[blackcat] L2 Ehlers Super Passband FilterLevel: 2
Background
John F. Ehlers introuced Super Passband Filter in Jul, 2016.
Function
In “The Super Passband Filter” in Jul, 2016, John Ehlers addressed the problem of frequencies in indicators that are too low or too high. The common practice to refine frequency is to enable smart filters. However, good filters take lots of computational power. So Ehlers showed us how to use filters while keep computing power relatively low. John Ehlers described a new oscillator he’s developed to help minimize computational lag. Ehlers called this new oscillator a super passband filter. He has designed it to reject very low-frequency components and thus display as an oscillator as well as reject high-frequency components so as to minimize noise. Ehlers seeked to filter out both high and low frequencies from market data, eliminating distracting “wiggles” from the resultant signal with minimal lag effect. Trigger points for the filter are added with a root mean square (RMS) envelope over the signal line.
## Buy on the filter crossing above its -RMS line
## Short on the filter crossing below its RMS line
## Exit long when the filter either crosses below its RMS or crosses below -RMS (which signifies a false entry signal)
## Cover short when the filter either crosses above its -RMS or crosses above RMS (which signifies a false entry signal)
It suggests that this new nearly-zero lag filter looks promising for countertrend trades and for buying on significant dips.
Key Signal
PB --> Ehlers Super Passband Filter Signal
RMS --> Root Mean Squared Ehlers Super Passband Filter Signal
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 86th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
Ehlers
[blackcat] L2 Ehlers Decycler OscillatorLevel: 2
Background
John F. Ehlers introuced Decycler Oscillator in Sep, 2015.
Function
In “Decyclers” in Sep, 2015, John Ehlers described a method for constructing an oscillator that could help traders detect trend reversals with almost no lag, an oscillator that signals trend reversals with almost zero lag via digital signal processing techniques. A high-pass filter is subtracted from the input data and the high-frequency components are removed via cancellation of terms. Lower-frequency components are filtered from the output, so they are not canceled from the original data. Thus, the decycler displays them with close to zero lag. The fast line has a period of 100 a K value of 1.2 and the slow line has a period of 125 and a K value of 1.
This script demonstrates the timely response of the decycler oscillator to market action. It applies the idea of using a decycler oscillator pair with different parameters, as discussed in Ehlers’ article:
1. Enter long when the fast line crosses over the slow line;
2. Exit long when the fast line crosses under the slow line.
Key Signal
Fast_Val --> Ehlers Decycler Oscillator fast line
Slow_Val --> Ehlers Decycler Oscillator slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 85th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Simple DecyclerLevel: 2
Background
John F. Ehlers introuced Simple Decycler in Sep, 2015.
Function
In “Decyclers” in Sep, 2015, John Ehlers described a method for constructing an oscillator that could help traders detect trend reversals with almost no lag. Ehlers calls this new oscillator a decycler. The author began the process by isolating the high-frequency components present in the input data. He then subtracted these from the input data leaving only the lower-frequency components representing the trend. In more details, the idea is to subtract the high-pass filter value from the current close to get a “decycled” indicator that follows the trend rather well by removing much of the distracting high-frequency chatter. Apply a second high-pass filter using half the period from the first filter to the decycled indicator and you get a smoother result with much-reduced lag.
Key Signal
Decycle --> Ehlers Simple Decycler signal or center line of band
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 84th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
SAK-MPI: Smooth DXDescription : This SwissArmyKnife - MultiPurposeIndicator allows user to modify the Directional index based on one of filtering tools proposed by John F.Ehlers .
Details of each filtering type can be read in Ehlers Technical Papers: "Swiss Army Knife Indicator" and/or his book "Cybernetics Analysis for Stock and Futures"
Disclaimer:
These study scripts was built only to test/visualize an idea to see its viability and if it can be used to optimize existing strategy.
This is experimental indicator. Any ideas to further improve this indicator are welcome :)
[blackcat] L2 Ehlers Universal OscillatorLevel: 2
Background
John F. Ehlers introuced Universal Oscillator in Jan, 2015.
