Inside Bar Setup [as]Inside Bar Setup Indicator Description
The **Inside Bar Setup ** indicator is a powerful tool for traders to identify and visualize inside bar patterns on their charts. An inside bar pattern occurs when the current candle's high is lower than the previous candle's high, and the current candle's low is higher than the previous candle's low. This pattern can indicate a potential breakout or a continuation of the existing trend.
Key Features:
1. **Highlight Inside Bar Patterns:**
- The indicator highlights inside bar patterns with distinct colors for bullish and bearish bars. Bullish inside bars are colored with the user-defined bull bar color (default lime), and bearish inside bars are colored with the user-defined bear bar color (default maroon).
2. **Marking Mother Candle High and Low:**
- The high and low of the mother candle (the candle preceding the inside bar) are marked with horizontal lines. The high is marked with a green line, and the low is marked with a red line.
- These levels are labeled as "Range High" and "Range Low" respectively, with the labels displayed a few bars to the right for clarity. The labels have a semi-transparent background for better visibility.
3. **Target Levels:**
- The indicator calculates and plots potential target levels (T1 and T2) for both long and short positions based on user-defined multipliers of the mother candle's range.
- For long positions, T1 and T2 are plotted above the mother candle's high.
- For short positions, T1 and T2 are plotted below the mother candle's low.
- These target levels are optional and can be toggled on or off via the input settings.
4. **Customizable Inputs:**
- **Colors:**
- Bull Bar Color: Customize the color for bullish inside bars.
- Bear Bar Color: Customize the color for bearish inside bars.
- **Long Targets:**
- Show Long T1: Toggle the display of the first long target.
- Show Long T2: Toggle the display of the second long target.
- Long T1: Multiplier for the first long target above the mother candle's high.
- Long T2: Multiplier for the second long target above the mother candle's high.
- **Short Targets:**
- Show Short T1: Toggle the display of the first short target.
- Show Short T2: Toggle the display of the second short target.
- Short T1: Multiplier for the first short target below the mother candle's low.
- Short T2: Multiplier for the second short target below the mother candle's low.
5. **New Day Detection:**
- The indicator detects the start of a new day and clears the inside bar arrays, ensuring that the pattern detection is always current.
#### Usage:
- Add the indicator to your TradingView chart.
- Customize the inputs to match your trading strategy.
- Watch for highlighted inside bars to identify potential breakout opportunities.
- Use the marked range highs and lows, along with the calculated target levels, to plan your trades.
This indicator is ideal for traders looking to capitalize on inside bar patterns and their potential breakouts. It provides clear visual cues and customizable settings to enhance your trading decisions.
Note:
This indicator is based on famous 15 min inside bar strategy shared by Subashish Pani on his youtube channel Power of stocks. Please watch his videos to use this indicator for best results.
Candlestick Analysis
Liquidity Swings [UAlgo]The "Liquidity Swings " indicator is designed to help traders identify liquidity swings within the market. This tool is particularly useful for visualizing areas where liquidity is accumulating and where it is being swept, providing valuable insights for making informed trading decisions. By tracking the pivots in price and associating them with volume, the indicator highlights zones of potential support and resistance, helping traders understand market dynamics more clearly.
🔶 Key Features
Liquidity Swing Sensitivity: Adjustable sensitivity settings to fine-tune the detection of liquidity swings according to market conditions and trader preferences.
Two modes of liquidity calculation:
Cumulative Liquidity: Aggregates unswept liquidity over multiple swings until it is swept, providing a broader view of liquidity accumulation.
Individual Liquidity: Displays the accumulated liquidity for each swing independently, offering a more granular perspective.
Visual Customization: Options to customize the colors and sizes of liquidity lines, areas, and informational text for better visual clarity.
Dynamic Updates: The indicator dynamically updates liquidity zones and labels, adjusting to new market data to keep traders informed in real-time.
🔶 Disclaimer
The "Liquidity Swings " indicator is provided for educational and informational purposes only.
It should not be considered as financial advice or a recommendation to buy or sell any financial instrument.
The use of this indicator involves inherent risks, and users should employ their own judgment and conduct their own research before making any trading decisions. Past performance is not indicative of future results.
🔷 Related Scripts
Liquidity Sweeps
Williams %R Liquidity Sweeps
EngulfScanEngulf Scan
Introduction:
The Engulf Scan indicator helps users identify bullish and bearish engulfing candlestick patterns on their charts. These patterns are often used as signals for trend reversals and are important indicators for traders. Engulf Scan signals are generated when an engulfing pattern is swallowed by another candlestick of the opposite color.The signal of a candle engulfment formation is generated when the 1st candle is engulfed by the 2nd candle and the 2nd candle is engulfed by the 3rd candle.
Features:
Bullish Engulfing Pattern: Indicates the start of an upward trend and typically signals that the market is likely to move higher.
Bearish Engulfing Pattern: Indicates the start of a downward trend and typically signals that the market is likely to move lower.
Color Coding: Users can customize the background colors for bullish and bearish engulfing patterns.
Usage Guide:
Adding the Indicator: Add the "Engulf Scan" indicator to your TradingView chart.
Color Settings: Choose your preferred colors for bullish and bearish engulfing patterns from the indicator settings.
Pattern Detection: View the engulfing patterns on the chart with the specified colors and symbols. These patterns help identify potential trend reversal points.
Parameters and Settings:
Bullish Engulfing Color: Background color for the bullish engulfing pattern.( Green)
Bearish Engulfing Color: Background color for the bearish engulfing pattern. (Red)
Examples:
Bullish Engulfing Example: On the chart below, you can see bullish engulfing patterns highlighted with a green background. (Green)
Bearish Engulfing Example: On the chart below, you can see bearish engulfing patterns highlighted with a red background. (Red)
Frequently Asked Questions (FAQ):
How are engulfing patterns detected?
Engulfing patterns are formed when a candlestick completely engulfs the previous candlestick. For a bullish engulfing pattern, a bullish candlestick follows a bearish one. For a bearish engulfing pattern, a bearish candlestick follows a bullish one.
Which timeframes work best with this indicator?
Engulfing patterns are generally more reliable on daily and higher timeframes, but you can test the indicator on different timeframes to see if it fits your trading strategy.
Can I detect a reversal or trend?
