ICT Balanced Price Range [TradingFinder] BPR | FVG + IFVG🔵 Introduction
The ICT Balanced Price Range (BPR) indicator is a valuable tool that helps traders identify key areas on price charts where a balance between buyers and sellers is established. These zones can serve as critical points for potential price reversals or continuations.
🟣 Bullish Balanced Price Range
A Bullish BPR forms when a buying pressure zone (Bullish FVG) overlaps with a Bullish Inversion FVG. This overlap indicates a high probability of price moving upwards, making it a crucial area for traders to consider.
🟣 Bearish Balanced Price Range
Similarly, a Bearish BPR is created when a selling pressure zone (Bearish FVG) overlaps with a Bearish Inversion FVG. This zone is often seen as a key area where the price is likely to move downward.
🔵 How to Use
🟣 Identifying the Balanced Price Range (BPR)
To identify the Balanced Price Range (BPR), you must first locate two Fair Value Gaps (FVGs) on the price chart. One FVG should be on the sell side, and the other on the buy side. When these two FVGs horizontally oppose each other, the area where they overlap is recognized as the Balanced Price Range (BPR).
This BPR zone is highly sensitive to price movements due to the combination of two FVGs, often leading to strong market reactions. As the price approaches this area, the likelihood of a significant market move increases, making it a prime target for professional traders.
🟣 Bullish Balanced Price Range (Bullish BPR)
To effectively trade using a Bullish BPR, begin by identifying a bullish market structure and searching for bullish Price Delivery Arrays (PD Arrays). Once the market structure shifts to bullish in a lower time frame, locate a Bullish FVG within the Discount Zone that overlaps with a Bearish FVG.
Mark this overlapping zone and wait for the price to test it before executing a buy trade. Alternatively, you can set a Buy Limit order with a stop loss below the recent swing low and target profits based on higher time frame liquidity draws.
🟣 Bearish Balanced Price Range (Bearish BPR)
For bearish trades, start by identifying a bearish market structure and look for bearish PD Arrays. After the market structure shifts to bearish in a lower time frame, identify a Bearish FVG within the Discount Zone that overlaps with a Bullish FVG. Mark this overlapping zone and execute a sell trade when the price tests it.
You can also use a Sell Limit order with a stop loss above the recent swing high and target profits according to higher time frame liquidity draws.
🔵 Settings
🟣 Global Settings
Show All Inversion FVG & IFVG : If disabled, only the most recent FVG & IFVG will be displayed.
FVG & IFVG Validity Period (Bar) : Determines the maximum duration (in number of candles) that the FVG and IFVG remain valid.
Switching Colors Theme Mode : Includes three modes: "Off", "Light", and "Dark". "Light" mode adjusts colors for light mode use, "Dark" mode adjusts colors for dark mode use, and "Off" disables color adjustments.
🟣 Display Settings
Show Bullish BPR : Toggles the display of demand-related boxes.
Show Bearish BPR : Toggles the display of supply-related boxes.
Mitigation Level BPR : Options include "Proximal", "Distal", or "50 % OB" modes, which you can choose based on your needs. The "50 % OB" line is the midpoint between distal and proximal.
Show Bullish IFVG : Toggles the display of demand-related boxes.
Show Bearish IFV G: Toggles the display of supply-related boxes.
Mitigation Level FVG and IFVG : Options include "Proximal", "Distal", or "50 % OB" modes, which you can choose based on your needs. The "50 % OB" line is the midpoint between distal and proximal.
🟣 Logic Settings
FVG Filter : This refines the number of identified FVG areas based on a specified algorithm to focus on higher quality signals and reduce noise.
Types of FVG filters :
Very Aggressive Filter : Adds a condition where, for an upward FVG, the last candle's highest price must exceed the middle candle's highest price, and for a downward FVG, the last candle's lowest price must be lower than the middle candle's lowest price. This minimally filters out FVGs.
Aggressive Filter : Builds on the Very Aggressive mode by ensuring the middle candle is not too small, filtering out more FVGs.
Defensive Filter : Adds criteria regarding the size and structure of the middle candle, requiring it to have a substantial body and specific polarity conditions, filtering out a significant number of FVGs.
Very Defensive Filte r: Further refines filtering by ensuring the first and third candles are not small-bodied doji candles, retaining only the highest quality signals.
🟣 Alert Settings
Alert Inversion FVG Mitigation : Enables alerts for Inversion FVG mitigation.
Message Frequency : Determines the frequency of alerts. Options include 'All' (every function call), 'Once Per Bar' (first call within the bar), and 'Once Per Bar Close' (final script execution of the real-time bar). Default is 'Once per Bar'.
Show Alert Time by Time Zone : Configures the time zone for alert messages. Default is 'UTC'.
Display More Info : Provides additional details in alert messages, including price range, date, hour, and minute. Set to 'Off' to exclude this information.
🔵 Conclusion
The ICT Balanced Price Range is a powerful and reliable tool for identifying key points on price charts. This strategy can be applied across various time frames and serves as a complementary tool alongside other indicators and technical analysis methods.
The most crucial aspect of utilizing this strategy effectively is correctly identifying FVGs and their overlapping areas, which comes with practice and experience.
Fairvalue
Double FVG-BPR [QuantVue]The Double FVG BPR Indicator is a versatile tool that helps traders identify potential support and resistance levels through the concept of balanced price ranges.
A Balanced Price Range (BPR) is a zone on a price chart where the market has found equilibrium after a period of price imbalance.
It is identified by detecting a Fair Value Gap (FVG) in one direction, followed by an overlapping Fair Value Gap in the opposite direction.
Components of a Balanced Price Range
Fair Value Gap (FVG): A FVG occurs when there is a rapid price movement, creating a gap in the price chart where minimal trading occurs. This gap represents an imbalance between supply and demand.
Bullish FVG: A bullish FVG is identified when the low of a candle is higher than the high of a candle two periods ago, and the close of the previous candle is higher than the high of that same period.
Bearish FVG: A bearish FVG is identified when the high of a candle is lower than the low of a candle two periods ago, and the close of the previous candle is lower than the low of that same period.
Overlapping Fair Value Gap: For a BPR to be formed, an initial FVG must be followed by an overlapping FVG in the opposite direction. This creates a balanced zone where the price has moved up (or down) quickly and then moved down (or up) with similar intensity, suggesting a temporary equilibrium.
The area between the high and low points of these overlapping FVGs forms the BPR. This zone represents a temporary market equilibrium where supply and demand have balanced out after a period of significant price movement in both directions.
How to Use
Support and Resistance Levels: The upper and lower boundaries of the BPR act as dynamic support and resistance levels. Traders can use these levels to place buy and sell orders, anticipating that the price may find support or face resistance within these zones.
Trend Reversal and Continuation: The BPR can signal potential trend reversals or continuations.
If the price moves back into the BPR after a breakout, it may indicate a reversal. Conversely, if the price breaks out of the BPR with strong momentum, it may signal a trend continuation.
Fundur - Easy ZonesFundur Easy Zones Trading Indicator
The Fundur Easy Zones trading indicator is designed to simplify market analysis by visually marking critical trading zones. This tool helps traders identify optimal buy and sell areas based on historical price action, making it easier to make informed trading decisions.
Calculation Methodology
The Easy Zones indicator employs pivot point calculations combined with price action analysis and the Average True Range (ATR) to determine key trading zones. These zones are calculated by analyzing market volatility and price movements within each timeframe, allowing the identification of significant discount and premium levels.
Pivot Points: The indicator calculates pivot points based on the average of high, low, and close prices from previous periods. These pivot points serve as the foundational levels from which discount and premium zones are derived.
Price Action Analysis: Historical price data is scrutinized to identify patterns and behaviors that signify potential reversal points. This analysis helps in pinpointing zones where the market is likely to experience significant support (discount) or resistance (premium).