Function
In “Whiter Is Brighter”, in Jan 2015, John Ehlers presented a new indicator he calls the universal oscillator. It is based on his theory that market data resembles pink noise, or as he puts it, “noise with memory.” It could be used to create a short-term trading strategy. I modified it a little bit by changing the scan criteria that is met when the universal oscillator crosses above or below a pair of threshold values e.g. +/- 0.85. Therefore, a straightforward short-term (small time scale) countertrend system could, for example, use the following rules:
## Cover your short position and go long when the universal oscillator crosses below zero or a overbought/oversold threholds e.g. +/- 0.85; sell and go short when the universal oscillator crosses above zero or a overbought threhold e.g. + 0.85.
Since it is really a universal oscillator, the indicator can power up a trend-trading system just as easily:
## Buy when the long-term universal oscillator crosses above zero or a oversold threshold e.g. - 0.85.
## Sell when the long-term universal oscillator crosses below zero or a overbought threshold e.g. 0.85.
Key Signal
Universal --> Universal Oscillator signal
long ---> long entry signal
short ---> short entry signal
Pros and Cons
99% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 83th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Early Onset TrendLevel: 2
Background
John F. Ehlers introuced Early Onset Trend Indicator in Aug, 2014.
Function
In “The Quotient Transform” in Aug, 2014, John Ehlers described an early trend detection method, the idea of the quotient transform, that was designed to reduce the lag often found in other trend indicators. I provided a script with pine v4 code here for the early-onset trend-detection indicator and also describes an approach for creating a strategy based on this indicator as an example.
The entry points displayed in blue on the price chart are defined by the top Onset Trend Detector upper quotient crossing above a threshold value e.g zero or 0.25/-0.25 here in this script. In the article, Ehlers suggested using a different K value for the exit, so the exit points are determined by the lower Onset Trend Detector quotient crossing below a threshold e.g. zero or -0.25/0.25 here in this script.
Key Signal
Quotient1 --> upper quotient in yellow which determines long entry
Quotient2 --> lower quotient in fuchsia which determines short entry
long ---> long entry signal
short ---> short entry signal
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 82th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Super Smooth Stoch StrategyLevel: 2
Background
John F. Ehlers introuced Super Smooth Stochastic Indicator in Jan, 2014.
Function
In “Predictive And Successful Indicators” of in, 2014, John Ehlers presented another innovative way to eliminate noise from classic indicators and introduces some new smoothing indicators: the SuperSmoother filter, which is superior to moving averages for removing aliasing noise, and the MESA Stochastic oscillator, a stochastic successor that removes the effect of spectral dilation through the use of a roofing filter.
John Ehlers described a new method for smoothing market data while reducing the lag that most other smoothing techniques have. Ehlers had provided an approach for creating a strategy. For convenience, I made the same code available at tradingview pine v4 as well as an example strategy based on Ehlers’ description. Ehlers introduced a simple countertrend system that goes long when MESA Stochastic crosses below the oversold value and reverses the trade by taking a short position when the oscillator exceeds the overbought threshold.
Key Signal
MyStochastic --> Super Smooth Stochastic line
long ---> long entry signal
short ---> short entry signal
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 81th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
SAK-MPI: Stochastic & RSIDescription : This SwissArmyKnife - MultiPurposeIndicator allows user to modify the conventional indicator smoothing method Stochastic(SMA)/RSI(RMA) to one of filtering tools proposed by John F. Ehlers .
Details of each filtering type can be read in Ehlers Technical Papers: Swiss Army Knife Indicator,
I'm still very new with Digital Signal Processing (DSP) concept and this is my first attempt to help visualize one of Ehlers tools and its practicality (Read: Its experimental).
Any ideas to further improve this indicator are welcome :)
Disclaimer:
I always felt Pinescript is a very fast to type language with excellent visualization capabilities, so I've been using it as code-testing platform prior to actual coding in other platform.