As can be seen in the image, it sometimes appears as a return signal and sometimes as a harbinger of an ongoing trend.But it may be a mistake to use the indicator only for these purposes. However, this indicator may not be sufficient when used alone. It can be combined with different indicators from the Tradingview library.
Updates and Changelog:
v1.0: Initial release. Added detection and color coding for bullish and bearish engulfing patterns.
-Please feel free to write your valuable comments and opinions. I attach importance to your valuable opinions so that I can improve myself.
Japanese CandlesSimple script to add standard Japanese candles in a new pane for use when using a non-standard chart (Ex: Heikin Ashi) that doesn't use true OHLC values in it's calculation so that you can still monitor true values and activity without having to take up the screen real estate that using a layout containing a whole new chart would require. This also makes horizontal sync of the main chart to the Japanese candle chart perfect at all times.
Papercuts Recency CandlesPapercuts Recency Candles
V0.8 by Joel Eckert @PapercutsTrading
***This is currently an experimental visual exploratory concept.***
*** Experimental tools should only be explored by fellow coders and experienced traders.***
DESCRIPTION:
As coders, how can we seamlessly transition between actual and smoothed price data sets as data ages?
This is a visual experiment to see if and how data can be smoothly transitioned from one value to another over a set number of candles. If we visualize a chart in 3 zones, a head, a body, and a tail we can start to understand how this could work. The head zone would represent the first data set of actual asset prices. The body zone would represent the transition period from the first to the to the second data set. Last, the tail zone would represent the second data set made of a Hull Moving Average of the asset.
CONCEPT:
It is conceived that data and position precision constantly shift as they decay or age, therefore making older price levels act more like price regions or zones vs exact price points. This is what I am calling Recency.
This indicator utilizes the concept of "Recency" to explore the possibility of a new style of candle. It aims to maintain accurately on recent prices action but loosen up accuracy on older price action. The very nature of this requires ALTERING HISTORICAL DATA within the body zone or transition candles to achieve the effect. It is similar to trying to merge a line chart type with a candle chart type.
This experiment of using recency for candles was to create candles that stay more accurate near current price but fade away into a simple line as they age out, resulting in a simplified view of the big picture which consists of older price action.
This experimental design theoretically will help you stay focused only on what is currently unfolding and to minimize distractions from older price nuances.
USAGE:
WHO:
This is not recommended for new traders or novices that are unfamiliar with standard tools. Standardized tools should always be used to get grounded and build a foundation.
Active traders who are familiar with trading comfortably should experiment with this to see if they find it interesting or usable.
Pine coders may find this concept interesting enough, and may adapt the idea to other elements of their own scripts if they find it interesting… I just ask they give credit where credit is due.
HOW:
The best way to visualize how this works is to do the following:
Load it on a chart.
Turn off Standard candles in Chart Setting of the current window. I actually just turn off the bodies and borders, and dim the old wicks as I like the way the old wicks look when left alone with these new candles.
Enable chart replay at a faster speed, like 3x, and play back the chart to watch the behavior of the candles.
You’ll be able to see how the head of the candle type preserves OHLC, and indicates direction but as the candle starts to age it progressively flowers into the HMA
While it plays back try adjusting settings to see how they affect behavior.
You can see the data average in real-time which often reveals how unstable actual price noise really is.
The head candle diagonals indicate the candle body direction.
SETTINGS:
Coloring: You can choose your own bullish or bearish colors to match your scheme.
Price Line: The price line is colored according to the trend and
Head Length: These candles are true to the source high and low. They remain slightly brighter than transition candles. We have a max of 50 to keep things responsive.
Time Decay Length: This is the amount of candles it takes to transition to the tail. Max is 300 to keep things responsive.
Decay Continuity: This forces transition candles to complete the HMA curve instead of creating gaps when conforming to it. The best way to visualize this feature is to run a 3x replay of an asset, and toggle the result on and off. On is preferred.
Tail HMA Length: This is the smoothing amount for the resulting HMA stepline that calculates every close, but has a delayed draw until after the transition candles. You can optionally turn off the delayed visibility to help with comprehension.
Tail HMA Weight: This is simply an option to make the tail thicker or thinner. This also adjusts the border on the head candles to help them stand out.
Show Side Bias Dots: Default true: Draws a dot when bias to one side changes to help keep you on the right side of trade. Side bias is simply the alignment of 3 moving averages in one direction.
IMPORTANT NOTES:
You'll have to turn off or dim the standard candles in your view "Chart Settings" to see this properly.
Be aware that since the candles are based on boxes and utilize the “recency concept”, which means their data decays and changes as it ages. This results in a cleaner chart overall, but exact highs and lows will be averaged out as the data decays, forming a Hull Moving Average stepline of your defined length once decay has finished.
SUMMARY OF HOW IT WORKS:
First it takes candle information and creates unique boxes that represent each candle based on the high and low. It utilizes boxes because standard candles once written, cannot be later altered or removed… which is a key element for this effect to work.
Next it creates a second box and line from open to close for the body of the Head candles. This indicates direction at a glance.
As candles age beyond the defined distance of the “Head” they enter the "Body" aka "Time Decay" zone. Here the accuracy of the high and low will be averaged down using an incremental factor of the HMA, defined by "Time Decay Length" amount of candles.
The resulting tail is an HMA of Tail HMA Length. This tail is always calculate at close, but is not drawn instantly. The draw is delayed so that there is not overlapping data, and this makes the effect look more elegant.
There are also two EMAs within the script that do nothing but help candle coloring and help provide a trade side bias. When both EMA's and the HMA align, a side bias is defined. Only when the side bias changes will a new dot is formed.
Head candles have been simplified from previous versions to be easier to read at a a glance.
Consecutive count backtester / quantifytools- Overview
Consecutive counting is a simple method to mechanically define trending states to the upside and downside. Consecutive counts are calculated by taking reference price level (e.g. close 4 candles ago) and count closes above/below it up to a maximum count that resets the consecutive count back to 1. This tool provides the means to backtest each count by measuring % change in price after each count (e.g. % gain 2 candles after a given count).
Users can define reference source that starts the consecutive count (e.g. close 4 candles ago), maximum count where counter resets (e.g. after 9th count) and backtesting period (e.g. price change 2 candles after count).