Average True Range (ATR): ATR is used to measure market volatility. By incorporating ATR into the calculations, the indicator adjusts the zone boundaries to reflect current market conditions, ensuring that the zones remain relevant and accurate. Higher ATR values indicate greater volatility and wider zones, while lower ATR values result in narrower zones.
Discount and Premium Levels: Based on the pivot points and ATR, the indicator calculates various tiers of discount and premium levels. These tiers (D1, D2, D3 for discounts and P1, P2, P3 for premiums) represent increasing levels of price deviation from the mean, providing traders with clear entry and exit points.
Features Overview
Zones Settings:
Zones History Length: Adjust the number of historical zones displayed on the chart to analyze past price behavior.
Levels Line Width: Customize the thickness of the zone lines for better visibility.
Structure Settings:
Show Fair Value: Display the fair value zone, providing a visual reference for equilibrium price levels. The fair value is calculated based on the median price over the selected period.
DP (Discount and Premium) Settings:
Enable Discount and Premium Levels: Activate the display of critical buy (discount) and sell (premium) zones. These zones are determined using price deviation analysis from the mean, identifying significant discount (support) and premium (resistance) levels.
Tiered Levels: Visualize up to three levels of discount and premium zones, each with specific target prices (TP1, TP2, TP3), representing different levels of price deviation significance.
Highlight Buy and Sell Zones:
Enable Background: Highlight the background of buy and sell zones for enhanced clarity.
Label Settings:
Enable All Labels: Ensure all labels are visible for quick reference.
Show Descriptive Title: Display titles for each zone, making it easier to understand the context.
Show Take Profit Targets (TP): Clearly mark take profit targets within each zone.
Show Price: Display price levels for each zone for precise entry and exit points.
Symbols Settings:
Fair Value, Premium, and Discount Indicators: Customize symbols to represent gaining or losing fair value, premium, and discount levels, enhancing visual cues for market sentiment.
How to Use the Easy Zones Indicator
Identifying Entry Points:
Use the Discount Zones to identify optimal buy areas. The levels (D1, D2, D3) represent increasing levels of discount, with D1 being the least discounted and D3 the most.
Place buy orders at or near these zones to take advantage of potential price reversals.
Identifying Exit Points:
Use the Premium Zones to identify optimal sell areas. The levels (P1, P2, P3) represent increasing levels of premium, with P1 being the least and P3 the highest.
Place sell orders at or near these zones to maximize profits on upward price movements.
Using Fair Value:
The Fair Value Zone provides a balanced price level where the market is likely to return. Use this as a reference point for setting realistic entry and exit targets.
Strategic Planning:
Combine Discount and Premium Zones with the Fair Value Zone to create a strategic trading plan.
Monitor the zones for price reactions and adjust your trading strategy accordingly.
Best Practices
Historical Analysis:
Regularly review historical price actions within the marked zones to understand market behavior.
Customization:
Adjust the settings to suit your trading style and market conditions. Experiment with different zone lengths and line widths for optimal clarity.
Risk Management:
Always use stop-loss orders in conjunction with the identified zones to manage risk effectively.
By integrating the Fundur Easy Zones indicator into your trading strategy, you can enhance your market analysis, make more informed decisions, and ultimately improve your trading performance.
Fair Value Calculator V 1.0Fair Value Calculator V 1.0
This indicator calculates the fair value of a stock based on the revenue growth rate and net profit margin of a company, providing a quick estimate of its intrinsic worth. The calculation takes into account:
Current Revenue: The company's current revenue
5-Year Growth Rate: Expected revenue annual growth rate (CAGR) over the next 5 years
Average PE Ratio: The average Price-to-Earnings ratio for the next 5 years
Average Profit Margin: The average profit margin for the next 5 years
Share Outstanding: The total number of shares outstanding
Yearly Share Buyback Rate: The percentage of shares bought back by the company each year
Discount Rate: The rate used to calculate the present value of the fair value
Using these inputs, the indicator estimates the fair value of the stock, providing a valuable tool for investors and traders to make informed decisions.
Note: all values can be adjusted by the user by entering the desired value and selecting the item in the setup menu.
How it works
The indicator calculates the future revenue based on the current revenue and the expected revenue annual growth rate (CAGR).
It then estimates the future earnings using the average profit margin.
The future price is calculated using the exit value of the PE ratio.
The present value of the fair value is calculated using the discount rate.
The indicator adjusts the fair value based on the yearly share buyback rate.
Benefits
Provides a quick but valuable estimate of a stock's fair value based on the revenue growth and the expected profit.
Helps investors and traders identify undervalued or overvalued stocks.
Allows users to adjust inputs to suit their own assumptions and scenarios.
Note
This indicator is for informational purposes only and should not be considered as investment advice. Always do your own research and consider multiple perspectives before making investment decisions.
Fair ValueThis indicator is designed to provide a valuation perspective based on a specified length and deviations from a base value. This code calculates fair value levels relative to a chosen source (typically closing prices) using simple moving averages (SMA) or exponential moving averages (EMA). Please note that this is purely educational and should not be considered financial advice.
Key Features:
1. Valuation Calculation: The indicator computes a base value using either SMA or EMA, providing a reference point for fair value.
2. Deviation Levels: Additional levels of valuation are defined as deviations from the base value, indicating potential overvalued or undervalued conditions.
3. Currency-Specific Display: It displays valuation levels in different currency symbols based on the asset's trading currency.
4. Visual Representation: The indicator plots fair value lines and shades areas to highlight potential deviations.
5. Line Projection: A projection line shows potential future movement based on the calculated slope. This feature forecasts future price movement using a linear regression line's slope, dynamically projecting the trend forward. It provides traders with valuable insight into potential future price behavior. The implementation involves complex mathematical computations to determine the slope and iterative drawing of projected segments.
Educational Purpose: This indicator is for educational purposes only. It does not guarantee accuracy or suitability for trading decisions.
Please use caution and consider consulting a financial professional before making any investment decisions based on this indicator. Keep in mind that market conditions can change rapidly, and historical performance may not predict future results.
Fair Value by MMEnglish
IMPORTANT NOTICE
This indicator is used to find fair value based on historical data. Past growth data may not be sustainable, which will cause the price targets given by the indicator to be inaccurate. Any price on this indicator cannot be considered as investment advice. Trading decisions are the responsibility of the person using the indicator.
What is the Fair Value by MM indicator?
This is an indicator that tries to find the fair value of a stock by looking at its historical data and growth over a certain period of time. By analyzing a stock's historical growth data, it generates a fair value and potential price estimate.
The indicator presents the financial data of a stock with 3 different data sets.
1. Summary and Valuation
2. Average Quarterly Growth
3. Profit margins
** Number of Lookback Periods for Quarters **
The first input of the indicator is where you specify how many quarters back to value the stock. By default, it is based on the last 12 quarters, i.e. 3 years. Since there is not enough historical data for newly listed companies, you can change this figure according to the company you are analyzing.
** Show Summary **
The Indicator starts in this mode by default. This mode gives you data such as sales, EBITDA, EBIT, net profit and free cash flow in PER SHARE and TTM values. The reason for using per share values is that a company's price is per share, and it saves you time to look at all other metrics on a per share basis. For example, if a company with a share price of $10 has sales per share of $5, we can say that this company has generated half of its market capitalization in sales revenue in the last 1 year.
