TechniTrend: Advance Custom Candle Finder (CCF)🟦 Description:
The TechniTrend: Advanced Custom Candle Finder (CCF) is a versatile tool designed to help traders identify custom candlestick patterns using various configurable criteria. This indicator provides a flexible framework to filter and highlight specific candles based on volume, volatility, candle characteristics, and other important metrics. Below is a detailed explanation of each filter and its customization options:
🟦 Volume-Based Filters
🔸Volume Spike Filter:
Enable filtering based on volume spikes. Use the Volume Spike Multiplier to define what constitutes a significant increase in volume compared to the average. A spike indicates unusually high trading interest.
🔸Volume Range Filter:
Filter candles based on specific volume ranges. Set Minimum Volume and Maximum Volume thresholds to isolate candles with trading volumes within your desired boundaries.
🟦 Candle Body & Wick Filters
🔸Body Size Filter:
Filter candles based on the size of their body. A Body Size Multiplier determines what is considered a large body relative to historical averages.
🔸Body Percentage Filter:
Filter based on the proportion of the body to the entire candle size. Use the Body Percentage Threshold to highlight candles where the body makes up a certain percentage of the total candle range.
🔸Wick-to-Body Ratio Filter:
Identify candles with specific wick-to-body ratios. A higher Wick-to-Body Ratio can indicate indecision or reversals.
🟦 Volatility & Range Filters
🔸Volatility Filter:
Highlight candles based on price changes relative to volume. The Volatility Multiplier sets the threshold for what is considered a volatile candle.
🔸Candle Range Filter:
Filter based on the range (High - Low) of each candle. Use Minimum Candle Range and Maximum Candle Range to specify your desired candle size in points or pips.
🔸Short-Term and Long-Term Volatility Filters:
Analyze volatility over different periods. Enable Short-Term Volatility or Long-Term Volatility filters to compare recent volatility against historical averages, helping you detect sudden market shifts.
🟦 Candle Color & Open/Close Filters
🔸Candle Color Filter:
Filter based on the candle's color. Choose between Bullish (close > open) or Bearish (close < open) to focus on specific market sentiments.
🔸Open/Close Price Range Filter:
Filter based on the difference between the open and close prices. Use Minimum Open/Close Range and Maximum Open/Close Range to specify your acceptable range in price movements.
🟦 Core Functionality
The CCF indicator combines these filters to provide a final signal whenever a candle meets all the enabled criteria. By default, it highlights any qualifying candle directly on the chart and changes the background color for added visibility.
🟦 Key Features:
🔸Highly Customizable Filters: Adjust the parameters for each filter to tailor the indicator to your specific needs.
🔸Multiple Conditions: Combine several conditions to identify complex candlestick patterns.
🔸Real-Time Alerts: Receive instant notifications when a matching candle pattern is found based on your custom criteria.
🟦 How to Use:
🔸Enable the filters you wish to apply (e.g., Volume Spike, Candle Body Size, Volatility).
🔸Adjust the thresholds for each filter to fine-tune the pattern recognition criteria.
🔸Observe the chart to see visual cues for candles that match your specified conditions.
🟦 Notes:
🔸Ensure that you clearly understand each filter’s role. Over-filtering with very strict criteria may reduce the number of signals.
🔸This indicator is designed to be a customizable tool, not providing buy or sell recommendations.
🔸Use in combination with other analysis tools and indicators for the best results.
Объем
SMB MagicSMB Magic
Overview: SMB Magic is a powerful technical strategy designed to capture breakout opportunities based on price movements, volume spikes, and trend-following logic. This strategy works exclusively on the XAU/USD symbol and is optimized for the 15-minute time frame. By incorporating multiple factors, this strategy identifies high-probability trades with a focus on risk management.
Key Features:
Breakout Confirmation:
This strategy looks for price breakouts above the previous high or below the previous low, with a significant volume increase. A breakout is considered valid when it is supported by strong volume, confirming the strength of the price move.
Price Movement Filter:
The strategy ensures that only significant price movements are considered for trades, helping to avoid low-volatility noise. This filter targets larger price swings to maximize potential profits.
Exponential Moving Average (EMA):
A long-term trend filter is applied to ensure that buy trades occur only when the price is above the moving average, and sell trades only when the price is below it.
Fibonacci Levels:
Custom Fibonacci retracement levels are drawn based on recent price action. These levels act as dynamic support and resistance zones and help determine the exit points for trades.
Take Profit/Stop Loss:
The strategy incorporates predefined take profit and stop loss levels, designed to manage risk effectively. These levels are automatically applied to trades and are adjusted based on the market's volatility.
Volume Confirmation:
A volume multiplier confirms the strength of the breakout. A trade is only considered when the volume exceeds a certain threshold, ensuring that the breakout is supported by sufficient market participation.
How It Works:
Entry Signals:
Buy Signal: A breakout above the previous high, accompanied by significant volume and price movement, occurs when the price is above the trend-following filter (e.g., EMA).
Sell Signal: A breakout below the previous low, accompanied by significant volume and price movement, occurs when the price is below the trend-following filter.
Exit Strategy:
Each position (long or short) has predefined take-profit and stop-loss levels, which are designed to protect capital and lock in profits at key points in the market.
Fibonacci Levels:
Fibonacci levels are drawn to identify potential areas of support or resistance, which can be used to guide exits and stop-loss placements.
Important Notes:
Timeframe Restriction: This strategy is designed specifically for the 15-minute time frame.
Symbol Restriction: The strategy works exclusively on the XAU/USD (Gold) symbol and is not recommended for use with other instruments.
Best Performance in Trending Markets: It works best in trending conditions where breakouts occur frequently.
Disclaimer:
Risk Warning: Trading involves risk, and past performance is not indicative of future results. Always conduct your own research and make informed decisions before trading.
SessionsOverview of the "Sessions" Indicator
The "Sessions" indicator is a powerful tool designed for traders who want to visualize and analyze the market activity during different global trading sessions directly on their charts. This indicator highlights the London, New York, Tokyo, and Sydney sessions with distinct background colors, making it easy to see when each market is open.
Key Features
Session Visualization: The indicator provides clear visual cues for the active trading sessions, allowing traders to quickly identify periods of high market activity.
Customizable Timeframes: Users can set their preferred resolution for viewing session data, making it adaptable to any trading strategy.
Automatic Session Detection: The indicator automatically detects the start and end of each session based on specified times, updating in real-time as the market progresses.
Practical Applications
Trend Identification: By observing how prices move during specific sessions, traders can identify trends and make informed predictions about future price movements.
Volatility Analysis: Different sessions often exhibit varying levels of volatility. This indicator helps traders anticipate potential price spikes or lulls during these times.
Strategy Optimization: Traders can optimize their strategies by focusing on sessions that align with their trading style, whether it's the high volatility of the London session or the quieter Sydney session.
Market Overlap: The indicator makes it easy to see when sessions overlap, which is typically when the market experiences increased liquidity and volatility.
Conclusion
The "Sessions" indicator is an essential tool for traders looking to enhance their market analysis by visualizing global trading sessions. Whether you're a day trader seeking to capitalize on volatile market conditions or a swing trader looking for optimal entry and exit points, this indicator provides valuable insights into market dynamics.
ATR and Volume AnalysisHi!
I would like to present an indicator that's meant to measure ratio of Volatility to Volume.
Basically it measures 2 moving averages (14 and 100 period) of ATR and Volume and then compares them. The output is ATR14 / Vol14
Color scheme
Red: Volume and ATR is both below 14 period
Green: Both are above
Yellow: Volume up, volatility down
Purple: Volume down, volatility up
Then there are two lines - 1 and 1.5
That is, in my opinion, the most optimal state to trade, because 1 means that there is some volatility and it's confirmed by volume. Above 1,5 you could see it as overbought (or oversold) zone. If it's above this line, we could expect a retracement since the volatility is not backed by volume. Above 2 it's quite critical and I would suggest closing trades.