Filters add extra conditions that must be met on the consecutive count to qualify as valid, which are also reflected on the backtest metrics. The counts can be refined using the following filters:
- RSI above/below X
- Price above/below/at moving average of choice
- Relative volume above/below X
Average gain corresponding to each count as they occur can be toggled off for less clutter. Average price change can also be visualized using candle color. Colors, gradient and table/label sizes are fully customizable.
- Practical guide
Example #1: Identify reversal potential
Consecutive counting is a simple yet effective method to for detecting reversals, for which 7-9 counts are traditionally used. Whether that holds true or not can now be put through a test with different variations of the method as well as using additional filters to improve the probability of a turn.
Example #2: Identify trend following potential
Consecutive counts can also have utility value for trend following. When historical short term change is to the downside, expect downside, when to the upside, expect upside.
Multi Time Period Box Analysis v2 [ HDBhagat ]The "Multi Time Period Chart" indicator in Pine Script is designed to overlay multiple sets of boxes on the chart, each representing price movements on different timeframes. It allows traders to visually compare price action across various timeframes simultaneously. The indicator offers flexibility by allowing users to choose between automatic mode (where timeframes are selected based on predefined rules) or manually defining custom timeframes.
Key Features:
Multi-Timeframe Analysis: The indicator enables traders to analyze price action across multiple timeframes concurrently, facilitating a comprehensive view of market dynamics.
User-Defined Timeframes: Traders can customize the timeframes for each set of boxes according to their preferences. They have the option to choose between automatic mode, which selects timeframes based on predefined rules, or manually inputting custom timeframes.
Visual Representation: Price movements are visually represented by boxes drawn on the chart, with each box indicating the price range (from high to low) within a specific timeframe. The color of the boxes indicates whether the closing price is higher or lower than the opening price.
Dynamic Updates: The indicator dynamically updates the boxes as new price data becomes available. It ensures that the visualization remains accurate and reflects the most recent market conditions.
Customizable Styling: Traders can customize the appearance of the boxes, including color, border style, and text display. This allows for personalization to suit individual preferences and improve readability.
Efficient Resource Management: The script efficiently manages computing resources by only processing data when necessary, avoiding unnecessary calculations and reducing runtime errors.
Compatibility: The script is compatible with the Pine Script language on the TradingView platform, making it accessible to a wide range of traders who use this platform for technical analysis.
Overall, the "Multi Time Period Chart" indicator provides traders with a powerful tool for conducting multi-timeframe analysis, aiding in trend identification, pattern recognition, and decision-making in the financial markets.
Nested Candle Highlighter @shrilssThe Nested Candle Highlighter identifies when the current candle's body is completely enclosed by the previous candle's wick zones. It examines the upper wick zone, from the previous high to the open or close, and the lower wick zone, from the low up to the open or close. This focused analysis can signal consolidation and potential shifts in momentum, offering an insightful addition to your trading analysis.
Previous Candle + Inside/OutsideThe script uses the previous candle of the current timeframe to assess the state of the current candle.
1. Previous candle high/low and midpoint are displayed
2. Highlights current bar if INSIDE previous candle
3. Highlights current bar if POTENTIAL OUTSIDE bar. This condition uses the logic that if the previous high/low has been swept and price then reaches previous bar 50%, then an OUTSIDE bar is possible.
4. If current candle breaks previous high/low, a label is added to identify.
5. If above condition is true and current candle color is opposite of previous, then label is highlighted to show possible bull/bear condition.
6. If current candle live price is below previous midpoint, a BEAR label is shown
7. If current candle live price is above previous midpoint, a BULL label is shown
I personally use the indicator on Daily/Weekly/Monthly charts to help with my overall market assessment. However users may find their own use for the indicator...or modify it to their own preferences.
As ever, the indicator should only be used with live trading accounts after thorough backtesting using a large data range.
FOMO Alert (Miu)This indicator won't plot anything to the chart.
Please follow steps below to set your alarms based on price range variation:
1) Add indicator to the chart
2) Go to settings
3) Choose timeframe which will be used to calculate bars
4) Choose how many bars which will be used to calculate max and min range
5) Choose max and min range variation (%) to trigger alerts
5) Choose up to 6 different symbols to get alert notification
6) Once all is set go back to the chart and click on 3 dots to set alert in this indicator, rename your alert and confirm
7) You can remove indicator after alert is set and it'll keep working as expected
What does this indicator do?
This indicator will generate alerts based on following conditions:
- If min and max prices reach the range (%) from amount of bars on timeframe set for any symbol checked it will trigger an alert.
- If next set of bars reaches higher range than before it will trigger an alert with new data
- If next set of bars doesn't reach higher range than before it will not trigger alerts, even if they are above the range set (this is to prevent the alert to keep triggering with high frequency)
Once condition is met it will send an alert with the following information:
- Symbol name (e.g: BTC, ETH, LTC)
- Range achieved (e.g: 3,03%)
- Current symbol price and current bar direction (e.g: 63,477.1 ▲)
This script will request lowest and highest prices through request.security() built-in function from all different symbols within the range set. It also requests symbols' price (close) and amount of digits (mintick) for each symbol to send alerts with correct value.
This script was developed with main purpose to send alerts when there are strong price movements and I decided to share with community so anyone can set different parameters for different purposes.
Feel free to give feedbacks on comments section below.
Enjoy!
BINANCE-BYBIT Cross Chart: Spot-Perpetual CorrelationName: "Binance-Bybit Cross Chart: Spot-Perpetual Correlation"
Category: Scalping, Trend Analysis
Timeframe: 1M, 5M, 30M, 1D (depending on the specific technique)
Technical analysis: This indicator facilitates a comparison between the price movements shown on the Binance spot chart and the Bybit perpetual chart, with the aim of discerning the correlation between the two charts and identifying the dominant market trends. It automatically generates the corresponding chart based on the ticker selected in the primary chart. When a Binance pair is selected in the main chart, the indicator replicates the Bybit perpetual chart for the same pair and timeframe, and vice versa, selecting the Bybit perpetual chart as the primary chart generates the Binance spot chart.
Suggested use: You can utilize this tool to conduct altcoin trading on Binance or Bybit, facilitating the comparison of price actions and real-time monitoring of trigger point sensitivity across both exchanges. We recommend prioritizing the Binance Spot chart in the main panel due to its typically longer historical data availability compared to Bybit.
