Price Above 50 and 200 EMA with Smiley faces and 200 ema slope
Overview
This advanced indicator provides a comprehensive multi-timeframe analysis of price positioning relative to 50 and 200 Exponential Moving Averages (EMAs), offering traders a quick and intuitive view of market trends across different timeframes.
Key Features
Multi-Timeframe Analysis: Simultaneously evaluates price behavior across 5m, 15m, and other selected timeframes
EMA Trend Visualization: Instantly shows whether price is above or below 50 and 200 EMAs
Slope Direction Indicator: Tracks the directional momentum of the 200 EMA
Customizable Distance Metrics: Option to display distances as absolute values or percentages
Emoji-Based Indicators: Quick visual representation of price positioning
Functionality
The indicator uses color-coded and emoji-based signals to represent:
😊 (Blue): Price is above the EMA
☹️ (Red): Price is below the EMA
⬆️ (Blue): EMA slope is positive
⬇️ (Red): EMA slope is negative
Customization Options
Adjustable EMA periods
Togglable distance display
Distance representation (percentage or absolute value)
Best Used For
Trend identification
Multi-timeframe analysis
Quick market sentiment assessment
Supplementing other technical analysis tools
Recommended Timeframes
Intraday trading
Swing trading
Trend following strategies
Risk Disclaimer
This indicator is a tool for analysis and should not be used in isolation for trading decisions. Always combine with other technical and fundamental analysis, and proper risk management.
Exponential Moving Average (EMA)
Triple CCI Strategy MFI Confirmed [Skyrexio]Overview
Triple CCI Strategy MFI Confirmed leverages 3 different periods Commodity Channel Index (CCI) indicator in conjunction Money Flow Index (MFI) and Exponential Moving Average (EMA) to obtain the high probability setups. Fast period CCI is used for having the high probability to enter in the direction of short term trend, middle and slow period CCI are used for confirmation, if market now likely in the mid and long-term uptrend. MFI is used to confirm trade with the money inflow/outflow with the high probability. EMA is used as an additional trend filter. Moreover, strategy uses exponential moving average (EMA) to trail the price when it reaches the specific level. More information in "Methodology" and "Justification of Methodology" paragraphs. The strategy opens only long trades.
Unique Features
Dynamic stop-loss system: Instead of fixed stop-loss level strategy utilizes average true range (ATR) multiplied by user given number subtracted from the position entry price as a dynamic stop loss level.
Configurable Trading Periods: Users can tailor the strategy to specific market windows, adapting to different market conditions.
Four layers trade filtering system: Strategy utilizes two different period CCI indicators, MFI and EMA indicators to confirm the signals produced by fast period CCI.
Trailing take profit level: After reaching the trailing profit activation level scrip activate the trailing of long trade using EMA. More information in methodology.
Methodology
The strategy opens long trade when the following price met the conditions:
Fast period CCI shall crossover the zero-line.
Slow and Middle period CCI shall be above zero-lines.
Price shall close above the EMA. Crossover is not obligatory
MFI shall be above 50
When long trade is executed, strategy set the stop-loss level at the price ATR multiplied by user-given value below the entry price. This level is recalculated on every next candle close, adjusting to the current market volatility.
At the same time strategy set up the trailing stop validation level. When the price crosses the level equals entry price plus ATR multiplied by user-given value script starts to trail the price with EMA. If price closes below EMA long trade is closed. When the trailing starts, script prints the label “Trailing Activated”.
Strategy settings
In the inputs window user can setup the following strategy settings:
ATR Stop Loss (by default = 1.75)
ATR Trailing Profit Activation Level (by default = 2.25)
CCI Fast Length (by default = 14, used for calculation short term period CCI)
CCI Middle Length (by default = 25, used for calculation short term period CCI)
CCI Slow Length (by default = 50, used for calculation long term period CCI)
MFI Length (by default = 14, used for calculation MFI
EMA Length (by default = 50, period of EMA, used for trend filtering EMA calculation)
Trailing EMA Length (by default = 20)
User can choose the optimal parameters during backtesting on certain price chart.
Justification of Methodology
Before understanding why this particular combination of indicator has been chosen let's briefly explain what is CCI, MFI and EMA.
The Commodity Channel Index (CCI) is a momentum-based technical indicator that measures the deviation of a security's price from its average price over a specific period. It helps traders identify overbought or oversold conditions and potential trend reversals.
The CCI formula is:
CCI = (Typical Price − SMA) / (0.015 × Mean Deviation)
Typical Price (TP): This is calculated as the average of the high, low, and closing prices for the period.
Simple Moving Average (SMA): This is the average of the Typical Prices over a specific number of periods.
Mean Deviation: This is the average of the absolute differences between the Typical Price and the SMA.
The result is a value that typically fluctuates between +100 and -100, though it is not bounded and can go higher or lower depending on the price movement.
The Money Flow Index (MFI) is a technical indicator that measures the strength of money flowing into and out of a security. It combines price and volume data to assess buying and selling pressure and is often used to identify overbought or oversold conditions. The formula for MFI involves several steps:
1. Calculate the Typical Price (TP):
TP = (high + low + close) / 3
2. Calculate the Raw Money Flow (RMF):
Raw Money Flow = TP × Volume
3. Determine Positive and Negative Money Flow:
If the current TP is greater than the previous TP, it's Positive Money Flow.
If the current TP is less than the previous TP, it's Negative Money Flow.
4. Calculate the Money Flow Ratio (MFR):
Money Flow Ratio = Sum of Positive Money Flow (over n periods) / Sum of Negative Money Flow (over n periods)
5. Calculate the Money Flow Index (MFI):
MFI = 100 − (100 / (1 + Money Flow Ratio))
MFI above 80 can be considered as overbought, below 20 - oversold.
The Exponential Moving Average (EMA) is a type of moving average that places greater weight and significance on the most recent data points. It is widely used in technical analysis to smooth price data and identify trends more quickly than the Simple Moving Average (SMA).
Formula:
1. Calculate the multiplier
Multiplier = 2 / (n + 1) , Where n is the number of periods.
2. EMA Calculation
EMA = (Current Price) × Multiplier + (Previous EMA) × (1 − Multiplier)
This strategy leverages Fast period CCI, which shall break the zero line to the upside to say that probability of short term trend change to the upside increased. This zero line crossover shall be confirmed by the Middle and Slow periods CCI Indicators. At the moment of breakout these two CCIs shall be above 0, indicating that there is a high probability that price is in middle and long term uptrend. This approach increases chances to have a long trade setup in the direction of mid-term and long-term trends when the short-term trend starts to reverse to the upside.
Additionally strategy uses MFI to have a greater probability that fast CCI breakout is confirmed by this indicator. We consider the values of MFI above 50 as a higher probability that trend change from downtrend to the uptrend is real. Script opens long trades only if MFI is above 50. As you already know from the MFI description, it incorporates volume in its calculation, therefore we have another one confirmation factor.
Finally, strategy uses EMA an additional trend filter. It allows to open long trades only if price close above EMA (by default 50 period). It increases the probability of taking long trades only in the direction of the trend.