(You can use it across all timeframes. In fact it's better if you do so. Longer timeframes are good for spotting tradeable markets while shorter timeframes show overbought / oversold zones)
I have also added option to choose between 4 different moving averages, but in my opinion RMA works the best.
Feel free to share some feedback, I would really appreciate it.
Sincerely,
Beefmaster
Enhanced Volume Flow Analysis Pro ♾️ IFEnhanced Volume Flow Analysis Pro (EVFA Pro)
A Comprehensive Guide to Understanding and Using Volume Flow Analysis
Introduction
The Enhanced Volume Flow Analysis Pro (EVFA Pro) represents a sophisticated approach to understanding market dynamics through the lens of volume analysis. This advanced technical indicator has been designed to peel back the layers of market activity, revealing the intricate dance between institutional and retail traders. By combining volume analysis, participant behavior patterns, and market condition recognition, EVFA Pro provides traders with a deeper understanding of market movements and potential opportunities.
Understanding the Core Framework
At its heart, EVFA Pro works by analyzing and categorizing trading volume based on several key characteristics. The indicator examines not just the raw volume, but also the context in which that volume occurs. It considers factors such as price movement, historical patterns, and market conditions to classify trading activity as either institutional or retail in nature.
The framework adapts dynamically to different market environments. Whether you're trading stocks, ETFs, cryptocurrencies, or commodities, the indicator automatically adjusts its parameters to match the typical behavior patterns of each asset class. This adaptability extends to different trading styles as well, with optimizations for everything from quick-paced scalping to longer-term position trading.
Market Participant Analysis
One of the most powerful aspects of EVFA Pro is its ability to distinguish between institutional and retail trading activity. The indicator accomplishes this through a sophisticated analysis of volume patterns, order flow, and price action. Institutional trading typically leaves distinct footprints in the market - large, well-organized volume patterns that often occur at strategic price levels. EVFA Pro identifies these patterns and separates them from the more scattered, emotion-driven patterns typical of retail trading.
The indicator maintains a constant watch on participation rates from both groups. When institutional participation rises above normal levels, it could signal the beginning of a significant move. Similarly, spikes in retail activity, especially when combined with certain price patterns, might indicate potential market turning points.
Reading Market Conditions
Market conditions are not static, and EVFA Pro recognizes this fundamental truth. The indicator continuously evaluates market conditions, classifying them into four main categories: normal, volatile, ranging, and trending. This classification isn't merely descriptive - it directly influences how the indicator interprets various patterns and signals.
In volatile markets, the indicator becomes more conservative in its pattern recognition, requiring stronger confirmation before signaling potential opportunities. During ranging periods, it adjusts to look for shorter-term movements and potential breakout scenarios. In trending markets, the focus shifts to finding continuation patterns and potential exhaustion points.
Pattern Recognition and Signal Generation
Pattern recognition in EVFA Pro goes beyond simple technical patterns. The indicator looks for complex interactions between volume, price, and participant behavior. It identifies accumulation patterns - periods where institutional buyers are actively building positions, often while keeping price movements relatively subtle to avoid drawing attention. Similarly, it recognizes distribution patterns, where larger players are gradually reducing positions.
Signal generation involves a sophisticated weighing of multiple factors. Volume strength, institutional participation, trend alignment, and price momentum all play roles in determining signal strength. This multi-factor approach helps reduce false signals and provides a more reliable indication of potential market moves.
Visual Analysis Tools
The visual components of EVFA Pro have been carefully designed to present complex information in an intuitive format. The main chart overlay uses color-coded volume bars to show the relative participation of institutional and retail traders. The intensity of these colors varies with volume significance, helping traders quickly identify potentially important market activity.
The information table provides a real-time summary of market conditions, participant activity, and detected patterns. This dashboard-style display allows traders to quickly assess market conditions and potential opportunities without needing to analyze multiple indicators.
Practical Application in Trading
To use EVFA Pro effectively, traders should integrate it into a comprehensive trading strategy. The indicator works best when its signals are considered alongside other forms of analysis and risk management tools. Strong signals from EVFA Pro might suggest potential opportunities, but traders should always consider the broader market context, their own risk tolerance, and their overall trading plan.
The indicator's alerts system can help traders stay informed of potentially significant market developments. However, these alerts should be viewed as starting points for analysis rather than automatic trading signals. Each alert provides specific information about the type of pattern or condition detected, allowing traders to quickly assess whether further investigation is warranted.
Advanced Features and Customization
EVFA Pro offers extensive customization options to suit different trading styles and preferences. Traders can adjust sensitivity levels, color schemes, and display options to match their needs. The indicator also includes special considerations for different trading sessions, allowing for more accurate analysis during pre-market, regular trading hours, and after-hours periods.
Market Application and Interpretation
Success with EVFA Pro comes from understanding not just what it shows, but why it shows what it does. The indicator's patterns and signals reflect real market dynamics - the actions and reactions of different types of traders. By understanding these underlying dynamics, traders can make more informed decisions about market opportunities and risks.
Disclaimer
This indicator and documentation are provided for educational and informational purposes only. Trading in financial markets involves substantial risk of loss and is not suitable for every investor. The analysis provided by the Enhanced Volume Flow Analysis Pro indicator should not be considered as financial advice or a recommendation to make any specific trade or investment. Users of this indicator should understand that:
1. Past performance is not indicative of future results
2. All trading decisions and their outcomes are the responsibility of the individual trader
3. This tool should be used as part of a comprehensive trading strategy that includes proper risk management and due diligence
4. Markets can be highly unpredictable, and no technical analysis tool can guarantee success
Users should carefully consider their investment objectives, level of experience, and risk appetite before using this indicator. It is strongly recommended to consult with a qualified financial advisor before making any investment decisions.
Candle Spread
Candle Spread is an indicator that helps traders measure the range of price movement within each candle over a specified time period. It calculates the range of the candle between the High and Low (High - Low) and displays it in a separate window below the chart as columns.
Key Features:
Colored Bars: The bars are colored based on the candle's direction:
Bullish Candle: Bars are Green.
Bearish Candle: Bars are Red.
Moving Average: The indicator includes a 30-period Simple Moving Average (SMA), which represents the overall average range of the candles.
Helps Identify Market Volatility: This indicator helps traders identify wide-range candles (signaling high volatility in the market), which could indicate a surge in momentum or potential trend reversals.
Reversal Signals [AlgoAlpha]📈🔄 Reversal Signals – Master Market Reversals with Precision! 🚀✨
Elevate your trading strategy with the Reversal Signals indicator by AlgoAlpha. This advanced tool is designed to pinpoint potential bullish and bearish reversals by analyzing price action and, optionally, volume confirmations. It seamlessly combines reversal detection with trend analysis, giving you a comprehensive view of market dynamics to make informed trading decisions.
Key Features
🔎 Price Action Reversal Detection : Identifies potential reversal points by comparing current price movements against historical candle patterns within a customizable lookback period.
📊 Volume Confirmation : Optionally integrates volume analysis to confirm the strength of reversal signals, enhancing their reliability.
📈 Stepped Moving Average Trend Indicator : Employs a stepped moving average that adjusts at set intervals to reflect underlying market trends.
⚙️ Customizable Settings : Tailor the indicator to your trading style with adjustable parameters for lookback periods, confirmation windows, moving average types, and more.
🎨 Visual Signals and Trend Coloring : Clear on-chart labels for reversal signals and color-coded trend areas to quickly identify bullish and bearish conditions.
🔔 Alerts for Key Market Events : Set up custom alerts for reversal signals and trend shifts to stay ahead of market movements.
