script indicator calculates and visualizes the price movement for each candlestick on the chart.
- **Calculation**: The price movement for each candle is determined by subtracting the opening price from the closing price.
- **Visualization**: The price movement is plotted as a histogram, with positive values indicating upward movement (green bars) and negative values indicating downward movement (red bars).
- **Options**:
- The histogram bars are colored blue with zero opacity, providing a clear visual distinction from the background.
- A horizontal line at zero (the "Zero Line") is added for reference, helping to identify periods of no price movement.
---
This indicator provides traders with a quick visualization of the price movement for each candlestick, helping to identify trends and potential trading opportunities.
Engulfing CandlesThis script serves as the "Engulfing Candles" indicator in TradingView. Here's what it does:
- It identifies bullish candlestick patterns where the current candle's high is lower than the previous candle's high, the current candle's low is higher than the previous candle's low, the current candle's close is higher than the previous candle's close, and the current candle's open is higher than the previous candle's open. It also identifies bearish candlestick patterns where the conditions are reversed.
- The indicator colors bullish candles in a specific color (Yellow Green) to visually highlight the bullish pattern, and colors bearish candles in another color (Purple pink) to visually highlight the bearish pattern.
- Additionally, it triggers an alert when either the bullish or bearish triangle shape appears, notifying traders with the message "A Southern Star Shadows pattern has appeared!"
Heikin Ashi and Optimized Trend Tracker and PVSRA [Erebor]Heikin Ashi Candles
Let's consider a modification to the traditional “Heikin Ashi Candles” where we introduce a new parameter: the period of calculation. The traditional HA candles are derived from the open , high low , and close prices of the underlying asset.
Now, let's introduce a new parameter, period, which will determine how many periods are considered in the calculation of the HA candles. This period parameter will affect the smoothing and responsiveness of the resulting candles.
In this modification, instead of considering just the current period, we're averaging or aggregating the prices over a specified number of periods . This will result in candles that reflect a longer-term trend or sentiment, depending on the chosen period value.
For example, if period is set to 1, it would essentially be the same as traditional Heikin Ashi candles. However, if period is set to a higher value, say 5, each candle will represent the average price movement over the last 5 periods, providing a smoother representation of the trend but potentially with delayed signals compared to lower period values.
Traders can adjust the period parameter based on their trading style, the timeframe they're analyzing, and the level of smoothing or responsiveness they prefer in their candlestick patterns.
Optimized Trend Tracker
The "Optimized Trend Tracker" is a proprietary trading indicator developed by TradingView user ANIL ÖZEKŞİ. It is designed to identify and track trends in financial markets efficiently. The indicator attempts to smooth out price fluctuations and provide clear signals for trend direction.
The Optimized Trend Tracker uses a combination of moving averages and adaptive filters to detect trends. It aims to reduce lag and noise typically associated with traditional moving averages, thereby providing more timely and accurate signals.
Some of the key features and applications of the OTT include:
• Trend Identification: The indicator helps traders identify the direction of the prevailing trend in a market. It distinguishes between uptrends, downtrends, and sideways consolidations.
• Entry and Exit Signals: The OTT generates buy and sell signals based on crossovers and direction changes of the trend. Traders can use these signals to time their entries and exits in the market.
• Trend Strength: It also provides insights into the strength of the trend by analyzing the slope and momentum of price movements. This information can help traders assess the conviction behind the trend and adjust their trading strategies accordingly.
• Filter Noise: By employing adaptive filters, the indicator aims to filter out market noise and false signals, thereby enhancing the reliability of trend identification.
• Customization: Traders can customize the parameters of the OTT to suit their specific trading preferences and market conditions. This flexibility allows for adaptation to different timeframes and asset classes.
Overall, the OTT can be a valuable tool for traders seeking to capitalize on trending market conditions while minimizing false signals and noise. However, like any trading indicator, it is essential to combine its signals with other forms of analysis and risk management strategies for optimal results. Additionally, traders should thoroughly back-test the indicator and practice using it in a demo environment before applying it to live trading.
PVSRA (Price, Volume, S&R Analysis)
“PVSRA” (Price, Volume, S&R Analysis) is a trading methodology and indicator that combines the analysis of price action, volume, and support/resistance levels to identify potential trading opportunities in financial markets. It is based on the idea that price movements are influenced by the interplay between supply and demand, and analyzing these factors together can provide valuable insights into market dynamics.
Here's a breakdown of the components of PVSRA:
• Price Action Analysis: PVSRA focuses on analyzing price movements and patterns on price charts, such as candlestick patterns, trendlines, chart patterns (like head and shoulders, triangles, etc.), and other price-based indicators. Traders using PVSRA pay close attention to how price behaves at key support and resistance levels and look for patterns that indicate potential shifts in market sentiment.
• Volume Analysis: Volume is an essential component of PVSRA. Traders monitor changes in trading volume to gauge the strength or weakness of price movements. An increase in volume during a price move suggests strong participation and conviction from market participants, reinforcing the validity of the price action. Conversely, low volume during price moves may indicate lack of conviction and potential reversals.
• Support and Resistance (S&R) Analysis: PVSRA incorporates the identification and analysis of support and resistance levels on price charts. Support levels represent areas where buying interest is expected to be strong enough to prevent further price declines, while resistance levels represent areas where selling interest may prevent further price advances. These levels are often identified using historical price data, trendlines, moving averages, pivot points, and other technical analysis tools.
The PVSRA methodology combines these three elements to generate trading signals and make trading decisions. Traders using PVSRA typically look for confluence between price action, volume, and support/resistance levels to confirm trade entries and exits. For example, a bullish reversal signal may be considered stronger if it occurs at a significant support level with increasing volume.
It's important to note that PVSRA is more of a trading approach or methodology rather than a specific indicator with predefined rules. Traders may customize their analysis based on their preferences and trading style, incorporating additional technical indicators or filters as needed. As with any trading strategy, risk management and proper trade execution are essential components of successful trading with PVSRA.
The following types of moving average have been included: "SMA", "EMA", "SMMA (RMA)", "WMA", "VWMA", "HMA", "KAMA", "LSMA", "TRAMA", "VAR", "DEMA", "ZLEMA", "TSF", "WWMA". Thanks to the authors.
Thank you for your indicator “Optimized Trend Tracker”. © kivancozbilgic
Thank you for your indicator “PVSRA Volume Suite”. © creengrack
Thank you for your programming language, indicators and strategies. © TradingView
Kind regards.
© Erebor_GIT