The primary objective is to efficiently and automatically manage the following three aspects:
- Data history analysis for higher timeframes, leveraging the extensive historical data of the Binance spot market. Variations in indicators such as slow moving averages may arise due to differences in historical data between exchanges.
- Assessment of coin liquidity on both exchanges by observing candlestick consistency on smaller timeframes or the absence of gaps. In the crypto market, clean charts devoid of gaps indicate dominance and offer enhanced reliability.
- Identification of precise trigger point levels, including daily, previous day, or previous week highs and lows, which serve as sensitive areas for breakout or reversal operations.
All-Time High (ATH) and All-Time Low (ATL) levels may vary significantly across exchanges due to disparities in historical data series.
This tool empowers traders to make informed decisions by leveraging historical data, liquidity insights, and precise trigger point identification across Binance Spot and Bybit Perpetual market.
Configuration:
EMA length:
- EMA 1: Default 5, user configurable
- EMA 2: Default 10, user configurable
- EMA 3: Default 60, user configurable
- EMA 4: Default 223, user configurable
- Additional Average: Optional display of an additional average, such as a 20-period average.
Chart Elements:
- Session separator: Indicates the beginning of the current session (in blue)
- Background: Indicates an uptrend (60 > 223) with a green background and a downtrend (60 < 223) with a red background.
Instruments:
- EMA Daily: Shows daily averages on an intraday timeframe.
- EMA levels 1h - 30m: Shows the levels of the 1g-30m EMAs.
- EMA Levels Highest TF: Provides the option to select additional EMA levels from the major timeframes, customizable via the drop-down menu.
- "Hammer Detector: Marks hammers with a green triangle and inverted hammers with a red triangle on the chart
- "Azzeramento" signal on TF > 30m: Indicates a small candlestick on the EMA after a dump.
- "No Fomo" signal on TF < 30m: Indicates a hyperextended movement.
Trigger Points:
- Today's highs and lows: Shows the opening price of the day's candlestick, along with the day's highs and lows (high in purple, low in red, open in green).
- Yesterday's highs and lows: Displays the opening price of the daily candlestick, along with the previous day's highs and lows (high in yellow, low in red).
You can customize the colors in "Settings" > "Style".
It is best used with the Scalping The Bull indicator on the main panel.
Credits:
@tumiza999: for tests and suggestions.
Thanks for your attention, happy to support the TradingView community.
3. [Pufferman] - HA Candle Color OverlayThis indicator is designed for traders who utilize Heikin-Ashi (HA) candles to determine market trend direction and strength but prefer not to clutter their charts with multiple candlestick overlays or constantly switch between chart types. It aims to enhance chart readability by marking significant HA candles directly on the price chart, leveraging the unique characteristics of HA candles to signal trend direction and momentum.
Key Features:
1. Trend Identification through HA Candles: Automatically calculates Heikin-Ashi candles based on standard price data, highlighting significant HA candles that exhibit flat tops or bottoms. These characteristics are indicators of strong trend presence and direction. Highlights are in darker or lighter shade (darker - bearish or light - bullish colors) than the standard candles for easy read.
2. Cleaner Chart Presentation: Offers a streamlined alternative to overlaying HA candles on traditional candlestick charts or toggling between different chart views, keeping the user's interface uncluttered.
3. Selective Highlighting Based on Agreement: Marks traditional candles only when there's a concurrence between the HA candle's trend (bullish or bearish) and the traditional candle's trend. This feature ensures that only the most relevant signals are highlighted for the trader's attention.
Operational Mechanism: The script identifies HA candles with open equal to high (for flat tops) and open equal to low (for flat bottoms), which typically indicate strong trend movements. By marking these on the regular price chart, it provides immediate visual cues about trend strength and direction without needing to switch between HA and traditional candlestick views.
This tool is particularly useful for traders looking for a clean and efficient way to incorporate the insights of Heikin-Ashi candles into their technical analysis without the visual complexity of full HA candlestick overlays.
QuarterCandlesChanges candle color when close is within the top 25% or bottom 25% of candle range (High - Low) on the last candle update.
Due to limitations of barcolor command, I'd suggest that you turn OFF the candle borders (chart settings--> right click on chart --> settings -->symbol and uncheck the border option) to ensure that the bar color is easily identifiable.
HTF FVG and Wick Fill trackingImbalances in the charts are some of the clearest and most traded price areas. Two of the best and most used are fair value gaps FVGs and large candle wicks. In both of these price appears to move in such a way that most are left behind having 'missed' the move. But in reality price will often come back to these price points to re-balance and absorb the liquidity that was left behind.
This indicator takes these areas and makes viewing and tracking them clearer than ever. It does this, by first allowing the user to overlay a higher timeframe candle on the current chart. This in itself provides an in depth look at a higher timeframe candle both as it forms and in its final form.
Next the indicator identifies either the FVG or large wicks, on the chosen higher timeframe, all while the chart remains on a lower timeframe. As seen here the fair value gaps are clearly highlighted, taken from a 4 hour timeframe, while the actual chart is on 15 minutes. This allows the user even greater accuracy in identifying their key trading areas.
Utilizing the indicators unique feature, these areas can optionally be extended forward to the current timeframe and 'filled' in realtime. Areas that are filled to the users defined level, will be removed from the chart.
With supplementary settings for how much history to show, how large of a wick should be highlighted and complete control over the colour scheme, users will be able to track and understand the filling of imbalances like never before.
QTE Scalper ModifiedA modified version of the QTE scalper indicator. Produces a buy/sell signal based on a 2 candle pattern. For long signals it produces a signal when the high and low of the second candle are below the high and low of the first candle and both candles close above the 10 period EMA. The reverse is true for short signals.
Added functionality so that signals will trigger an alert: Add the indicator to the chart on the instrument and timeframe you wish to use it on. Add an alert and in the 'condition' section choose the indicator and set the trigger as 'once per bar close'. You will have to set individual alerts for both long and short signals and if you change the time period on the chart.
Candle Close TrendFirst of all, a huge credit to Wade for all the help with this indicator. An absolute Legend!
The idea behind this indicator is to identify a potential trend with simply the close of candles.