Having said that, these study scripts was built only to test/visualize an idea to see its viability and if it can be used to optimize existing strategy.
While some of it are useful and most are useless, none of it should be use as main decision maker.
[blackcat] L3 Ehlers Market Mode IndicatorLevel: 3
Background
John F. Ehlers introuced Market Mode Indicator on April, 2012.
Function
This indicator is used to determine whether the market is in a trending or a cyclical mode. This is accomplished by comparing the average value of price, after being filtered to the peaks and valleys of that filtered price. The filter used in this indicator is a second order butterworth filter. For more information on this calculation see "Introducing SwamiCharts" (March 2012) and "Empirical Mode Decomposition" (March 2010) from Technical Analysis of Stocks and Commodities by Dr. Ehlers.
Key Signal
MeanCalc --> short term fast line
MeanCalc(2) --> short term slow line
long ---> long entry signal
short ---> short entry signal
Pros and Cons
NOT 100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 80th script for Blackcat1402 John F. Ehlers Week publication.
I kept the core of Ehlers market mode indicator, but add conditons for long and short entries which i think they are reasonable.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L3 Ehlers Enhanced Corona Swing PositionLevel: 3
Background
John F. Ehlers introuced Enhaced Corona Swing Position Indicator in April, 2012.
Function
John Ehlers's corona indicators, "Corona Charts," provide a "multidimensional" view of market activity. In the article "Corona Charts" in Nov, 2008, John Ehlers further developed his earlier work on market cycles. A new kind of indicator was presented that uses a glow-like effect to present another dimension of data. Implementation of corona charts in pine v4 helps detect dominant cycles in data. It provides a corona chart for swing positions indicator. He made an enhanced version of corona chart after 4 years, which could be used as a range filter to detect sideways and trends. Dr . Ehlers claims that a corona is displayed when the market is in a trend and there is little cyclic component. The swing position indicator shows the phasing of the data within the dominant cycle. In a pure cycle the Swing Position will trace out the shape of a sine wave.
Key Signal
DomCyc ---> Dominant Cycle
Raster ---> Corona Raster Array
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 79th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers SwamiCharts StochasticLevel: 2
Background
John F. Ehlers introuced SwamiCharts Stochastic Indicator in Mar, 2012.
Function
In the late 1950s, George Lane developed stochastics, an indicator that measures the relationship between an issue's closing price and its price range over a predetermined period of time. To this day, stochastics is a favored technical indicator because it is easy to understand and has a high degree of accuracy in indicating whether it's time to buy or sell a security. In “Introducing SwamiCharts” in Mar, 2012, authors John Ehlers & Ric Way presented the use of SwamiCharts to better visualize market activity using an indicator that presents a heatmap visualization. The authors provided descriptions for the construction of SwamiCharts using Stochastic indicator.
Key Signal
Stochastic ---> Stochastic array
Plot2~48 ---> SwamiCharts Stochastic Heat Map
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 78th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers SwamiCharts AroonLevel: 2
Background
John F. Ehlers introuced SwamiCharts Aroon Indicator in Mar, 2012.
Function
The Aroon indicator is a technical indicator that is used to identify trend changes in the price of an asset, as well as the strength of that trend. In essence, the indicator measures the time between highs and the time between lows over a time period.
In “Introducing SwamiCharts” in Mar, 2012, authors John Ehlers & Ric Way presented the use of SwamiCharts to better visualize market activity using an indicator that presents a heatmap visualization. The authors provided descriptions for the construction of SwamiCharts using Aroon indicator.
Key Signal
Aroon ---> Aroon array
Plot4~33 ---> SwamiCharts Aroon
short ---> Short entry signal
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 77th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Empirical Mode TraderCircumstance Remarks: Because of my carelessness, the script of the same name that I posted before was banned and hidden because the description contained content that violated the TradingView House Rule. After communicating with the MOD, I corrected the description and obtained permission to publish it again. I hereby declare. Sorry for the inconvenience!
Level: 2
Background
John F. Ehlers introuced Empirical Mode Trader Indicator in Mar, 2010.