ATR is used to adjust the strategy risk management to the current market volatility. If volatility is low, we don’t need the large stop loss to understand the there is a high probability that we made a mistake opening the trade. User can setup the settings ATR Stop Loss and ATR Trailing Profit Activation Level to realize his own risk to reward preferences, but the unique feature of a strategy is that after reaching trailing profit activation level strategy is trying to follow the trend until it is likely to be finished instead of using fixed risk management settings. It allows sometimes to be involved in the large movements. It’s also important to make a note, that script uses another one EMA (by default = 20 period) as a trailing profit level.
Backtest Results
Operating window: Date range of backtests is 2022.04.01 - 2024.11.25. It is chosen to let the strategy to close all opened positions.
Commission and Slippage: Includes a standard Binance commission of 0.1% and accounts for possible slippage over 5 ticks.
Initial capital: 10000 USDT
Percent of capital used in every trade: 50%
Maximum Single Position Loss: -4.13%
Maximum Single Profit: +19.66%
Net Profit: +5421.21 USDT (+54.21%)
Total Trades: 108 (44.44% win rate)
Profit Factor: 2.006
Maximum Accumulated Loss: 777.40 USDT (-7.77%)
Average Profit per Trade: 50.20 USDT (+0.85%)
Average Trade Duration: 44 hours
These results are obtained with realistic parameters representing trading conditions observed at major exchanges such as Binance and with realistic trading portfolio usage parameters.
How to Use
Add the script to favorites for easy access.
Apply to the desired timeframe and chart (optimal performance observed on 2h BTC/USDT).
Configure settings using the dropdown choice list in the built-in menu.
Set up alerts to automate strategy positions through web hook with the text: {{strategy.order.alert_message}}
Disclaimer:
Educational and informational tool reflecting Skyrex commitment to informed trading. Past performance does not guarantee future results. Test strategies in a simulated environment before live implementation
Daily Moving Averages on Intraday ChartsThis moving average script displays the chosen 5 daily moving averages on intraday (minute) charts. It automatically adjusts the intervals to show the proper moving averages.
In a day there are 375 trading minutes from 9:15 AM to 3:30PM in Indian market. In 5 days there are 1875 minutes. For other markets adjust this data accordingly.
If 5DMA is chosen on a five minute chart the moving average will use 375 interval values (1875/5 = 375) of 5minute chart to calculate moving average. Same 5DMA on 25minute chart will use 75 interval values (1875/25 = 75).
On a 1minute chart the 5DMA plot will use 1875 interval values to arrive at the moving average.
Since tradingview only allows 5000 intervals to lookback, if a particular daily moving average on intraday chart needs more than 5000 candle data it won't be shown. E.g 200DMA on 5minute chart needs 15000 candles data to plot a correct 200DMA line. Anything less than that would give incorrect moving average and hence it won't be shown on the chart.
MA crossover for the first two MAs is provided. If you want to use that option, make sure you give the moving averages in the correct order.
You can enhance this script and use it in any way you please as long as you make it opensource on TradingView. Feedback and improvement suggestions are welcome.
Special thanks to @JohnMuchow for his moving averages script for all timeframes.
TMA Bands TMA (Triangular Moving Average):
Üçgen hareketli ortalamalar, fiyat verilerini yumuşatarak trendi daha net göstermek için kullanılır.
"Centered Asymmetric Bands" terimi, bu indikatörün merkezlenmiş bir yapıda çalıştığını ve farklı genişliklerde bantlar içerdiğini gösteriyor.
Stock_Cloud-EMA,VWAP,ST Indicator_V1Stock_Cloud V1 - EMA, VWAP, SuperTrend Strategy Indicator
This indicator combines three powerful technical indicators (EMA, VWAP, and SuperTrend) to create a comprehensive trading system that helps identify high-probability trading setups when all components align.
Strategy Components & Logic:
• EMA (Exponential Moving Average): Acts as a dynamic support/resistance and trend direction indicator
• VWAP (Volume Weighted Average Price): Provides important institutional price levels and volume-based trend strength
• SuperTrend: Offers trend direction and potential reversal points
Why These Components Work Together:
1. EMA filters out market noise while maintaining responsiveness to price changes
2. VWAP adds volume-based price validation, especially useful for intraday trading
3. SuperTrend confirms trend direction and potential reversal points
4. When all three indicators align, it creates a high-probability setup
Signal Generation:
• Bullish Signal: Generated when price crosses above all three indicators (EMA, VWAP, and SuperTrend turns bullish)
• Bearish Signal: Generated when price crosses below all three indicators (EMA, VWAP, and SuperTrend turns bearish)
• Background color changes help visualize the current market condition
Settings:
- EMA Length: 20 (default, adjustable)
- SuperTrend Period: 10 (default, adjustable)
- SuperTrend Multiplier: 3.0 (default, adjustable)
How to Use:
1. Look for potential entries when all three indicators align
2. Small triangles mark key entry points when alignment occurs
3. Use background color as additional confirmation
4. Monitor price action relative to all three indicators for exit signals
Best Timeframes:
Works well on all timeframes, but particularly effective on 5-minute to daily charts for stocks and indices.
Note: This indicator combines traditional technical analysis tools in a unique way to provide clear, actionable signals. Always use proper risk management and consider other factors like market conditions and support/resistance levels.
Created by Stock_Cloud
Version 2.0
Correlation Confluence Trend IndicatorCorrelation Confluence Trend Indicator
Overview
The Correlation Confluence Trend Indicator combines exponential moving averages (EMAs) and statistical correlation measures to identify high-confidence trend alignments between an asset and a benchmark. By filtering signals through correlation strength, this indicator highlights opportunities when the asset and benchmark move together. In other words, it defines a trend and then uses correlation strength and the trend of a second asset to identify high-confidence trends.
Key Features
Dual EMA Trend Analysis :
Calculates fast and slow EMAs for both the asset and the selected benchmark (e.g., SPY) to identify bullish and bearish trends.
Correlation Strength Filtering :
Evaluates correlation between the asset and benchmark, identifying stronger-than-average relationships based on the mean and standard deviation.
Background Color Coding :
- Green : Strong correlation, both asset and benchmark bullish.
- Aqua : Weak correlation, both asset and benchmark bullish.
- Red : Strong correlation, both asset and benchmark bearish.
- Fuchsia : Weak correlation, both asset and benchmark bearish.
- Orange : Strong correlation, benchmark bullish, asset bearish.
- Yellow : Weak correlation, benchmark bullish, asset bearish.
- Purple : Strong correlation, benchmark bearish, asset bullish.
- Lime : Weak correlation, benchmark bearish, asset bullish.
Visual Trend Indicators :
Plots fast and slow EMAs for the asset, dynamically colored based on aggregate trend signals. The color of this corresponds to the main trend signal.
Inputs
Benchmark Symbol : Symbol of the benchmark asset to compare against.
Fast EMA Length : Period for the fast EMA calculation.
Slow EMA Length : Period for the slow EMA calculation.
Correlation Length : Number of bars for correlation calculation.
Correlation Mean Length : Number of bars for mean and standard deviation calculation.
Std Dev Multiplier : Multiplier for standard deviation to define correlation strength. When the correlation is Std Dev Multiplier standard deviations above the mean, it counts as a strong correlation.
Set Background Color : Toggle background coloring on or off.