If a candle closes above the previous candle High, the trend would be "bullish" and remain bullish until there is a candle that closes below the previous candle Low. The opposite is true for a "bearish" trend.
As always, this is NOT intended to be used by itself, but with other TA.
For cleanest results, I find it best to use with the candle borders turned off in the chart settings but that is just my preference.
Works on all timeframes.
Bollinger Band Wick and SRSI Signals [MW]Introduction
This indicator uses a novel combination of Bollinger Bands, candle wicks crossing the upper and lower Bollinger Bands and baseline, and combines them with the Stochastic SRSI oscillator to provide early BUY and SELL signals in uptrends, downtrends, and in ranging price conditions.
How it’s unique
People generally understand Bollinger Bands and Keltner Channels. Buy at the bottom band, sell at the top band. However, because the bands themselves are not static, impulsive moves can render them useless. People also generally understand wicks. Candles with large wicks can represent a change in pattern, or volatile price movement. Combining those two to determine if price is reaching a pivot point is relatively novel. When Stochastic RSI (SRSI) filtering is also added, it becomes a genuinely unique combination that can be used to determine trade entries and exits.
What’s the benefit
The benefit of the indicator is that it can help potentially identify pivots WHEN THEY HAPPEN, and with potentially minimal retracement, depending on the trader’s time window. Many indicators wait for a trend to be established, or wait for a breakout to occur, or have to wait for some form of confirmation. In the interpretation used by this indicator, bands, wicks, and SRSI cycles provide both the signal and confirmation.
It takes into account 3 elements:
Price approaching the upper or lower band or the baseline - MEANING: Price is becoming extended based on calculations that use the candle trading range.
A candle wick of a defined proportion (e.g. wick is 1/2 the size of a full candle OR candle body) crosses a band or baseline, but the body does not cross the band or baseline - MEANING: Buyers and sellers are both very active.
The Stochastic RSI reading is above 80 for SELL signals and below 20 for BUY signals - MEANING: Additional confirmation that price is becoming extended based on the current cyclic price pattern.
How to Use
SIGNALS
Buy Signals - Green(ish):
B Signal - Potential pivot up from the lower band when using the preferred multiplier
B1 Signal - Potential pivot up from baseline
Sell Signals - Red(ish):
S Signal - Potential pivot down from the upper band when using the preferred multiplier
S1 Signal - Potential pivot down from the baseline
DISCUSSION
During an uptrend or downtrend, signals from the baseline can help traders identify areas where they may enter the trending move with the least amount of drawdown. In both cases, entry points can occur with baseline signals in the direction of the trend.
For example, in an uptrend (when the price is forming higher highs and higher lows, or when the baseline is rising), price tends to oscillate between the upper band and baseline. In this case, the baseline BUY signal (B3) can show an entry point.
In a downtrend (when the price is forming lower highs and lower lows, or when the baseline is falling), price tends to oscillate between the baseline and the lower band. In this case, the baseline SELL signal (S3) can show an entry point.
During consolidation, when price is ranging, price tends to oscillate between the upper and lower bands, while crossing through the baseline unperturbed. Here, entry points can occur at the upper and lower bands.
When all conditions are met at the lower band during consolidation, a BUY signal (B), can occur. This signal may also occur prior to a break out of consolidation to the upside.
When all conditions are met at the upper band during consolidation, a SELL signal (S), can occur. This signal may also occur prior to a break out of consolidation to the downside.
Additional, B1 and S1 signals can be displayed that use the baseline as the pivot level.
Settings
SIGNALS
Show Bollinger Band Signals (Default: True): Allows signal labels to be shown.
Hide Baseline Signals (Default: False): Baseline signals are on by default. This will turn them off.
Show Wick Signals (Defau
lt: True): Displays signals when wicking occurs.
BOLLINGER BAND SETTINGS
Period length for Bollinger Band Basis (Default: 21): Length of the Bollinger Band (BB) moving average basis line.
Basis MA Type (Default: SMA): The moving average type for the BB Basis line.
Source (Default: “close”): The source of time series data.
Standard Deviation Multiplier (Default: 2.5: The deviation multiplier used to calculate the band distance from the basis line.
WICK SETTINGS FOR BOLLINGER BANDS
Wick Ratio for Bands (Default: 0.3): The ratio of wick size to total candle size for use at upper and lower bands.
Wick Ratio for Baseline (Default: 0.3): The ratio of wick size to total candle size for use at baseline.
WICK SETTINGS FOR CANDLE SIGNALS
Upper Wick Threshold (Default: 50): The percent of upper wick compared to the full candle size or candle body size.
Lower Wick Threshold (Default: 50): The percent of lower wick compared to the full candle size or candle body size.
Use Candle Body (Default: false): Toggles the use of the full candle size versus the candle body size when calculating the wick signal.
VISUAL PREFERENCES
Fill Bands (Default: true): Use a background color inside the Bollinger Bands.
Show Signals (Default: true): Toggle the Bollinger Band upper band, lower band, and baseline signals.
Show Bollinger Bands (Default: true): Show the Bollinger Bands.
STOCHASTIC SETTINGS
Use Stochastic RSI Filtering (Default: False): This will only trigger some SELL signals when the stochastic RSI is above 80, and BUY signals when below 20.
K (Default: 3): The smoothing level for the Stochastic RSI.
RSI Length (Default: 14): The period length for the RSI calculation.
Stochastic Length (Default: 8): The period length over which the stochastic calculation is performed.
Calculations
Bollinger Bands are a technical analysis tool that are used to measure market volatility and identify overbought or oversold conditions in the trading of financial instruments, such as stocks, bonds, commodities, and currencies. Bollinger Bands consist of three lines plotted on a price chart:
Middle Band, Basis, or Baseline: This is typically a simple moving average (SMA) of the closing prices over a certain period. It represents the intermediate-term trend of the asset's price.
Upper Band: This is calculated by adding a certain number of standard deviations to the middle band (SMA). The upper band adjusts itself with the increase in volatility.
Lower Band: This is calculated by subtracting the same number of standard deviations from the middle band (SMA). Like the upper band, the lower band adjusts to changes in volatility.