Function
In his article “Empirical Mode Decomposition,” John Ehlers and Ric Way suggest using methods based on bandpass filtering to distinguish trending from cycling markets. The article’s trading suggestions were used to create the Empirical Mode strategy given here for pine v4 script. If the strategy determines that the marke is in trending mode, then the strategy is allowed to trade with the trend — either long, in uptrends, or short, in downtrends. If the indicator determines that the market is in cycling mode, then the strategy allows trading cycle extremes, using Bollinger bands to trigger entries. You can do this by Choosing either cycle or trend mode at inputs.
Key Signal
Trend ---> Trend signal
FracAvgPeak ---> Upper band signal
FracAvgValley ---> Lower band signal
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 75th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Zero-lag EMACircumstance Remarks: Because of my carelessness, the script of the same name that I posted before was banned and hidden because the description contained content that violated the TradingView House Rule. After communicating with the MOD, I corrected the description and obtained permission to publish it again. I hereby declare. Sorry for the inconvenience!
Level: 2
Background
John F. Ehlers introuced Zero-lag EMA Indicator in Nov, 2010.
Function
In “Zero Lag (Well, Almost)” article, authors John Ehlers and Ric Way presented their zero-lag exponential moving average indicator and strategy. They have adapted their zero-lag EMA by extending the functionality in an additional chart indicator named “Zero-Lag EMA”. Labels were added so that the user can be alerted when a crossing of the averages occurs.
The authors created an error-correcting filter for an exponential moving average ( EMA ) that seeks to minimize the lag effect of increasing periods. Increasing the gain parameter from zero changes the filter from an EMA with lag to effectively zero lag (albeit with zero smoothing also). The crossover of these lines can be used to form a trading strategy, with the addition of some threshold value for the difference between the Price and error-correcting line.
Key Signal
ZLEMA ---> Zero-lag EMA fast line
Trigger ---> Zero-lag EMA slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 76th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L3 Ehlers Corona Charts Swing PositionLevel: 3
Background
John F. Ehlers introuced Corona Charts Swing Position Indicator in Nov, 2008.
Function
John Ehlers's corona indicators, "Corona Charts," provide a "multidimensional" view of market activity. In the article "Corona Charts" in Nov, 2008, John Ehlers further developed his earlier work on market cycles. A new kind of indicator was presented that uses a glow-like effect to present another dimension of data. Implementation of corona charts in pine v4 helps detect dominant cycles in data. It provides a corona chart for swing positions indicator.
Dr. Ehlers claims that a corona is displayed when the market is in a trend and there is little cyclic component. The swing position indicator shows the phasing of the data within the dominant cycle. A value of -5 means the cycle is at its valley. A value of +5 means the cycle is at its peak. In a pure cycle the Swing Position will trace out the shape of a sine wave. However, I normalized it to overlay it together with Corona Chart heat maps.
Key Signal
DomCycle--> Ehlers Dominant Cycle
Plot2~Plot50--> Ehlers Corona Charts Swing Position Heat Map
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 74th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L3 Ehlers Spectrogram IndicatorLevel: 3
Background
John F. Ehlers introuced Dominant Cycle and Spectrogram Indicator in Mar, 2008.
Function
In "Measuring Cycle Periods" in Mar, 2008, John Ehlers presented a very interesting technique of measuring dominant market cycle periods by means of multiple bandpass filtering. By utilizing an approach similar to audio equalizers, the signal (here, the price series) is fed into a set of simple second-order infinite impulse response bandpass filters. Filters are tuned to 8,9,10,...,50 periods. The filter with the highest output represents the dominant cycle. This script implements a high-pass filter and a six-tap low-pass Fir filter on input, then 42 parallel Iir band-pass filters. Finally, it plots the Ehlers spectrogram as a heat map.
Ehlers Spectrogram indicates market power status:
With high market power, the spectrogram become fuzzy;
With low market power, the spectrogram become distinct.
