Anchored VWAP Pinch & Handoff, Intervals, and Signals"Anchored VWAP Pinch & Handoff, Intervals, and Signals" is an AVWAP toolbox for those who like to use various VWAP trading techniques. The indicator is currently comprised of the following three sections:
• The Pinch & Handoff section (shown above on chart) allows manually setting an upper and lower AVWAP (Pinch) along with an additional AVWAP (Handoff) by entering dates or by dragging the vertical anchor lines to the desired significant events on chart. Each of these three AVWAPs can also be set to show zones above and/or below by a percentage or standard deviation amount. The theory behind this method is that the upper and lower AVWAPs may act as dynamic support and resistance levels, effectively creating a price range or channel. As price moves between these two VWAP levels, it becomes squeezed or consolidated within that range. Further conjecture is that the longer the price remains within the range of the two anchored VWAP values, the higher the potential for an explosive breakout. Traders using this strategy may interpret the prolonged consolidation as a period of price compression, with the expectation that a significant move in either direction is likely to occur. Traders employing the AVWAP Pinch strategy might look for specific chart patterns or additional confirmation signals to enter a trade. For example, a breakout above the upper anchored VWAP level could trigger a long trade, while a breakdown below the lower anchored VWAP level could signal a short trade. Stop-loss orders and profit targets are typically set based on the trader's risk tolerance and the volatility of the asset. The third AVWAP (Handoff) is typically set after price has broken through the Pinch, and is used as a new level of support or resistance. The "Pinch & Handoff" phrase is believed to have been coined by Brian Shannon, who has popularized this method.
• The Intervals section (shown above on chart) is comprised of six periodic AVWAPs which cyclically reset. Their default settings are 1 Day, 2 Days, 1 Week, 1 Month, 1 Quarter, and 1 Year. They each may be set to desired period and when they are enabled the VWAPs whose periods are lower than the current chart timeframe are automatically hidden. For example a 1 Day AVWAP is not useful on a 1 Week chart so it would be hidden from that timeframe. When using AVWAPs from higher timeframes it may be helpful to set your chart to "Scale price chart only". This can be enabled by right clicking on your chart's price column and then left clicking "Scale price chart only" to enable that option.
• The Auto section (shown above on chart) is comprised of two automatic Anchored VWAPs. There are choices for setting anchors automatically based upon Highest Source, Highest Volume, Lowest Source, Lowest Volume, Pivot High, and Pivot Low. Because these two VWAPs work retroactively they are drawn with lines instead of plots. There is currently a limitation of 500 lines that may be drawn at any given time and the logic within this indicator uses a line for every bar of VWAP that is drawn, so if the combined length of both of these VWAPs exceeds 500 bars the earliest lines would disappear. For typical use of looking for the highest high in the last 50 bars or the last fractal this limitation should not be an issue.
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All of the plots have been titled including hidden plots that are generated for the AVWAP line drawings. All of the various types of AVWAP within the indicator should be available as choices within the Alert creation dialog if use of alerts is desired.
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NOTICE: This is an example script and not meant to be used as an actual strategy. By using this script or any portion thereof, you acknowledge that you have read and understood that this is for research purposes only and I am not responsible for any financial losses you may incur by using this script!
Bands and Channels
Trend IntensityThis indicator uses 5 & 65 EMA to gauge intensity of a trend. It is useful for determining a trends newness & strength.
To calculate Trend Intensity, we simply divide the value of the 5 EMA by 65 EMA.
The indicator uses data from previous 500 bars to automatically calculate the minimum bullish and bearish intensity value, individual to each stock.
When a stock's current intensity is above the minimum bullish intensity value determined from its historical data, the indicator will color the area between the 5 & 65 EMA as Green, indicating an environment favoring Longs.
Similarly, when the stock's current intensity is below the minimum bearish intensity value, the indicator will color the area red, indicating an environment favoring shorts.
Lastly, when the stock is not trading above or below the minimum bullish or bearish intensity respectively, the indicator will color the area yellow, indicating slowing down of momentum or intensity, a choppy sideways environment or change of a trend.
Trend Intensity Indicator is inspired & modeled on the same concept by Mr. Pradeep Bonde(Stockbee).
[DIP] Inverse BB/Bollinger highlight for barsThis indicator allows you to highlight the area outside of the Bollinger Bands in order to draw more attention to it. This is especially useful for those who only trade when we are outside of the bands.
Keep in mind this indicator only works on bars, not on candles.
BRAHMA_ALARMThe indicator is an update to the "HMA-Kahlman Trend & Trendlines" script by capissimo, which is available at the following link: The update includes the integration of an alarm function to provide additional functionality.
The indicator continues to be based on the combination of the HMA (Hull Moving Average)-SMA (Simple Moving Average) method and the Kalman filter to generate precise trading signals. The original script by capissimo serves as the foundation for the SIMSOIL indicator, which has been enhanced by the addition of the alarm function to keep traders informed of potential trading opportunities.
It is important to emphasize that indicator is developed as an update to the original script by capissimo. I would like to thank capissimo for their original work on the script, and I have added the alarm function as an extension.
RD Opening Range/Initial BalanceIntroducing the RD Opening Range/Initial Balance indicator. The opening range is the first 60 minutes of trading action for a given day (High, Mid, and Low).
The market tends to put significance in these levels, that's why we use them in our trade system.
There is also a data panel:
Today - Today's opening range value
W-Avg - This weeks average
20D CA-OH - the total number of closes above the opening range over the last 20 days (above high)
20D CA-OL - the total number of closes below the opening range over the last 20 days (below low)
* We do plan to add additional data points.
* Only the last OR has labels, we will not be adding them or an option in the future.
* Full customization in setting panel. Color of lines, background, no display of data panel and more.