The candle wick signals occur if the wick is at the specified ratio compared to either the entire candle or the candle body. The upper band, lower band, and baseline signals happen if the wick is the specified ratio of the total candle size. For the major signals for upper and lower bands, these occur when the wick extends outside of the bands while closing a candle inside of the bands. For the baseline signals, they occur if a wick crosses a baseline but closes on the other side.
Other Usage Notes and Limitations
To understand future price movement, this indicator assumes that 3 things must be known:
Evidence of a change of market structure. This can be demonstrated by increased volatility, consolidation, volume spikes (which can be tracked with the MW Volume Impulse Indicator) or, in the case of this indicator, candle wicks.
The potential cause of the change. It could be a VWAP line (which can be tracked with the Multi VWAP , and Multi VWAP from Gaps indicators), an event, an important support or resistance level, a key moving average, or many other things. This indicator assumes the ATR bands can be a cause.
The current position in the price cycle. Oscillators like the RSI, and MACD, are typical measures of price oscillation (other oscillators like the Price and Volume Stochastic Divergence indicator can also be useful). This indicator uses the Stochastic RSI oscillator to determine overbought and oversold conditions.
When evidence of the change appears, and the potential cause of the change is identified, and the price oscillation is at a favorable position for the desired trading direction, this indicator will generate a signal.
ATR Bands (or Keltner Channels) are used to determine when price might “revert to the mean”. Crossing, or being near the upper or lower band, can indicate an overbought or oversold condition, which could lead to a price reversal. By tracking the behavior of candle wicks during these events, we can see how active the battle is between buyers and sellers.
If the top of a wick is large, it may indicate that sellers are aggressively attempting to bring the price down. Conversely, if the bottom wick is large, it can indicate that buyers are actively trying to counter the price action caused by selling pressure.
When this wicking action occurs at times when price is not near the upper band, lower band, or baseline, it could indicate the presence of an important level. That could mean a nearby VWAP line, a supply or demand zone, a round price number, or a number of other factors. In any case, this wick may be the first indication of a price reversal.
Shorter baseline periods may be better for short period trading like scalping or day trading, while longer period baselines can show signals that are better suited to swing trading, or longer term investing.
It's important for traders to be aware of the limitations of any indicator and to use them as part of a broader, well-rounded trading strategy that includes risk management, fundamental analysis, and other tools that can help with reducing false signals, determining trend direction, and providing additional confirmation for a trade decision. Diversifying strategies and not relying solely on one type of indicator or analysis can help mitigate some of these risks.
The TradingView platform allows a maximum of 500 labels per chart. This means that if your settings allow for a lot of signals, labels for earlier ones may not appear if the total number of labels exceeds 500 for the chart.
Morning & Evening Star [TradingFinder] Stock Indices Gap Candle🔵 Introduction
In "technical analysis", there are certain reversal patterns that alert us to a potential reversal of a stock's previous trajectory.
Two significant patterns in this regard are the "Morning Star" pattern and the "Evening Star" pattern, which are formed by a combination of three different candlesticks and are considered as reversal patterns.
Here, we will examine how to identify these patterns and how to respond to them.
🟣 Morning Star Pattern
This pattern forms at the end of a downtrend and indicates the beginning of an uptrend.
The pattern consists of three candlesticks in the following order :
1.A large bearish candlestick
2.A candlestick with a short body
3.A bullish candlestick
With the formation of the morning star pattern, it is expected that the stock price will change direction and continue to rise. Therefore, in such situations, it is advisable to enter a long position and follow the uptrend.
Signs of the morning star pattern :
•The first sign of this pattern is the presence of a small-bodied candlestick at the end of the trend, accompanied by a gap from the previous candlestick (a bearish candlestick with a large body). Therefore, the bodies of the first and second candlesticks do not overlap.
•The second candlestick indicates market confusion and uncertainty. The color of the middle candlestick is not significant.
•The third candlestick must be positive and have a higher price than the previous candlestick (i.e., the small-bodied candlestick).
•The closing price of the third candlestick must be higher than half of the first candlestick.
🟣 Evening Star Pattern
This pattern forms at the end of an uptrend and indicates the beginning of a downtrend.
The pattern consists of three candlesticks in the following order :
1.A large bullish candlestick
2.A candlestick with a short body
3.A bearish candlestick
With the formation of the evening star pattern, it is expected that the stock price will change direction and continue to fall. Therefore, in such situations where this pattern is identified, it is advisable to refrain from entering a long position.
If the stock is traded in a two-way market, it is possible to profit by taking a short position after the formation of the evening star pattern.
Signs of the evening star pattern :
•The first sign of this pattern is the presence of a small-bodied candlestick at the end of the trend, accompanied by a gap from the previous candlestick (a bullish candlestick with a large body). Therefore, the bodies of the first and second candlesticks do not overlap.
•The second candlestick indicates market confusion and uncertainty. The color of the middle candlestick is not significant.
•The third candlestick must be negative and have a lower price than the previous candlestick (i.e., the small-bodied candlestick).
•The closing price of the third candlestick must be lower than half of the first candlestick.
🔵 How to Use
The "Filter" and "Market" features are available in the settings section, allowing you to customize the output of the indicator according to your needs.
With the "Filter" feature, you can filter the "Morning Star" and "Evening Star" patterns as "strong" or "weak." The difference between strong and weak patterns lies in their "Candle Body."
In strong patterns, the candle bodies account for more than 80% of the total candle range, while in weak patterns, the bodies comprise between 60% to 80% of the candle range.
If the "Filter" feature is set to "On," only strong patterns will be displayed. If it's set to "Off," all patterns will be displayed. By default, it's set to "Off."
The "Market" feature allows you to include "gaps" in your pattern identification calculations. You can choose between "Forex" and "Stock" modes. In the Forex pattern, calculations are performed without considering gaps since there are fewer gaps in the Forex market.
If gap calculations were to be part of the pattern identification conditions, only a very small number of patterns would be identified. However, in the "Stock" mode, gaps are considered as part of the identification conditions.
EHRHART Algo Premium (V.2)EHRHART Algo Premium is a indicator designed to help traders analyze market flow. It work with multiple EMA for identifying the sentiment of market. It's very simple calculation but it's a good help for people who use price action. I think the visual of the chart is very important and and I wanted to create an indicator very visual. I'm price action lover like lots of people and I personally think it's very important to identify the flow of market because buying when the flow of market is up give you better chance to win your trade. It's not BUY and SELL signal, this indicator don't tell u when u need buy or when u need sell, it's principally here for helping the visual of trading chart (have a good clear chart). I decided to post this indicator because people were asking me how it worked and were curious about these colors, so here we go !