It also discloses market dominant cycles and subcycles, which indicates the major rhythm. Regarding the rhythm of the market, Chinese and Western cultures have reached a consensus: Dr. Ehlers can find the main harmonic components of the market through DSP analysis via spectrum; Master Zen compares the market rhythm to Bach’s fugue from a philosophical perspective, where there is a rhythm of life.
Finally, please allow me to quote Master Zen’s statement on market rhythm:
"The market is cruel. For those who try to violate the market rhythm, the market is their death place; the market is beautiful, and the market is Bach’s fugue. There is a rhythm of life. Rhythm is always the rhythm of the market. A market participant without a sense of rhythm is always torturing. Put aside your greed and fear and listen to the rhythm of the market. In the weekend, let go of everything, but listen to the rhythm of nature, the rhythm of life, the rhythm of music, and then come back to listen to the rhythm of the market. Dancing with the market, your greed and fear are peeled off one by one, you will become very bright."
Key Signal
DomCyc--> Ehlers Dominant Cycle
Plot2~Plot60--> Ehlers Spectrum Heat Map
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 73th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Dominant Cycle Tuned Bandpass FilterLevel: 2
Background
John F. Ehlers introuced his Dominant Cycle Tuned Bandpass Filter Strategy in Mar, 2008.
Function
In "Measuring Cycle Periods", author John Ehlers presents a very interesting technique of measuring dominant market cycle periods by means of multiple bandpass filtering. By utilizing an approach similar to audio equalizers, the signal (here, the price series) is fed into a set of simple second-order infinite impulse response bandpass filters. Filters are tuned to 8,9,10,...,50 periods. The filter with the highest output represents the dominant cycle. A full-featured formula that implements a high-pass filter and a six-tap low-pass Fir filter on input, then 42 parallel Iir band-pass filters.
I've coded John Ehlers' filter bank to measure the dominant cycle (DC) and the sine and cosine filter components in pine v4 for TradingView, based on John Ehlers' article in this issue, "Measuring Cycle Periods." The CycleFilterDC function plots and returns the DC series and its components, so it's a trivial matter to make use of them in a trading strategy.
Based on John Ehlers' article, "Measuring Cycle Periods," he chose to implement the dominant cycle-tuned bandpass filter response to test Ehlers' suggestion to use the sine and cosine crossovers as buy and sell signals. If the sine closely follows the price pattern as suggested, and the cosine is an effective leading function of the sine, then it seems to make sense that a crossover implementation would work well (Personally, what I observed this is not so accurated as his claims).
What he discovered in his tests was that crossovers happened at frequent intervals, even when price has not moved significantly. This leads to a higher percentage of losing trades, particularly when spread, slippage, and commissions are accounted for. Nevertheless, the cosine crossover was quite effective at identifying reversals very early in many cases, so this indicator could prove quite effective when used alongside other indicators. In particular, the use of an indicator to confirm a certain level of recent volatility, as well as an indicator to confirm significant rate of change, could prove quite helpful.
Key Signal
CosineLine--> Ehlers Dominant Cycle Tuned Bandpass Filter Strategy fast line
SineLine--> Ehlers Dominant Cycle Tuned Bandpass Filter Strategy slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 72th script for Blackcat1402 John F. Ehlers Week publication.
NOTE: Although Dr. Ehlers think high of Cosine and Sine wave indicator and trading strategy, my study and trading experience indicated it did not work that well as many other oscillator indicators. However, I would like to keep the original code of Dr. Ehlers for anyone who want to make a deep dive into this kind of indicator or strategy with Cosine and Sine wave.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers DFT-Adapted RSILevel: 2
Background
John F. Ehlers introuced his DFT-ADAPTED RELATIVE STRENGTH INDEX (RSI) in Jan, 2007.
Function
In "Fourier Transform For Traders" in Jan, 2007, John Ehlers presented an interesting technique of improving the resolution of spectral analysis that could be used to effectively measure market cycles. Better resolution is obtained by a surprisingly simple modification of the discrete Fourier transform. John Ehlers suggests using the discrete Fourier transform (DFT) to tune indicators. Here, I demonstrate this by building a DFT-adapted relative strength index (RSI) strategy.