In the indicator's default mode (Show Summary);
1. Sales per share TTM (Red)
2. EBITDA per share TTM (Orange)
3. EBIT per share TTM (Yellow)
4. Net Income per share TTM (Blue)
5. Free Cash Flow per share TTM (Green)
6. Share close price (White)
7. Fair value of the share (Green if price is below fair value, Red if price is above fair value)
8. Price target for the next 12 months (Yellow)
** Show AVG Growth QoQ **
When this option is selected, you can see the average quarterly growth in sales, EBITDA, EBIT, net profit and free cash flow, respectively, over the period you have selected (e.g. the last 12 quarters). This data gives an idea about the company's growth and the pace of its growth.
** Show Profit Margins **
When this option is selected, you can see gross profit margin, EBITDA margin, EBIT margin, net profit margin and free cash flow margin data respectively. It provides a quick overview to determine whether the company is increasing revenue by narrowing profit margins or increasing both revenue growth and profit margins.
** Include Sales **
When this option is selected, sales revenues are included in the company's valuation.
** Include Ebitda **
When this option is selected, EBITDA is included in the valuation of the company.
** Include Ebit **
When this option is selected, EBIT is included in the valuation of the company.
** Include Net Profit **
When this option is selected, net profit is included in the valuation of the company.
** Include FCF **
When this option is selected, free cash flow is included in the valuation of the company.
By default, the valuation is based on sales, EBITDA and EBIT. Net profit and free cash flow can be optionally selected. Or the metrics you do not want can be excluded from the valuation calculation.
What do the colors mean?
** Red **
Represents the company's data related to the company's sales.
** Orange **
Represents the company's data related to the company's EBITDA.
** Yellow **
Represents the company's data related to the company's EBIT.
** Blue **
Represents the company's data related to the company's Net Income.
** Green **
Represents the company's data related to the company's Free Cash Flow.
Turkish
ÖNEMLİ UYARI
Bu indikatör geçmiş verileri baz alarak adil değer bulmaya yarar. Geçmişte oluşan büyüme verileri sürdürelebilir olmayabilir, bu da indikatörün verdiği fiyat hedeflerinin yanılmasına sebep olacaktır. Bu indikatör üzerinde yer alan herhangi bir fiyat, yatırım tavsiyesi kapsamında değerlendirilemez. Alım/satım kararları indikatörü kullanan kişinin sorumluluğundadır.
Fair Value by MM indikatörü nedir?
Bu bir hissenin belirli bir periyotu kapsayan geçmiş verilerine ve gelişimlerine bakarak adil değerini bulmaya çalışan bir indikatördür. Bir hissenin geçmiş büyüme verilerini analiz ederek adil değer ve potansiyel fiyat tahmini oluşturur.
İndikatör bir hissenin finansal datasını 3 farklı veri seti ile sunmaktadır.
1. Özet ve Değerleme
2. Ortalama Çeyreklik Büyümeler
3. Kar marjları
** Number of Lookback Periods for Quarters **
İndikatörün ilk input’u, hisseyi değerlemek için kaç çeyrek geriye bakacağınızı belirttiğiniz kısımdır. Varsayılan olarak son 12 çeyrek, yani 3 yılı baz alır. Yeni arz olmuş şirketlerde yeterli geçmiş veri bulunmadığı için bu rakamı incelediğiniz şirkete göre değiştirebilirsiniz.
** Show Summary **
İndikatör varsayılan olarak bu modda başlar. Bu mod, satışlar, favök, esas faaliyet karı, net kar ve serbest nakit akışı gibi verileri HİSSE BAŞINA ve YILLIKLANDIRILMIŞ değerleri ile size verir. Hisse başına değerlerin kullanılmasındaki sebep, bir şirketin fiyatı hisse başınadır, ve diğer tüm metriklere hisse başına bakmak size zaman kazandırır. Örneğin, hisse fiyatı $10 olan bir şirketin, hisse başına satışları $5 ise, bu şirket son 1 yılda piyasa değerinin yarısı kadar satış geliri elde etmiş diyebiliriz.
İndikatörün varsayılan modunda (Show Summary);
1. Hisse başına yıllıklandırılmış Satışlar (Kırmızı)
2. Hisse başına yıllıklandırılmış FAVÖK (Turuncu)
3. Hisse başına yıllıklandırılmış Esas Faaliyet Karı (Sarı)
4. Hisse başına yıllıklandırılmış Net Kar (Mavi)
5. Hisse başına yıllıklandırılmış Serbest Nakit Akışı (Yeşil)
6. Hisse kapanış fiyatı (Beyaz)
7. Hissenin adil değeri (Fiyat Adil değerin altında ise Yeşil, Üstünde ise Kırmızı)
8. Önümüzdeki 12 aylık fiyat hedefi (Sarı)
** Show AVG Growth QoQ **
Bu seçenek seçildiğinde, sırası ile satışlar, favök, esas faaliyet karı, net kar ve serbest nakit akışının, seçmiş olduğunuz periyotta (örneğin son 12 çeyrek), çeyreklik olarak ortalama % kaç büyüdüğünü görebilirsiniz. Bu veri, şirketin gelişimi ve gelişim hızı hakkında fikir vermektedir.
** Show Profit Margings **
Bu seçenek seçildiğinde, sırası ile brüt kar marjı, favök marjı, esas faaliyet kar marjı, net kar marjı ve serbest nakit akışı marjı verilerini görebilirsiniz. Şirketin karlılık marjlarını daraltarak mı gelirini arttırdığını yoksa hem gelir artışı hem de kar marjlarını arttırdığını tespit etmek için hızlı bir bakış sunar.
** Include Sales **
Bu seçenek seçildiğinde, şirketin değerlemesine satış gelirleri dahil edilir.
** Include Ebitda **
Bu seçenek seçildiğinde, şirketin değerlemesine favök dahil edilir.
** Include Ebit **
Bu seçenek seçildiğinde, şirketin değerlemesine esas faaliyet karları dahil edilir.
** Include Net Profit **
Bu seçenek seçildiğinde, şirketin değerlemesine net kar dahil edilir.
** Include FCF **
Bu seçenek seçildiğinde, şirketin değerlemesine serbest nakit akışı dahil edilir.
Varsayılan olarak, satışlar, favök ve esas faaliyet karı üzerinden değerleme yapılır. Net kar ve serbest nakit akışı isteğe göre seçilebilir. Ya da istemediğiniz metrikler değerleme hesaplamasından çıkarılabilir.
Renkler ne anlama geliyor?
** Kırmızı **
Şirketin satışları ile ilgili verilerini temsil eder.
** Turuncu **
Şirketin favök’ü ile ilgili verilerini temsil eder.
** Sarı **
Şirketin esas faaliyet karı ile ilgili verilerini temsil eder.
** Mavi **
Şirketin net karı ile ilgili verileri temsil eder.
** Yeşil **
Şirketin serbest nakit akışı ile ilgili verilerini temsil eder.
SFC Valuation Model - Fair ValueValuation is the analytical process of determining the current (or projected) worth of an asset or a company. There are many techniques used for doing a valuation. An analyst placing a value on a company looks at the business's management, the composition of its capital structure, the prospect of future earnings, and the market value of its assets, among other metrics.
Fundamental analysis is often employed in valuation, although several other methods may be employed such as the capital asset pricing model (CAPM) or the dividend discount model (DDM), Discounted Cash Flow (DCF) and many others.
A valuation can be useful when trying to determine the fair value of a security, which is determined by what a buyer is willing to pay a seller, assuming both parties enter the transaction willingly. When a security trades on an exchange, buyers and sellers determine the market value of a stock or bond.
There is no universal standard for calculating the intrinsic value of a company or stock. Financial analysts attempt to determine an asset's intrinsic value by using fundamental and technical analyses to gauge its actual financial performance.
Intrinsic value is useful because it can help an investor understand whether a potential investment is overvalued or undervalued.
This indicator allows investors to simulate different scenarios depending on their view of the stock's value. It calculates different models automatically, but users can define the fair value manually by changing the settings.