How to Use
These levels act as dual magnets. They both attract price and repel price.
You use price action and rules to decipher if price is being attracted or repelled.
You will notice as you use this indicator that price respects these levels. Often when answering the 3Qs one of these levels is in play.
During the cash market these levels play a significant role in price action. Even during the Globex/Overnight session these levels are a factor.
Circle areas are examples of price reactions at OR key levels:
If you trade with the RDTS you already know how to use these levels as reaction and target zones.
For clues on which level price is being repelled or attracted I'd suggest you utilize bias and momentum indicators like the RDA.
Initial Balance vs Opening Range
Before we move on and discuss how to use this indicator I want to mention what I consider the difference between the Opening Range and the Initial Balance.
I've adopted the Opening Range verbiage for the first 60 minutes of trading even though the Opening Range is often defined as the first 15m or first 30m.
The more accurate term for the first 60m should be Initial Balance. I'm not sure exactly where this originated but I learned this term when I was heavily trading TPO-- the IB is the first 2 30m blocks of trading.
Any questions or improvements just comment below.
This script was created in by both Bhangerang (an Alpha member of the RDTS) with help by @RexDogActual as well as permission to publish.
Myfractalrange TrendHello Traders!
This is our main addition to MFR TradingView account: Myfractalrange Trend.
Many Trend signals exist out there, each trader has at some point created its own.
At Myfractalrange, we have developed a proprietary formula based on Price, Volume and Volatility.
Before going into how subscribers can use the Trend script, let't have a look at the different data point provided one by one:
- Bullish Trend: If the price of the asset is above this value, the asset is considered to be Bullish Trend. Default colour is green
- Bearish Trend : If the price of the asset is below this value, the asset is considered to be Bearish Trend. Default colour is red
- Neutral Trend: If the price of the asset is between the value of the Bullish Trend and the value of the Bearish Trend, the asset is considered to be Neutral Trend. Default colour is yellow
How does the script work?
The provided script is proprietary, so while the specific calculations and data sources cannot be disclosed, here is a broad explanation on how it works:
- It will retrieve the relevant data from the asset, could be volume, close, high, low, etc.
- The script will then check the length for the trend calculation of this specific asset and compute the Trend line
- From the value of this Trend line, we will then generate the "bullish" and "bearish" values
- The script will then plot the Bullish and Bearish values on the chart, the area between both being set as the Neutral area
How to use trend when trading?
When trading, understanding and utilising trends can be valuable for making informed trading decisions. Here are some key ways to use trends in trading:
- Trend Identification: Identifying the presence and direction of a trend is crucial
- Trend Following: One common trading strategy is trend following, which involves trading in the direction of the prevailing trend. In an uptrend, traders may look for opportunities to buy or go long, while in a downtrend, they may seek opportunities to sell or go short. Trend following strategies assume that trends are more likely to continue than reverse, and traders aim to capitalise on sustained price movements
- Trend Reversals: Identifying potential trend reversals is another approach. Traders may look for signs that a trend is losing momentum or showing signs of exhaustion. Traders may then consider taking contrarian positions or closing existing trades.
- Timing Entries and Exits: Trends can help with timing entry and exit points. Traders often aim to enter trades at favourable points within a trend, such as during pullbacks in an uptrend or rallies in a downtrend. This allows them to potentially capture favourable risk-to-reward ratios
- Risk Management: Incorporating trend analysis into risk management is crucial. Traders can set stop-loss orders or trailing stops based on the trend, aiming to protect profits or limit losses if the trend reverses. Position sizing can also be adjusted based on the strength or duration of a trend, with larger positions taken in strong, well-established trends
- Multiple Time Frame Analysis: Examining trends across different time frames can provide a broader perspective. Traders can look for alignment in trends across shorter-term and longer-term charts to gain confidence in their trading decisions. For example, a Trend on a daily chart may align with a Trend on a hourly chart, reinforcing the potential trading opportunity
The Myfractalrange Trend signal can be used for all the possibilities listed above
Here is an example of a Bullish Trend pattern: BTFD set up
Here is an example of a Bearish Trend pattern: STFR set up
Why use Trend in combination with other indicators, such as Hurst and probable Range?
Using Trend in combination with Hurst exponent and probable Range can provide traders with a more comprehensive view of market dynamics and potential trading opportunities. Here's how the three concepts can complement each other:
- Trend Analysis: Trend analysis helps identify the prevailing direction of the market. It provides insights into whether the market is in an uptrend (Bullish), downtrend (Bearish), or sideways consolidation (Neutral). Trend analysis helps traders align their positions with the dominant market direction, increasing the likelihood of successful trades
- Hurst exponent: Hurst exponent is a measure of the persistence or mean reversion characteristics of a time series. It provides insights into the strength and sustainability of price movements. Hurst momentum analysis helps traders understand whether the market is exhibiting trending behaviour or mean-reverting behaviour. It can help identify potential reversals or continuation patterns in the price action.
- Probable Range: The Range refers to the expected price range within which an asset is likely to fluctuate, in our case the MFR Ranges (normal and longer-term). It helps traders set realistic profit targets and stop-loss levels. By combining the probable range with the trend and the Hurst Exponent, traders can better gauge the potential extent of price movements and make more informed decisions regarding entry and exit points.
How to use these tools together?