Notes
This indicator is primarily designed for trend-following strategies. By combining trend analysis and correlation filtering, it ensures that signals occur during aligned market conditions, reducing false signals.
Before incorporating this indicator into your trading strategy:
Always backtest on historical data to evaluate its performance before committing capital.
Use proper risk management to control position sizes and mitigate potential losses.
Remember that no indicator guarantees success. I'm quite proud of this one, but it's not the holy grail.
Adaptive Moving AveragesThe Adaptive Moving Averages indicator stands out with several unique features that set it apart from traditional moving average indicators. Its most remarkable characteristic is the ability to automatically adjust the length of moving averages based on the chosen timeframe. This ensures consistency in analysis regardless of the time scale used, eliminating the need for manual recalculation of appropriate periods for each timeframe. It allows for a more fluid and accurate multi-temporal analysis.
Another innovative aspect is the indicator's consideration of different market types (stocks, forex, crypto). This approach recognizes the fundamental differences between these markets in terms of trading hours, allowing for more precise and representative calculations for each asset class. It offers increased flexibility for traders operating across various markets.
The method for calculating periods for different moving averages (week, month, quarter, semester, year) is particularly sophisticated. It takes into account the specifics of each market, such as trading days and opening hours, automatically adapting to timeframe changes. This ensures a more accurate representation of actual trading periods rather than arbitrary approximations.
The indicator offers a wide choice of moving average types, allowing traders to use their preferred method or compare different approaches. This flexibility adapts to various trading styles and technical analysis strategies, offering the possibility to experiment and find the most effective combination for each market or asset.
In conclusion, this indicator distinguishes itself through its ability to intelligently adapt to different trading contexts, offering a versatile and sophisticated solution for technical analysis. Its flexibility and adaptive approach make it a particularly interesting tool for traders seeking consistent analysis across different markets and time scales.
Trend & Volume Dynamics Indicator (Color identifying the Trend)Benefits
1. Trend Identification:
o The script calculates a 20-period Weighted Moving Average (WMA) of the closing prices. This helps in smoothing out price data to identify the underlying trend.
o The color of the WMA line changes based on the price position relative to the WMA:
Green: When the current price is above the WMA, indicating a potential uptrend.
Red: When the current price is below the WMA, indicating a potential downtrend.
Blue: When the price is exactly at the WMA, indicating no clear trend.
2. Volume Dynamics:
o The script also plots the volume with a color-coding mechanism:
Green: When the current volume is higher than the previous period's volume, indicating increasing trading activity.
Red: When the current volume is lower than the previous period's volume, indicating decreasing trading activity.
o The volume bars are plotted with 90% transparency, making them less visually dominant but still informative.
Usage
• Overlay: The indicator is set to overlay=true, meaning it will be plotted directly on the price chart, allowing users to see the WMA and volume dynamics in the context of the price movements.
• WMA Length: The length of the WMA is set to 20 periods, which is a common setting for short to medium-term trend analysis.
• Visual Cues: The color changes in both the WMA and volume bars provide immediate visual cues about the trend and volume dynamics, helping traders make quicker decisions.
Detailed Explanation of the Script
1. Indicator Declaration:
o Declares the indicator with a descriptive name and specifies that it should be overlaid on the price chart.
2. WMA Calculation:
o Defines the length of the WMA and calculates it using the closing prices.
3. Plotting the WMA:
o Plots the WMA with full brightness (0 transparency).
4. Color-Coding the WMA:
o Changes the color of the WMA line based on the price's position relative to the WMA.
5. Volume Indicator:
o Plots the volume bars with color-coding based on the volume change from the previous period and with 90% transparency.
Conclusion
One of the most best combinations of Volume and Moving average and works on any given timeframe and charts
Scalp System# Scalp System
A premium scalping system designed specifically for 2-minute charts, combining multiple timeframe analysis with trend-based trading decisions. This indicator helps identify high-probability scalping opportunities through color-coded moving averages and their crossovers.
## Strategy Overview
### Entry Signals
- ONLY trade LONG when price is above RED line
- ONLY trade SHORT when price is below RED line
- Primary entry: BLUE/GREEN crosses
- Strong trend confirmation: YELLOW/PURPLE crosses
### Best Practices
1. Trade with the trend (follow RED line direction)
2. Wait for price pullbacks of faster lines
3. Combine crosses with support/resistance levels
4. Use smaller targets
5. Quick exits on failed breakouts
6. Monitor volume for confirmation
### Color Guide
- YELLOW: Fast trend identifier
- BLUE: Very short-term momentum (1min)
- GREEN: Short-term momentum (3min)
- RED: Trend filter
- PURPLE: Strong trend baseline
### Risk Management
- Place stops beyond the RED line
- Scale out at key levels
- Use 1:1.5 minimum risk/reward
- Avoid trading during major news
- Reduce position size in choppy markets
### Best Trading Hours
- Most effective during first 2 hours after market open
- Good opportunities during power hour (last hour)
- Avoid lunch hour chop (11:30-1:30 EST)
## Tips
- Less is more - wait for clean setups
- Respect the RED line as your trend filter
- Multiple timeframe confirmation increases success rate
- Use crosses as triggers, not absolute signals
- Practice in simulator before live trading
Fibonacci Moving Average PlusFibonacci Moving Average Plus is a sophisticated technical indicator that employs the first 15 numbers of the Fibonacci sequence to create dynamic moving average channels. This indicator aims to capture both immediate and long-term price movements by calculating Exponential Moving Averages (EMAs) based on these Fibonacci values. By using Fibonacci-based moving averages for both high and low price points, the indicator generates a visual channel that reflects the ebb and flow of market trends, acting as potential zones of support and resistance. Additionally, the indicator provides midline, retracement, and extension levels rooted in Fibonacci ratios, which are frequently observed as key levels for reversals or trend continuation.
Ideology Behind Using Fibonacci Sequence-Based Moving Averages
The Fibonacci sequence, known for its mathematical harmony and prevalence in natural patterns, is widely utilized in technical analysis to identify potential turning points in markets. In this indicator, the first 15 Fibonacci numbers (5, 8, 13, 21, etc.) are used as the lookback periods for EMAs to capture different layers of market sentiment. These moving averages represent timeframes that are theoretically in alignment with the natural rhythms of market cycles, where key levels—often coinciding with Fibonacci numbers—can act as magnetic points for price.
The Fibonacci high and low channels aim to encapsulate price action, giving traders a sense of whether the market is trending, consolidating, or experiencing reversal pressure. These levels, grounded in both mathematics and market psychology, help traders spot areas where price might face resistance or find support.
Key Features
Fibonacci Moving Average High and Low: This indicator calculates the high and low EMAs based on Fibonacci sequence numbers (e.g., 5, 8, 13, etc.) for enhanced trend analysis.
Golden Pocket Retracement (GPR) and Extension (GPE) Bands: Displays common Fibonacci retracement and extension levels (0.618, 0.65 for retracement, and 1.618, 1.65 for extension).
Midline: Plots the average of the Fibonacci high and low to act as an additional reference level.
Stop-Loss Levels: Provides suggested stop-loss levels based on Fibonacci levels for both long and short positions.
