EMA Cross Fibonacci Entry with RetracementThe EMA Cross Fibonacci Entry with Retracement is a trading strategy that combines two popular technical analysis tools: Exponential Moving Averages (EMAs) and Fibonacci retracement levels. Here's a brief overview of how this strategy typically works:
### Exponential Moving Averages (EMAs)
1. **EMAs Calculation**: EMAs give more weight to recent price data, making them more responsive to price changes. Commonly used periods for EMAs in this strategy are the 50-period and 200-period EMAs.
2. **EMA Cross**: The strategy looks for a "golden cross" (short-term EMA crosses above the long-term EMA) as a potential buy signal, and a "death cross" (short-term EMA crosses below the long-term EMA) as a potential sell signal.
### Fibonacci Retracement Levels
1. **Fibonacci Retracement**: This tool is used to identify potential support and resistance levels based on the Fibonacci sequence. The key retracement levels are 23.6%, 38.2%, 50%, 61.8%, and 78.6%.
2. **Drawing Retracement Levels**: Traders draw Fibonacci retracement levels from a significant peak to a significant trough (or vice versa) to identify potential retracement levels where the price might reverse.
### Combining EMA Cross with Fibonacci Retracement
1. **Identify EMA Cross**: First, traders look for an EMA cross. For example, a golden cross where a shorter EMA (e.g., 50 EMA) crosses above a longer EMA (e.g., 200 EMA) suggests a bullish trend.
2. **Wait for Retracement**: After identifying a cross, traders wait for the price to retrace to a Fibonacci level. The key levels to watch are 38.2%, 50%, and 61.8%.
3. **Entry Point**: The entry point is when the price retraces to a Fibonacci level and shows signs of reversal (e.g., bullish candlestick patterns, support at Fibonacci levels). This is typically when traders enter a long position.
4. **Confirmation with EMA**: Ensure that the EMAs support the trend. For a buy entry, the short-term EMA should remain above the long-term EMA.
### Example of a Bullish Entry
1. **Golden Cross**: 50 EMA crosses above 200 EMA.
2. **Retracement**: Price retraces to the 38.2% Fibonacci level.
3. **Entry Signal**: At the 38.2% level, a bullish candlestick pattern (e.g., hammer) forms, indicating potential support.
4. **Entry Point**: Enter a long position at the close of the bullish candlestick.
### Risk Management
1. **Stop Loss**: Place a stop loss below the next Fibonacci retracement level or below the recent swing low to limit potential losses.
2. **Take Profit**: Set a take profit target based on a risk-reward ratio, previous resistance levels, or further Fibonacci extensions.
### Conclusion
The EMA Cross Fibonacci Entry with Retracement strategy is a systematic approach to identifying entry points in a trending market. By combining the responsiveness of EMAs with the predictive power of Fibonacci retracement levels, traders aim to enter trades at optimal points, increasing their chances of success while managing risk effectively.
Trend Analysis
Support/Resistance v2 (ML) KmeanKmean with Standard Deviation Channel
1. Description of Kmean
Kmean (or K-means) is a popular clustering algorithm used to divide data into K groups based on their similarity. In the context of financial markets, Kmean can be applied to find the average price values over a specific period, allowing the identification of major trends and levels of support and resistance.
2. Application in Trading
In trading, Kmean is used to smooth out the price series and determine long-term trends. This helps traders make more informed decisions by avoiding noise and short-term fluctuations. Kmean can serve as a baseline around which other analytical tools, such as channels and bands, are constructed.
3. Description of Standard Deviation (stdev)
Standard deviation (stdev) is a statistical measure that indicates how much the values of data deviate from their mean value. In finance, standard deviation is often used to assess price volatility. A high standard deviation indicates strong price fluctuations, while a low standard deviation indicates stable movements.
4. Combining Kmean and Standard Deviation to Predict Short-Term Price Behavior
Combining Kmean and standard deviation creates a powerful tool for analyzing market conditions. Kmean shows the average price trend, while the standard deviation channels demonstrate the boundaries within which the price can fluctuate. This combination helps traders to:
Identify support and resistance levels.
Predict potential price reversals.
Assess risks and set stop-losses and take-profits.
Should you have any questions about code, please reach me at Tradingview directly.
Hope you find this script helpful!
Price Action Toolkit Lite [UAlgo]The Price Action Toolkit Lite is a comprehensive indicator designed to enhance your chart analysis with advanced price action tools. This powerful toolkit combines multiple technical analysis concepts to provide traders with a clear visualization of market structure, liquidity levels, order blocks, and trend lines. By integrating these elements, the indicator aims to offer a holistic view of price action, helping traders identify potential entry and exit points, as well as key levels of interest in the market.
🔶 Key Features
Market Structure Analysis: The indicator includes a ZigZag feature to highlight significant market highs and lows, aiding in the visualization of market structure changes and trends.
Liquidity Sweeps Detection: It identifies and displays liquidity sweeps, which are crucial for recognizing potential market reversals and areas of interest where significant price action is likely to occur.
Order Blocks: Automatically detects and draws order blocks, highlighting areas of institutional buying and selling pressure, which can serve as key support and resistance levels.
Trend Lines: The toolkit can draw and extend trend lines based on pivot points, providing a clear view of prevailing market trends and potential breakout points.
Customizable Settings: Users can adjust various settings, including the length of the ZigZag, liquidity detection sensitivity, the number of order blocks to display, and trend line detection parameters, allowing for a tailored analysis experience.