Quick Guide to Using the Reversal Signals Indicator :
🛠 Add the Indicator : Add the indicator to your favorites by pressing the star icon. Customize settings like Candle Lookback, Confirm Within, and Use Volume Confirmation to fit your trading style.
📊 Market Analysis : Observe the "𝓡" labels on the chart indicating bullish and bearish reversal signals. Look for labels below the bars for bullish signals and above the bars for bearish signals. Use the color-filled areas between the stepped moving average and the center line to assess market trends.
🔔 Alerts : Enable notifications for reversal signals and trend shifts to stay informed about market movements without constantly monitoring the chart.
How It Works
The Reversal Signals indicator operates by conducting a thorough analysis of price action over a user-defined lookback period. For a bullish reversal, the indicator checks if the current closing price is lower than the lows of the preceding candles within the lookback window, suggesting a potential oversold condition. If this criterion is met, it marks the candle as a potential reversal point and waits for confirmation within a specified number of subsequent candles. Confirmation occurs when the price rises above the high of the identified candle, signaling a bullish reversal. An optional volume confirmation can be enabled to ensure that the reversal is supported by higher-than-average trading volume, adding an extra layer of validation to the signal. The process is mirrored for bearish reversals, where the indicator looks for the closing price exceeding previous highs and awaits confirmation of a downward move.
Complementing the reversal signals, the indicator features a stepped moving average that serves as a dynamic trend indicator. This moving average updates at intervals defined by the MA Step Period and shifts direction based on price crossings. If the price remains above the stepped MA, it indicates a bullish trend, coloring the area between the MA and the center line in green. Conversely, if the price falls below the stepped MA, a bearish trend is signaled, and the area is shaded red. This visual representation helps traders quickly assess the prevailing market trend and align their trading decisions accordingly.
Experience a new level of market insight with the Reversal Signals indicator. Add it to your TradingView chart today and enhance your ability to detect and act on key ma
Wick Highlight IndicatorDescription:
This script is designed to help traders quickly spot significant wicks, which indicate areas of strong market rejection. By focusing on longer wicks, it identifies potential turning points where there was a strong buying or selling reaction.
Features:
Adjustable Minimum Wick Length: Users can set the minimum length of wicks to be highlighted, helping filter out less significant wicks. Default is set at 50 points.
Seller and Buyer Wick Analysis: Highlights both the top (seller pressure) and bottom (buyer pressure) wicks separately, giving a clearer view of market strength and rejection.
Non-Intrusive Display: Wicks are highlighted in black at 10% opacity, providing clear visual markers while keeping the chart clean and readable.
How to Use It: This indicator is open-source and free for all users. It aims to identify wicks that are larger than the average noise, which often indicates strong price rejections or future targets. You can adjust the minimum length to tailor the indicator to different market conditions and trading styles.
Why It Matters: Wicks often signify moments when price levels were rejected strongly, pointing to areas of potential support or resistance. By focusing only on significant wicks, this indicator helps you hone in on potential key levels of interest without overwhelming the chart with less important data. This can be particularly useful in spotting reversals or market exhaustion.
No other indicators are required, and the chart is kept clean for clarity and ease of understanding.
Notes:
This is an open-source script, and no solicitations or ads are included.
The indicator is intended to highlight significant wicks only and does not issue any buy/sell signals.
It is compliant with TradingView's publishing rules, focusing on transparency, clarity, and adding value to the community.
5-Minute Buy/Sell SignalThe 5-Minute Buy/Sell Signal Indicator is designed to help short-term traders identify potential buy and sell opportunities on a 5-minute chart using a combination of multiple technical indicators. This indicator integrates the following key components to generate buy and sell signals:
MACD (Moving Average Convergence Divergence):
The MACD helps identify the strength and direction of the market trend by comparing the difference between short-term and long-term moving averages. A positive MACD histogram indicates bullish momentum, while a negative histogram indicates bearish momentum.
RSI (Relative Strength Index):
The RSI is a momentum oscillator that measures the speed and change of price movements. The indicator is used to determine overbought or oversold conditions:
Oversold (below 30): Potential buy signal.
Overbought (above 70): Potential sell signal.
EMA (Exponential Moving Average):
The 50-period EMA is used to determine the prevailing trend. When the price is above the EMA, it indicates a bullish trend; when it is below the EMA, it indicates a bearish trend.
Volume:
The indicator incorporates volume analysis to confirm the strength of signals. Signals are only considered valid when the current volume exceeds the average volume over the last 20 periods, ensuring that there is sufficient market participation to support the move.
Signal Generation:
Buy Signal:
The signal is generated when:
MACD histogram is positive (bullish momentum).
RSI is below the oversold level (indicating a potential reversal).
The price is above the 50-period EMA (indicating an uptrend).
Current volume is higher than the 20-period volume moving average (confirming the strength of the buy signal).
Sell Signal:
The signal is generated when:
MACD histogram is negative (bearish momentum).
RSI is above the overbought level (indicating a potential reversal).
The price is below the 50-period EMA (indicating a downtrend).
Current volume is higher than the 20-period volume moving average (confirming the strength of the sell signal).
Signal Display:
Buy Signal: A green "BUY" label appears below the bar when all buy conditions are met.
Sell Signal: A red "SELL" label appears above the bar when all sell conditions are met.
Usage:
This indicator is specifically designed for 5-minute charts, making it ideal for scalpers and day traders who need quick, reliable signals to trade in short timeframes. By combining multiple indicators—MACD, RSI, EMA, and Volume—the system ensures that the buy or sell signals are well-confirmed, reducing the likelihood of false signals and increasing the probability of successful trades.
Alert Conditions:
Alerts can be set up for both buy and sell signals, enabling traders to be notified when the conditions for a potential trade are met, ensuring they never miss a trading opportunity.
In summary, this indicator provides a comprehensive, multi-faceted approach to identifying buy and sell opportunities, helping traders make more informed decisions based on a detailed technical analysis.
RSI-EMA Signal by stock shooter## Strategy Description: 200 EMA Crossover with RSI, Green/Red Candles, Volume, and Exit Conditions
This strategy combines several technical indicators to identify potential long and short entry opportunities in a trading instrument. Here's a breakdown of its components:
1. 200-period Exponential Moving Average (EMA):
* The 200-period EMA acts as a long-term trend indicator.
* The strategy looks for entries when the price is above (long) or below (short) the 200 EMA.
2. Relative Strength Index (RSI):
* The RSI measures the momentum of price movements and helps identify overbought and oversold conditions.
* The strategy looks for entries when the RSI is below 40 (oversold) for long positions and above 60 (overbought) for short positions.
3. Green/Red Candles:
* This indicator filters out potential entries based on the current candle's closing price relative to its opening price.
* The strategy only considers long entries on green candles (closing price higher than opening) and short entries on red candles (closing price lower than opening).
4. Volume:
* This indicator adds a volume filter to the entry conditions.
* The strategy only considers entries when the current candle's volume is higher than the average volume of the previous 20 candles, aiming for stronger signals.
Overall:
This strategy aims to capture long opportunities during potential uptrends and short opportunities during downtrends, based on a combination of price action, momentum, and volume confirmation.
Important Notes:
Backtesting is crucial to evaluate the historical performance of this strategy before deploying it with real capital.
Consider incorporating additional risk management techniques like stop-loss orders.
This strategy is just a starting point and can be further customized based on your trading goals and risk tolerance.
Chaikin DivergenceOverview
The Chaikin Divergence is a powerful technical indicator designed to enhance the traditional Chaikin Oscillator by incorporating divergence detection between the oscillator and price action. This advanced tool not only plots the Chaikin Oscillator but also identifies and highlights bullish and bearish divergences, providing traders with valuable insights into potential trend reversals and momentum shifts.