Basic User Guide
Adjust Input Settings:
Input Timeframe: Set a specific timeframe for the Fibonacci moving average calculation, separate from the chart's primary timeframe.
Show Fibonacci MA High/Low: Toggle the visibility of the high and low Fibonacci moving averages.
Show Mid Line: Display a midline for added trend reference.
Show Golden Pocket Bands: Choose to display retracement or extension bands for potential support or resistance zones.
Show Stop-Loss Levels: Enable to visualize potential stop-loss levels for both long and short trades.
Interpretation:
Fibonacci MA High and Low: Use these lines to gauge the general trend. When the price is above both, it may indicate an uptrend; below both, a downtrend.
Golden Pocket Retracement: This zone (between 0.618 and 0.65) is often a key level for potential reversals or support/resistance.
Golden Pocket Extension: The 1.618 and 1.65 levels can indicate potential profit-taking or trend exhaustion points.
Stop-Loss Levels: The calculated stop-loss levels (long SL below and short SL above) can aid in risk management.
Customization:
You can customize the appearance and visibility of each component through the input settings to fit your specific strategy and visual preferences.
This indicator should be used alongside other technical analysis tools to provide a more comprehensive trading approach.
This Indicator would not exist without the original contributions and blessing from Sofien Kaabar
Multifactor Buy/Sell Strategy V2 | RSI, MACD, ATR, EMA, Boll.BITGET:1INCHUSDT
This Pine Script code for TradingView is a multifactor Buy/Sell indicator that combines several technical factors to generate trading signals based on trend, volatility, and volume conditions. Here’s a breakdown of the main components and functionality:
Indicator Name
- Multifactor Buy/Sell Strategy V2 — an overlay indicator applied directly on the price chart.
### Input Parameters
The script includes multiple customizable parameters:
- RSI, EMA, MACD parameters — for setting periods and signals of MACD and RSI.
- ATR and Bollinger Bands — used for volatility analysis and level determination.
- Minimum Volatility Threshold — sets a minimum Bollinger Band width threshold for determining high volatility.
Core Indicators
1. RSI — calculated to identify oversold (below 30) and overbought (above 70) conditions.
2. EMA and MACD — calculates exponential moving averages and MACD histogram to determine trend direction.
3. ATR and Bollinger Bands — used to assess current volatility and establish dynamic upper and lower bands.
Volatility and Volume Analysis
- Determines the current ATR level and Bollinger Band width to evaluate high volatility.
- Calculates the volume moving average to track periods of increased volume during high volatility.
Trend Analysis
The script uses the difference between fast and slow EMAs to define strong trends:
- Uptrend — when the fast EMA is above the slow EMA, the price is above the fast EMA, and the trend is strong.
- Downtrend — when the fast EMA is below the slow EMA, the price is below the fast EMA, and the trend is strong.
Momentum Filter
- Based on the price change over the last three bars and compared against the minimum volatility threshold to identify strong momentum.
Buy and Sell Signal Generation
- Buy Signal: Uptrend with RSI oversold, positive MACD histogram, high volatility and volume, strong momentum, and sufficient Bollinger Band width.
- Sell Signal: Downtrend with RSI overbought, negative MACD histogram, high volatility and volume, strong momentum, and sufficient Bollinger Band width.
Visualization
- Buy and sell signals are displayed as green and red triangles on the chart.
- Plots for fast and slow EMAs, upper and lower bands, and Bollinger Bands.
Alerts
The script includes alert conditions for buy and sell signals, allowing notifications to be sent via email or mobile app.
Information Panel
A small table on the chart displays current volatility dataThis Pine Script code for TradingView is a multifactor Buy/Sell indicator that combines several technical factors to generate trading signals based on trend, volatility, and volume conditions. Here’s a breakdown of the main components and functionality:
Indicator Name
- Multifactor Buy/Sell Strategy V2 — an overlay indicator applied directly on the price chart.
Input Parameters
The script includes multiple customizable parameters:
- **RSI, EMA, MACD parameters** — for setting periods and signals of MACD and RSI.
- **ATR and Bollinger Bands** — used for volatility analysis and level determination.
- **Minimum Volatility Threshold** — sets a minimum Bollinger Band width threshold for determining high volatility.
Core Indicators
1. RSI — calculated to identify oversold (below 30) and overbought (above 70) conditions.
2. EMA and MACD — calculates exponential moving averages and MACD histogram to determine trend direction.
3. ATR and Bollinger Bands — used to assess current volatility and establish dynamic upper and lower bands.
Volatility and Volume Analysis
- Determines the current ATR level and Bollinger Band width to evaluate high volatility.
- Calculates the volume moving average to track periods of increased volume during high volatility.
Trend Analysis
The script uses the difference between fast and slow EMAs to define strong trends:
- Uptrend — when the fast EMA is above the slow EMA, the price is above the fast EMA, and the trend is strong.
- Downtrend — when the fast EMA is below the slow EMA, the price is below the fast EMA, and the trend is strong.
Momentum Filter
- Based on the price change over the last three bars and compared against the minimum volatility threshold to identify strong momentum.
Buy and Sell Signal Generation
- Buy Signal: Uptrend with RSI oversold, positive MACD histogram, high volatility and volume, strong momentum, and sufficient Bollinger Band width.
- Sell Signal: Downtrend with RSI overbought, negative MACD histogram, high volatility and volume, strong momentum, and sufficient Bollinger Band width.
Visualization
- Buy and sell signals are displayed as green and red triangles on the chart.
- Plots for fast and slow EMAs, upper and lower bands, and Bollinger Bands.
Alerts
The script includes alert conditions for buy and sell signals, allowing notifications to be sent via email or mobile app.
Information Panel
A small table on the chart displays current volatility
- Volatility Status — indicates high or low volatility.
- Bollinger Band Width — current width as a percentage.
- ATR Ratio — ratio of current ATR to long-term average ATR.
This script is suitable for trading in high-volatility conditions, combining multiple filters and factors to generate precise buy and sell signals.
MERCURY by DrAbhiramSivprasad"MERCURY by DrAbhiramSivprasad"
Developed from over 10 years of personal trading experience, the Mercury Indicator is a strategic tool designed to enhance accuracy in trading decisions. Think of it as a guiding light—a supportive tool that helps traders refine and build more robust strategies by integrating multiple powerful elements into a single indicator. I’ll be sharing some examples to illustrate how I use this indicator in my own trading journey, highlighting its potential to improve strategy accuracy.
Reason behind the combination of emas , cpr and vwap is it provides very good support and resistance in my trading carrier so now i brought them together in one plate
How It Works:
Mercury combines three essential elements—EMA, VWAP, and CPR—each of which plays a vital role in detecting support and resistance:
Exponential Moving Averages (EMAs): Known for their strength in providing dynamic support and resistance levels, EMAs help in identifying trends and shifts in momentum. This indicator includes a dashboard with up to nine customizable EMAs, showing whether each is acting as support or resistance based on real-time price movement.
Volume Weighted Average Price (VWAP): VWAP also provides valuable support and resistance, often regarded as a fair price level by institutional traders. Paired with EMAs, it forms a dual-layered support/resistance system, adding an additional level of confirmation.