🔶 Disclaimer
The "Price Action Toolkit Lite " is intended for educational and informational purposes only.
It is not financial advice and should not be construed as such. Trading in financial markets involves substantial risk, including the risk of loss.
Past performance is not indicative of future results.
🔷 Similar Scripts
BE-NSE-Distributed Straddle Intraday Trading StrategyHerewith publishing the script (not the Indicator!) for the benift of Option Traders. I call this a script as this doesn't perform any kind of analysis of candle data and provide general BUY | SELL information. This Script is based on the TRUE VALUES concept which is nothing but LTP.
Idea Behind this Script:
As an option seller i need the lower risk option premium to trade. so that, time can work in our favor. basic question which we get at the first is which option to choose out of many available.
If traders feel the question is apt then this script is for them.
Logic Behind this script:
Upon Market Open, script in the BACKEND ( Under the hood ) deployes 60 possible combinations of STRADDLES for sampling, and continue to monitor the LTP movements and compares it against opposite pairs. lets say out of 30 Straddle options one of the Straddle it picked is ATM CE VS ATM PE. for 1 rs move in underlying how much impact is happening in CE VS PE.
This simple anlysis is done at every 30 seconds. once the Analysis is complete it picks 4 options 2 on the CALL side and 2 on the PUT side, which script feels the movement of prices are smooth. SMOOTH refers that time decay that can work in our favor..
Calculations behid the script:
lets say BNF LTP is 52000 at 9:20 AM, and one of the pair script took for sampling was ATM CE vs PE which are having the LTP of 100 each.
At 9:35 AM, BNF is trading at 52075, and ATM CE is reading the LTP of 122 and ATM PUT is reading the LTP of 70. ideally LTP of Call should be around 135 and Put should be around 65 considering the usual delta of 0.48 . Net Money Index for this Pair Sample is 8
Call Side => 100 - 122 = -22
Put Side => 100 - 70 = 30
Money Index => 30 - 22 = 8 for 15 Min
This Money index is calculated across choosen samples and the Option strikes is provided as an output which has mere possiblity of working in Options Seller's favor.
How to Read the Output:
For the choosen strikes from the time of Entry (Suggested Entry time by script) till the current time, the bottom pane plots the Money index as columns. Green Columns indicate that how much option premium eroded due to time decay. Red Columns indicate that how much Option premium increased during the time.
Note: Script dynamically calculate the strikes and suggests in realtime.
WARNING or a Humble Request:
For those who don't understand the word "Repaint" how it works in Pine Script. plz don't consider using this script. For those who wish to understand I have kept the Observer mode in the settings which shall guide you on why the Money Index shown on the chart when the MARKET IS CLOSED is different than when the MARKET IS OPEN (Realtime).
Disclaimer:
I have tested the script only in BNF and not sure if this works on Nifty, FinNifty or others. you may still try and plz do provide the feedback for improvising the script.
----- BreathEasy --------
The information contained in my scripts/indicators/ideas 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, 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 are only for educational purposes!
FVG Instantaneous Mitigation Signals [LuxAlgo]The FVG Instantaneous Mitigation Signals indicator detects and highlights "instantaneously" mitigated fair value gaps (FVG), that is FVGs that get mitigated one bar after their creation, returning signals upon mitigation.
Take profit/stop loss areas, as well as a trailing stop loss are also included to complement the signals.
🔶 USAGE
Instantaneous Fair Value Gap mitigation is a new concept introduced in this script and refers to the event of price mitigating a fair value gap one bar after its creation.
The resulting signal sentiment is opposite to the bias of the mitigated fair value gap. As such an instantaneously mitigated bearish FGV results in a bullish signal, while an instantaneously mitigated bullish FGV results in a bearish signal.
Fair value gap areas subject to instantaneous mitigation are highlighted alongside their average level, this level is extended until reached in a direction opposite to the FVG bias and can be used as a potential support/resistance level.
Users can filter out less volatile fair value gaps using the "FVG Width Filter" setting, with higher values highlighting more volatile fair value gaps subject to instantaneous mitigation.
🔹 TP/SL Areas
Users can enable take-profit/stop-loss areas. These are displayed upon a new signal formation, with an area starting from the mitigated FVG area average to this average plus/minus N ATRs, where N is determined by their respective multiplier settings.
Using a higher multiplier will return more distant areas from the price, requiring longer-term variations to be reached.
🔹 Trailing Stop Loss
A trailing-stop loss is included, increasing when the price makes a new higher high or lower low since the trailing has been set. Using a higher trailing stop multiplier will allow its initial position to be further away from the price, reducing its chances of being hit.
The trailing stop can be reset on "Every Signal", whether they are bullish or bearish, or only on an "Inverse Signal", which will reset the trailing when a signal of opposite bias is detected, this will preserve an existing trailing stop when a new signal of the same bias to the present one is detected.
🔶 DETAILS
Fair Value Gaps are ubiquitous to price action traders. These patterns arise when there exists a disparity between supply and demand. The action of price coming back and filling these imbalance areas is referred to as "mitigation" or "rebalancing".
"Instantaneous mitigation" refers to the event of price quickly mitigating a prior fair value gap, which in the case of this script is one bar after their creation. These events are indicative of a market more attentive to imbalances, and more willing to correct disparities in supply and demand.