Key Features
Chaikin Oscillator Plotting: Visual representation of the Chaikin Oscillator, aiding in the analysis of market momentum based on volume and price.
Divergence Detection:
Bullish Divergence: Indicates potential upward reversals when price forms lower lows while the oscillator forms higher lows.
Bearish Divergence: Signals possible downward reversals when price creates higher highs while the oscillator forms lower highs.
Customizable Settings:
Fast Length & Slow Length: Adjust the periods for the Exponential Moving Averages (EMA) used in the oscillator calculation.
Pivot Detection Parameters: Define the sensitivity of pivot high and pivot low detection with adjustable left and right bars.
Bars Lookback for Divergence: Set the number of bars to look back for identifying divergences.
Color Customization: Choose distinct colors for bullish and bearish divergence labels to match your trading preferences.
Visual Indicators:
Divergence Labels: Clear and distinct labels (arrows or dots) on the chart indicating the type and location of divergences.
Zero Line: A dashed zero line to reference the oscillator’s crossing points.
Chaikin Oscillator Calculation:
The indicator calculates the Chaikin Oscillator by subtracting the slow EMA of the Accumulation/Distribution Line (ta.accdist) from the fast EMA.
This oscillates around the zero line, indicating buying and selling pressure.
Pivot Detection:
Utilizes ta.pivothigh and ta.pivotlow functions to identify significant pivot points in price action. These pivot points serve as reference points for divergence analysis.
Divergence Identification:
Bullish Divergence: Detected when a recent pivot low in price is lower than the previous pivot low, while the corresponding oscillator value is higher than the previous oscillator pivot.
Bearish Divergence: Identified when a recent pivot high in price is higher than the previous pivot high, but the oscillator value is lower than the previous oscillator pivot.
Label Plotting:
When a divergence is detected, the indicator plots a label (arrow or dot) on the chart at the pivot point, signaling the type of divergence.
Adding the Indicator:
Open TradingView and navigate to the chart where you want to apply the indicator.
Open the Pine Editor, paste the Chaikin Oscillator with Divergences script, and add it to your chart.
Configuring Settings:
Fast Length & Slow Length: Adjust these to modify the sensitivity of the Chaikin Oscillator. Shorter periods make the oscillator more responsive to price changes.
Left Bars for Pivots & Right Bars for Pivots: Define how many bars to the left and right are considered when identifying pivot points. Increasing these values makes pivot detection less sensitive.
Bars Lookback for Divergence: Set how far back the indicator should search for previous pivot points when identifying divergences. A higher value allows detection over a longer timeframe.
Bullish/Bearish Divergence Colors: Choose colors that stand out against your chart background for easy identification of divergence signals.
Interpreting Signals:
Bullish Divergence Labels: Appear when there's a potential upward reversal, signaling a possible buying opportunity.
Bearish Divergence Labels: Show up when a downward reversal might be imminent, indicating a possible selling opportunity.
Oscillator Crosses Zero: Pay attention to when the oscillator crosses the zero line, as this can also signal changes in momentum.
Combining with Other Indicators:
For enhanced trading strategies, combine divergence signals with other technical indicators or chart patterns to confirm potential trade setups.
Optimus trader Optimus Trader
Indicator Description:
The Optimus Trader indicator is designed for technical traders looking for entry and exit points in financial markets. It combines signals based on volume, moving averages, VWAP (Volume Weighted Average Price), as well as the recognition of candlestick patterns such as Pin Bar and Inside Bars. This indicator helps identify opportune moments to buy or sell based on trends, volumes, and recent liquidity zones.
Parameters and Features:
1. Simple Moving Average (MA) and VWAP:
- Optimus Trader uses a 50-period simple moving average to determine the underlying trend. It also includes VWAP for precise price analysis based on traded volumes.
- These two indicators help identify whether the market is in an uptrend or downtrend, enhancing the reliability of buy and sell signals.
2. Volume :
- To avoid false signals, a volume threshold is set using a 20-period moving average, adjusted to 1.2 times the average volume. This filters signals by considering only high-volume periods, indicating heightened market interest.
3. Candlestick Pattern Recognition:
- Pin Bar: This sought-after candlestick pattern is detected for both bullish and bearish setups. A bullish or bearish *Pin Bar* often signals a possible reversal or continuation.
- *Inside Bar*: This price compression pattern is also detected, indicating a zone of indecision before a potential movement.
4. Trend:
- An uptrend is confirmed when the price is above the MA and VWAP, while a downtrend is identified when the price is below both indicators.
5. Liquidity Zones:
- Optimus Trader includes an approximate liquidity zone detection feature. By identifying recent support and resistance levels, the indicator detects if the price is near these zones. This feature strengthens the relevance of buy or sell signals.
6. Buy and Sell Signals:
- Buy: A buy signal is generated when the indicator detects a bullish *Pin Bar* or *Inside Bar* in an uptrend with high volume, and the price is close to a liquidity zone.
- Sell: A sell signal is generated when a bearish *Pin Bar* or *Inside Bar* is detected in a downtrend with high volume, and the price is near a liquidity zone.
Signal Display:
The signals are visible directly on the chart:
- A "BUY" label in green is displayed below the bar for buy signals.
- A "SELL" label in red is displayed above the bar for sell signals.
Summary:
This indicator is intended for traders seeking precise entry and exit points by integrating trend analysis, volume, and candlestick patterns. With liquidity zones, *Optimus Trader* helps minimize false signals, providing clear and accurate alerts.
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This description can be directly added to TradingView to help users quickly understand the features and logic of this indicator.
Easy CotHow to Use the Commitment of Traders (COT) Report for Market Analysis
The Commitment of Traders (COT) report is a weekly publication by the Commodity Futures Trading Commission (CFTC) that breaks down the open interest in various futures markets. It categorizes traders into three main groups: Commercials, Non-Commercials, and Retail Traders (Non-Reportable positions). Understanding and analyzing the COT report can provide insights into market sentiment and potential reversals, especially in commodity, currency, and stock index futures.
Key Components of the COT Report
Commercials (Hedgers)
These are entities involved in the production or consumption of the underlying asset. For example, oil producers might hedge by selling oil futures to lock in prices, while airlines might buy futures to hedge against rising prices.
Commercials typically act as hedgers, so their positions can indicate the need for protection rather than speculative intent. Because they are less price-sensitive, their positions are usually opposite to the trend near market reversals.
Non-Commercials (Large Speculators)
This group includes hedge funds, asset managers, and large traders who take speculative positions to profit from price movements.
Non-Commercials are often trend-followers, meaning they increase long positions in an uptrend and short positions in a downtrend. When Non-Commercials become extremely bullish or bearish, it may signal a potential market reversal.
Retail Traders (Non-Reportable Positions)
These are smaller individual traders whose positions are too small to be reported individually.
Retail traders tend to be less experienced and are often on the wrong side of major market moves, so extreme positions by retail traders can sometimes signal a market turning point.
How to Interpret the COT Data
1. Identify Extreme Positions
Extreme Long or Short Positions: When a group reaches a historically extreme level of long or short positions, it often signals a potential reversal. For instance, if Non-Commercials are overwhelmingly long, it may indicate that the uptrend is overextended, and a reversal could be near.
Contrarian Indicator: Since Retail Traders are often on the wrong side, you may look for signals where they are extremely long or short, indicating a possible reversal in the opposite direction.
2. Look for Divergences
Divergence Between Groups: If Non-Commercials (speculators) and Retail Traders are moving in opposite directions, it could indicate that a trend is losing momentum and a reversal is possible.
Commercials vs. Non-Commercials: Commercials are often positioned opposite to Non-Commercials. If there’s a divergence where Non-Commercials are highly bullish, but Commercials are increasingly bearish, it might suggest a coming reversal.