- Confirmation and Confluence: Combining Trend with Hurst & Range can provide confirmation and confluence signals. For instance, when the trend analysis indicates an uptrend, Hurst confirms strong positive momentum and Range confirms the upside potential, it provides a stronger signal for potential bullish trades
- Timing Entries and Exits: The combination of trend analysis, Hurst and Range can assist in timing entry and exit points. For example, when trend analysis indicates an uptrend, traders can look for bullish signals from Hurst value and low of the MFR Range to identify potential entry points during pullbacks or periods of consolidation. Conversely, in a downtrend, bearish signals from Hurst at the top of the MFR Range can guide traders in identifying potential short-selling opportunities during corrective rallies
- Risk Management: The integration of trend analysis with Hurst and Range can also aid in risk management. Traders can adjust their stop-loss levels and profit targets based on the strength of the trend, its strength and its Range. Tighter stop-loss levels can be set when both trend analysis, Hurst value and Range are aligned, indicating a higher probability of trend continuation. Conversely, wider stop-loss levels may be used when conflicting signals or weakening trends are observed
By combining Trend analysis, Hurst exponent and MFR probable Range, traders can gain a more comprehensive understanding of the market's behaviour and make more informed trading decisions.
It's important to note that while Trend is a useful tool, it should not be relied upon solely for making trading decisions. It's recommended to use it in conjunction with other technical analysis tools and consider other factors such as market conditions, risk management, and fundamental analysis. Remember that the momentum indicator is just one tool among many, and it's important to consider other factors such as volume, momentum, volatility, and overall market conditions when making trading decisions. Additionally, using stop-loss orders and proper risk management techniques is crucial to mitigate potential losses.
We hope that you will find these explanations useful, please contact us by private message for access.
Enjoy!
DISCLAIMER: No sharing, copying, reselling, modifying, or any other forms of use are authorised. This script is strictly for individual use and educational purposes only. This is not financial or investment advice. Investments are always made at your own risk and are based on your personal judgement. Myfractalrange is not responsible for any losses you may incur. Please invest wisely.
Ultimate Trend ChannelThe "Ultimate Trend Channel" indicator is a comprehensive trend analysis tool that calculates and displays a series of upper and lower bands based on user-defined input lengths. It uses linear regression and standard deviation to determine these bands for each of the 21 different group lengths. The indicator then computes the averages of these upper and lower bands, as well as the average of all the bands combined.
The visualization on the chart includes the plotting of the average upper and lower bands, with the space between these bands shaded for easy visualization of the overall trend. Additionally, the average of all the bands, referred to as the "Ultimate Trend Line," is also plotted on the chart.
This indicator provides a robust way of assessing market trends and volatility over varying periods, which can be extremely useful for both short-term and long-term trading strategies.
ATR Daily BandThis indicator draws an upper and lower band for each day. It uses the Average True Range calculation (with configurable lookback) and places the band at 1ATR above and 1ATR below the daily open.
I use this indicator as a simple gauge to tell how significant price movement is, and get a feel for the daily volatility. Due to the fractal nature of price action, it can be difficult to determine if a price movement is significant while zoomed in on a single intraday chart. Using this indicator, I can tell if the price action is approaching the ATR or if it's just staying within the band.
Strategies: Useful for both mean reversion and momentum strategies. It's up to you to decide how this metric will fit into your trading strategy. I currently use this indicator to look for mean reversion setups, but that is due to the current market conditions and my personal trading style.
Scalping Strategy (5min)This indicator is designed for scalping strategies on a 5-minute timeframe. It generates signals based on two RSI crossovers and incorporates moving averages to identify trends. Additionally, a Bollinger Band is included to eliminate the need for an additional Bollinger Band on the chart.
Please note that this indicator does not guarantee 100% accurate signals and may produce false signals. It is recommended to use this indicator in conjunction with other indicators such as Stochastic, MACD, SuperTrend, or any other suitable indicators to enhance the accuracy of trading decisions.
1) Signal Generation: The indicator generates buy and sell signals based on two RSI crossovers. A buy signal is generated when the fast RSI crosses above the slow RSI, indicating potential bullish momentum. Conversely, a sell signal is generated when the fast RSI crosses below the slow RSI, suggesting potential bearish momentum.
2) To adjust the indicator to your specific chart and trading preferences, you have the flexibility to modify the RSI and moving average (MA) values. By changing the RSI values (slow RSI length and fast RSI length), you can fine-tune the sensitivity of the RSI crossovers to suit different timeframes and market conditions. Similarly, adjusting the MA values (slow MA period and fast MA period) allows you to adapt the indicator to the desired trend identification and short-term trend confirmation.
3) Pay attention to trades that are confirmed by the short-term moving average (MA) aligning with the desired direction. For buy signals, ensure that the short MA is tending upward, indicating a potential uptrend. For sell signals, confirm that the short MA is trending downward, suggesting a potential downtrend.
4) Moving Averages: The indicator uses a 200-period moving average (MA) to identify the overall trend and a short-term MA for additional confirmation.
5) Bollinger Band: The included Bollinger Band is not directly used in the indicator's calculations. However, it is provided for convenience so that users don't need to add another Bollinger Band to their chart separately.
6) Exercise caution when the short MA is below the 200-period MA but showing signs of attempting an upward move. These situations may indicate a potential reversal or consolidation, and it is advisable to avoid taking trades solely based on the 200-period MA crossover in such cases.
Remember that these guidelines are intended to provide additional insights and should be used in combination with your trading judgment and analysis.
Trend-Range-Indicator - 3hrThe Trend and Range Indicator is a tool based on median calculation and volatility analysis. It helps identify trends and ranges in price charts. This indicator highlights consolidation areas.
Only work in 3 hours timeframe
MOJO Opening Range BoxScript allows you to create a box around a time range of your choice. box turns green if price is above opening candle, red otherwise.
Linear Regression Channel (Log)The Linear Regression Channel (Log) indicator is a modified version of the Linear Regression channel available on TradingView. It is designed to be used on a logarithmic scale, providing a different perspective on price movements.