Central Pivot Range (CPR): By combining CPR with EMAs and VWAP, Mercury highlights “traffic blocks” in your target journey. This means it identifies zones where price is likely to stall or reverse, providing additional guidance for navigating entries and exits.
Why This Combination Matters:
Using these three tools together gives you a more complete view of the market. VWAP and EMAs offer dynamic trend direction and support/resistance, while CPR pinpoints critical price zones. This combination helps you find high-probability trades, adding clarity to complex market situations and enabling stronger confirmation on trend or reversal decisions.
How to Use:
Trend Confirmation: Check if all EMAs are aligned (green for uptrend, red for downtrend), which is visible in the EMA dashboard. An alignment across VWAP, CPR, and EMAs signifies high confidence in trend direction.
Breakouts & Breakdowns: Mercury has an alert system to signal when a price breakout or breakdown occurs across VWAP, EMA1, and EMA2. This can help in spotting strong directional moves.
Example Application: In my trading, I use Mercury to identify support/resistance zones, confirming trends with EMA/VWAP alignment and using CPR as a checkpoint. I find this especially useful for day trading and swing setups.
Recommended Timeframes:
Day Trading: 5 to 15-minute charts for swift, actionable insights.
Swing Trading: 1-hour or 4-hour charts for broader trend analysis.
Note:
The Mercury Indicator should be used as a supportive tool rather than a standalone strategy, guiding you toward informed decisions in line with your trading style and goals.
EXAMPLE OF TRADE
you can see the cart of XAUUSD on 11th nov 2024
1.SHORT POSITION - TIME FRAME 15 MIN
So here for a short position you need to wait for a breakdown candle which will print in orange post the candle you need to check ema dashboard is completly red that indicates no traffic blocks in your journey to destiny target from ema's and you can take the target from nearest cpr support line
TAKEN IN XAUUSD you can see in chart of XAUUSD on 7th nov
2.LONG POSITION - TIME FRAME 15 MIN -
So here for long position you need to wait for a breakout candle from indicator thats here is blue and check all ema boxes are green and candle body should close above all the 3 lines here it is the both ema 1 and 2 and the vwap line then you can take and entry and your target will be the nearest resistance from the daily cpr
3. STOP LOSS CRITERIA
After the entry any candle close below any of the last line from entry for example we have 3 lines vwap and ema 1 and 2 lines and u have made an entry and the last line before the entry is vwap then if any candle closes below vwap can be considered as stoploss like wise in any lines
The MERCURY indicator is a comprehensive trading tool designed to enhance traders' ability to identify trends, breakouts, and reversals effectively. Created by Dr. Abhiram Sivprasad, this indicator integrates several technical elements, including Central Pivot Range (CPR), EMA crossovers, VWAP levels, and a table-based EMA dashboard, to offer a holistic trading view.
Core Components and Functionality:
Central Pivot Range (CPR):
The CPR in MERCURY provides a central pivot level along with Below Central (BC) and Top Central (TC) pivots. These levels act as potential support and resistance, useful for identifying reversal points and zones where price may consolidate.
Exponential Moving Averages (EMAs):
MERCURY includes up to nine EMAs, with a customizable EMA crossover alert system. This feature enables traders to see shifts in trend direction, especially when shorter EMAs cross longer ones.
VWAP (Volume-Weighted Average Price):
VWAP is incorporated as a dynamic support/resistance level and, combined with EMA crossovers, helps refine entry and exit points for higher probability trades.
Breakout and Breakdown Alerts:
MERCURY monitors conditions for upside and downside breakouts. For an upside breakout, all EMAs turn green and a candle closes above VWAP, EMA1, and EMA2. Similarly, all EMAs turning red, combined with a close below VWAP and EMA1/EMA2, signals a downside breakdown. Continuous alerts are available until the trend shifts.
Real-Time EMA Dashboard:
A table displays each EMA’s relative position (Above or Below), helping traders quickly gauge trend direction. Colors in the table adjust to long/short conditions based on EMA alignment.
Usage Recommendations:
Trend Confirmation:
Use the CPR, EMA alignments, and VWAP to confirm uptrends and downtrends. The table highlights trends, making it easy to spot long or short setups at a glance.
Breakout and Breakdown Alerts:
The alert system is customizable for continuous notifications on critical price levels. When all EMAs align in one direction (green for long, red for short) and the close is above or below VWAP and key EMAs, the indicator confirms a breakout/breakdown.
Adaptable for Different Styles:
Day Trading: Traders can set shorter EMAs for quick insights.
Swing Trading: Longer EMAs combined with CPR offer insights into sustained trends.
Recommended Settings:
Timeframes: MERCURY is suitable for timeframes as low as 5 minutes for intraday traders, up to daily charts for trend analysis.
Symbols: Works across forex, stocks, and crypto. Adjust EMA lengths for asset volatility.
Example Strategy:
Long Entry: When the price crosses above CPR and closes above both EMA1 and EMA2.
Short Entry: When the price falls below CPR with a close below both EMA1 and EMA2.
Cross-Asset Correlation Trend IndicatorCross-Asset Correlation Trend Indicator
This indicator uses correlations between the charted asset and ten others to calculate an overall trend prediction. Each ticker is configurable, and by analyzing the trend of each asset, the indicator predicts an average trend for the main asset on the chart. The strength of each asset's trend is weighted by its correlation to the charted asset, resulting in a single average trend signal. This can be a rather robust and effective signal, though it is often slow.
Functionality Overview :
The Cross-Asset Correlation Trend Indicator calculates the average trend of a charted asset based on the correlation and trend of up to ten other assets. Each asset is assigned a trend signal using a simple EMA crossover method (two customizable EMAs). If the shorter EMA crosses above the longer one, the asset trend is marked as positive; if it crosses below, the trend is negative. Each trend is then weighted by the correlation coefficient between that asset’s closing price and the charted asset’s closing price. The final output is an average weighted trend signal, which combines each trend with its respective correlation weight.
Input Parameters :
EMA 1 Length : Sets the period of the shorter EMA used to determine trends.
EMA 2 Length : Sets the period of the longer EMA used to determine trends.
Correlation Length : Defines the lookback period used for calculating the correlation between the charted asset and each of the other selected assets.
Asset Tickers : Each of the ten tickers is configurable, allowing you to set specific assets to analyze correlations with the charted asset.
Show Trend Table : Toggle to show or hide a table with each asset’s weighted trend. The table displays green, red, or white text for each weighted trend, indicating positive, negative, or neutral trends, respectively.
Table Position : Choose the position of the trend table on the chart.
Recommended Use :
As always, it’s essential to backtest the indicator thoroughly on your chosen asset and timeframe to ensure it aligns with your strategy. Feel free to modify the input parameters as needed—while the defaults work well for me, they may need adjustment to better suit your assets, timeframes, and trading style.
As always, I wish you the best of luck and immense fortune as you develop your systems. May this indicator help you make well-informed, profitable decisions!
Moving AveragesWhile this "Moving Averages" indicator may not revolutionize technical analysis, it certainly offers a valuable and efficient solution for traders seeking to streamline their chart analysis process. This all-in-one tool addresses a common frustration among traders: the need to constantly search for and compare different types and lengths of moving averages.