For example: change the weight of the model; choose how conservatively want to evaluate the stock; use different growth rate or discount rate and so on.
The indicator shows other useful metrics in order to help investors to evaluate the stock.
This indicator can save users hours of searching financial data and calculating fair value.
There are few valuation methods/steps
- Macroeconomics - analyse the current economic;
- Define how the sector is performing;
- Relative valuation method - compare few stocks and find the Outlier;
- Absolute valuation method historically- define how the stock performed in the past;
- Absolute valuation method - define how the stock is performed now and find the fair value;
- Technical analysis
How to use:
1. Once you have completed the initial evaluation steps, simply load the indicator.
2. Check the default settings and see if they suit you.
3. Find the fair value and wait for the stock to reach it.
Apeiron Fair Value Bands ProWHAT IS IT
The Apeiron Fair Value Bands Pro is an indicator that estimates the fair value area of an asset and provides levels of interest and likely reaction. It was created to determine fair value. Knowing fair value allows traders and investors to determine when an asset is at a premium or at a discount, which allows them to make more informed decisions about when to buy or sell. Fair value is constantly changing, and sometimes waiting for it to develop each session or month can lead to missed opportunities. Therefore, it is useful to have an estimate of fair value at all times.
HOW DOES IT WORK?
The simplest way to have a constant estimation of fair value could probably be a Moving Average. By averaging previous prices, we get the average price which ideally reflects where most traders have been interested in participating in the market. This isn’t necessarily the most accurate fair value estimation you can get, however using different types of moving averages and combining them allows for a better estimation of the FV. It is also important to consider that price is always moving away and back into the MA, so in order to determine FV, we must allow an area for price to move within which we can consider the FVA. By taking into account volatility, previous relevant levels and the MA, the Apeiron Bands determine a FVA, where in theory price should stay most of the time.
According to the normal distribution, the price should stay within 1 standard deviation (SD) around 68% of the time and within 2 SD around 95% of the time during range periods (when data is most symmetrical). In the case of the Apeiron Bands, based on backtest data, the price tends to stay within 1 FVA around 75% of the time, within 2 FVA around 90% of the time during strong trends, around 80% and 95% correspondingly during weak trends, and >85% and >95% during ranges.
Additionally, based on backtesting data, pivots occur on average at around 1 FVA ±0.05 (This does not necessarily mean that most pivots occur at 1 FVA, however, the fact the average is 1±0.05 implies there is relevance to this level).
Finally, in order to account for volatility and the slight differences between symbols, a customizable tolerance ribbon is added to the moving average (MA) and each plotted band.
This data remains the same throughout all timeframes and types of market (tested on cryptocurrencies, forex pairs, stocks, indices and futures)
Examples of the time spent within the FVAs:
Examples of average pivot FVA :
HOW TO USE IT?
Identify potential reversal levels at premium and discount prices:
Knowing that price stays within 1 FVA the majority of time and inside 2 FVA most of the time, as well that in average pivots occur around 1 FVA, it can be inferred that both the Bands representing 1 & 2 FVA (B1 & B2) work as potential reversal levels as shown in the examples. This can be very good in confluence with other strategies to spot trade entries. If this is done taking into account if the asset is at a premium or discount allows for a higher probability of being on the right side of the market.
For example, during an uptrend price sometimes goes below it’s MA only to then continue up. In this particular case, the bands would provide an ideal entry at a discount to ride the uptrend.
During ranges, the bands can be used to identify potential pivots for each move up and down, and because of their adaptive nature they can be a great confluence to which horizontal levels are more likely to act as support and resistance.
For intraday traders, the bands can help them identify assets at one of the extremes and potentially even inside one of the bands, indicating that price is likely to reverse from there. Then they can use LTF to find ideal entries or catch the trend with the bands.
For swing traders and investors, using the bands can be a good way to scan different assets to find extended prices to either side and potential entry levels
Identify emerging trends:
Sometimes price will have a minimum reaction to the bands or no reaction at all. Knowing that price spends most of the time inside the bands, the fact that it breaks out of the FVA indicates that a new trend is likely to begin on that particular TF and price will try to establish a new FVA. Once there is a sustained PA outside the bands, a new trend can be assumed (Deviations happen as well, so it is very important to be aware of higher TF as well).
Other times, price will start sliding between B1 and B2, slowly displacing the MA. This can also be an indication for the start of a trend.
Identify exhaustions (potential tops & bottoms):
I call exhaustions to scenarios when price keeps going up/down but it fails to keep pushing the FVA with it. This indicates weakness in the trend and that a new FVA is being established. This often leads to a potential reversal or correction that marks the top or bottom of a move. Not only that, but when the new FVA is established price tends to go and test the other side of the FVA. Identifying exhaustions and being patient for them to form can potentially provide a great entry and RR ratio.
Exhaustions also happen after strong rallies or crashes, and in these cases it is advised to wait for price to re-enter its FVA, providing more clarity and often even better entries.
Exhaustions appear in all timeframes and symbols, however they can take some time to develop and it is important to be patient with them. And as always, it is highly recommended to also check for confluence on different TF.
8H Bands:
4H Bands:
Additional Features:
- Additional Bands:
The Apeiron Fair Value Bands can plot up to 4 Bands. Each fully customizable. The preset and suggested use is to have B1 & B2 and add thinner aid bands B0.5 & B1.5 which represent the middle of 1 & 2 FVA. These are not the main levels of interest but they can prove useful as support and resistance many times. Besides using mid levels, using fib values (0.618 & 1.618) can work even better on some assets and give better reactions.
NATGAS 1H Bands - Fib Mids:
The extra bands can also be used for FVA 3 and FVA 4, which can be useful during extremely volatile periods or on very LTF
- Multi Timeframe & precision:
The bands work on very low TF as well as High TF. Sometimes data can be limited on HTF and the bands will not have enough to be calculated and many LTF are very volatile and don’t work as well. In these scenarios, the bands have a setting called “Precision” under the preferences section that allows the user to decrease or increase the amount of data taken into account. This allows for optimization on any TF and even on any symbol.
GOLD 1min Bands:
EURUSD 5D Bands:
VIX 1H Bands:
- Multi Bands Confluence:
Combining 2 different length FV bands can be very useful to find confluence levels and spot trends and reversals earlier. For example, on the 15 min TF, using a 50 MA with only 1 FVA at the same time as a 200 MA with all Band can be ideal to keep track of short term moves and their micro-trends while always considering the longer trend which might be different that the short term one. As well, having MTF band confluence can indicate that a level is more likely to signal a reversal if reached.
- Multi Timeframe Confluence:
One of the best ways to use the bands is by using it in confluence with itself in other TFs, when price moves sharply into a confluent level given by multiple TFs’ Bands, it is more likely for price to find support and resistance and/or reverse there. Ex. 5 Min B2, 15 Min B1.5 & 30 Min B1, if price reaches this confluent level and shows weakness, this is likely a short term reversal level.
NATGAS MTF Bands:
How to set it up and customize it: (Explain how they are important)
- The MA Lab:
The Apeiron Bands utilizes a MA Lab to generate the most customizable MAs possible. It allows combining up to 3 different MAs, where each MA can be single, double or triple (same process as creating a DEMA or TEMA). As well each MA can be given more or less weight in the calculation of the final MA. Besides it’s features, the MA Lab allows the user to select only one MA and stick to basic settings and MA types if preferred.
When to use the MA Lab:
If you wanted a reactive MA (EMA) which was also volume weighted, you can then combine it with a VWMA and get a VW-EMA.
If you want a more reactive VWMA you can double or triple it. Then in order to make it smoother you combine it with a SMMA. Finally maybe you want to use it to follow trends closely so you also combine it with a HMA to take momentum into consideration.