If the market is particularly sensitive to imbalances correction then these can be excessively corrected, leading to further imbalances, highlighting a potential feedback process.
🔶 SETTINGS
FVG Width Filter: Filter out FVGs with thinner areas from returning a potential signal.
🔹 TP/SL
TP Area: Enable take-profit areas for new signals.
Multiplier: Control the distance from the take profit and the price, with higher values returning more distant TP's.
SL Area: Enable stop-loss areas for new signals.
Multiplier: Control the distance from the stop loss and the price, with higher values returning more distant SL's.
🔹 Trailing Stop
Reset Trailing Stop: Determines when the trailing stop is reset.
Multiplier: Controls the initial position of the trailing stop, with higher values returning more distant trailing stops.
TASC 2024.08 Volume Confirmation For A Trend System█ OVERVIEW
This script demonstrates the use of volume data to validate price movements based on the techniques Buff Pelz Dormeier discusses in his "Volume Confirmation For A Trend System" article from the August 2024 edition of TASC's Traders' Tips . It presents a trend-following system implementation that utilizes a combination of three indicators: the Average Directional Index (ADX), the Trend Thrust Indicator (TTI), and the Volume Price Confirmation Indicator (VPCI).
█ CONCEPTS
In his article, Buff Pelz Dormeier recounts his search for an optimal trend-following strategy enhanced with volume data, starting with a simple system combining the ADX , MACD , and OBV indicators. Even in these early tests, the author observed that the volume confirmation from OBV notably improved trading performance. Subsequently, the author replaced OBV with his VPCI, which considers the proportional weights of volume and price, to enhance the validation of trend momentum. Lastly, the author explored the inclusion of his TTI, a modified MACD that features volume-based enhancements, as a strategy component for improved trend-following performance.
According to the author's research, the ADX+TTI+VPCI system outperformed similar strategies he tested in the article, yielding significantly higher returns and enhanced perceived reliability. Because the system's design revolves around catching pronounced trends, it performs best with a portfolio of individual stocks. The author applies the system in the article by allocating 5% of the equity to long positions in S&P 500 components that meet the ADX+TTI+VPCI entry criteria (see the Calculations section below for details). He uses the proceeds from closing positions to enter new positions in other stocks meeting the screening criteria, holding any excess proceeds in cash.
█ CALCULATIONS
The TTI is similar to the MACD. Its calculation entails the following steps:
Calculate fast (short-term) and slow (long-term) volume-weighted moving averages (VWMAs).
Compute the volume multiple (VM) as the square of the ratio of the fast VWMA to the slow VWMA.
Adjust these averages by multiplying the fast VWMA by the VM and dividing the slow VWMA by the VM.
Calculate the difference between the adjusted VWMAs to determine the TTI value, and take the average of that series to determine the signal line value.
The VPCI utilizes differences and ratios between VWMAs and corresponding simple moving averages (SMAs) to provide an alternative volume-price confirmation tool. Its calculation is as follows:
Subtract the slow SMA from the VWMA of the same length to calculate the volume-price confirmation/contradiction (VPC) value.
Divide the fast VWMA by the corresponding fast SMA to determine the volume-price ratio (VPR).
Divide the short-term VWMA by the long-term VWMA to calculate the VM.
Compute the VPCI as the product of the VPC, VPR, and VM values.
The long entry criteria of the ADX+TTI+VPCI system are as follows:
The ADX is above 30.
The TTI crosses above its signal line.
The VPCI is above 0, confirming the trend.
Signals to close positions occur when the VPCI is below 0, indicating a contradiction .
NOTE: Unlike in the article, this script applies the ADX+TTI+VPCI system to one stock at a time , not a portfolio of S&P 500 constituents.
█ DISCLAIMER
This strategy script educates users on the trading system outlined by the TASC article. By default, it uses 10% of equity as the order size and a slippage amount of 5 ticks. Traders should adjust these settings and the commission amount when using this script.
Moving Average Z-Score Suite [BackQuant]Moving Average Z-Score Suite
1. What is this indicator
The Moving Average Z-Score Suite is a versatile indicator designed to help traders identify and capitalize on market trends by utilizing a variety of moving averages. This indicator transforms selected moving averages into a Z-Score oscillator, providing clear signals for potential buy and sell opportunities. The indicator includes options to choose from eleven different moving average types, each offering unique benefits and characteristics. It also provides additional features such as standard deviation levels, extreme levels, and divergence detection, enhancing its utility in various market conditions.
2. What is a Z-Score
A Z-Score is a statistical measurement that describes a value's relationship to the mean of a group of values. It is measured in terms of standard deviations from the mean. For instance, a Z-Score of 1.0 means the value is one standard deviation above the mean, while a Z-Score of -1.0 indicates it is one standard deviation below the mean. In the context of financial markets, Z-Scores can be used to identify overbought or oversold conditions by determining how far a particular value (such as a moving average) deviates from its historical mean.
3. What moving averages can be used
The Moving Average Z-Score Suite allows users to select from the following eleven moving averages:
Simple Moving Average (SMA)
Hull Moving Average (HMA)
Exponential Moving Average (EMA)
Weighted Moving Average (WMA)
Double Exponential Moving Average (DEMA)
Running Moving Average (RMA)
Linear Regression Curve (LINREG) (This script can be found standalone )
Triple Exponential Moving Average (TEMA)
Arnaud Legoux Moving Average (ALMA)
Kalman Hull Moving Average (KHMA)
T3 Moving Average
Each of these moving averages has distinct properties and reacts differently to price changes, allowing traders to select the one that best fits their trading style and market conditions.