Rather than display the RSI for a single cycle length across the entire chart, Ehlers DFT adaptive RSI value reflects the DFT-calculated dominant cycle length RSI. If the dominant cycle changes from 14 to 18 bars, the RSI length parameter changes accordingly. Computationally, this requires the strategy to continuously update values for all possible RSI cycle lengths via a "for" loop and array.
In details, a full-featured formula that implements a high-pass filter (HP) and a six-tap low-pass finite impulse response (FIR) filter on input, then does discrete Fourier transform calculations. I has taken liberty of adding extra parameters so the user can modify the analysis window length and the high-pass filter cutoff frequency in real time using the parameters window. Once the suite of possible RSI values is calculated, we use the DFT to select the relevant RSI for the current bar. The strategy then trades according to J. Welles Wilder's original rules for the RSI.
Key Signal
fastline--> DFT-ADAPTED RELATIVE STRENGTH INDEX (RSI) fast line
slowline--> DFT-ADAPTED RELATIVE STRENGTH INDEX (RSI) slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 71th script for Blackcat1402 John F. Ehlers Week publication.
Based on original work of Ehlers, I added ALMA smoothing on DFT-adapted relative strength index (RSI) so that clearer trend can be observed.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Stochastic RSILevel: 2
Background
John F. Ehlers introuced his Stochastic RSI in August, 2006.
Function
John Ehlers' article in August, 2006, "Modeling The Market = Building Trading Strategies," describes a process for extracting trend and cyclic elements from market data, then recombining them for trading purposes. He used the Stochastic RSI denoted the cyclic elements.
Key Signal
StochRSI--> Ehlers Stochastic RSI fast line
Trigger--> Ehlers Stochastic RSI slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 70th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Inverse Fisher Cyber CycleLevel: 2
Background
John F. Ehlers introuced the Inverse Fisher Transform of Cyber Cycle in May, 2004.
Function
"The Inverse Fisher Transform ," describes the calculation and use of the inverse Fisher transform by Dr . Ehlers in 2004. The transform is applied to any indicator with a known probability distribution function, but this script offers a sample transforms: Cyber Cycle . I have created inputs for the trigger levels for entry and exit so that the user may adjust these levels as desired.
In his article, Dr . Ehlers states the inverse Fisher transform can work with any oscillator, and that values between -1 and 1 are more suited for the transform calculations. Here is one version of the inverse Fisher transform of Cyber Cycle . This version takes the highest and lowest value of the Cyber Cycle and normalizes the scale to a range of -1 to 1. John Ehlers shows how to use the inverse Fisher transform ( IFT ) to compress oscillator-type indicators to give clear trading indications of when to buy or sell. The IFT is a nonlinear transformation that changes the probability distribution, so for example, unbounded indicators can be transformed into bounded indicators with a high probability of being either +1 or -1.
Key Signal
ICycle--> Inverse Fisher Transform of Cyber Cycle fast line
Trigger--> Inverse Fisher Transform of Cyber Cycle slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 69th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Inverse Fisher RSILevel: 2
Background
John F. Ehlers introuced the Inverse Fisher Transform of RSI in May, 2004.
Function
"The Inverse Fisher Transform," describes the calculation and use of the inverse Fisher transform by Dr. Ehlers in 2004. The transform is applied to any indicator with a known probability distribution function, but this script offers a sample transforms: RSI. I have created inputs for the trigger levels for entry and exit so that the user may adjust these levels as desired.
In his article, Dr. Ehlers states the inverse Fisher transform can work with any oscillator, and that values between -1 and 1 are more suited for the transform calculations. Here is one version of the inverse Fisher transform of RSI. This version takes the highest and lowest value of the RSI and normalizes the scale to a range of -1 to 1. John Ehlers shows how to use the inverse Fisher transform (IFT) to compress oscillator-type indicators to give clear trading indications of when to buy or sell. The IFT is a nonlinear transformation that changes the probability distribution, so for example, unbounded indicators can be transformed into bounded indicators with a high probability of being either +1 or -1.