3. Trend Confirmation and Reversal Signals
Trend Confirmation: If both Non-Commercials and Retail Traders are aligned in one direction, it might confirm the trend. However, keep in mind that such alignment may signal the later stages of a trend.
Reversal Signals: Look for signs when Non-Commercials are reaching a peak in one direction while Retail Traders peak in the opposite. Such situations can often indicate that the current trend is close to exhaustion.
Using the COT Report in Trading Strategies
Contrarian Trading Strategy
Extreme Positions as Reversal Signals: Use COT data to identify extreme positions. For instance, if Non-Commercials have a very high long position in a commodity, it might suggest that a bullish trend is overextended and a bearish reversal could be near.
Retail Trader Extremes: If Retail Traders are heavily long or short, consider taking the opposite position once you have additional confirmation signals (e.g., technical indicators).
Following the Trend with Large Speculators
Non-Commercials tend to be trend-followers, so if you see them increasingly long (or short) on an asset, it could be a signal to follow the trend until extreme levels are reached.
Using Divergences for Entry and Exit Points
Entry: If Non-Commercials are long, but Retail Traders are heavily short, consider entering a long position as it may confirm the trend.
Exit: If Non-Commercials begin to reduce their positions while Retail Traders increase theirs, it might be time to consider exiting, as the trend could be losing momentum.
Buy&Sell Hollow CandlesThe Hollow Candles Script is a type of candlestick analysis script designed to highlight the following:
Purpose of the Script: This script provides the user with buy and sell signals based on candlesticks that show an upward or downward reversal.
Mechanism of the Script: When a hollow (unfilled) red candle appears, it signals a potential entry, provided that this candle is at a low point, following a series of red candles with higher volume than previous days. Similarly, it gives a sell signal when a green candle appears at a peak with high sell volume surpassing that of prior days. However, the appearance of these candles alone should not prompt an immediate buy or sell; you should wait for a confirming candle to validate the signal.
Sideways Movement Caution: If these signals appear during a sideways or flat trend, it is not advisable to proceed with buying or selling.
Chart Insights: The chart demonstrates certain buy and sell operations along with some non-ideal signals where decision-making should be based on fundamental analytical experience.
Adaptive Kalman filter - Trend Strength Oscillator (Zeiierman)█ Overview
The Adaptive Kalman Filter - Trend Strength Oscillator by Zeiierman is a sophisticated trend-following indicator that uses advanced mathematical techniques, including vector and matrix operations, to decompose price movements into trend and oscillatory components. Unlike standard indicators, this model assumes that price is driven by two latent (unobservable) factors: a long-term trend and localized oscillations around that trend. Through a dynamic "predict and update" process, the Kalman Filter leverages vectors to adaptively separate these components, extracting a clearer view of market direction and strength.
█ How It Works
This indicator operates on a trend + local change Kalman Filter model. It assumes that price movements consist of two underlying components: a core trend and an oscillatory term, representing smaller price fluctuations around that trend. The Kalman Filter adaptively separates these components by observing the price series over time and performing real-time updates as new data arrives.
Predict and Update Procedure: The Kalman Filter uses an adaptive predict-update cycle to estimate both components. This cycle allows the filter to adjust dynamically as the market evolves, providing a smooth yet responsive signal. The trend component extracted from this process is plotted directly, giving a clear view of the prevailing direction. The oscillatory component indicates the tendency or strength of the trend, reflected in the green/red coloration of the oscillator line.
Trend Strength Calculation: Trend strength is calculated by comparing the current oscillatory value against a configurable number of past values.
█ Three Kalman filter Models
This indicator offers three distinct Kalman filter models, each designed to handle different market conditions:
Standard Model: This is a conventional Kalman Filter, balancing responsiveness and smoothness. It works well across general market conditions.
Volume-Adjusted Model: In this model, the filter’s measurement noise automatically adjusts based on trading volume. Higher volumes indicate more informative price movements, which the filter treats with higher confidence. Conversely, low-volume movements are treated as less informative, adding robustness during low-activity periods.
Parkinson-Adjusted Model: This model adjusts measurement noise based on price volatility. It uses the price range (high-low) to determine the filter’s sensitivity, making it ideal for handling markets with frequent gaps or spikes. The model responds with higher confidence in low-volatility periods and adapts to high-volatility scenarios by treating them with more caution.
█ How to Use
Trend Detection: The oscillator oscillates around zero, with positive values indicating a bullish trend and negative values indicating a bearish trend. The further the oscillator moves from zero, the stronger the trend. The Kalman filter trend line on the chart can be used in conjunction with the oscillator to determine the market's trend direction.
Trend Reversals: The blue areas in the oscillator suggest potential trend reversals, helping traders identify emerging market shifts. These areas can also indicate a potential pullback within the prevailing trend.
Overbought/Oversold: The thresholds, such as 70 and -70, help identify extreme conditions. When the oscillator reaches these levels, it suggests that the trend may be overextended, possibly signaling an upcoming reversal.
█ Settings
Process Noise 1: Controls the primary level of uncertainty in the Kalman filter model. Higher values make the filter more responsive to recent price changes, but may also increase susceptibility to random noise.
Process Noise 2: This secondary noise setting works with Process Noise 1 to adjust the model's adaptability. Together, these settings manage the uncertainty in the filter's internal model, allowing for finely-tuned adjustments to smoothness versus responsiveness.
Measurement Noise: Sets the uncertainty in the observed price data. Increasing this value makes the filter rely more on historical data, resulting in smoother but less reactive filtering. Lower values make the filter more responsive but potentially more prone to noise.
O sc Smoothness: Controls the level of smoothing applied to the trend strength oscillator. Higher values result in a smoother oscillator, which may cause slight delays in response. Lower values make the oscillator more reactive to trend changes, useful for capturing quick reversals or volatility within the trend.
Kalman Filter Model: Choose between Standard, Volume-Adjusted, and Parkinson-Adjusted models. Each model adapts the Kalman filter for specific conditions, whether balancing general market data, adjusting based on volume, or refining based on volatility.
Trend Lookback: Defines how far back to look when calculating the trend strength, which impacts the indicator's sensitivity to changes in trend strength. Shorter values make the oscillator more reactive to recent trends, while longer values provide a smoother reading.
Strength Smoothness: Adjusts the level of smoothing applied to the trend strength oscillator. Higher values create a more gradual response, while lower values make the oscillator more sensitive to recent changes.
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Disclaimer
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
MERCURY by DrAbhiramSivprasad"MERCURY by DrAbhiramSivprasad"
Developed from over 10 years of personal trading experience, the Mercury Indicator is a strategic tool designed to enhance accuracy in trading decisions. Think of it as a guiding light—a supportive tool that helps traders refine and build more robust strategies by integrating multiple powerful elements into a single indicator. I’ll be sharing some examples to illustrate how I use this indicator in my own trading journey, highlighting its potential to improve strategy accuracy.
Reason behind the combination of emas , cpr and vwap is it provides very good support and resistance in my trading carrier so now i brought them together in one plate
How It Works:
Mercury combines three essential elements—EMA, VWAP, and CPR—each of which plays a vital role in detecting support and resistance:
Exponential Moving Averages (EMAs): Known for their strength in providing dynamic support and resistance levels, EMAs help in identifying trends and shifts in momentum. This indicator includes a dashboard with up to nine customizable EMAs, showing whether each is acting as support or resistance based on real-time price movement.
Volume Weighted Average Price (VWAP): VWAP also provides valuable support and resistance, often regarded as a fair price level by institutional traders. Paired with EMAs, it forms a dual-layered support/resistance system, adding an additional level of confirmation.
Central Pivot Range (CPR): By combining CPR with EMAs and VWAP, Mercury highlights “traffic blocks” in your target journey. This means it identifies zones where price is likely to stall or reverse, providing additional guidance for navigating entries and exits.