4. Why Turning a Moving Average into a Z-Score is Innovative and Its Benefits
Transforming a moving average into a Z-Score is an innovative approach because it normalizes the moving average values, making them more comparable across different periods and instruments. This normalization process helps in identifying extreme price movements and mean-reversion opportunities more effectively. By converting the moving average into a Z-Score, traders can better gauge the relative strength or weakness of a trend and detect potential reversals. This method enhances the traditional moving average analysis by adding a statistical perspective, providing clearer and more objective trading signals.
5. How It Can Be Used in the Context of a Trading System
In a trading system, it can be used to generate buy and sell signals based on the Z-Score values. When the Z-Score crosses above zero, it indicates a potential buying opportunity, suggesting that the price is above its mean and possibly trending upward. Conversely, a Z-Score crossing below zero signals a potential selling opportunity, indicating that the price is below its mean and might be trending downward. Additionally, the indicator's ability to show standard deviation levels and extreme levels helps traders set profit targets and stop-loss levels, improving risk management and trade planning.
6. How It Can Be Used for Trend Following
For trend-following strategies, it can be particularly useful. The Z-Score oscillator helps traders identify the strength and direction of a trend. By monitoring the Z-Score and its rate of change, traders can confirm the persistence of a trend and make informed decisions to enter or exit trades. The indicator's divergence detection feature further enhances trend-following by identifying potential reversals before they occur, allowing traders to capitalize on trend shifts. By providing a clear and quantifiable measure of trend strength, this indicator supports disciplined and systematic trend-following strategies.
No backtests for this indicator due to the many options and ways it can be used,
Enjoy
Trend Forecasting - The Quant Science🌏 Trend Forecasting | ENG 🌏
This plug-in acts as a statistical filter, adding new information to your chart that will allow you to quickly verify the direction of a trend and the probability with which the price will be above or below the average in the future, helping you to uncover probable market inefficiencies.
🧠 Model calculation
The model calculates the arithmetic mean in relation to positive and negative events within the available sample for the selected time series. Where a positive event is defined as a closing price greater than the average, and a negative event as a closing price less than the average. Once all events have been calculated, the probabilities are extrapolated by relating each event.
Example
Positive event A: 70
Negative event B: 30
Total events: 100
Probabilities A: (100 / 70) x 100 = 70%
Probabilities B: (100 / 30) x 100 = 30%
Event A has a 70% probability of occurring compared to Event B which has a 30% probability.
🔍 Information Filter
The data on the graph show the future probabilities of prices being above average (default in green) and the probabilities of prices being below average (default in red).
The information that can be quickly retrieved from this indicator is:
1. Trend: Above-average prices together with a constant of data in green greater than 50% + 1 indicate that the observed historical series shows a bullish trend. The probability is correlated proportionally to the value of the data; the higher and increasing the expected value, the greater the observed bullish trend. On the other hand, a below-average price together with a red-coloured data constant show quantitative data regarding the presence of a bearish trend.
2. Future Probability: By analysing the data, it is possible to find the probability with which the price will be above or below the average in the future. In green are classified the probabilities that the price will be higher than the average, in red are classified the probabilities that the price will be lower than the average.
🔫 Operational Filter .
The indicator can be used operationally in the search for investment or trading opportunities given its ability to identify an inefficiency within the observed data sample.
⬆ Bullish forecast
For bullish trades, the inefficiency will appear as a historical series with a bullish trend, with high probability of a bullish trend in the future that is currently below the average.
⬇ Bearish forecast
For short trades, the inefficiency will appear as a historical series with a bearish trend, with a high probability of a bearish trend in the future that is currently above the average.
📚 Settings
Input: via the Input user interface, it is possible to adjust the periods (1 to 500) with which the average is to be calculated. By default the periods are set to 200, which means that the average is calculated by taking the last 200 periods.
Style: via the Style user interface it is possible to adjust the colour and switch a specific output on or off.
🇮🇹Previsione Della Tendenza Futura | ITA 🇮🇹
Questo plug-in funge da filtro statistico, aggiungendo nuove informazioni al tuo grafico che ti permetteranno di verificare rapidamente tendenza di un trend, probabilità con la quale il prezzo si troverà sopra o sotto la media in futuro aiutandoti a scovare probabili inefficienze di mercato.
🧠 Calcolo del modello
Il modello calcola la media aritmetica in relazione con gli eventi positivi e negativi all'intero del campione disponibile per la serie storica selezionata. Dove per evento positivo si intende un prezzo alla chiusura maggiore della media, mentre per evento negativo si intende un prezzo alla chiusura minore della media. Calcolata la totalità degli eventi le probabilità vengono estrapolate rapportando ciascun evento.
Esempio
Evento positivo A: 70
Evento negativo B: 30
Totale eventi : 100
Formula A: (100 / 70) x 100 = 70%
Formula B: (100 / 30) x 100 = 30%
Evento A ha una probabilità del 70% di realizzarsi rispetto all' Evento B che ha una probabilità pari al 30%.
🔍 Filtro informativo
I dati sul grafico mostrano le probabilità future che i prezzi siano sopra la media (di default in verde) e le probabilità che i prezzi siano sotto la media (di default in rosso).