Key Signal
IFish--> Ehlers Inverse Fisher RSI fast line
Trigger--> Ehlers Inverse Fisher RSI slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 68th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Zero-lag SmootherLevel: 2
Background
John F. Ehlers introuced Zero-Lag Data Smoothers in Jul, 2002.
Function
John Ehlers introduced "Zero-Lag Data Smoothers", the infinite impulse response (IIR) filter and finite impulse response (FIR) filter.
In his article this issue on zero-lag smoothing, John Ehlers notes that his favorite filter is the symmetrically weighted six-bar finite impulse response (FIR) filter. This is also known as a triangular moving average, and can be conveniently implemented as a double-smoothed simple moving average. Per Ehlers, since this filter has six elements, its lag is 2.5 bars. Via further processing, this lag can be reduced to zero, but this produces too much overshoot. As a compromise, Ehlers suggests reducing the lag to one bar. To enable a user to adjust the lag easily, I provide the pine v4 code for an Adjustable Lag Filter indicator below. The first input, Price, should typically be set to OHLC, hl2, hl3, ohlc4 etc. The second input, LagReduction, should be set to a value in the zero-to-2.5 range. Setting it to zero will result in no adjustment, and the output will match that of the raw triangular average. Setting it to 2.5 will reduce the lag to zero. Setting it to 1.5 will reduce the lag to one bar.
Key Signal
Filter--> Zero-Lag Data Smoother fast line
Trigger--> Zero-Lag Data Smoother slow line
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 67th script for Blackcat1402 John F. Ehlers Week publication.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
[blackcat] L2 Ehlers Hilbert Channel Breakout Trading SystemLevel: 2
Background
John F. Ehlers introuced Hilbert Channel Breakout Trading System in Nov, 2000.
Function
This indicator will show how the adaptive filter is being applied to a trading strategy. After the Hilbert Channel Breakout Signal is optimized, set the inputs for this indicator to match the corresponding inputs for the signal.
In the March 2000 STOCKS & COMMODITIES, John Ehlers published a algorithm for the Hilbert cycle period, an indicator that plots the length of the current market cycle. The Hilbert transform achieved computational efficiency by using a two-dimensional numbering system. Unfortunately, this introduces amplitude error in calculating the quadrature component. Dr. Ehlers compensated for this error. He have updated the method of compensating for the amplitude error by applying a straight-line compensation term using the frequency calculation from one bar ago. This is possible because the cycle period cannot change drastically from bar to bar. The slowly varying cycle period is adequate to do a good job of amplitude compensation.
In addition, Dr. Ehlers have used a different way to compute the cycle period. He used a homodyne discriminator because it exhibits superior performance in a low signal-to-noise environment. Homodyne means he used the signal multiplied by itself one bar ago to produce a zero-frequency beat note. This beat note carries the phase angle of the one-bar change. Still using the basic definition of a cycle, the one-bar rate of change of phase is exactly the cycle period.
Here is the pine v4 code to generate the signals in the Hilbert channel breakout trading system, as discussed in Dr. Ehlers article in this issue, "Optimizing With Hilbert Indicators." The signal itself is a simple channel breakout system that generates buy and exit signals, that shows whether the system is long or flat; the high of the bar and the value of the entry channel; and the low of the bar and the value of the exit channel. This helps you see on a bar-by-bar basis exactly how the system is behaving.
Key Signal
longcond--> when high breakouts EntryChannel to long
shortcond--> when low breakouts ExitChannel to short
Pros and Cons
100% John F. Ehlers definition translation, even variable names are the same. This help readers who would like to use pine to read his book.
Remarks
The 66th script for Blackcat1402 John F. Ehlers Week publication.
I tested it and believe it work better in small time frame e.g. 15m than large time frames.
Readme
In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.
The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.
Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.
Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.
Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.
Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.
Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.