Key Features
The indicator allows for the configuration of up to 5 moving averages simultaneously, providing a comprehensive view of price trends. Users can choose from 7 types of moving averages for each line, including SMA, EMA, WMA, VWMA, HMA, SMMA, and TMA. This variety ensures that traders can apply their preferred moving average types without the need for multiple indicators.
Each moving average can be fully customized in terms of length, color, line style, and thickness, allowing for clear visual differentiation. However, what sets this indicator apart is its "Smart Opacity" feature. When activated, this option dynamically adjusts the transparency of the moving average lines based on their direction, with ascending lines appearing more opaque and descending lines more transparent. This subtle yet effective visual cue aids in quickly identifying trend changes and potential trading signals.
Advantages
The primary benefit of this indicator lies in its convenience. By consolidating multiple moving averages into a single, customizable tool, it saves traders valuable time and reduces chart clutter. The Smart Opacity feature, while not groundbreaking, does offer an intuitive way to visualize trend strength and direction at a glance.
Moreover, the indicator's flexibility makes it suitable for various trading styles and experience levels. Whether you're a novice trader learning to interpret basic trend signals or an experienced analyst fine-tuning a complex strategy, this tool can adapt to your needs.
In conclusion, while this "Moving Averages" indicator may not be a game-changer in the world of technical analysis, it represents a thoughtful refinement of a fundamental trading tool. By focusing on user convenience and visual clarity, it offers a practical solution for traders looking to optimize their chart analysis process and make more informed trading decisions.
Silen's EMA AreasAre you tired of reading candles? 🧨 Do you want to bring more meaning to your chart? 🧹
Then this is the script for you!
This script does:
- Add several meaningfully pre-configured EMA lines to your chart - up to EMA 300
- Colors the areas between EMA lines in 3d colors - green and red
- The Smaller the EMA, the firmer the color
- Highlights the EMA 300 in a golden color
What is the meaning of this?
Let me introduce a new word to you: EMA FOLDING .
Yes, you heard right. With this indicator you can see in 3D how EMA lines are folding above and below each other, indicating severe mood swings in the chart.
This helps you keep track of what your instrument is actually doing while it enables you to cancel out the noise and messyness of ordinary candles which can be quite random and hard to read.
Once an EMA is fully positive or negatively folded (all ema lines are green and above each other from largest EMA to smallest EMA and vice versa for negatively folded) you can be sure that you are in a Trend or certain mood (for higher timeframes, from 15mins on).
I don't ever want to read any chart without having this indicator on. Whenever I present charts to anybody I use this indicator - and the feedback is insanely positive. People tend to read and understand charts much better with this indicator than just staring at candles.
Why is this indicator different to other EMA indicators and should thereby not be deleted by the TradingView Team due to redundance with other EMA indicators?
- This is not a simple indicator for EMAs
- Rather, this is an indicator to better and easier read the whole chart
- You can detect mood swings very easily which is very hard to do with a normal EMA indicator
- I haven't found any EMA indicator on TradingView that does this job so i sincerely believe it is extremely unique
- I sincerely believe it can help people get a much better understanding of charts without actualy getting into details of EMA's or even needing to know what an EMA is.
This indicator isn't intended for trading purposes, rather it is intended to give you a better and easier understanding of the chart. Of course - you can also use it for your trading but like I said, that is not the primary intended purpose.
This indicator comes pre-configured with quite optimal values (in my opinion) but of course can be fully customized. 🧮
Test it for yourself!
The Most Powerful TQQQ EMA Crossover Trend Trading StrategyTQQQ EMA Crossover Strategy Indicator
Meta Title: TQQQ EMA Crossover Strategy - Enhance Your Trading with Effective Signals
Meta Description: Discover the TQQQ EMA Crossover Strategy, designed to optimize trading decisions with fast and slow EMA crossovers. Learn how to effectively use this powerful indicator for better trading results.
Key Features
The TQQQ EMA Crossover Strategy is a powerful trading tool that utilizes Exponential Moving Averages (EMAs) to identify potential entry and exit points in the market. Key features of this indicator include:
**Fast and Slow EMAs:** The strategy incorporates two EMAs, allowing traders to capture short-term trends while filtering out market noise.
**Entry and Exit Signals:** Automated signals for entering and exiting trades based on EMA crossovers, enhancing decision-making efficiency.
**Customizable Parameters:** Users can adjust the lengths of the EMAs, as well as take profit and stop loss multipliers, tailoring the strategy to their trading style.
**Visual Indicators:** Clear visual plots of the EMAs and exit points on the chart for easy interpretation.
How It Works
The TQQQ EMA Crossover Strategy operates by calculating two EMAs: a fast EMA (default length of 20) and a slow EMA (default length of 50). The core concept is based on the crossover of these two moving averages:
- When the fast EMA crosses above the slow EMA, it generates a *buy signal*, indicating a potential upward trend.
- Conversely, when the fast EMA crosses below the slow EMA, it produces a *sell signal*, suggesting a potential downward trend.
This method allows traders to capitalize on momentum shifts in the market, providing timely signals for trade execution.
Trading Ideas and Insights
Traders can leverage the TQQQ EMA Crossover Strategy in various market conditions. Here are some insights:
**Scalping Opportunities:** The strategy is particularly effective for scalping in volatile markets, allowing traders to make quick profits on small price movements.
**Swing Trading:** Longer-term traders can use this strategy to identify significant trend reversals and capitalize on larger price swings.
**Risk Management:** By incorporating customizable stop loss and take profit levels, traders can manage their risk effectively while maximizing potential returns.
How Multiple Indicators Work Together
While this strategy primarily relies on EMAs, it can be enhanced by integrating additional indicators such as:
- **Relative Strength Index (RSI):** To confirm overbought or oversold conditions before entering trades.
- **Volume Indicators:** To validate breakout signals, ensuring that price movements are supported by sufficient trading volume.
Combining these indicators provides a more comprehensive view of market dynamics, increasing the reliability of trade signals generated by the EMA crossover.
Unique Aspects
What sets this indicator apart is its simplicity combined with effectiveness. The reliance on EMAs allows for smoother signals compared to traditional moving averages, reducing false signals often associated with choppy price action. Additionally, the ability to customize parameters ensures that traders can adapt the strategy to fit their unique trading styles and risk tolerance.
How to Use
To effectively utilize the TQQQ EMA Crossover Strategy:
1. **Add the Indicator:** Load the script onto your TradingView chart.
2. **Set Parameters:** Adjust the fast and slow EMA lengths according to your trading preferences.
3. **Monitor Signals:** Watch for crossover points; enter trades based on buy/sell signals generated by the indicator.
4. **Implement Risk Management:** Set your stop loss and take profit levels using the provided multipliers.
Regularly review your trading performance and adjust parameters as necessary to optimize results.
Customization
The TQQQ EMA Crossover Strategy allows for extensive customization:
- **EMA Lengths:** Change the default lengths of both fast and slow EMAs to suit different time frames or market conditions.
- **Take Profit/Stop Loss Multipliers:** Adjust these values to align with your risk management strategy. For instance, increasing the take profit multiplier may yield larger gains but could also increase exposure to market fluctuations.