Le informazioni che si possono rapidamente reperire da questo indicatore sono:
1. Trend: I prezzi sopra la media insieme ad una costante di dati in verde maggiori al 50% + 1 indicano che la serie storica osservata presenta un trend rialzista. La probabilità è correlata proporzionalmente al valore del dato; tanto più sarà alto e crescente il valore atteso e maggiore sarà la tendenza rialzista osservata. Viceversa, un prezzo sotto la media insieme ad una costante di dati classificati in colore rosso mostrano dati quantitativi riguardo la presenza di una tendenza ribassista.
2. Probabilità future: analizzando i dati è possibile reperire la probabilità con cui il prezzo si troverà sopra o sotto la media in futuro. In verde vengono classificate le probabilità che il prezzo sarà maggiore alla media, in rosso vengono classificate le probabilità che il prezzo sarà minore della media.
🔫 Filtro operativo
L' indicatore può essere utilizzato a livello operativo nella ricerca di opportunità di investimento o di trading vista la capacità di identificare un inefficienza all'interno del campione di dati osservato.
⬆ Previsione rialzista
Per operatività di tipo rialzista l'inefficienza apparirà come una serie storica a tendenza rialzista, con alte probabilità di tendenza rialzista in futuro che attualmente si trova al di sotto della media.
⬇ Previsione ribassista
Per operatività di tipo short l'inefficienza apparirà come una serie storica a tendenza ribassista, con alte probabilità di tendenza ribassista in futuro che si trova attualmente sopra la media.
📚 Impostazioni
Input: tramite l'interfaccia utente Input è possibile regolare i periodi (da 1 a 500) con cui calcolare la media. Di default i periodi sono impostati sul valore di 200, questo significa che la media viene calcolata prendendo gli ultimi 200 periodi.
Style: tramite l'interfaccia utente Style è possibile regolare il colore e attivare o disattivare un specifico output.
Equal Highs and Lows {Reh's and Rel's }# Equal Highs and Lows {Reh's and Rel's} Indicator
## Overview
The "Equal Highs and Lows {Reh's and Rel's}" indicator is designed to identify and mark equal highs and lows on a price chart. It detects both exact and relative equal levels, draws lines connecting these levels, and optionally labels them. This tool can help traders identify potential support and resistance zones based on historical price levels.
## Key Features
1. **Exact and Relative Equality**: Detects both precise price matches and relative equality within a specified threshold.
2. **Customizable Appearance**: Allows users to adjust colors, line styles, and widths.
3. **Dynamic Line Management**: Automatically extends or removes lines based on ongoing price action.
4. **Labeling System**: Optional labels to identify types of equal levels (e.g., "Equal High", "REH/Equal High").
5. **Flexible Settings**: Adjustable parameters for lookback periods, maximum bars apart, and relative equality thresholds.
## User Inputs
### Appearance
- `lineColorHigh`: Color for lines marking equal highs (default: red)
- `lineColorLow`: Color for lines marking equal lows (default: green)
- `lineWidth`: Thickness of the lines (range: 1-5, default: 1)
- `lineStyle`: Style of the lines (options: Solid, Dash, Dotted)
- `showLabels`: Toggle to show or hide labels for equal highs and lows
### Settings
- `lookbackLength`: Number of bars to look back for finding equal highs and lows (default: 200)
- `maxBarsApart`: Maximum number of bars apart for equal highs/lows to be considered (range: 2-10, default: 5)
### Relative Equality
- `considerRelativeEquals`: Enable detection of relative equal highs and lows
- `thresholdIndex`: Maximum tick difference for relative equality in index instruments (range: 1-10, default: 2)
- `thresholdStocks`: Maximum tick difference for relative equality in stock instruments (range: 5-200, step: 5, default: 10)
## How It Works
The indicator scans historical price data to identify equal or relatively equal highs and lows. It draws lines connecting these levels and updates them as new price data comes in. Lines are extended if the level holds and removed if the price breaks through. The tool adapts to different market conditions by allowing adjustments to the equality thresholds for various instrument types.
## Practical Use
Traders can use this indicator to:
- Identify potential support and resistance levels
- Spot areas where price might react based on historical turning points
- Enhance their understanding of price structure and repetitive patterns
## Disclaimer
This indicator is provided as a tool to assist in identifying potential price levels of interest. It is not financial advice. Users should not rely solely on this or any single indicator for trading decisions. Always conduct thorough analysis, consider multiple factors, and be aware that past price behavior does not guarantee future results. All trading involves risk.
Brooks 18 Bars [KintsugiTrading]Brooks 18 Bars
Overview:
This indicator allows traders to specify a time frame within each trading day and plots lines at the highest and lowest prices recorded during that period. It is particularly useful for identifying key levels of support and resistance within a specified time range.
Features:
User-Defined Time Frame: Traders can input their desired start and end times in a 24-hour format, allowing flexibility to analyze different market sessions.
High and Low Price Levels: The indicator plots lines representing the highest and lowest prices observed within the specified time frame each day.
Clear Visual Representation: The high and low lines are color-coded for easy identification, with the high & low prices in Kintsugi Trading Gold.
How to Use:
Set the Time Frame:
Adjust the "Start Time Hour" and "Start Time Minute" to define the beginning of your desired time frame.
Adjust the "End Time Hour" and "End Time Minute" to define the end of your desired time frame.