This indicator show:
The main flow ( green candle=buy pressure /red candle=seller pressure ), it's based on two EMA cross over, this two EMA are editable so u can take the combination you want depending on your trading strategy. When the first EMA is above the second EMA candle becoming green and when the second EMA is above the first EMA candle becoming red.
The trend of two EMA crossover (blue=bullish and violet=bearish), it's based on two EMA (two different than main flow) cross over, this two EMA are editable so u can take the combination you want depending on your trading strategy. When the first EMA is above the second EMA the trend becoming blue and when the second EMA is above the first EMA the trend becoming violet.
Potential trend reversals (violet candle), it's calculate with the two EMA of the main flow, when these two EMA becoming closer, the candle becoming violet. It meaning that the trend may reversals. I added sensitivity parameter, so u can adjust it depending on your trading strategy, the more sensitive it is, the more candle will be colored violet.
A system of RSI print on the chart, when the RSI becoming overbought (more than 75) a red triangle will pop up on the chart, and when the RSI becoming oversold (less than 25) a green triangle will pop up on the chart. U can show or hidden these setting.
Bullish candles are represented by hollow candles.
Bearish candles are represented by full candles.
You can use this indicator with multiple strategy, I personally use it with price action (support/resistance) and I made it for that (but it's your choice).
This is an example of how I'll use it:
Here we can see that the price is coming testing our weakly support, however the main flow is bullish (red candle), so I'm waiting my first signal (violet candle). When the first candle passed violet I decided to enter the trade because violet candle after red candle means that the two EMA start closed to themselves meaning that's the flow may turn green. My second signal will be candle passed green, because it meaning the two EMA start deviate from themselves, buyer are taking advantage. In this situation a green triangle on the support will be my third signal.
Gradient Candles
The Gradient Candles indicator is crafted to be a comprehensive replacement for default candlesticks, offering users an enhanced and visually stunning alternative. To experience the intended results and fully immerse in the distinctive features of Gradient Candles, it's recommended to hide the default candlesticks. This ensures that traders can fully appreciate the unique color gradient and dynamic visual representation that this indicator brings to chart analysis.
Designed to elevate chart analysis, Gradient Candles not only offer a fresh perspective on price movements but also captivate users with their visually appealing representation of market dynamics. Departing from traditional candlestick coloration, the dynamic adaptation of colors, the 'color.from_gradient()' function plays a pivotal role in translating the current source value into a color that reflects its proximity to the highest and lowest values and corresponding colors. Beyond its analytical capabilities, Gradient Candles transform market analysis into an aesthetically enriching experience, providing traders with a unique and comprehensive tool for their technical analysis toolkit.
Traders can tailor the indicator's appearance to suit their preferences and seamlessly integrate it into their personal trading environment. From color inversion to transparency adjustments and the option to fill candles instead of outlining them, the customization features empower users to create a visual representation that aligns precisely with their unique preferences.
Wick %Heyo Fellas,
thanks for checking out my new indicator.
Introduction
Wick % is a simple indicator to compare wick size with body size (mode 1) and to compare wick size with candle size (mode 2).
Upper wicks are bullish when close is higher than open pricen.
Lower wicks are bearish when close is lower than open price.
Wick Theory
In general, big wick and small bodie on a bar means that bull and bears are fighting heavily.
A big wick below the body means the bulls are leading in that fight,
and a big wick above the body means the bears are leading in that fight.
Calculation Formula
Mode 1 – Percentual Increase Wick/Body:
upperWickPercentage = (upperWick / body) * 100 - 100
lowerWickPercentage = (lowerWick / body) * 100 - 100
Mode 2 – Percent Wick/Candlestick:
upperWickPercentage = (upperWick / (high - low)) * 100
lowerWickPercentage = (lowerWick / (high - low)) * 100
Usage
You can use it on every symbol and every timeframe.
The indicator repaints by default, but you can disable it in the settings.
When you disable repaint, it moves the label one bar to the right.
If you want to use the indicator for signals, you must disable repainting.
Best regards,
simwai
CandleStick [TradingFinder] - All Reversal & Trend Patterns🔵 Introduction
"Candlesticks" patterns are used to predict price movements. We have included 5 of the best candlestick patterns that are common and very useful in "technical analysis" in this script to identify them automatically. The most important advantage of this indicator for users is saving time and high precision in identifying patterns.
These patterns are "Pin Bar," "Dark Cloud," "Piercing Line," "3 Inside Bar," and "Engulfing." By using these patterns, you can predict price movements more accurately and therefore make better decisions in your trades.
🔵 How to Use
Pin Bar : This pattern consists of a Candle where "Open Price," "Close Price," "High Price," and "Low Price" form the "Candle Body," and it also has "Long Shadow" and "Short Shadow." In the visual appearance of the Pin Bar pattern, we have a candle body and a pin bar shadow, where the candle body is smaller relative to the shadow.
Just as the candle body plays an important role in analysis, the pin bar shadow can also be influential. The larger the pin bar shadow, the stronger the expectation of a trend reversal.
When a "bearish pin bar" occurs at resistance or the chart ceiling, it can be predicted that the price trend will be downward. Similarly, at support points and the chart floor, a "bullish pin bar" can indicate an upward price movement.
Additionally, patterns like "Hammer," "Shooting Star," "Hanging Man," and "Inverted Hammer" are types of pin bars. Pin bars are formed in two ways: bullish pin bars have a long lower shadow, and bearish pin bars have a long upper shadow. Important: Displaying "Bullish Pin Bar" is labeled "BuPB," and "Bearish Pin Bar" is labeled "BePB."
Dark Cloud : The Dark Cloud pattern is one type of two-candle patterns that occurs at the end of an uptrend. The 2-candle pattern indicates the shape of this pattern, which actually consists of 2 candles, one bullish and one bearish. This pattern indicates a trend reversal and is quite powerful.
The Dark Cloud pattern is seen when, after a bullish candle at the end of an uptrend, a bearish candle opens at a higher level (weakly, equal, or higher) than the closing point of the bullish candle and finally closes at a point approximately in the middle of the previous candle. In this indicator, the Dark Cloud pattern is identified as "Wick" and "Strong" .