- Presets:
The multiplier for each band, the width of each tolerance ribbon and the individual colors of each band can all be individually selected. However, to make the user's experience as smooth as possible, FVA multipliers, Ribbon width and colors can be preset and modified all at the same time with the most basic and ideal settings. This allows for quick customization options as well as personalized detailed custom settings.
- Show only Lower or Upper bands:
This setting is meant for scouting for discounts and premiums across the board. By only showing bands on one side it cleans up the chart and makes it easier to spot important levels on only one side of the price. This can be very useful when looking for swing opportunities or when following a particular trend to only focus on potential entries for it.
MATIC 4H Bands showing only bottom bands:
AMZN 1D Bands showing only bottom bands:
Settings used in indicator preview:
- Custom MA: 200 EMA/200 WMA/200 SMMA (200 EWSMMA)
- Band 1: 0.5 - Ribbon Width: 5 - Color: Blue
- Band 2: 1 - Ribbon Width: 10 - Color: Green
- Band 3: 1.5 - Ribbon Width: 5 - Color: Blue
- Band 4: 2 - Ribbon Width: 10 - Color: Red
Disclaimer:
The bands CAN but are NOT meant to be used as a standalone indicator. Previous performance does not guarantee future performance. The bands are an analytical tool, not a signal indicator. While certain scenarios can be interpreted as a signal, never follow them blindly and always use them in confluence with other analysis, systems or indicators.
FVG w/ Fibs [QuantVue]The "FVG w/ Fibs" indicator is a trading tool designed to identify and visualize Fair Value Gaps (FVGs) while overlaying two Fibonacci retracement levels.
• Bullish FVG: Occurs when the low of the current bar is higher than the high of two bars ago, and the previous close is higher than the high of two bars ago.
• Bearish FVG: Occurs when the high of the current bar is lower than the low of two bars ago, and the previous close is lower than the low of two bars ago.
The indicator filters these gaps based on user-defined criteria such as the minimum percentage size of the gap.
Once identified, these FVGs are highlighted on the chart using customizable boxes and the 50% and 61.8% (default settings) Fibonacci retracement levels are calculated and drawn based on the size of the identified FVG.
• Dynamically updates and extends the boxes as the price evolves.
• Alerts / visual changes for FVGs that get filled.
• User option for fills by Wicks or Close
• User-customizable settings for box colors, styles, and Fibonacci level appearances
Give this indicator a BOOST and COMMENT your thoughts!
We hope you enjoy.
Cheers!
Apeiron Fair Value BandsThe Apeiron Fair Value Bands take into account a given MA and determine a Fair Value Area (FVA) for the price of a certain asset. The script plots a MA and a tolerance ribbon for it, as well as 2 bands (preset to 1 Standard deviations and 2 Standard deviations respectively, which can be manually changed) with a tolerance ribbon as well.
This creates 3 areas of interest:
The MA ribbon
The inside of the first upper and lower band (1 standard deviation) where price should stay within around 68% percent of the time according to the normal distribution
The inside of the second upper and lower band (2 standard deviations) where price should stay within around 95% percent of the time according to the normal distribution
Taking this into account, Fair Value analysis can be done:
Premium and Discount Prices: From a very simplistic point of view, when price is below a MA it can be considered to be at a discount and when it is above at a premium. Combining that idea with the levels given by the bands, we can determine if we are buying at premium or at a discount, specially on HTF and when considering investing, thus allowing to enter or exit the market with a higher probability of being on the right side of the trend and at a good level. As seen on the example, buying or selling at the highlighted levels would have been profitable with little drawdown.
VAH & VAL: (1 Standard Deviation Bands) Same as a Market Profile, price will stay in here "most" of the time. And particularly during ranging periods, they will provide potential revesal levels. As well, once prices breaks out of it, depending of the reaction to the second band, we can consider it a deviation or the beggining of a new trend. During strong trends, the bands can also serve as a correction support as the MA would do
New Fair Vaue Range: Once a new trend has begun, it will often slide on or break through Band 2, which can be interpreted as price creating a new Fair Value Range low or high. As seen on the chart, once price breaks out, those levels tend to be respected and relevant during corrections. I must make it very clear that this is just an analytical feature meant to be used in confluence with S/R, Supply & Demand, FVGs, Fibs or others. While it can be accurate sometimes, it might not be other times and be only "close".
Exhaustions: I call exhaustions to the scenarios when price keeps going up/down but it fails to keep pushing the fair value area with it. This indicates weakness in the trend and a potential reversal or correction. These appear on all Timeframes and symbols and are very good indications of tops and bottoms, specially after strong rallies or crashes. In the latter cases, waiting for price to re-enter it's FVA, provides great entries at the Bands levels.
Other features / Suggested Uses:
Middle levels: On the setup menu you can select different Standard deviation settings for each band including: 0.5, 1, 1.5, 2, 2.5 and 3. While the most relevant settings are 1 & 2, having their middle levels on the chart can provide extra levels for very tight ranges or just in general potential reversal levels.
Multi Timeframe & Multi symbol: The bands work on very low TF as well as High TF, though on HTF it might be limited by the MA length settings and the historical data of the symbol. It is important to note that each symbol and market type will have its own ideal MA and Bands settings.
Multi Bands Confluence: Same as you would use a short and long MA in a single setup, you can do the same with the bands and the confluence of levels can be very accurate.
Multi Timeframe Confluence: One of the best ways to use the bands so far is by using it in confluence with itself in other TFs, when price moves sharply into a confluent level given by multiple TFs, it is more likely for price to reverse there.
Most of the examples show a 200 SMA, but depending on what and how you are trading a shorter or longer MA might be a better fit for you. As well, if you are trading ranges, a VWMA might be much better, and if you are following a trend the EMA could be the better option.
I also want to make it clear that the bands can but are NOT meant to be a standalone indicator. They are meant to be used for confluence with other strategies, systems or indicators.
Fair Value Gap (FVG) UnderlayBy analyzing the size and characteristics of candlestick patterns, the Fair Value Gap indicator helps traders spot potential opportunities where the price of a currency or financial asset deviates from its fair value. The FVG is represented as a percentage and displayed as columns in an underlay on the chart.
Calculation and Interpretation:
The calculation of the FVG involves evaluating the body-to-wick ratio of a candlestick. This ratio compares the size of the body (the difference between the open and close prices) to the length of the wicks (the high and low prices). A high body-to-wick ratio indicates a significant price move within the candlestick, potentially signaling a strong market sentiment. The FVG indicator compares the size of the current candlestick with the previous candlesticks over a specified lookback period, typically the last 20 to 40 candlesticks. If the current candlestick meets the criteria for a fair value gap, it is classified as either a Bearish FVG or Bullish FVG, depending on the direction of the price movement.
Interpreting the FVG is relatively straightforward. When a Bearish FVG is detected, it suggests that the price is currently lower than its fair value, indicating a potential upward price movement in the future. This could be an opportunity to consider long positions or buying opportunities. On the other hand, when a Bullish FVG is identified, it implies that the price is higher than its fair value, signaling a possible downward price correction. Traders may consider short-selling or taking profits on long positions in such scenarios.
Coloration:
The coloration of the Fair Value Gap (FVG) indicator plays a crucial role in enhancing its visual representation and aiding interpretation. When a Bearish FVG is identified, the indicator utilizes the color scheme of lime green. This color signifies the potential for an upward price movement as the current price is considered lower than its fair value. On the other hand, a Bullish FVG is represented by the vibrant color of fuchsia, indicating a potential downward price correction as the price exceeds its fair value. The coloration serves as a visual cue, making it easier for traders to quickly identify and differentiate between different types of fair value gaps on the chart. Additionally, the barcolor is aligned with the respective FVG color, providing a comprehensive view of price inefficiencies and aiding traders in their decision-making process.