Analyze Key Levels:
Al Brooks popularized the following idea and basis for creating this indicator:
On a 5-minute chart, Bar 1 has a 20-30% chance of being the High or Low of the day.
Bar 12 has a 50% chance.
Bar 18 has an 80-90% chance.
Use the plotted lines to identify significant support and resistance levels within your specified time frame. These levels can help inform your trading decisions, such as entry and exit points.
Good luck with your trading!
Liquidity Swings & SweepsThis Pine script indicator is designed to create a visual representation liquidity as identified by swing Highs/Lows along with an indication of the liquidity level that was swept, optionally rating the strength of the sweep based on time & price.
Relevance:
Liquidity levels & sweeps are crucial for many SMC/ICT setups and can indicate a point at which the price changes direction or may re-trace in an opposite direction to provide additional liquidity for continued move in the original direction. Additionally, liquidity levels may provide targets for setups, as price action will often seek to take out those levels as they main contain many buy/sell stops.
How It Works:
The indicator tracks all swing points, as identified using user-defined strength of the swing. Once a swing is formed that meets the criteria, it is represented by a horizontal line starting at the price of the current swing until the last bar on the chart. While the swing is valid, this line will continue to be extended until the swing is invalid or a new swing is formed. Upon identifying a new swing, the indicator then scans the earlier swings in the same direction looking for a point of greatest liquidity that was taken by the current swing. This level is then denoted by dashed horizontal line, connecting earlier swing point to the current. At the same time any liquidity zones between the two swings are automatically removed from the chart if they had previously been rendered on the chart. If the setting to enable scan for maximum liquidity is enabled, then while looking back, the indicator will look for lowest low or highest high that was taken by the current swing point, which may not be a swing itself, however, is a lowest/highest price point taken (mitigated) by the current swing, which in many cases will be better price then then the one represented by previous swing. If the option to render sweep label is enabled, the sweep line will also be completed by a label, that will score the sweep and a tooltip showing the details of the level swept and the time it took to sweep it. The score explained further in configurability section ranks the strength of the sweep based on time and is complemented by price (difference in price between the two liquidity levels).
Configurability:
A user may configure the strength of the swing using both left/right strength (number of bars) as well as optionally instruct the indicator to seek the lowest/highest price point which may not be previous swing that was taken out by newly formed swing.
From appearance perspective liquidity level colors & line width presenting the liquidity/swing can be configured. There is also an option to render the liquidity sweep label that will generate an icon-based rating of the liquidity sweep and a tooltip that provides details on the scope of the swing, which includes liquidity level swept and when it was formed along with the time it took to sweep the liquidity.
Rating is of sweeps is primarily based on time with a secondary reference to price
💥- Best rating, very strong sweep with an hourly or better liquidity sweep
🔥- Second rating, strong sweep with 15 – 59 minute liquidity sweep, or 5+ minute sweep of 10+ points
✅- Third rating, ok sweep with 5 - 15 minute liquidity sweep, or lower-time-frame sweep of 10+ points
❄️ - Weakest sweep, with liquidity of 5 or less minutes swept
What makes this indicator different:
Designed with high performance in mind, to reduce impact on chart render time.
Only keeps valid liquidity levels & sweeps on the chart
Automatically removes previously taken liquidity levels
Ranks liquidity sweeps to indicate strength of the sweep
ARIMA Indicator with Optional SmoothingOverview
The ARIMA (AutoRegressive Integrated Moving Average) Indicator is a powerful tool used to forecast future price movements by combining differencing, autoregressive, and moving average components. This indicator is designed to help traders identify trends and potential reversal points by analyzing the historical price data.
Key Features
AutoRegressive Component (AR): Utilizes past values to predict future prices.
Moving Average Component (MA): Averages past price differences to smooth out noise.
Differencing: Reduces non-stationarity in the time series data.
Optional Smoothing: Applies EMA to the ARIMA output for a smoother signal.
Customizable Parameters: Allows users to adjust AR and MA orders, differencing periods, and smoothing lengths.
Concepts Underlying the Calculations
Differencing: Subtracts previous prices from current prices to remove trends and seasonality, making the data stationary.
AutoRegressive Component (AR): Predicts future prices based on a linear combination of past values.
Moving Average Component (MA): Uses past forecast errors to refine future predictions.
Exponential Moving Average (EMA): Applies more weight to recent prices, providing a smoother and more responsive signal.
How It Works
The ARIMA Indicator first calculates the differenced series to achieve stationarity. Then, it computes the simple moving average (SMA) of this differenced series. The indicator uses the AR and MA components to adjust the SMA, creating an approximation of the ARIMA model. Finally, an optional smoothing step using EMA can be applied to the ARIMA approximation to produce a smoother signal.
How Traders Can Use It
Traders can use the ARIMA Indicator to:
Identify Trends: Detect emerging trends by observing the direction of the ARIMA line.
Spot Reversals: Look for divergences between the ARIMA line and the price to identify potential reversal points.
Generate Trading Signals: Use crossovers between the ARIMA line and the price to generate buy or sell signals.
Filter Noise: Enable the optional smoothing to filter out market noise and focus on significant price movements.
Example Usage Instructions
Add the ARIMA Indicator to your chart.
Adjust the input parameters to suit your trading strategy:
Set the SMA Length (e.g., 14).
Choose the Differencing Period (e.g., 1).