The indicator utilizes the concept of linear regression to visualize the overall price trend in a specific section of the chart. The central line represents the linear regression calculation, while the upper and lower lines indicate a certain number of standard deviations away from the central line. These bands serve as support and resistance levels, and when prices remain outside the channel for an extended period, a potential reversal may be anticipated.
I have replaced the Pearson values with trend strength levels to enhance understanding for individuals unfamiliar with Pearson correlation.
custom Bollinger bands with filters - indicator (AS)-----------Description-------------
This indicator is basically Bollinger bands with many ways to customize. It uses highest and lowest values of upper and lower band for exits. I think something is wrong with the script but cant find any mistakes – most probably smoothing. The ATR filter is implemented but is working incorrectly. In code you can also turn it into strategy but I do not recommend it for now as it is not ready yet.
So this is my first script and I am looking for any advice, ideas to improve this script, sets of parameters, markets to apply, logical mistakes in code or any ideas that you may have. Indicator was initially designed for EURUSD 5MIN but I would be interested in other ideas.
-----------SETTINGS--------------
---START - In starting settings we can choose
Line 1: what parts to use BB/DC/ATR
Line 2: what parts to plot on chart
Line 3 Whether or not apply smoothing to BB or ATR filter
Line 4 Calculate deviation for BB from price or Moving average
Line 5 Fill colors and plot other parts for debug (overlay=false)
Line 6:( for strategy) – enable Long/Short Trades
---BB and DC – here we modify Bollinger bands and Donchian
Line 1: Length and type of BB middle line and also length of DC from BB
Line 2: Length and type of BB standard deviation and multiplier
Line 3: Length and type of BB smoothing and %width for BB filter
---ATR filter – (not ready fully yet)
Line 1: type and length of ATR
Line 2: threshold and smoothing value of ATR
---DATE and SESSION
Line 1: apply custom date or session?
Line 2: session hours settings
Line 3:Custom starting date
Line 4: Custom Ending date
-----------HOW TO USE--------------
We open Long if BB width is bigger than threshold and close when upper band is no longer highest in the period set. Exact opposite with Short
DB Support Resistance Levels + Smart Higher Highs and Lower LowsDB Support Resistance Levels + Smart Higher Highs and Lower Lows
The indicator plots historic lines for high, low and close prices shown in settings as "base levels". Users can control the lookback period that is plotted along with an optional multiplier. Traders will notice that the price bounces off these historic base levels. The base levels are shown as light gray by default (customizable in the settings). Users may choose to display base levels by a combination of historic high, low and close values.
On top of the historic base levels, the indicator display higher high and lower low levels from the current bar high/low. Higher highs are shown by default in pink and lower lows by default in yellow. The user can adjust the lookback period for displaying higher highs and the optional multiplier. Only historic values higher than the current bar high are displayed filtering out (by highlighting) the remaining levels for the current bar. Users may choose to use a combination of historic open, low and close values for displaying higher highs. The user can adjust the lookback period for displaying lower lows and the optional multiplier. Only historic values lower than the current bar low are displayed filtering out (by highlighting) the remaining levels for the current bar. Users may choose to use a combination of historic open, low and close values for displaying lower low.
The indicator includes two optional filters for filtering out higher highs and lower lows to focus (highlight) the most relevant levels. The filters include KC and a simple price multiplier filter. The latter is enabled by default and recommended.
The indicator aims to provide two things; first a simple plot of historic base levels and second as the price moves to highlight the most relevant levels for the current price action. While the indicator works on all timeframes, it was tested with the weekly. Please keep in mind adjusting the timeframe may require the lookback settings to be adjusted to ensure the bars are within range.
How should I use this indicator?
Traders may use this indicator to gain a visual reference of support and resistance levels from higher periods of time with the most likely levels highlighted in pink and yellow. Replaying the indicator gives a visual show of levels in action and just how very often price action bounces from these highlighted levels.
Additional Notes
This indicator does increase the max total lines allowed which may impact performance depending on device specs. No alerts or signals for now. Perhaps coming soon...
SMI Momentum Bollinger Squeeze Signals - TradeUIMomentum Bollinger Squeeze Signals - TradeUI
The Squeeze Momentum Indicator (SMI) uses the principles of the Squeeze Indicator, which is a volatility indicator, and combines them with a momentum calculation to provide a more comprehensive view of the market.
The original Squeeze Indicator uses the relationship between the Bollinger Bands and Keltner Channels to identify periods of low volatility, known as "Squeezes", and potential breakout points. The SMI takes this one step further by adding a momentum calculation, making it a more dynamic tool for trading.
The momentum calculation is based on the rate of change of the asset's price. When the price increases rapidly, it signifies positive momentum, and when the price decreases rapidly, it signifies negative momentum.
Excess Invites Punishment (EIP) by Scipio ProScipio Pro's EIP is a reversal indicator. It is based on two types of evidence.
1) Proof of Fatigue -- The move that triggers the signal is losing momentum
2) Proof of Excess -- The move that triggers the signal is excessive
If both are the case, we get a signal.
The script uses standard deviations and Bollinger Bands for measuring excess and the ATR for the Breakout Continuation Protection (see below). For fatigue, the EIP detects divergences from indicators like OBV, MACD, RSI and more. It expresses these with a number. For example, if the EIP detects 9 bullish divergences, it prints the number 9 below the corresponding candle.
Hesitant Buy and Hesitant Sell mean there may have been a breakout recently, as measured with the ATR, meaning there is an increased likelihood of continuation. These can provide good buys or sells but more caution is warranted. You can adjust the so-called Breakout Continuation Protection in Settings. Doing so may lead to either more or less "hesitant" signals.
The signals don't repaint. Of course, the divergences get recalculated as the market evolves, as they should. But signals like Buy, Sell, Hesitant Buy, and Hesitant Sell never repaint.
