Supertrend + BB + Consecutive Candles + QQE + EMA [Pineify]Overview
This indicator, developed by Pineify, is a comprehensive tool designed to assist traders in making informed decisions by combining multiple technical analysis methods. It integrates Supertrend, Bollinger Bands (BB), Consecutive Candles, Quantitative Qualitative Estimation (QQE), and Exponential Moving Averages (EMA) into a single, cohesive script. This multi-faceted approach allows traders to analyze market trends, volatility, and potential buy/sell signals with greater accuracy.
Key Features
1. Supertrend: Utilizes the Supertrend indicator to identify the prevailing market trend. It provides clear buy and sell signals based on the direction of the trend.
2. Bollinger Bands (BB): Measures market volatility and identifies overbought or oversold conditions. The script calculates the middle, upper, and lower bands, along with the Bollinger Band Width (BBW) and Bollinger Band %B (BBR).
3. Consecutive Candles: Detects sequences of consecutive bullish or bearish candles, providing signals when a specified number of consecutive candles are detected.
4. Quantitative Qualitative Estimation (QQE): Combines the Relative Strength Index (RSI) with a smoothing factor to generate buy and sell signals based on the QQE methodology.
5. Exponential Moving Averages (EMA): Includes both fast and slow EMAs to identify potential crossovers, which are used as buy and sell signals.
How It Works
- Supertrend: The Supertrend indicator is calculated using a factor and ATR length. It plots the trend direction and generates buy/sell signals when the trend changes.
- Bollinger Bands: The BB indicator calculates the middle band as a Simple Moving Average (SMA) of the closing prices. The upper and lower bands are derived by adding and subtracting a multiple of the standard deviation from the middle band.
- Consecutive Candles: This feature counts the number of consecutive candles that close higher or lower than the previous candle. When the count reaches a specified threshold, it generates a buy or sell signal.
- QQE: The QQE indicator smooths the RSI values and calculates the QQE Fast and QQE Slow lines. Buy and sell signals are generated based on the crossover of these lines.
- EMA: The script calculates fast and slow EMAs and generates buy/sell signals based on their crossovers.
How to Use
1. Inputs: Customize the indicator settings through the input parameters:
- Supertrend Factor and ATR Length
- BB Length
- Consecutive Candles Counting
- QQE RSI Length
- Fast and Slow EMA Lengths
- Enable/Disable Alerts for various signals
2. Alerts: Set up alerts for Supertrend, Consecutive Candles, and EMA crossovers. Alerts can be enabled or disabled based on user preference.
3. Visualization: The indicator plots the Supertrend, Bollinger Bands, and EMA lines on the chart. It also marks buy and sell signals with arrows and labels for easy identification.
Concepts Underlying Calculations
- Supertrend: Based on the Average True Range (ATR) to determine the trend direction and potential reversal points.
- Bollinger Bands: Utilizes standard deviation to measure market volatility and identify overbought/oversold conditions.
- Consecutive Candles: A method to detect momentum by counting consecutive bullish or bearish candles.
- QQE: Enhances the traditional RSI by smoothing it and using a dynamic threshold to generate signals.
- EMA: A widely used moving average that gives more weight to recent prices, making it responsive to market changes.
This indicator is a powerful tool for traders looking to combine multiple technical analysis methods into a single, easy-to-use script. By integrating these diverse techniques, it provides a comprehensive view of market conditions and potential trading opportunities.
Sequential
Consecutive count backtester / quantifytools- Overview
Consecutive counting is a simple method to mechanically define trending states to the upside and downside. Consecutive counts are calculated by taking reference price level (e.g. close 4 candles ago) and count closes above/below it up to a maximum count that resets the consecutive count back to 1. This tool provides the means to backtest each count by measuring % change in price after each count (e.g. % gain 2 candles after a given count).
Users can define reference source that starts the consecutive count (e.g. close 4 candles ago), maximum count where counter resets (e.g. after 9th count) and backtesting period (e.g. price change 2 candles after count).
Filters add extra conditions that must be met on the consecutive count to qualify as valid, which are also reflected on the backtest metrics. The counts can be refined using the following filters:
- RSI above/below X
- Price above/below/at moving average of choice
- Relative volume above/below X
Average gain corresponding to each count as they occur can be toggled off for less clutter. Average price change can also be visualized using candle color. Colors, gradient and table/label sizes are fully customizable.
- Practical guide
Example #1: Identify reversal potential
Consecutive counting is a simple yet effective method to for detecting reversals, for which 7-9 counts are traditionally used. Whether that holds true or not can now be put through a test with different variations of the method as well as using additional filters to improve the probability of a turn.
Example #2: Identify trend following potential
Consecutive counts can also have utility value for trend following. When historical short term change is to the downside, expect downside, when to the upside, expect upside.
TDI on Top 40 CoinsThis indicator shows the count of the Top 40 coins reaching a TDI Sequential green 9 (shown in green) and red 9 (shown in red).