This flexibility makes it suitable for various trading styles, from aggressive scalpers to conservative swing traders.
Conclusion
The TQQQ EMA Crossover Strategy is an effective tool for traders seeking an edge in their trading endeavors. By utilizing fast and slow EMAs, this indicator provides clear entry and exit signals while allowing for customization to fit individual trading strategies. Whether you are a scalper looking for quick profits or a swing trader aiming for larger moves, this indicator offers valuable insights into market trends.
Incorporate it into your TradingView toolkit today and elevate your trading performance!
J Lines EMA + VWAPThe EMA + VWAP indicator combines the power of Exponential Moving Averages (EMA) with the Volume Weighted Average Price (VWAP) to help traders spot trends, identify potential entries/exits, and understand market momentum with ease. This dual-purpose tool is designed to give both beginner and experienced traders a clear view of price direction and volume influence, whether for day trading or swing trading.
Key Features:
Dynamic EMA Lines:
Six customizable moving averages (EMA by default) adapt to your selected timeframe. EMAs help track trend direction and strength, with various colors and opacity settings that visually separate them for clarity.
VWAP Tracking: A standalone VWAP line (blue) shows the average trading price adjusted for volume, making it ideal for pinpointing significant price levels where institutional interest often lies.
EMA Ribbons for Trend Confirmation: Soft-colored ribbons are placed between EMA pairs to make the trend strength visually apparent, with different color fills between lines. This makes it easy to gauge bullish or bearish conditions at a glance.
Flexible MA Options: Besides EMA, you can choose from SMA, WMA, HMA, and RMA, allowing you to adapt the indicator to various trading strategies.
This tool simplifies trend-following and volume-based analysis by giving you insight into both price momentum and market participation levels. EMAs adapt to volatility and changing market conditions, while the VWAP keeps you aware of critical price zones based on trading volume. Together, these help you stay on the right side of the market, avoid false breakouts, and make informed decisions on when to enter or exit trades.
Ideal for beginners due to its visual clarity and flexible enough for seasoned traders, EMA + VWAP is your go-to indicator for a structured approach to market trends.
EMA LavtiThis TradingView Pine Script indicator displays a smoothed Exponential Moving Average (EMA) line along with a single arrow to indicate the last confirmed crossing event. The indicator highlights either a "Buy" or "Sell" signal based on price action relative to the smoothed EMA.
How It Works:
The script tracks the index and direction (up or down) of the last crossover event.
When no new crossing event occurs, the script resets to avoid plotting multiple arrows.
The smoothed EMA line is plotted on the chart to give context for the crossover signals.
Hull Moving Averages 10, 20, 50, 100, 200This script generates multiple Hull Moving Averages (HMAs) on a trading chart, allowing for comprehensive trend analysis across different timeframes. Five HMAs with lengths of 10, 20, 50, 100, and 200 periods are plotted on the chart, providing insights into short, medium, and long-term market trends.
Each HMA can be customized with individual colors to easily distinguish between the different timeframes, helping traders visually track momentum changes and trend strength across these intervals. The Hull Moving Average is known for reducing lag compared to other moving averages, which makes it particularly useful for identifying turning points more accurately.
With this script:
You can adjust the colors of each HMA line individually, ensuring optimal visual differentiation.
You can analyze short-term trends with HMA 10 and HMA 20, medium-term trends with HMA 50, and long-term trends with HMA 100 and HMA 200.
The chart provides an at-a-glance view of multi-timeframe trends, making it useful for trading strategies that rely on crossovers or divergence patterns.
This tool is ideal for traders who want to identify trend direction, strength, and possible reversal points with minimal lag.
Triple EMA Crossover StrategyTriple EMA Crossover Strategy
Overview
The Triple EMA Crossover Strategy is a trend-following trading system that utilizes three Exponential Moving Averages (EMAs) to identify potential entry and exit points in the market. This strategy is based on the principle that when shorter-term prices cross above longer-term prices, it can indicate a bullish trend, and conversely when they cross below, it can signal a bearish trend.
Components
Exponential Moving Averages (EMAs):
Short EMA: A fast-moving average that reacts quickly to price changes (commonly set to 9 periods).
Medium EMA: A medium-term average that smooths out price data and helps confirm trends (commonly set to 21 periods).
Long EMA: A slow-moving average that helps identify the overall trend direction (commonly set to 55 periods).
Trading Signals:
Buy Signal: A long entry is triggered when:
The Short EMA (9) crosses above the Medium EMA (21).
The Medium EMA (21) is above the Long EMA (55).
Sell Signal: A short entry is signaled when:
The Short EMA (9) crosses below the Medium EMA (21).
The Medium EMA (21) is below the Long EMA (55).
Stop Loss and Take Profit:
Stop Loss: Implement a predefined percentage or ATR-based stop loss to limit potential losses.
Take Profit: Set a target based on a risk-to-reward ratio that reflects your trading strategy's goals.
Advantages
Trend Identification: The EMA crossover system allows traders to identify the current trend dynamically, focusing on upward or downward price movements.
Simplicity: The strategy is straightforward, making it accessible for both new and experienced traders.
Flexibility: This method can be applied across multiple timeframes and asset classes, making it versatile for various trading styles.
Disadvantages
Lagging Indicator: Moving averages are lagging indicators, meaning signals may come later than the actual price movement, which can lead to missed opportunities.
Whipsaw Effect: In ranging markets, the strategy may produce false signals leading to potential losses.
Market Bias IndicatorOverview
This Pine Script™ code generates a "Market Sentiment Dashboard" on TradingView, providing a visual summary of market sentiment across multiple timeframes. This tool aids traders in making informed decisions by displaying real-time sentiment analysis based on Exponential Moving Averages (EMA).
Key Features
Panel Positioning:
Custom Placement: Traders can position the dashboard at the top, middle, or bottom of the chart and align it to the left, centre, or right, ensuring optimal integration with other chart elements.
Customizable Colours:
Sentiment Colours: Users can define colours for bullish, bearish, and neutral market conditions, enhancing the dashboard's readability.
Text Colour: Customizable text colour ensures clarity against various background colours.
Label Size:
Scalable Labels: Adjustable label sizes (from very small to very large) ensure readability across different screen sizes and resolutions.
Market Sentiment Calculation:
EMA-Based Sentiment: The dashboard calculates sentiment using a 9-period EMA. If the EMA is higher than two bars ago, the sentiment is bullish; if lower, it's bearish; otherwise, it's neutral.
Multiple Timeframes: Sentiment is calculated for several timeframes: 30 minute, 1 hour, 4 hour, 6 hour, 8 hour, 12 hour, 1 day, and 1 week. This broad analysis provides a comprehensive view of market conditions.
Dynamic Table:
Structured Display: The dashboard uses a table to organize and display sentiment data clearly.
Real-Time Updates: The table updates in real-time, providing traders with up-to-date market information.
How It Works
EMA Calculation: The script requests EMA(9) values for each specified timeframe and compares the current EMA with the EMA from two bars ago to determine market sentiment.
Colour Coding: Depending on the sentiment (Bullish, Bearish, or Neutral), the corresponding cell in the table is color-coded using predefined colours.
Table Display: The table displays the timeframe and corresponding sentiment, allowing traders to quickly assess market trends.