Potential Applications/Strategies:
The FVG indicator can be applied in various trading strategies and situations. One possible application is in price reversion strategies. Traders can use the FVG to identify overbought or oversold conditions in the market. When a Bullish FVG occurs, it may indicate an opportunity to consider short-selling or taking profits on long positions. Similarly, a Bearish FVG can suggest a potential buying opportunity, expecting the price to revert back to its fair value.
Another application is in confirming existing trends. The FVG can act as a confirmation tool for trends identified by other indicators or analysis techniques. When a Bullish FVG aligns with an uptrend, it may strengthen the bullish bias and provide more confidence in the upward momentum. Conversely, a Bearish FVG in conjunction with a downtrend may reinforce the bearish sentiment and support the idea of further downside potential.
Parameters:
Adjusting the parameters of the FVG indicator can be beneficial based on the trader's trading style and time frame. The body-to-wick ratio threshold and lookback period can be modified to capture different types of fair value gaps and adapt to different market conditions. Shorter lookback periods may help identify more recent FVGs, which could be suitable for short-term traders, while longer periods may capture larger price inefficiencies and cater to longer-term traders.
Limitations:
However, it's important to note that the FVG indicator, like any technical analysis tool, has its limitations. It relies on historical price patterns and may not always accurately predict future price movements. The interpretation of FVGs requires careful analysis and should be used in conjunction with other indicators, technical analysis tools, and fundamental factors to make well-informed trading decisions. Traders should also exercise proper risk management and consider the overall market context when using the FVG indicator.
In conclusion, the Fair Value Gap (FVG) indicator provides traders with valuable insights into price inefficiencies and deviations from fair value. By identifying Bearish and Bullish FVGs, traders can potentially uncover trading opportunities and make more informed decisions. However, it is crucial to combine the FVG indicator with other analysis tools, conduct thorough analysis, and exercise proper risk management to achieve consistent trading success.
SPX Fair Value Bands WSHOSHOThis is a variation of the SPX Fair Value Bands indicator which uses WSHOSHO instead of WALCL.
WSHOSHO only includes the 'Securities Held Outright' portion of the Fed balance sheet. This effectively eliminates the portions related to BTFP (Bank Term Funding Program).
Overvalued/Undervalued OverlayThis indicator will tell you whether the security you are looking at is overvalued or undervalued using a company's total assets and their market cap. In theory, a company's total assets is everything that they own, which then should technically be how much the company is worth. Therefore, if the company's market cap is higher than their total assets, the indicator will read "Overvalued by X%". However, if the company's market cap is lower than their total assets, the indicator will read "Undervalued by X%". If you have any questions, feel free to let me know. Keep in mind that this indicator should be only used for long-term investing.
Fair Value Gap Oscillator (Expo)█ Overview
The Fair Value Gap Oscillator (Expo) is an indicator based on the concept of Fair Value Gaps. It is a momentum indicator that helps traders identify mispricings in the market over time. The indicator also incorporates volume and volatility to increase its accuracy further. The indicator can be used in both trending and range-bound markets.
FVG occurs when there is an insufficient amount of buyers and sellers in the market for a particular asset. This can cause a sudden and large gap in the asset price, creating an imbalance in the price. This gap can be large enough to prevent traders from entering the market to take advantage of the price discrepancy. This, in turn, leads to a lack of liquidity and further price volatility.
█ How is the Fair Value Gap Oscialltor calculated?
The Fair Value Gap Oscillator is calculated by using historical Fair Value Gapa, volume, and volatility to determine if the market is trading at a discount or premium relative to its historical fair value. It is based on the idea that prices move in fair value cycles and that by looking at the oscillations of FVG data over time, traders can get a deeper insight into how imbalances impact the price over time.
█ Oscillator Trading
Oscillators are technical indicators that are used to measure momentum within a given market. These indicators measure the speed and magnitude of price movements. Traders use oscillators to identify potential entry and exit points in the market. They may look for overbought and oversold conditions, or they may look for divergence between the price of an asset and its oscillator. When these signals are identified, traders can then enter or exit positions accordingly.
█ How to use
It is a momentum indicator that helps traders identify mispricings in the market over time. In addition, the FVG Oscialltor can be used to identify overbought and oversold conditions in the market, as well as trends and leading trend changes.
Trending Indicator
The Fair Value Gap Oscillator can also be used to identify trends in the market. By tracking the FVG over time, investors can identify whether the market is trending up or down.
Leading Indicator
This indicator can be used to identify leading changes in the market’s momentum and price action. It will indicate beforehand when the momentum decreases and a potential trend change is about to come.
Divergences
Leading Indicators are great for identifying divergences. This Fair Value Gap Oscillator is a powerful yet simple tool to spot divergences in the market.
It is important to remember that the Fair Value Gap Oscillator is just one tool in your investment toolbox. It should be used in conjunction with other smart money concept indicators to identify excellent trading opportunities.
█ Indicator Features
Trend FVG
A Trend FVG feature is added to help Trend Traders get a long-term overview of the FVG trend. This feature can be used for the leading FVG calculation to get a predictive FVG trend.
Leading FVG Calculation
The leading calculation makes the Fair Value Gap oscillator sensitive to fair value changes and becomes more leading.
Trend Line
The Trend line feature is a combination of the leading and the long-term trend that can be used as trend confirmation.
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Disclaimer
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
Fair value bands / quantifytools— Overview
Fair value bands, like other band tools, depict dynamic points in price where price behaviour is normal or abnormal, i.e. trading at/around mean (price at fair value) or deviating from mean (price outside fair value). Unlike constantly readjusting standard deviation based bands, fair value bands are designed to be smooth and constant, based on typical historical deviations. The script calculates pivots that take place above/below fair value basis and forms median deviation bands based on this information. These points are then multiplied up to 3, representing more extreme deviations.
By default, the script uses OHLC4 and SMA 20 as basis for the bands. Users can form their preferred fair value basis using following options:
Price source
- Standard OHLC values
- HL2 (High + low / 2)
- OHLC4 (Open + high + low + close / 4)
- HLC3 (High + low + close / 3)
- HLCC4 (High + low + close + close / 4)
Smoothing
- SMA
- EMA
- HMA
- RMA
- WMA
- VWMA
- Median
Once fair value basis is established, some additional customization options can be employed:
Trend mode
Direction based
Cross based
Trend modes affect fair value basis color that indicates trend direction. Direction based trend considers only the direction of the defined fair value basis, i.e. pointing up is considered an uptrend, vice versa for downtrend. Cross based trends activate when selected source (same options as price source) crosses fair value basis. These sources can be set individually for uptrend/downtrend cross conditions. By default, the script uses cross based trend mode with low and high as sources.
Cross based (downtrend not triggered) vs. direction based (downtrend triggered):
Threshold band
Threshold band is calculated using typical deviations when price is trading at fair value basis. In other words, a little bit of "wiggle room" is added around the mean based on expected deviation. This feature is useful for cross based trends, as it allows filtering insignificant crosses that are more likely just noise. By default, threshold band is calculated based on 1x median deviation from mean. Users can increase/decrease threshold band width via input menu for more/less noise filtering, e.g. 2x threshold band width would require price to cross wiggle room that is 2x wider than typical, 0x erases threshold band altogether.
Deviation bands
Width of deviation bands by default is based on 1x median deviations and can be increased/decreased in a similar manner to threshold bands.
Each combination of customization options produces varying behaviour in the bands. To measure the behaviour and finding fairest representation of fair and unfair value, some data is gathered.