The EIP is useful on many different time-frames and with many different assets, be they in stocks or crypto. The images below show results from BTC, MATIC, and S&P 500 over multiple years, both on small and large time-frames.
As always, use at your own risk. Using indicators is no substitute for using one's brain.
Purple CloudThe above lines calculate several intermediate values used in the indicator's calculations. Here's a breakdown of each variable:
a1: Represents a modified Exponential Moving Average (EMA) of the high price series, subtracted by a Simple Moving Average (SMA) of the low price series.
a2: Takes the square root of the lowest value between the highest close price over the last 200 bars and the current close price, multiplied by a1.
b1: Represents a modified EMA of the low price series, subtracted by an SMA of the high price series.
b2: Takes the square root of the highest value between the lowest close price over the last 200 bars and the current close price, multiplied by b1.
c1: Represents the square root of a2 multiplied by b2.
These lines create multiple plots using the plot function. Each plot represents a displaced version of c1 by a certain multiple of the Average True Range (ATR) multiplied by a constant factor (0.1, 0.2, 0.3, etc.). The transparency (transp) is set to 100 for all plots.
Bollinger Bands, RSI, and MA StrategyThe "Bollinger Bands, RSI and MA Strategy" is a trend-following strategy that combines the Bollinger Bands indicator, the Relative Strength Index (RSI), and a moving average (MA). It aims to identify potential entry and exit points in the market based on price volatility, momentum, and trend.
The strategy uses two Bollinger Bands with different standard deviations to create price channels. The default settings for the Bollinger Bands are a length of 20 periods and a standard deviation of 2.0. The upper and lower bands of the Bollinger Bands serve as dynamic resistance and support levels, respectively.
The RSI indicator is employed to gauge the strength of price momentum.
The strategy also incorporates a 50-period moving average (MA) to help identify the overall trend direction. When the price is above the MA, it suggests an uptrend, and when the price is below the MA, it suggests a downtrend.
The entry conditions for long trades are when the RSI is above the overbought level and there is no contraction in the Bollinger Bands. For short trades, the entry conditions are when the RSI is below the oversold level and there is no contraction in the Bollinger Bands.
The exit conditions for long trades are when the RSI drops below the overbought level or when the price closes below the 50-period MA.
For short trades, the exit conditions are when the RSI goes above the oversold level or when the price closes above the 50-period MA.
The strategy generates alerts for potential long and short entry signals, as well as for exit signals when the specified conditions are met. These alerts can be used to receive notifications or take further actions, such as placing trades manually or using automated trading systems.
It is important to note that this strategy serves as a starting point and should be thoroughly backtested and validated with historical data before applying it to live trading. Additionally, it is recommended to consider risk management techniques, including setting appropriate stop-loss and take-profit levels, to effectively manage trades.
Psychological levels (Bank levels) PsychoLevels v3 - TartigradiaPsychological levels (Bank levels) plots the closest "round" price levels above and below current price, based on neuroscience research of how humans intuitively calculate in logarithms.
Psychological levels, also called bank levels, are "round" price numbers, by truncating after the nth leftmost digits, around which price often experience resistance or support, because traders and investors tend to set orders around these round numbers.
The calculation done here is fully automatic and dynamic, contrary to other similar scripts, this one uses a mathematical calculation that extracts the 1, 2 or 3 leftmost digits and calculate the previous and next level by incrementing/decrementing these digits. This means it works for any symbol under any price range.
This approach is based on neuroscience research, which found that human brains intuitively approximate numbers on a logarithmic scale, adults and children alike, and similarly to macaques, for more info see Numerical Cognition , Weber-Fechner Law , Zipf law .
For example, if price is at 0.0421, the next major price level is 0.05 and medium one is 0.043. For another asset currently priced at 19354, the next and previous major price levels are 20000 and 10000 respectively, and the next/previous medium levels are 20000 and 19000, and the next/previous weak levels are 19400 and 19300.
IMPORTANT: Please enable "Scale price chart only" in the chart's scale's options, as otherwise major levels may make the chart's scale very small and hard to read.
How it works
At any time, there are 3 levels of strength (1 leftmost digit, 2 leftmost digits, 3 leftmost digits) represented by different sizes, and 3 directional levels for each of these strengths (level above, level below, and half-level) represented by different colors and positions, around current price.
Indeed, contrary to other similar price levels scripts, we do not plot ALL price levels at all times, because otherwise the chart becomes wayyy too cluttered, and also it's highly processing intensive to plot so many lines. So we here use a dynamical approach: we plot only the relevant levels, the closest ones according to current price.
Hence, when a level disappears, it does not mean that it does not exist anymore, but simply that we are not drawing it right now because it is not pertinent for the current price movement (ie, too far away).
Breakouts can be detected in two different ways depending on if SMA is set to a value higher than 1 or not: if SMA == 1, then there is no smoothing, so the levels adapt instantaneously to the current price, so to detect breakout, you should refer to the levels at the previous tick and whether they were broken by current tick's price; if SMA > 1, then there is some smoothing, and so the levels will stay in-place even if there is a breakout, so it's easier to spot breakouts without having to look at the previous ticks, but on the other hand you won't see the new levels for the new price range until after a few more ticks for the smoothing window to adapt. Hence, by default, smoothing is disabled, so that you can see the currently pertinent levels at all time, even right after or during a breakout.
By default, the strong above level is in green, strong below level is in red, medium above level is in blue, medium below level is in yellow, and weak levels aren't displayed but can be. Half levels are also displayed, in a darker color. Strong levels are increments of the first leftmost digit (eg, 10000 to 20000), medium levels are increments of the second leftmost digit (eg, 19000 to 20000), and weak levels of the third leftmost digit (eg, 19100 to 19200). Instead of plotting all the psychological levels all at once as a grid, which makes the chart unintelligible, here the levels adapt dynamically around the current price, so that they show the above/below/half levels relatively to the current price.