Benefits to Traders
Quick Assessment: Traders can quickly evaluate market sentiment across multiple timeframes without switching charts or manually calculating indicators.
Enhanced Visualization: The color-coded sentiment display makes it easy to identify trends at a glance.
Multi-Timeframe Analysis: Provides a broad view of short-term and long-term market trends, helping traders confirm trends and avoid false signals.
This dashboard enhances the overall trading experience by providing a comprehensive, customizable, and easy-to-read summary of market sentiment.
Usage Instructions
Add the Script to Your Chart: Apply the "Market Sentiment Dashboard" indicator to your TradingView chart.
Customize Settings: Adjust the panel position, colours, and label sizes to fit your preferences.
Interpret Sentiment: Use the color-coded table to quickly understand the market sentiment across different timeframes and make informed trading decisions.
EMA Distance & Sector InfoThis indicator provides insights into price trends relative to Exponential Moving Averages (EMAs) and displays sector/industry information about the asset. Below is a detailed explanation of its purpose and what it is designed to achieve:
Purpose of the Code
The indicator offers two key functionalities:
1. Analyzing Price Distance from Multiple EMAs:
• Helps traders understand how far the current price is from key EMAs, expressed as a percentage.
• Calculates average percentage distances over a specified period (default: 63 days) to spot consistent trends or mean reversion opportunities.
• Useful for trend-following strategies, allowing the trader to see when the price is above or below important EMAs (e.g., 9, 21, 50, 100, and 150-period EMAs).
2. Displaying Asset Sector and Industry Information:
• Displays the sector and industry of the asset being analyzed (e.g., Technology, Consumer Goods).
• Provides additional context when evaluating performance across a specific sector or comparing an asset to its peers.
Who Would Use This Indicator?
This indicator is particularly helpful for:
1. Swing Traders and Positional Traders:
• They can use it to track whether the price is trading significantly above or below critical EMAs, which often signals overbought/oversold conditions or trend strength.
• The average percentage distances help to identify momentum shifts or pullback opportunities.
2. Sector/Industry-Focused Investors:
• Understanding an asset’s sector and industry helps investors gauge how the asset fits into the broader market context.
• This is valuable for sector rotation strategies, where investors shift funds between sectors based on performance trends.
How It Helps in Trading Decisions
1. Entry and Exit Points:
• If the price is far above an EMA (e.g., 21 EMA), it might indicate an overbought condition or a strong trend, while a negative percentage could signal a pullback or reversal opportunity.
• The average percentage distances smooth the fluctuations and reveal longer-term trends.
2. Contextual Information:
• Knowing the sector and industry is useful when analyzing trends. For example, if Technology stocks are doing well, and this asset belongs to that sector, it could indicate sector-wide momentum.
Summary of the Indicator’s Purpose
This code provides:
• EMA trend monitoring: Visualizes the price position relative to multiple EMAs and averages those distances for smoother insights.
• Sector and industry information: Adds valuable context for asset performance analysis.
• Decision-making support: Helps traders identify overbought/oversold levels and assess the asset within the broader market landscape.
In essence, this indicator is a multi-purpose tool that combines technical analysis (through EMA distances) with fundamental context (via sector/industry info), making it valuable for traders and investors aiming to time entries/exits or understand market behavior better.
Fourier Transformed & Kalman Filtered EMA Crossover [Mattes]The Fourier Transformed & Kalman Filtered EMA Crossover (FTKF EMAC) is a trend-following indicator that leverages Fourier Transform approximation, Kalman Filtration, and two Exponential Moving Averages (EMAs) of different lengths to provide accurate and smooth market trend signals. By combining these three components, it captures the underlying market cycles, reduces noise, and produces actionable insights, making it suitable for detecting both emerging trends and confirming existing ones.
TECHNICALITIES:
>>> The Fourier Transform approximation is designed to identify dominant cyclical patterns in price action by focusing on key frequencies, while filtering out noise and less significant movements. It emphasizes the most meaningful price cycles, enabling the indicator to isolate important trends while ignoring minor fluctuations. This cyclical awareness adds an extra layer of depth to trend detection, allowing the EMAs to work with a cleaner and more reliable data set.
>>> The Kalman Filter adds dynamic noise reduction, adjusting its predictions of future price trends based on past and current data. As new price data comes in, the filter recalibrates itself to ensure that the price action remains smooth and devoid of erratic movements. This real-time adjustment is key to minimizing lag while avoiding false signals, which ensures that the EMAs react to more accurate and stable market data. The Kalman Filter’s ability to smooth price data without losing sensitivity to trend changes complements the Fourier approximation, ensuring a high level of precision in volatile and stable market environments.
>>> The EMA Crossover involves using two EMAs: a shorter EMA that reacts quickly to price movements and a longer EMA that responds more slowly. The shorter EMA is responsible for capturing immediate market shifts, detecting potential bullish or bearish trends. The longer EMA smooths out price fluctuations and provides trend confirmation, working with the shorter EMA to ensure the signals are reliable. When the shorter EMA crosses above the longer EMA, it indicates a bullish trend, likewise when it goes below the longer EMA, it signals a bearish trend. This setup provides a clear way to track market direction, with color-coded signals (green for bullish, red for bearish) for visual clarity. The flexibility of adjusting the EMA periods allows traders to fine-tune the indicator to their preferred timeframe and strategy, making it adaptable to different market conditions.
|-> A key technical aspect is that the first EMA should always be shorter than the second one. If the first EMA is longer than the second, the tool’s effectiveness is compromised because the faster EMA is designed to signal long conditions, while the longer one is made for signaling a bearish trend. Reversing their roles would lead to delayed or confused signals, reducing the indicator’s ability to detect trend shifts early and making it less efficient in volatile markets. This is the only key weakness of the indicator, failure to submit to this rule will result in confusion.
>>> These components work together like a clock to create a comprehensive and effective trend-following system. The Fourier approximation highlights key cyclical movements, the Kalman Filter refines these movements by removing noise, and the EMAs interpret the filtered data to generate actionable trend signals. Each component enhances the next, ensuring that the final output is both responsive and reliable, with minimal false signals or lag. creating an indicator using widespread concepts which haven't been combined before.
Summary
This indicator combines Fourier Transform approximation, Kalman Filtration, and two EMAs of different lengths to deliver accurate and timely trend-following signals. The Fourier approximation identifies dominant market cycles, while the Kalman Filter dynamically removes noise and refines the price data in real time. The two EMAs then use this filtered data to generate buy and sell signals based on their crossovers. The shorter EMA reacts quickly to price changes, while the longer EMA provides smoother trend confirmation. The components work in synergy to capture trends with minimal false signals or lag, ensuring traders can act promptly on market shifts. Customizable EMA periods make the tool adaptable to different market conditions, enhancing its versatility for various trading strategies.
To use the indicator, traders should adjust the EMA lengths based on their timeframe and strategy, ensuring that the shorter EMA remains shorter than the longer EMA to preserve the tool’s responsiveness. The color-coded signals offer visual clarity, making it easy to identify potential entry and exit points. This confluence of Fourier, Kalman, and EMA methodologies provides a smooth, highly effective trend-following tool that excels in both trending and ranging markets.