— Fair value metrics
Space between each band is considered a lot, named +3, +2, +1, -1, -2, -3. For each lot, time spent and volume relative to volume moving average (SMA 20) is recorded each time price is trading in a given lot:
Depending on the asset, timeframe and chosen fair value basis, shape of the distributions vary. However, practically always time is distributed in a normal bell curve shape, being highest at lots +1 to -1, gradually decreasing the further price is from the mean. This is hardly surprising, but it allows accurately determining dynamic areas of normal and abnormal price behaviour (i.e. low risk area between +1 and -1, high risk area between +-2 to +-3). Volume on the other hand is typically distributed the other way around, being lowest at lots +1 to -1 and highest at +-2 to +-3. When time and volume are distributed like so, we can conclude that 1) price being outside fair value is a rare event and 2) the more price is outside fair value, the more anomaly behaviour in volume we tend to find.
Viewing metric calculations
Metric calculation highlights can be enabled from the input menu, resulting in a lot based coloring and visibility of each lot counter (time, cumulative relative volume and average relative volume) in data window:
— Alerts
Available alerts are the following:
Individual
- High crossing deviation band (bands +1 to +3 )
- Low crossing deviation band (bands -1 to -3 )
- Low at threshold band in an uptrend
- High at threshold band in a downtrend
- New uptrend
- New downtrend
Grouped
- New uptrend or downtrend
- Deviation band cross (+1 or -1)
- Deviation band cross (+2 or -2)
- Deviation band cross (+3 or -3)
— Practical guide
Example #1 : Risk on/risk off trend following
Ideal trend stays inside fair value and provides sufficient cool offs between the moves. When this is the case, fair value bands can be used for sensible entry/exit levels within the trend.
Example #2 : Mean reversions
When price shows exuberance into an extreme deviation, followed by a stall and signs of exhaustion (wicks), an opportunity for mean reversion emerges. The higher the deviation, the more volatility in the move, the more signalling of exhaustion, the better.
Example #3 : Tweaking bands for desired behaviour
The faster the length of fair value basis, the more momentum price needs to hit extreme deviation levels, as bands too are moving faster alongside price. Decreasing fair value basis length typically leads to more quick and aggressive deviations and less steady trends outside fair value.
Fair Value Gap [LuxAlgo]Fair value gaps (FVG) highlight imbalances areas between market participants and have become popular amongst technical analysts. The following script aims to display fair value gaps alongside the percentage of filled gaps and the average duration (in bars) before gaps are filled.
Users can be alerted when an FVG is filled using the alerts built into this script.
🔶 USAGE
In practice, FVG's highlight areas of support (bullish FVG) and resistances (bearish FVG). Once a gap is filled, suggesting the end of the imbalance, we can expect the price to reverse.
This approach is more contrarian in nature, users wishing to use a more trend-following approach can use the identification of FVG as direct signals, going long with the identification of a bullish FVG, and short with a bearish FVG.
🔹 Mitigation
By default, the script highlights the areas of only unmitigated FVG's. Users can however highlight the mitigation level of mitigated FVG's, that is the lower extremity of bullish FVG's and the upper extremity of bearish FVG's.
The user can track the evolution of a mitigated FVG's using the "Dynamic" setting.
🔹 Threshold
The gap height can be used to determine the degree of imbalance between buying and selling market participants. Users can filter fair value gaps based on the gap height using the "Threshold %" setting. Using the "Auto" will make use of an automatic threshold, only keeping more volatile FVG's.
🔶 DETAILS
We use the following rules for detecting FVG's in this script:
Bullish FVG
low > high(t-2)
close(t-1) > high(t-2)
(low - high(t-2)) / high(t-2) > threshold
Upper Bullish FVG = low
Lower Bullish FVG = high(t-2)
Bearish FVG
high < low(t-2)
close(t-1) < low(t-2)
(low(t-2) - high) / high < -threshold
Upper Bearish FVG = low(t-2)
Lower Bearish FVG = high
🔶 SETTINGS
Threshold %: Threshold percentage used to filter our FVG's based on their height.
Auto Threshold: Use the cumulative mean of relative FVG heights as threshold.
Unmitigatted Levels: Extent the mitigation level of the number of unmitigated FVG's set by the user.
Mitigation Levels: Show the mitigation levels of mitigated FVG's.
Timeframe : Timeframe of the price data used to detect FVG's.
Institutional FVG & Liquidity Range Candle (Expo)█ Institutional FVG with predicted SR levels & Liquidity Range Candle is an indicator that uses Smart Money Concepts to give you the insights needed to make informed decisions based on the theory in SMC. This premium toolkit work in any market and timeframe.
█ Institutional Fair Value Gap , also known as imbalance, inefficiencies, and Liquidity void, identifies the most significant FVG within the lookback period. This is often referred to as Institutional Fair Value Gap since only big players can cause these liquidity voids.
Fair Value Gap, Liquidity voids are sudden price changes without enough liquidity at a stable price, and the price jumps from the originating price level to the final price level, creating an imbalance in price.
The price tends to fill or retest the FVG area, and traders understand at which price level institutional players have been active. FVG is a valuable concept in trading, as they provide insights about where many orders were injected, creating this inefficiency in the market. The price tends to restore the balance.
This indicator highlights the most significant Fair Value Gap on the chart and plots predicted future support and resistance levels based on the price action created at the FVG. A super simple and yet effective way to get solid market levels that acts as a magnet for the price.
█ Liquidity Range Candle is another trading concept used by large market players where they manipulate the price to stay inside a specific market area, creating a tight consolidation zone. Once the price breaks the liquidity range, liquidity flows into the market. It's an easy way to grab liquidity from retail traders. Stop losses are triggers, breakout traders jump into the market, and institutional traders absorb the liquidity.
If you don't see the liquidity, you become the liquidity!
A break of a liquidity range is a sign of a breakout, potential continuation, retracement, or reversal. Use it together with an overall market analysis. It's common that traders also mark the previous 1-3 liquidity ranges and plot them into the future. These zones can act as a future magnet for the price, and we can get a retest of the zones, or if we break above/below a previous range can be a sign of a trend change. We also know that these liquidity ranges have been important levels for institutional players, who may be willing to accumulate or distribute more orders at these levels.
█ HOW TO USE
Use the indicator to identify several important and commonly used trading concepts taught within the SMC.
Find Significant FVG
Find Significant liquidity ranges
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Disclaimer
Copyright by Zeiierman.
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual’s trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
OGT Intrinsic Value IndicatorOGT Intrinsic Value Indicator
This indicator will show you visually the intrinsic value of a stock. Intrinsic value aims to measure of what an asset is worth. There are a number of intrinsic valuation models where this TradingView indicator uses an earnings valuation model.
There are 4 inputs to the model:
1) EPS trailing 12 months (ttm) - the first step is to know what the current EPS is for a stock. The indicator calculates this for you
2) Annual EPS Growth Next 5 Years - You need to input what you think the annual growth rate is going to be for the stock. You can use you annual estimates which you can obtain by searching "stock name - eps growth forecast"
3) Earnings Multiple (PE Ratio) - The next step is to input the earnings multiple in year 5. You can get this from analyst estimates or looking at the average PE ratio of the asset over the past 3 / 5 / 10 years.
4) Desired Rate Of Return - The last input is your rate of return. I personally use 12.5% as you can invest in an S&P ETF and get 8-10% return. So I prefer a higher rate of return for the risk I am taking.
You will need to input your low, medium and high assumptions so you can see the different price ranges.
Fair Value Gap█ OVERVIEW
This indicator displays the Fair Value Gap of the current timeframe and an additional higher timeframe. For each FVG the gaps act as targets creating bullish and bearish gaps that are often filled.
█ FEATURES
MTF Options
MidPoint FIll
Delete Old On Fill
Label FVG Timeframe
MTF Options
Enabling the MTF Options will allow the user to use the "MTF Timeframe" setting to choose what HTF Fair Value Gap to display
MidPoint FIll
A line plot at the Half way point will be included in the Fair Value Gap, this will be used to delete the gap when reached instead of a full fill.