Why This Combination Matters:
Using these three tools together gives you a more complete view of the market. VWAP and EMAs offer dynamic trend direction and support/resistance, while CPR pinpoints critical price zones. This combination helps you find high-probability trades, adding clarity to complex market situations and enabling stronger confirmation on trend or reversal decisions.
How to Use:
Trend Confirmation: Check if all EMAs are aligned (green for uptrend, red for downtrend), which is visible in the EMA dashboard. An alignment across VWAP, CPR, and EMAs signifies high confidence in trend direction.
Breakouts & Breakdowns: Mercury has an alert system to signal when a price breakout or breakdown occurs across VWAP, EMA1, and EMA2. This can help in spotting strong directional moves.
Example Application: In my trading, I use Mercury to identify support/resistance zones, confirming trends with EMA/VWAP alignment and using CPR as a checkpoint. I find this especially useful for day trading and swing setups.
Recommended Timeframes:
Day Trading: 5 to 15-minute charts for swift, actionable insights.
Swing Trading: 1-hour or 4-hour charts for broader trend analysis.
Note:
The Mercury Indicator should be used as a supportive tool rather than a standalone strategy, guiding you toward informed decisions in line with your trading style and goals.
EXAMPLE OF TRADE
you can see the cart of XAUUSD on 11th nov 2024
1.SHORT POSITION - TIME FRAME 15 MIN
So here for a short position you need to wait for a breakdown candle which will print in orange post the candle you need to check ema dashboard is completly red that indicates no traffic blocks in your journey to destiny target from ema's and you can take the target from nearest cpr support line
TAKEN IN XAUUSD you can see in chart of XAUUSD on 7th nov
2.LONG POSITION - TIME FRAME 15 MIN -
So here for long position you need to wait for a breakout candle from indicator thats here is blue and check all ema boxes are green and candle body should close above all the 3 lines here it is the both ema 1 and 2 and the vwap line then you can take and entry and your target will be the nearest resistance from the daily cpr
3. STOP LOSS CRITERIA
After the entry any candle close below any of the last line from entry for example we have 3 lines vwap and ema 1 and 2 lines and u have made an entry and the last line before the entry is vwap then if any candle closes below vwap can be considered as stoploss like wise in any lines
The MERCURY indicator is a comprehensive trading tool designed to enhance traders' ability to identify trends, breakouts, and reversals effectively. Created by Dr. Abhiram Sivprasad, this indicator integrates several technical elements, including Central Pivot Range (CPR), EMA crossovers, VWAP levels, and a table-based EMA dashboard, to offer a holistic trading view.
Core Components and Functionality:
Central Pivot Range (CPR):
The CPR in MERCURY provides a central pivot level along with Below Central (BC) and Top Central (TC) pivots. These levels act as potential support and resistance, useful for identifying reversal points and zones where price may consolidate.
Exponential Moving Averages (EMAs):
MERCURY includes up to nine EMAs, with a customizable EMA crossover alert system. This feature enables traders to see shifts in trend direction, especially when shorter EMAs cross longer ones.
VWAP (Volume-Weighted Average Price):
VWAP is incorporated as a dynamic support/resistance level and, combined with EMA crossovers, helps refine entry and exit points for higher probability trades.
Breakout and Breakdown Alerts:
MERCURY monitors conditions for upside and downside breakouts. For an upside breakout, all EMAs turn green and a candle closes above VWAP, EMA1, and EMA2. Similarly, all EMAs turning red, combined with a close below VWAP and EMA1/EMA2, signals a downside breakdown. Continuous alerts are available until the trend shifts.
Real-Time EMA Dashboard:
A table displays each EMA’s relative position (Above or Below), helping traders quickly gauge trend direction. Colors in the table adjust to long/short conditions based on EMA alignment.
Usage Recommendations:
Trend Confirmation:
Use the CPR, EMA alignments, and VWAP to confirm uptrends and downtrends. The table highlights trends, making it easy to spot long or short setups at a glance.
Breakout and Breakdown Alerts:
The alert system is customizable for continuous notifications on critical price levels. When all EMAs align in one direction (green for long, red for short) and the close is above or below VWAP and key EMAs, the indicator confirms a breakout/breakdown.
Adaptable for Different Styles:
Day Trading: Traders can set shorter EMAs for quick insights.
Swing Trading: Longer EMAs combined with CPR offer insights into sustained trends.
Recommended Settings:
Timeframes: MERCURY is suitable for timeframes as low as 5 minutes for intraday traders, up to daily charts for trend analysis.
Symbols: Works across forex, stocks, and crypto. Adjust EMA lengths for asset volatility.
Example Strategy:
Long Entry: When the price crosses above CPR and closes above both EMA1 and EMA2.
Short Entry: When the price falls below CPR with a close below both EMA1 and EMA2.
Kalman Based VWAP [EdgeTerminal]Kalman VWAP is a different take on volume-weighted average price (VWAP) indicator where we enhance the results with Kalman filtering and dynamic wave visualization for a more smooth and improved trend identification and volatility analysis.
A little bit about Kalman Filter:
Kalman filtering (also known as linear quadratic estimation) is an algorithm that uses a series of measurements observed over time, including statistical noise and other inaccuracies, to produce estimates of unknown variables that tend to be more accurate than those based on a single measurement, by estimating a joint probability distribution over the variables for each time-step. The filter is constructed as a mean squared error minimiser, but an alternative derivation of the filter is also provided showing how the filter relates to maximum likelihood statistics
This indicator combines:
Volume-Weighted Average Price (VWAP) for institutional price levels
Kalman filtering for noise reduction and trend smoothing
Dynamic wave visualization for volatility zones
This creates a robust indicator that helps traders identify trends, support/resistance zones, and potential reversal points with high precision.
What makes this even more special is the fact that we use open price as a data source instead of usual close price. This allows you to tune the indicator more accurately when back testing it and generally get results that are closer to real time market data.
The math:
In case if you're interested in the math of this indicator, the indicator employs a state-space Kalman filter model:
State Equation: x_t = x_{t-1} + w_t
Measurement Equation: z_t = x_t + v_t
x_t is the filtered VWAP state
w_t is process noise ~ N(0, Q)
v_t is measurement noise ~ N(0, R)
z_t is the traditional VWAP measurement
The Kalman filter recursively updates through:
Prediction: x̂_t|t-1 = x̂_{t-1}
Update: x̂_t = x̂_t|t-1 + K_t(z_t - x̂_t|t-1)
Where K_t is the Kalman gain, optimally balancing between prediction and measurement.
Input Parameters
Measurement Noise: Controls signal smoothing (0.0001 to 1.0)
Process Noise: Adjusts trend responsiveness (0.0001 to 1.0)
Wave Size: Multiplier for volatility bands (0.1 to 5.0)
Trend Lookback: Period for trend determination (1 to 100)
Bull/Bear Colors: Customizable color schemes
Application:
I recommend using this along other indicators. This is best used for assets that don't have a close time, such as BTC but can be used with anything as long as the data is there.
With default settings, this works better for swing trades but you can adjust it for day trading as well, by adjusting the lookback and also process noise.
Volume Flow ConfluenceVolume Flow Confluence (CMF-KVO Integration)
Core Function:
The Volume Flow Confluence Indicator combines two volume-analysis methods: Chaikin Money Flow (CMF) and the Klinger Volume Oscillator (KVO). It displays a histogram only when both indicators align in their respective signals.