Indeed, "half-levels" are also displayed (eg, medium level can also display 19500 instead of only 19000 or 20000). This was made because otherwise the gap between two levels was too big, especially for the strongest levels (eg, there was no major level between 20000 and 30000, but with a half-step we also get a half-level at 25000, and empirically price tends to respect these half levels - I also tried quarter levels but empirically the results were not good). In addition to this hard-coded half-level, you can also create more subdivisions (eg, quarter levels) by setting the simple moving average to a value higher than 1.
The script can be made to run on the daily timeframe whatever the current chart's timeframe is, to reduce the variability in levels, to make it less noisy than intraday price movement. But by default, the chart resolution is used, because I empirically found that the levels found with this indicator work on all time resolutions quite well.
The step can be adjusted to increase the gap between levels, eg, if you want to display one every 2 levels then input step = 2 (eg, 22000, 24000, 26000, etc), or if you want to display quarter levels, input 0.25 (eg, 22000, 22250, 22500, etc). The default values should fit most use cases and cover most psychological levels.
How to read
Focust first on bigger dotted levels, they are stronger and more likely to cause a rebound or a major event or price to stay at this level.
Remember that it's not enough to just look at levels, the context is important, because levels have various effects depending on current price movement: if price is above a level, the level is a support on which price can rebound; if price is below a level, the level is a resistance on which price can rebound (or break); and finally sometimes price also stays hovering around a level for some time.
Levels closer to 9 are less weaker, and levels closer to 0 are stronger, according to Zipf law. This is now reflected since v3 in the transparency, levels that are closer to 9 will be more transparent.
The switch in color for the same level illustrates how a level switches from being a support to a resistance and inversely. Eg, if a major level turns from green to red, then it changed from being a resistance (above) to a support (below).
As is well known in trading, longer standing levels are stronger. This indicator provides a direct illustration: in practice, the number of consecutive dots on the same line influences the strength of the level: the longer the chain of dots, the more you can expect this price level to be significant. The length does not mean the level will necessarily hold, but that other traders are likely to monitor if it holds, and if not then price will break down. Hence, longer levels are good spots to place stop losses, or to enter trades depending on your strategy. In general, a single dot is not enough to consider a level significant, but 2 or more is a good enough level, and 10+ is a strong level. Intuitively, this makes sense, and is what pro traders do: the longer a level is tested, the stronger it is. This indicator can visually represent this intuition and allows to use it as a more systematic trading signal.
Motivation
I initially made the first version of the PsychoLevels indicator mainly to train with PineScript, but I found it surprisingly accurate to define levels that are respected by price movements. So I guess it can be useful for new traders and experienced traders alike, as it's easy to forget that psychological levels can often be as strong if not stronger than technical levels. It can also be used to quickly screen other minor assets for trading opportunities. For example, a hybrid strategy would be to manually define levels on BTCUSD but using this script to automatically define levels in crypto altcoins and quickly screen them for a trade opportunity that can be greater than with BTCUSD but with the same trend.
Personally, although initially I did not believe an automated tool would work well for this purpose, I could now empirically verify that it is quite reliable for the purpose of detecting levels, and so I use it all the time to find the levels automatically and help me monitor them like a hawk, so that I only have to draw uber major levels, the ones that last between cycles and that are hard to autodetect, but otherwise all daily/weekly levels are usually covered. However, trendlines must still be drawn manually or with another indicator (but note that up to now I have found none that worked well enough), as PsychoLevels only draws levels (ie, horizontal lines, not oblique ones!).
Differences with the previous version PsychoLevels v2
price levels now have a transparency according to their importance for the human brain: numbers closer to 9 are weaker, and numbers closer to 0 are stronger and represent a major psychological threshold (eg, that's why prices marked as $9.99 sell better than $10.00). This option can be disabled to get the exact same behavior as v2.
modularized and typed code
PsychoLevels v2 can be found here:
Multi-Indicator Confluence Signals *LITE*Description:
Introducing the Multi-Indicator Confluence Signals (MICS), a comprehensive trading tool designed to simplify the process of analyzing multiple technical indicators and uncluttering your screen!
You are able to select various pre-existing indicators, including Stochastic, RSI, MACD, EMA, DMI, Bollinger Bands, and a our own custom signal we created using only price action calculations which will provide a streamlined view of the market, allowing traders to focus on speed, trade execution, strategy, and chart reading.
We do this by converting the input from the above popular technical indicators and generate clear long and short signals by placing green(long) and/or red(short) arrows directly on the chart.
You also have the option to choose which indicators you want to show on the screen and also the option to choose long and/or short signals.
The values we have chosen to generate the signals can be seen in each of the respective indicator input (i) tab in the inputs options.
Here are some examples:
Stoch Long
Will turn on green arrow signals to inform you the smoothed, 14 period stochastic line has crossed over 20.
Stoch short
Will turn on red arrow signals to inform you the smoothed, 14 period stochastic line has crossed under 80.
MA long
Will turn on green arrow signals to inform you when the moving average of the last 21 bars has become larger than the moving average of the last 50 bars.
MA short
Will turn on red arrow signals to inform you when the moving average of the last 21 bars has become smaller than the moving average of the last 50 bars.
RSI Long
Will turn on green arrow signals to inform you when the 14 period rsi value has crossed under 70.
RSI short
Will turn on red arrow signals to inform you when the 14 period rsi value has crossed over 30.
Go from this (Imagine your own drawings+the above indicators):
To this! (Only long signals displayed)
Features :
Consolidated signals:
The MICS identifies bull and bearish signals from multiple indicators and presents them in a visual arrow pointing manner, enabling traders to quickly assess potential trade opportunities.