Delete Old On Fill
Deletes historical Fair Value Gaps when filled.
Label FVG Timeframe
Labels Every Fair Value gap with there relevant timeframe to make it easier to determine which gap is being filled.
█ HOW TO USE IT
The indicator is quite straight forward in its application, providing users with targets that are often filled as they are seen as market imbalance.
Just applying it to your chart will provide the existing Fair Value Gaps. MTF Confluence is helpful in seeing what is happening on the macro perspective.
█ SUGGESTION
My suggestion for clarity is to use a different color to some degree between the MTF and Current TF as Opposed to text, keeps the chart clear.
█ LIMITATIONS OF PINE (Please read)
I see many users going on different indicators with MTF in mind and trying to use it for LTF data e.g. 1hour chart, and selecting 5min in chart settings.
This is not recommended by the team themselves and should be noted for use always use HTF: www.tradingview.com
To understand how to use fair value gaps I recommend learning about the subject some more, searching online will provide you resources. The internet is your friend when learning. All the best.
Silen's Financials Fair ValueIt is finally here! 🔥 My 3rd and most important script in my Financial series! 🚀
Ever imagined to see all fundamentals (or many that is) combined into one indicator that is right on your chart, showing you how your favorite stock is trading compared to its fundamentals?
Well, here is your answer! 📡
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This script shows you my own personal interpretation of fair value, based solely on the financial fundamentals of a company compared to market averages.
I don't believe that certain sectors of the market should be priced higher than others. If you look at historical data you'll see that favored sectors always rotate - placing insanely high P/E multiples on some sectors. Once they are "out" and people rotate away from those sectors you're left with nothing but the naked fundamentals that matter. So, you'll see many companies, that have been doing well on paper, see their share price decline by 70-90% for no other reasons than people favoring other sectors.
That's why it's even more important to focus on fair value that is solely fundamentals-based. Know when your stock gets to expensive. 🤯
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To give you some examples:
- Most Megacaps trade at historically high valuations, several times my fair value. Those include AAPL, MSFT, NVDA, AMZN, TSLA, JPM, TSM, V and so on. And no, in the past they partially traded below (my) fair value.
- Most Cybersecurity / Cloud companies are trading at truly massive multiples of my fair value. (NET, DDOG, etc)
- Many Smallcaps & Midcaps are trading several multiples (OESX, CODX, QFIN) below my fair value. And no, in the past they partially traded above (my) fair value.
Ok, so much about the market. You ultimately decide how much you want to orientate on fair value. 👨🏫
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This fair value indicator (purple line):
Takes the P/E rate of the company and compares it to the market (50% weight)
Takes the P/S rate of the company and compares it to the market (50% weight)
Then adds boni and mali f or debt/equity rates and debt and equity itself
Also looks at past growth and calculates future P/E and P/S rates which adds , in some cases, value to the fair value (green line)
Also compares how historical valuations have behaved compared to fair value and simulates a fair value guideline (dark blue line)
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This script is part 3️⃣ of a series of indicators that work well together.
Script 1️⃣ of the series is:
P/E & P/S Rates
Script 2️⃣ of the series is:
Debt & Equity
If you use all 3 scripts together it will look like this, giving you truly deep and simple information about the fundamentals of a company:
Example 1 - AMD
Example 2 - HZO
Example 3 - APPS
I hope this script makes your investing and stock picks a lot easier! 🔆💹🕗
Disclaimer: Fair value is always subjective. There are many different approaches to fair value. This one is only my personal interpretation.
Disclaimer 2: This script works only for the Day-Timeframe.
Disclaimer 3: This script uses 17,5 P/E and 3,0 P/S as market averages. The actual average keeps changing but, historically speaking, these seemed to be good numbers.
Feel free to share your thoughts and feedback! 🙃
Stock Fair Value (SFV)Stock Fair Value (SFV) is an indicator that displays an estimated fair value per share price for the business. It uses fundamental data including future consensus earnings estimates from Wall Street analysts, how fast the business is growing, and the balance sheet to come up with a number that approximates what a fair price would be to pay for the stock. In the top right hand corner of the Indicator is a highlighted box showing the % difference from the current price and the Fair Value price, if the box is green it means the stock is currently undervalued by that much % below the Fair Value price, if the box is red it means the stock is currently overvalued by that much % above the Fair Value price.
The indicator formula also uses the current market price as an input, as there is information about the business baked into the current stock price that isn't apparent in fundamental data that I believe deserves to affect the fair value price. This indicator uses my own unique formula, it is not a standard Discounted Cash flow (DCF) model nor is it based on any other published valuation formula or model. As this indicator uses fundamental data there isn't any changeable settings for the user.
This indicator is designed for stocks only and isn't applicable on other markets like forex, futures or crypto. It can be used on the daily, weekly or monthly time frames as the value doesn't change. It's designed to be part of an overall investment process for stock investors with medium to long term timeframes, it's not suited for short term trading like most valuation strategies.
Please note like any indicator it's not perfect as there's only so much input that can go into it, therefore use it as a rough guide as to what the fair value of a stock could be, there are of course many other factors that can and will affect what a fair price of a business should be. As value investors, we ideally want to buy safe quality growing businesses that are at least 30% below fair value then hold them until the stock trades back up to fair value or above. This indicator can help with what all value investors are trying to do, that is buy low and sell high. It can also be used to avoid expensive stocks as they may have more downside risk with less upside potential.
If you see the Stock Fair Value price make a drastic and significant move overnight that's because some new fundamental data has come into the system, it could be new consensus earnings estimates or a change in business growth rates that causes a sudden and significant shift in the calculated fair value.
As you can see from the chart above of Alibaba NYSE:BABA the Stock Fair Value indicator is showing a current reading of $385.12 per share. At the current date of this writing, 11th January 2021, the current price of BABA is $132.19 which is 65.68% below the Stock Fair Value price of $385.12 and makes this stock one of the most undervalued large cap stocks listed on the New York Stock Exchange according to this indicator.
It's also worth noting that Charlie Munger, Vice Chairman of Berkshire Hathaway NYSE:BRK.B and long term business partner of Warren Buffett, has recently been accumulating a large position in NYSE:BABA which as a lifelong devotee of value investing suggests he sees great value in Alibaba at current prices just as the Stock Fair Value Indicator is suggesting too.
Other examples of large cap stocks that are currently significantly undervalued according to this indicator are;
AT&T NYSE:T (40.72% undervalued)
Citigroup NYSE:C (51.97% undervalued)
Fedex NYSE:FDX (41.94% undervalued)
To get access to this indicator PM or email me to my address shown below.
Enjoy :)
Disclaimer: All my scripts and content are for educational purposes only. I'm not a financial advisor and do not give personal finance advice. Past performance is no guarantee of future performance. Please trade at your own risk.
[astropark] Fair Value GapsDear Followers,
today a new epic tool, the "Fair Value Gap (FVG) Finder" .
Fair Value Gaps are quite important to trade, as they represent both volume and trading unfilled gaps, which most of the time are filled and then price reverse .
This indicator will let you set alerts on when a new FVG is found and when it is filled.
Traded together with Breaker Blocks (BB) and Supply/Demand Order Blocks (OB) , you can easily spot important points where to start a short or a long trade.
Here my Breaker Blocks (BB) and Supply/Demand Order Blocks (OB) indicator
Here below some examples on how to use the indicator.
On Bitcoin
On EURUSD
Bitcoin Energy Value OscillatorBitcoin Energy Value as an oscillator against price.
Calculated as: (Bitcoin Price / Bitcoin Energy Value - 1) * 100
