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Hikkakepattern

Hikkake PatternLifted description from web: Hikkake means to trap, trick, or ensnare. Primarily, this price pattern seeks to identify inside bar breakouts and profit from their failures. An inside bar is a price bar that is entirely within the range of the preceding price bar. Inside bars are typical on price charts of most timeframes. While you’ll often find inside bars in congested markets, they also offer a low-risk entry point for price action traders. The contracted range of an inside bar offers a natural tight stop-loss. Hence, inside bar breakouts seem attractive. However, if you are patient and focus on identifying false breakouts, you might be able to find more reliable trading setups in the form of Hikkakes. In a nutshell, the Hikkake pattern offers a systematic approach to trading false inside bar breakouts. As a filter I incorporated VWAP into the code to only trigger Bullish / Bearish signals when price is Above/Below VWAP respectively. The ATR is used to create a Stop buffer (red cross) for the Entry signal ( green dot ). The R1 and R2 (orange squares) are two possible profit targets that are customizable to different Risk multiples based upon the difference between Entry and Stop.
Pine Script™ indicator
by norok
3
Hikkake Pattern The hikkake pattern is a price pattern used by technical analysts and traders hoping to identify a short-term move in the market's direction. The pattern has two different setups, one implying a short-term downward movement in price action, and a second setup implying a short-term upward trend in price. The Hikkake pattern (pronounced Hĭ KAH kay) is a complex bar or candle pattern that begins to move in one direction but reverses quickly and is said to establish a forecast for a move in the opposite direction. This pattern was developed by Daniel L. Chesler, CMT, who published a description of the pattern first in 2003.
Pine Script™ indicator
by HPotter
4