Signal States:
• Green Bars: CMF is positive (> 0) and KVO is above its signal line
• Red Bars: CMF is negative (< 0) and KVO is below its signal line
• No Bars: When indicators disagree
Technical Components:
Chaikin Money Flow (CMF):
Measures the relationship between volume and price location within the trading range:
• Calculates money flow volume using close position relative to high/low range
• Aggregates and normalizes over specified period
• Default period: 20
Klinger Volume Oscillator (KVO):
Evaluates volume in relation to price movement:
• Tracks trend changes using HLC3
• Applies volume force calculation
• Uses two EMAs (34/55) with a signal line (13)
Practical Applications:
1. Signal Identification
- New colored bars after blank periods show new agreement between indicators
- Color intensity differentiates new signals from continuations
- Blank spaces indicate lack of agreement
2. Trend Analysis
- Consecutive colored bars show continued indicator agreement
- Transitions between colors or to blank spaces show changing conditions
- Can be used alongside other technical analysis tools
3. Risk Considerations
- Signals are not predictive of future price movement
- Should be used as one of multiple analysis tools
- Effectiveness may vary across different markets and timeframes
Technical Specifications:
Core Algorithm
CMF = Σ(((C - L) - (H - C))/(H - L) × V)n / Σ(V)n
KVO = EMA(VF, 34) - EMA(VF, 55)
Where VF = V × |2(dm/cm) - 1| × sign(Δhlc3)
Signal Line = EMA(KVO, 13)
Signal Logic
Long: CMF > 0 AND KVO > Signal
Short: CMF < 0 AND KVO < Signal
Neutral: All other conditions
Parameters
CMF Length = 20
KVO Fast = 34
KVO Slow = 55
KVO Signal = 13
Volume = Regular/Actual Volume
Data Requirements
Price Data: OHLC
Volume Data: Required
Minimum History: 55 bars
Recommended Timeframe: ≥ 1H
Credits:
• Marc Chaikin - Original CMF development
• Stephen Klinger - Original KVO development
• Alex Orekhov (everget) - CMF script implementation
• nj_guy72 - KVO script implementation
Reptile Candle Marker with ArrowsReptile Candle Marker
The Reptile Candle Marker is a custom indicator designed to identify a specific pattern in price action, known as the "reptile candle." This pattern is characterized by a small body with long wicks on both the upper and lower sides. These candles often indicate indecision or a reversal in the market, making them useful for traders looking for potential turning points.
Key Features:
Small Body and Large Wicks: The indicator highlights candles with a small body relative to the overall candle range, accompanied by long upper and lower wicks. This is achieved by comparing the size of the wicks to the body and the overall candle range.
Volume Confirmation: The indicator ensures that the identified candles are accompanied by high volume, which serves as confirmation of the significance of the price action.
Visual Highlighting: When a "reptile" candle is detected, the body of the candle and the wicks are both colored yellow. This allows for easy identification on the chart.
Custom Wick Lines: To ensure the wicks stand out, the indicator draws yellow lines above and below the candles, representing the upper and lower wicks. These lines remain fixed in place even as the chart is scaled or moved.
How It Works:
The indicator identifies candles where:
The upper wick is longer than the body by a specified ratio.
The lower wick is longer than the body by the same ratio.
The candle's body size is small compared to the total candle range (less than 30% of the range).
The volume is significantly higher than the 20-period moving average volume, indicating increased market activity.
When these conditions are met, the indicator marks the candle by coloring its body and wicks yellow. Additionally, it draws custom yellow wick lines to visually represent the wick size.
How to Use:
This indicator is designed to highlight potential reversal points or periods of indecision in the market. Traders can use it to spot possible turning points, especially when accompanied by other technical analysis tools such as support/resistance levels or trend indicators.
Customizable Parameters:
Wick to Body Ratio: Controls the sensitivity for detecting large wicks relative to the candle body.
Volume Factor: Adjusts the threshold for identifying candles with significantly higher volume than the moving average.
Custom AO with Open Difference**Custom AO with Open Difference Indicator**
This indicator, *Custom AO with Open Difference*, is designed to help confirm trend direction based on the relationship between the daily open price and recent 4-hour open prices. It calculates the Awesome Oscillator (AO) based on the difference between the daily open price and the average of the previous six 4-hour open prices. This approach provides insight into whether the current open price is significantly diverging from recent short-term opens, which can indicate a trend shift or continuation.
### Technical Analysis and Features
1. **Trend Confirmation**: By comparing the daily open with the mean of six previous 4-hour open prices, this indicator helps identify trends. When the current daily open is below the average of recent opens, the AO value will plot as green, signaling potential upward momentum. Conversely, if the daily open is above the recent average, the histogram will plot red, suggesting possible downward momentum.
2. **Non-Repainting**: Since it relies on completed 4-hour and daily open prices, this indicator does not repaint, ensuring that all values remain fixed after the close of each period. This non-repainting feature makes it suitable for backtesting and reliable for trend confirmation without fear of historical changes.
3. **AO Mean Calculation**: The indicator calculates the average of six previous 4-hour open prices, providing a smoothed value to reduce short-term noise. This helps in identifying meaningful deviations, making the AO values a more stable basis for trend determination than using just the latest 4-hour or daily open.
4. **Histogram for Visual Clarity**: The indicator is displayed as a histogram, making it easy to identify trend changes visually. If the AO bar turns green, it’s a signal that the 4-hour average is below the daily open, suggesting an uptrend or bullish momentum. Red bars indicate that the daily open is above the recent 4-hour averages, potentially signaling a downtrend or bearish momentum.
### Practical Application
The *Custom AO with Open Difference* is a versatile tool for confirming the open price trend without needing complex oscillators or lagging indicators. Traders can use this tool to gauge the market sentiment by observing open price variations and use it as a foundation for decision-making in both short-term and daily timeframes. Its non-repainting nature adds reliability for traders using this indicator as part of a broader trading strategy.
First 5 Minutes Open/Close LinesThis very simple indicator paints lines at the high and low of the first 5m candle of the session. It is primarily intended for big cap NYSE traded stocks with high volume. I wrote this indicator to save me the trouble of manually drawing the lines each day.
The lines drawn at the 5m high/low will remain constant regardless of which timeframe you switch to. In the example screenshot, we are looking at the 1m timeframe. This helps us switch effortlessly between different timeframes to see if a given price movement meets our entry criteria.
In addition to drawing lines at the first 5m high/low, it will optionally paint two zones, one each around the high and low. The boundaries of this zone are configurable and expressed as a percentage of the total movement of the first 5m bar. By default, it is set to 25%.
This indicator is based on the concept that the first 5m bar always has massive volume which helps us infer that price may react around the extremes of that movement. The basic strategy works something like this:
- You identify the high timeframe (HTF) trend direction of the stock
- You wait for the first 5m candle of the session to close
- You wait for price to puncture through the outer boundary of the zone marked by the indicator.
- You enter when price retraces to the high, or low, which marks the midpoint of the punctured zone.
- Only enter long on stocks in a HTF uptrend, and short on stocks in an HTF downtrend.
- Use market structure to identify stop loss and take profit targets
Note: Use at your own risk. This indicator and the strategy described herein are not in any way financial advice, nor does the author of this script make any claims about the effectiveness of this strategy, which may depend highly on the discretion and skill of the trader executing it, among many other factors outside of the author's control. The author of this script accepts no liability, and is not responsible for any trading decisions that you may or may not make as a result of this indicator. You should expect to lose money if using this indicator.
Enhanced Buy/Sell Pressure, Volume, and Trend Bar analysisEnhanced Buy/Sell Pressure, Volume, and Trend Bar Analysis Indicator
Overview
This indicator is designed to help traders identify buy and sell pressure, volume changes, and overall trend direction in the market. It combines multiple concepts like price action, volume, and trend analysis, candlestick anaysis to provide a comprehensive view of market dynamics. The visual elements are intuitive, making it suitable for traders at different levels. This indicator works together with Enhanced Pressure MTF Screener which is a screener based of this indicator to make it easier to see Bullish/Bearish pressures and trend across multiple timeframes.