Define the AR Order (p) and MA Order (q) (e.g., 1).
Configure the Smoothing Length if smoothing is desired (e.g., 5).
Enable or disable smoothing as needed.
Observe the ARIMA line (blue) and compare it to the price chart.
Use the ARIMA line to identify trends and potential reversals.
Implement trading decisions based on the ARIMA line’s behavior relative to the price.
Weighted Volume Profile Pivot Points | Flux Charts💎 GENERAL OVERVIEW
Introducing our new Weighted Volume Profile Pivot Points (WVPPP) Indicator! This indicator renders a volume profile using the latest pivot points, automatically adjusting itself when new pivots occur. The pivoting mode can be switched between default pivot points and order blocks mode. It can be adjusted to give more weight to recent or past candlesticks, or can be used as a normal volume profile. For more information, please read the full write-up.
Features of the new Weighted Volume Profile Pivot Points (WVPPP) Indicator :
Renders Volume Profile Of The Range Between Latest Pivots
Two Pivoting Modes Including Order Blocks Mode
Adjustable Weighthing Towards Past or Recent
Customizable Row Count & Maximum Distance
Left or Right Alignment
More Styling Options
🚩UNIQUENESS
This indicator stands out with two key features. One is it's ability to weight volumes based on their distance to the current time. Giving weight to volumes may offer new trading opportunities to traders as they can now see the most recent Point Of Control (POC) or a more powerful but past POC based on their choice. Another key feature the indicator has is that it automatically finds latest valid pivot points, and uses that range for the volume profile. The range changes dynamically as new pivots points emerge. You can select between normal pivot points and order blocks mode. The indicator also has a variety of useful styling settings such as aligning the volume profile to the right or the left of the chart, POC Line styling and color settings for bullish & bearish volumes.
📌 HOW DOES IT WORK ?
A volume profile provides an in-depth look at trading activity over a period of time by plotting a histogram on the price axis. This indicator can also give weight to volumes based on their distance to the current time, essentially determining their importance for the profile. The range which the volume profile will cover is determined by the latest pivot points. Here is how it works step-by-step :
1. Determine how much candlesticks the volume profile will cover (Analyze Bars setting)
2. Find the latest pivot points. If the mode is set to "Pivots", the pivot points are the candlesticks which has the highest / lowest wick in X amount of bars (Swing Length setting). If the mode is set to "Order Blocks", the volume profile range is the area between the latest buyside order block and the sellside order block. Order blocks occur when there is a high amount of market orders exist on a price range. It is possible to find order blocks using specific candlestick formations on the chart. For more information about the order block detection, I suggest you checking the write-up of our "Volumized Order Blocks" script. Increasing the "Swing Length" setting is recommended when the mode is set to "Pivots", as this will help in finding stronger pivot points.
3. Make a range using the latest pivot points, then divide it into rows (Row Count setting)
4. Then for each candlestick, add it's volume to the corresponding row in the range. Note that the volume can be added into several rows if it overlaps with them all.
5. If the candlestick is a bullish candlestick, we add it's volume into the bullish volume of the row, if it's a bearish candlestick, we add it to the bearish volume of the row.
With the weighted volume mode, which is activated if "Volume Weighthing" setting is set to "Recent" or "Past", all volumes get a penalty based on their distance to the latest candletstick. For example, if the setting is set to "Recent", the latest candlestick contributes it's volume by 100% to the corresponding row, but the candlestick which is 50 candlesticks far from the current candlestick only contributes it's volume by ~17% to the row. The same applies to the "Past" setting, but in the reversed order, where past candlesticks have more priority than the current ones.
Volume contribution percent for "Recent" setting : ((100 * 0.85) / (i + 1)) + (100 * (1.0 - 0.85))
Volume contribution percent for "Past" setting : ((100 * 0.85) * ((i + 1) / N)) + (100 * (1.0 - 0.85))
Where i = candlestick index from right to left, N = total number of candlesticks analyzed by the volume profile.
The Point Of Control (POC) line is drawn from the row with the most total volume, and is generally considered as a strong level because a lot of trading volume happened on that particular row. Traders may use this line as a support & resistance level.
We believe that automatically ranging the volume profile to important pivot points will help traders see crucial volume information easier without unnecessary hassle. Traders can use this indicator to have an insight of areas which price moves quickly without much volume, or see areas that holds the price still for much longer and plan their trades accordingly.
⚙️SETTINGS
1. General Configuration
Mode -> The pivoting mode that is switchable between "Pivots" and "Order Blocks" as described in the write-up. Please read the upper section to understand how this setting works.
Analyze Bars -> Total amount of bars that will be analyzed by the indicator from right to left.
Row Count -> The amount of rows that will the vertical range between pivot points will be divided into.
Volume Weighting -> The volume weighting mode as explained in the write-up.
2. Style
Highlight Sessions -> The volume profile sessions will be highlighted with a blue tint. To prevent confusion, highlighting will not work if the alignment is set to "Right".
Align To -> The alignment of the volume profile.
Multiple Non-Linear Regression [ChartPrime]This indicator is designed to perform multiple non-linear regression analysis using four independent variables: close, open, high, and low prices. Here's a breakdown of its components and functionalities:
Inputs:
Users can adjust several parameters:
Normalization Data Length: Length of data used for normalization.
Learning Rate: Rate at which the algorithm learns from errors.
Smooth?: Option to smooth the output.
