[blackcat] L2 Ehlers Bandpass Filter

31 de out. de 2020

Level: 2

Background

John F. Ehlers introuced Bandpass Filter in his "Cycle Analytics for Traders" chapter 5 on 2004.


Function

After declaring variables, the band-pass filter calculation is preceded by a high-pass filter whose cutoff frequency is one half-bandwidth octave below the lower-frequency critical frequency of the band-pass filter to avoid interference with the action of the band-pass filter while still removing the effects of Spectral Dilation.

Key Signal

Trigger ---> Bandpass Filter fast line
Signal ---> Bandpass Filter slow line


Pros and Cons

100% John F. Ehlers definition translation of original work, even variable names are the same. This help readers who would like to use pine to read his book. If you had read his works, then you will be quite familiar with my code style.

Remarks

The 38th script for Blackcat1402 John F. Ehlers Week publication.

Readme

In real life, I am a prolific inventor. I have successfully applied for more than 60 international and regional patents in the past 12 years. But in the past two years or so, I have tried to transfer my creativity to the development of trading strategies. Tradingview is the ideal platform for me. I am selecting and contributing some of the hundreds of scripts to publish in Tradingview community. Welcome everyone to interact with me to discuss these interesting pine scripts.

The scripts posted are categorized into 5 levels according to my efforts or manhours put into these works.

Level 1 : interesting script snippets or distinctive improvement from classic indicators or strategy. Level 1 scripts can usually appear in more complex indicators as a function module or element.

Level 2 : composite indicator/strategy. By selecting or combining several independent or dependent functions or sub indicators in proper way, the composite script exhibits a resonance phenomenon which can filter out noise or fake trading signal to enhance trading confidence level.

Level 3 : comprehensive indicator/strategy. They are simple trading systems based on my strategies. They are commonly containing several or all of entry signal, close signal, stop loss, take profit, re-entry, risk management, and position sizing techniques. Even some interesting fundamental and mass psychological aspects are incorporated.

Level 4 : script snippets or functions that do not disclose source code. Interesting element that can reveal market laws and work as raw material for indicators and strategies. If you find Level 1~2 scripts are helpful, Level 4 is a private version that took me far more efforts to develop.

Level 5 : indicator/strategy that do not disclose source code. private version of Level 3 script with my accumulated script processing skills or a large number of custom functions. I had a private function library built in past two years. Level 5 scripts use many of them to achieve private trading strategy.

há 3 horas

Notas de Lançamento

b]OVERVIEW The L2 Ehlers Bandpass Filter is an advanced technical indicator that applies a bandpass filter to price data to identify cyclical patterns and potential trading opportunities. It combines signal processing techniques with divergence detection for comprehensive market analysis.
FEATURES
• Customizable bandpass filter parameters:

Period (default: 20)
Bandwidth (default: 0.3) • Visual signal and trigger lines • Buy/Sell labels at crossover points • Divergence detection for four types:
Regular Bullish
Hidden Bullish
Regular Bearish
Hidden Bearish • Configurable lookback periods and range settings • Alert conditions for all divergence types
HOW TO USE

Adjust the Period and Bandwidth inputs to fine-tune sensitivity
Configure divergence detection parameters: • Pivot Lookback Right/Left • Max/Min Lookback Range • Plot options for each divergence type
Monitor the Signal line and Trigger line for crossovers
Watch for labeled signals (BUY/SELL) at crossover points
Use divergence alerts to confirm trading opportunities
LIMITATIONS
• Results depend on proper parameter configuration
• False signals may occur during trending markets
• Best used in conjunction with other analysis tools

NOTES
• The indicator overlays the main chart by default
• Color coding helps distinguish between bullish (green) and bearish (red) signals
• Alerts can be customized through TradingView's alert system