Image below: is the Enhanced Buy/Sell Pressure, Volume, and Trend Bar Analysis with the Enhanced Pressure MTF Screener indicator both active together.
Key Features
1.Buy/Sell Pressure Identification
Buy Pressure: Calculated based on price movement where the close price is higher than the opening price.
Sell Pressure: Calculated when the closing price is equal to or lower than the opening price.These pressures help you understand whether buyers or sellers are more dominant for each bar.
2.Volume Analysis
Normalized Volume: Volume data is normalized, making it easier to compare volume levels over different periods.
Volume Histogram: The volume is also presented as a histogram for easy visualization, showing whether the current volume is higher or lower compared to the average.
3.Simplified Coloring Option
You can choose to simplify the coloring of bars to reflect the dominant pressure: green for bullish pressure and red for bearish pressure. This makes it visually easier to identify who is in control. When simplified coloring is disabled, the bars' colors will represent the combined effect of buy and sell pressure.
4.Heikin-Ashi Candles for Pressure Calculation
The indicator includes an option to use Heikin-Ashi candles instead of traditional candles to calculate buy and sell pressure. Heikin-Ashi candles are known for smoothing out price action and providing a clearer trend representation.
5.Trend Background Coloring
This feature uses exponential moving averages (EMAs) to determine the trend:
Short-Term EMA vs. Long-Term EMA: When the short-term EMA is above the long-term EMA, the trend is considered bullish, and vice versa.
The background color changes based on the identified trend: green for an uptrend and red for a downtrend. This feature helps visualize the overall market direction at a glance.
6.Signals for Key Price Actions
The indicator plots various symbols to signal important price movements:
Bullish Close (▲): Indicates a strong upward movement where the close price crosses above the open.
Bearish Close (▼): Indicates a downward movement where the close price falls below the open.
Higher High (•): Highlights new highs compared to previous bars, useful for confirming an uptrend.
Lower Low (•): Highlights lower lows compared to previous bars, which can indicate a downtrend or bearish pressure.
Calculations Explained
1.Buy and Sell Pressure Calculation
The buy pressure is determined by the price range (high - low) if the closing price is above the opening price, indicating an increase in value.
The sell pressure is similarly calculated when the closing price is equal to or below the opening price.
The indicator uses the Average True Range (ATR) for normalization. Normalizing helps you compare pressure across different periods, regardless of market volatility.
2.Volume Normalization
Volume Normalization: To make volume comparable across different periods, the indicator normalizes it using the Simple Moving Average (SMA) of volume over a user-defined length.
Volume Histogram: The histogram provides a clear representation of volume changes compared to the average, making it easier to spot unusual activity that may indicate market shifts.
3.Combined Pressure Calculation
The indicator calculates a combined pressure value by subtracting sell pressure from buy pressure.
When combined pressure is positive, buying is dominant, and when negative, selling is dominant. This helps in visually understanding the ongoing momentum.
4.Trend Calculation
The indicator uses two EMAs to determine the trend:
Short-Term EMA (default 14-period) to capture recent price movements.
Long-Term EMA (default 50-period) to provide a broader trend perspective.
By comparing these EMAs on a higher timeframe, the indicator can identify whether the trend is up or down, making it easier for traders to align their trades with the larger market movement.
Inputs and Customization
The indicator provides several options for customization, allowing you to adjust it to your preferences:
SMA Length: Determines the lookback period for moving averages and volume normalization. A longer length provides more smoothing, whereas a shorter length makes the indicator more responsive.
Buy/Sell/Volume Colors: Customize the colors used to represent buying, selling, and volume to suit your preferences.
Heikin Ashi Option: Toggle between using Heikin Ashi or traditional OHLC (Open-High-Low-Close) candles for pressure calculations.
Trend Timeframe and EMA Periods: You can choose different timeframes and EMA periods for trend analysis to suit your trading strategy.
How to Use This Indicator
Identifying Market Momentum: Use the buy/sell pressure columns to see which side (buyers or sellers) is in control. Positive pressure combined with green color indicates strong buying, while red indicates selling.
Volume Confirmation: Check the volume area plot and histogram. High volume coupled with strong pressure is a sign of conviction, meaning the current move has backing from market participants.
Trend Identification: The trend background color helps identify the overall trend direction. Trade in the direction of the trend (e.g., take long positions during a green background).
Signal Indicators: The plotted symbols like "Bullish Close" and "Bearish Close" provide visual signals of key price actions, useful for timing entry or exit points.
Practical use Example
Scenario: The market is consolidating, and you see alternating green and red bars.
Action: Wait for a consistent sequence of green bars (buy pressure) along with a green background (uptrend) to consider going long, although you can go long without having a green background, the background adds confirmation layer.
Scenario: The market has several bearish closes (red ▼ symbols) accompanied by increasing volume.
Action: This could indicate strong selling pressure. If the background also turns red, it might be a good time to exit long positions or consider shorting.
Higher timeframe pressure and volume: Another way to use the indicator is to check buy/sell volume and pressure of the higher timeframe say weekly or daily or any timeframe you consider higher, once you’ve identified or feel confident in which direction the bar is going along with the full picture of trend, you can go to the lower timeframe and wait for it to sync with the higher timeframe to consider a long or a short. It is also easier to see when markets sync up by also applying the Enhanced Pressure MTF Screener which works in companion to this indicator.
Visual Cues and Interpretation
Combined Pressure Plot: The green and red column plot at the bottom of the chart represents the dominance between buying and selling. Tall green bars signify strong buying, while tall red bars indicate selling dominance.
Trend Background: Helps visualize the overall direction without manually drawing trend lines. When the background turns green, it generally indicates that the shorter-term moving average has crossed above the longer-term average—a sign of a bullish trend.
To Summarize shortly
The Enhanced Buy/Sell Pressure, Volume, and Trend Bar Analysis Indicator is an advanced but simple tool designed to help traders visually understand market dynamics. It combines different aspects of market analysis of candle pressure from buyers and sellers, volume confirmation, and trend identification into a single view, which can assist both new and experienced traders in making informed trading decisions.
This indicator:
Saves time by simplifying market analysis.
Provides clear visual cues for buy/sell pressure, volume, and trend.
Offers customizable settings to suit individual trading styles.
Always, I am happy to share my creations with you all for free. If you guys have cool ideas you would like to share, or suggestions for improvements the comment is below and I hope this overview gave an idea of how to use the indicator :D
Ichimoku + RSI + MACD Strategy1. Relative Strength Index (RSI)
Overview:
The Relative Strength Index (RSI) is a momentum oscillator that measures the speed and change of price movements. It ranges from 0 to 100 and is typically used to identify overbought or oversold conditions in a market.
How to Use with Ichimoku:
Long Entry: Look for RSI to be above 30 (indicating it is not oversold) when the price is above the Ichimoku Cloud.
Short Entry: Look for RSI to be below 70 (indicating it is not overbought) when the price is below the Ichimoku Cloud.
2. Moving Average Convergence Divergence (MACD)
Overview:
The MACD is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price. It consists of the MACD line, signal line, and histogram.
How to Use with Ichimoku:
Long Entry: Enter a long position when the MACD line crosses above the signal line while the price is above the Ichimoku Cloud.
Short Entry: Enter a short position when the MACD line crosses below the signal line while the price is below the Ichimoku Cloud.
Combined Strategy Example
Here’s a brief outline of how to structure a trading strategy using Ichimoku, RSI, and MACD:
Long Entry Conditions:
Price is above the Ichimoku Cloud.
RSI is above 30.
MACD line crosses above the signal line.
Short Entry Conditions:
Price is below the Ichimoku Cloud.
RSI is below 70.
MACD line crosses below the signal line.
Exit Conditions:
Exit long when MACD line crosses below the signal line.
Exit short when MACD line crosses above the signal line.