Unique price action arrows:
The price action arrows in the MICS trading tool are a unique feature that distinguish it from traditional technical indicators.
These arrows are generated solely based on recent price movement and are calculated using an algorithm that analyzes the strength of recent price action.
The algorithm also considers factors such as the length and intensity of the trend, as well as any notable support or resistance levels.
When the 'Price Action Long' or 'Price Action Short' options are enabled, the MICS will display green or red arrows respectively, indicating potential bullish or bearish signals.
These arrows complement the signals generated by other pre-existing technical indicators in the MICS .
Clutter-free charting:
By removing the need to display individual indicators on the chart, the MICS helps create a cleaner workspace, promoting better focus and decision-making.
Confluence-based trading:
The MICS is not designed to be used as a standalone trading system.
Instead, traders should utilize the signals as confluences to complement their pre-existing trade ideas, leading to more robust and well-informed strategies.
Mashup of Indicators:
Each indicator has its own strengths and weaknesses, but by combining them, the MICS can provide a more comprehensive view of the market.
For example, Stochastic and RSI are commonly used to measure overbought and oversold conditions, while MACD and EMA are used to identify trend direction. DMI, on the other hand, is used to gauge the strength of a trend, while Bollinger Bands can be used to identify potential breakouts.
By combining the signals from these indicators, the MICS can provide traders with a more nuanced view of the market, allowing them to make better-informed trading decisions, quickly!
How They Work Together:
The MICS generates signals by analyzing the input from each individual indicator.
If the majority of the indicators show a bullish trend, the MICS will display this by showing the indicators you selected in the settings with green long arrows, indicating a potential long trade.
Conversely, if the majority of the indicators show a bearish trend, the MICS will display red short arrows, indicating a potential short trade.
In addition, the MICS uses a unique price action signal generated solely based on recent price movement, calculated using an algorithm that analyzes the strength of recent price action.
This price action signal is a distinguishing feature of the MICS and complements the signals generated by the pre-existing technical indicators.
What Makes the MICS Original?
What makes the MICS unique is its emphasis on providing a clutter-free charting experience.
By displaying only clear long and short signals directly on the chart based on your own selection in the settings, the MICS eliminates the need to have multiple indicators cluttering the screen, allowing traders to concentrate on making informed decisions, quickly!
This price action signal is a also unique feature that sets the MICS apart from other technical indicators.
TrueLevel BandsTrueLevel Bands is a powerful trading indicator that employs linear regression and standard deviation to create dynamic, envelope-style bands around the price action of a financial instrument. These bands are designed to help traders identify potential support and resistance levels, trend direction, and volatility.
The TrueLevel Bands indicator consists of multiple envelope bands, each constructed using different timeframes or lengths, and a multiple (mult) factor. The multiple factor determines the width of the bands by adjusting the number of standard deviations from the linear regression line.
Key Features of TrueLevel Bands
1. Multi-Timeframe Analysis: Unlike traditional moving average-based indicators, TrueLevel Bands allow traders to incorporate multiple timeframes into their analysis. This helps traders capture both short-term and long-term market dynamics, offering a more comprehensive understanding of price behavior.
2. Customization: The TrueLevel Bands indicator offers a high level of customization, allowing traders to adjust the lengths and multiple factors to suit their trading style and preferences. This flexibility enables traders to fine-tune the indicator to work optimally with various instruments and market conditions.
3. Adaptive Volatility: By incorporating standard deviation, TrueLevel Bands can automatically adjust to changing market volatility. This feature enables the bands to expand during periods of high volatility and contract during periods of low volatility, providing traders with a more accurate representation of market dynamics.
4. Dynamic Support and Resistance Levels: TrueLevel Bands can help traders identify dynamic support and resistance levels, as the bands adjust in real-time according to price action. This can be particularly useful for traders looking to enter or exit positions based on support and resistance levels.
5. The "Global Trend Line" refers to the average of the bands used to indicate the overall trend.
Why TrueLevel Bands are Different from Classic Moving Averages
TrueLevel Bands differ from conventional moving averages in several ways:
1. Linear Regression: While moving averages are based on simple arithmetic means, TrueLevel Bands use linear regression to determine the centerline. This offers a more accurate representation of the trend and helps traders better assess potential entry and exit points.
2. Envelope Style Bands: Unlike moving averages, which are single lines, TrueLevel Bands form envelope-style bands around the price action. This provides traders with a visual representation of potential support and resistance levels, trend direction, and volatility.
3. Multi-Timeframe Analysis: Classic moving averages typically focus on a single timeframe. In contrast, TrueLevel Bands incorporate multiple timeframes, enabling traders to capture a broader understanding of market dynamics.
4. Adaptive Volatility: Traditional moving averages do not account for changing market volatility, whereas TrueLevel Bands automatically adjust to volatility shifts through the use of standard deviation.
The TrueLevel Bands indicator is a powerful, versatile tool that offers traders a unique approach to technical analysis. With its ability to adapt to changing market conditions, provide multi-timeframe analysis, and dynamic support and resistance levels, TrueLevel Bands can serve as an invaluable asset to both novice and experienced traders looking to gain an edge in the markets.
Variance WindowsJust a quick trial at using statistical variance/standard deviation as an indicator. The general idea is that higher variance in the short term tends to indicate more volatility/movement. The other thing is that it can help set probabilistic boundaries for movements (e.g., if you set the bars to be 2 standard deviations, you are visualizing a range that denotes a 95% probability window).
I haven't really tried forming any sort of strategies around this indicator, but there are a few potential possibilities for its usability.
Generally speaking, the magnitude of the standard deviation (relative to the price) is small when the market is consolidating. It is larger when the market is trending up or own.