The difference between these two lies in the strictness of their conditions. Important: Strong Dark Cloud is labeled "SDC," and Weak Dark Cloud is labeled "WDC."
Piercing Line : The Piercing candlestick pattern consists of 2 candles, the first being bearish and consistent with the previous trend, and the second being bullish. The conditions of the pattern are such that the first candle is bearish and a price gap is created between the two candles upon the opening of the next candle because its opening price is below (weakly equal to or less than) the closing price of the previous candle.
Additionally, its closing price must be at least 50% above the red candle.
This means that the second candle must penetrate at least 50% into the first candle. Important: Strong Piercing Line is labeled "SPL," and Weak Piercing Line is labeled "WPL."
3 Inside Bar (3 Bar Reversal) : The 3 Inside Bar pattern is a reversal pattern. This pattern consists of 3 consecutive candles and can be either bullish or bearish. In the bullish pattern (Inside Up) formed at the end of a downtrend, the last candle must be bullish, and the third candle from the end must be bearish.
Additionally, the close price must be more than 50% of the third candle from the end. In the bearish pattern (Inside Down) formed at the end of an uptrend, the last candle must be bearish, and the third candle from the end must be bullish. Additionally, the close price must be less than 50% of the third candle from the end. Important: Bullish 3 Inside Bar is labeled "Bu3IB," and Bearish 3 Inside Bar is labeled "Be3IB."
Engulfing : The Engulfing candlestick pattern is a reversal pattern and consists of at least two candles, where one of them completely engulfs the body of the previous or following candle due to high volatility.
For this reason, the term "engulfing" is used for this pattern. This pattern occurs when the price body of a candle encompasses one or more candles before it. Engulfing candles can be bullish or bearish. Bullish Engulfing forms as a reversal candle at the end of a downtrend.
Bullish Engulfing indicates strong buying power and signals the beginning of an uptrend. This pattern is a bullish candle with a long upward body that completely covers the downward body before it. Bearish Engulfing, as a reversal pattern, is a long bearish candle that engulfs the upward candle before it.
Bearish Engulfing forms at the end of an uptrend and indicates the pressure of new sellers and their strong power. Additionally, forming this pattern at resistance levels and the absence of a lower shadow increases its credibility. Important: Bullish Engulfing is labeled "BuE," and Bearish Engulfing is labeled "BeE."
🔵 Settings
This section, you can use the buttons "Show Pin Bar," "Show Dark Cloud," "Show Piercing Line," "Show 3 Inside Bar," and "Show Engulfing" to enable or disable the display of each of these candlestick patterns.
Engulfing [TradingFinder] Bullish & Bearish CandleStick Pattern🔵 Introduction
The candlestick engulfing pattern is important pattern in technical analysis that can be observed in candlestick charts. This pattern occurs when a complete candle engulfs or "engulfs" the body of a previous candle, meaning that the body of the new candle completely covers the body of the previous candle.
The candlestick engulfing pattern has two types: the bullish engulfing pattern and the bearish engulfing pattern.
• Bullish Engulfing Pattern: This pattern occurs when a market candle opens with a larger and higher body than the previous market candle and completely covers the body of the previous candle. This pattern may indicate the presence of strong buying pressure and a potential change in price direction upwards.
• Bearish Engulfing Pattern: This pattern occurs when a market candle opens with a larger and lower body than the previous market candle and completely covers the body of the previous candle. This pattern may indicate the presence of strong selling pressure and a potential change in price direction downwards.
The candlestick engulfing pattern is usually used as a valid signal for a change in price direction in the market and can enhance a combination of crossover investments and technical analysis. However, it should always be evaluated alongside other indicators and market factors, and counter decisions should be made accordingly.
🔵 Recognition Method
Correct, the candlestick engulfing pattern is one of the important patterns in technical analysis that is typically used as a strong signal for a valid change in price direction in the market. This pattern occurs when a candle (usually in the market) opens with a larger and higher (for bullish engulfing pattern) or lower (for bearish engulfing pattern) body than a previous market candle and completely covers the body of the previous candle.
Example of Bullish Engulfing Pattern:
• First Candle: A bearish (downward) candle with a small red body.
• Second Candle: A bullish (upward) candle with a larger body that completely covers the body of the previous candle.
This pattern may indicate a change in price direction from downward to upward.
Example of Bearish Engulfing Pattern:
• First Candle: A bullish (upward) candle with a small green body.
• Second Candle: A bearish (downward) candle with a larger body that completely covers the body of the previous candle.
This pattern may indicate a change in price direction from upward to downward.
The most important point is that the candlestick engulfing pattern should be carefully considered and always evaluated alongside other market indicators and overall conditions. For example, the engulfing pattern near important support or resistance levels, during significant market command changes, or accompanied by other technical signals can have greater signaling power.
🟣 "Bullish Engulfing" Candle
• The first candle is bullish and the second candle is bearish.
• At the end of a downtrend.
• The closing of the first candle is above the opening of the second candle.
• The high of the first candle is higher than the high of the second candle.
Optimal Condition:
• The closing of the first candle is higher than the high of the second candle.
• More than 80% of the first candle is bullish.
🟣 "Bearish Engulfing" Candle
• The first candle is bearish and the second candle is bullish.
• At the end of an uptrend.
• The closing of the first candle is below the opening of the second candle.
• The low of the first candle is lower than the low of the second candle.
Optimal Condition:
• The closing of the first candle is below the opening of the second candle.
• More than 80% of the first candle is bearish.
🔵 Settings
The "Engulf Filter" option allows the "Optimal Condition" to be executed and will show fewer candlesticks.
🔵 Status
Off: Default mode, showing more identifications.
• Green color indicates optimal "Bullish Engulfing" candles.
• Red color indicates optimal "Bearish Engulfing" candles.
On: By changing the default to "On," the number of identifications decreases and the optimal condition is applied.
• Blue color indicates "Bullish Engulfing" candles.
• Black color indicates "Bearish Engulfing" candles.
🟣 Important Note
"Engulfing" candles are very useful signals in the direction of the overall trend, but we do not expect a suitable movement from "Engulfing" candles against the trend.