Smooth Length: Length of smoothing if enabled.
Define start coefficients: Initial coefficients for the regression equation.
Data Normalization:
The script normalizes input data to a range between 0 and 1 using the highest and lowest values within a specified length.
Non-linear Regression:
It calculates the regression equation using the input coefficients and normalized data. The equation used is a weighted sum of the independent variables, with coefficients adjusted iteratively using gradient descent to minimize errors.
Error Calculation:
The script computes the error between the actual and predicted values.
Gradient Descent: The coefficients are updated iteratively using gradient descent to minimize the error.
// Compute the predicted values using the non-linear regression function
predictedValues = nonLinearRegression(x_1, x_2, x_3, x_4, b1, b2, b3, b4)
// Compute the error
error = errorModule(initial_val, predictedValues)
// Update the coefficients using gradient descent
b1 := b1 - (learningRate * (error * x_1))
b2 := b2 - (learningRate * (error * x_2))
b3 := b3 - (learningRate * (error * x_3))
b4 := b4 - (learningRate * (error * x_4))
Visualization:
Plotting of normalized input data (close, open, high, low).
The indicator provides visualization of normalized data values (close, open, high, low) in the form of circular markers on the chart, allowing users to easily observe the relative positions of these values in relation to each other and the regression line.
Plotting of the regression line.
Color gradient on the regression line based on its value and bar colors.
Display of normalized input data and predicted value in a table.
Signals for crossovers with a midline (0.5).
Interpretation:
Users can interpret the regression line and its crossovers with the midline (0.5) as signals for potential buy or sell opportunities.
This indicator helps users analyze the relationship between multiple variables and make trading decisions based on the regression analysis. Adjusting the coefficients and parameters can fine-tune the model's performance according to specific market conditions.
Zig Zag/Consecutive Bars [UkutaLabs]█ OVERVIEW
The Zig Zag/Consecutive Bars indicator is a powerful trading tool that helps to visualise the flow of the market. This indicator allows users to see at a glance when a candle closes at a new high or a new low, which can be incorporated into a variety of trading strategies to better understand points of reversal and consolidation.
This indicator also displays the RSI score of each pivot, as well as a trailing count of how many bars it has been since there was a new high/low.
█ USAGE
As each bar finishes, the script will check if it closed above or below the previous bar’s high or low, depending on the current trend direction. When a new high or low is set, the script will then look for a move in the other direction. This can be a powerful tool that can identify when the market is trending strongly, as well as identifying when the market has a weak or no trend.
At each pivot point, the RSI score is displayed. This serves as additional confirmation to how strong the trend is. The RSI labels can be turned off in the settings.
As each trend develops, the script will count and display the number of bars that have closed since the most recent pivot. These labels can be turned off in the settings.
█ SETTINGS
Configuration
• Show RSI Scores: Determines whether or not labels displaying RSI scores are drawn.
• Show Counter: Determines whether or not labels displaying the number of bars since the most recent pivot are drawn.
• Line Color: Determines the color of the Zig Zag line.
AHS_Histograms V2.0AHS_Histograms V2.0 Indicator
Summary:
The "AHS_Histograms V2.0" is a custom TradingView indicator designed to identify and visualize bullish and bearish conditions based on Internal Bar Strength (IBS), the relationship between the body and range of candles, and the overlap between consecutive bars. The indicator plots histograms with colors indicating bullish or bearish conditions and can optionally highlight climax bars.
Usage:
1. Bullish and Bearish IBS Filters:
- Bullish IBS Filter: Set the threshold for identifying bullish conditions. Higher values (closer to 100) indicate stronger bullish signals.
- Bearish IBS Filter: Set the threshold for identifying bearish conditions. Lower values (closer to 0) indicate stronger bearish signals.
2. Body Range Filter:
- Define the minimum proportion of the candle's range that should be its body to qualify as a significant bar. This helps filter out insignificant price movements.
3. Overlap Filter:
- Set the maximum allowed overlap between consecutive bars. This can help identify cleaner trend movements. Setting this to 101 disables the overlap filter.
4. Climax Bars:
- Enable/Disable Climax Bars: Toggle the option to highlight climax bars, which are identified based on significant differences in high/low distances between consecutive bars.
- Climax Factor: Adjust the factor used to determine climax bars.
Visuals:
- Histogram Colors:
- **Bullish Bars**: Plotted in blue when conditions meet the bullish IBS threshold, body range filter, and overlap filter.
- Bearish Bars: Plotted in red when conditions meet the bearish IBS threshold, body range filter, and overlap filter.
- Neutral Bars: Plotted in black when none of the conditions are met or if climax bars are detected and the climax toggle is on.
Steps to Use:
1. Add the "AHS_Histograms V2.0" indicator to your TradingView chart.
2. Adjust the input parameters according to your trading strategy and preferences:
- Set your desired values for bullish and bearish IBS filters.
- Configure the body range and overlap filters.
- Optionally, enable and configure the climax bar detection.
3. Observe the histogram colors on the chart:
- Blue Histograms: Indicate bullish conditions.
- Red Histograms: Indicate bearish conditions.
- Black Histograms: Indicate neutral conditions or climax bars if enabled.
4. Use the visual cues from the histograms to inform your trading decisions based on the defined criteria.
This indicator helps traders quickly identify potential bullish and bearish signals in the market, providing a visual tool to enhance trading strategies.