If the long term variance and the short-term variance are close to each other in scale, the trend is strong. Otherwise, the trend is weak. Note that I am only saying that the "trend" is strong , not that it is necessarily positive. this could be an up-trend, down-trend, or a sideways trend.
When the magnitudes of the variances are changing from very similar to very different (usually it's the long-term variance getting much larger than the short-term one), that's an indication that the previous trend is coming to an end.
Typically, it's the long-term variance that is bigger than the short-term. However, when you see them cross where the short-term is bigger or even much bigger than the long-term, it's indicative of a spike event (more often than not, one that is not favorable if you are holding any position on a given security).
Because you have probabilistic windows based on some n standard deviations from the midline (which in this version, I've used a ZLEMA as that midline), those boundaries could possibly be used to set stop-loss limits and the like.
There's nothing too complicated or deep about this particular indicator. All I'm really doing is assuming that we are dealing with a Gaussian random process. I am actually using EMA as my mean computation, even though for a proper Gaussian variance calculation, I should be using SMA. When I used SMA, though, it felt a lot more sensitive to noise, which made it feel less usable. In any case, it's just a simple first trial in many years after not having even looked at Pine Script to finally messing around with it again. Open to a litany of criticisms as I'm sure there will be many that are rightly deserved. Otherwise, happy scalping to thee.
LeafAlgo ProThis indicator utilizes signals generated from a normalized consensus of one of the four following consensus strategies: Oscillator Consensus, Moving Average Consensus, Democratic Fib Consensus, and an Ichimoku Cloud Consensus. When the values of the individual consensus are normalized, they can be utilized as an oscillator with a range of 0-100. The range of 0-100 can be broken down into zones where if the oscillator breaks through the different thresholds and meets the directional filter requirements, a signal is generated for strong buy, buy, sell, and strong sell with respect to which underlying threshold is breached.
Oscillator:
The Oscillator setting consists of the Average Directional Index (ADX) set as a value instead of +/- and is not used in the scoring to gather consensus. Rather, a value of 25 or above is used to confirm the trend regardless of positive or negative. The Chande Momentum Oscillator (CMO), Detrended Price Oscillator (DPO), Momentum, Rate of Change (ROC), Relative Strength Index (RSI), True Strength Index (TSI), and Volume Oscillator are used in the Oscillator table for a consensus value and given a + or - depending on the condition being met. The conditions and weighting are as follows:
-- CMO > or < 0, given a weight of +/- 2
-- DPO > or < 0, given a weight of +/- 2
-- Momentum > or < 0, given a weight of +/- 2
-- ROC > or < 0, given a weight of +/- 2
-- RSI > or < 50, given a weight of +/- 1
-- TSI Value Line > or < 0, given a weight of +/- 1
-- TSI Signal Line > or < 0, given a weight of +/- 1
-- Volume Osc. > or < 0, given a weight of +/- 2
Moving Average:
For the Moving Average Ribbon/Multi-MA setting the user is able to determine the type of MA for 11 moving averages. The type selection consists of EMA, DEMA, TEMA, SMA, RMA, VWMA, WMA, SMMA, and a Hull MA. The preset values for the 11 moving averages are 5, 7, 10, 14, 21, 26, 50, 75, 100, 150, and 200. The consensus conditions and weighting are as follows:
-- If MA(1 through 10) < or > the price source, given a weight of +/- 1
-- If MA(11) < or > the price source, given a weight of +/- 2
DFMA:
The Democratic Fibonacci Moving Average setting is derived from our indicator of the same name. The source for the DFMA can be chosen by the user, but the SMA lengths are predetermined in Fibonacci intervals from 3 to 233. The DFMA line itself is determined by finding the average value of these 10 Fibonacci MA lengths. The consensus conditions and weighting are as follows:
-- If Fib. MA (3-233) < or > the source, given a weight of +/- 1
-- If DFMA value < or > the source, given a weight of +/- 2.
Ichimoku:
The Ichimoku setting values a handful of conditions using the Tenkan-sen/Conversion Line, Kijun-sen/Base Line, Senkou-span A and B, and the Chikou-span, each of which are given their standard values of 9, 26, 52, and 26, respectively, but can be changed in the user settings if desired. As opposed to the other tables, there are fewer conditions to be met and given values to. All of the conditions are given the same weighting (+/- 1). The conditions are as follows:
-- Kijun-sen < or > the source
-- Tenkan-sen < or > the source
-- Kijun-sen > or < the Chikou-span
-- Tenkan-sen > or < the Kijou-sen
-- Senkou Span A > or < Senkou Span B
Dynamic Bar Coloring
The bar coloring is based on the values of the underlying consensus oscillator.
-- If the consensus value >= 75 coloring= "Lime"
-- If the consensus value is between 55 and 70, coloring= "Green"
-- If the consensus value is between 45 and 55, coloring= "Yellow"
-- If the consensus value is between 30 and 45, coloring= "Orange"
-- If consensus value is <= 30, coloring= "Red"
Regression Channels
The visible channel utilizes a basis line of a quadratic regression line. The quadratic regression is well suited for determining (and predicting) trends. Calculating the regression involves five summation equations that utilize the bar index (x1), the price source (defaulted to ohlc4), the desired length, and the square of x1. Determining the coefficient values requires an additional step that factors in the simple moving average of the source, bar index, and squared bar index. The envelopes that are formed around the regression line are a multiple of that regression line using the high/low range of the price. This envelope can be used to determine points of interest where the price may break through, consolidate at, or reverse from. The channels should be used in conjunction with the signals generated to determine if the signal is valid.
Note past performance is not indicative of future results. This is meant to be used as a tool, and the signals generated by this script should be confirmed with other technical analysis.
