NIFTY Weekly Option Seller Directional

Here’s a straight description you can paste into the TradingView “Description” box and tweak if needed:

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### NIFTY Weekly Option Seller – Regime + Score + Management (Single TF)

This indicator is built for **weekly option sellers** (primarily NIFTY) who want a **structured regime + scoring framework** to decide:

* Whether to trade **Iron Condor (IC)**, **Put Credit Spread (PCS)** or **Call Credit Spread (CCS)**
* How strong that regime is on the current timeframe (score 0–5)
* When to **DEFEND** existing positions and when to **HARVEST** profits

> **Note:** This is a **single timeframe** tool. The original system uses it on **4H and 1D separately**, then combines scores manually (e.g., using `min(4H, 1D)` for conviction and lot sizing).

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## Core logic

The script classifies the market into 3 regimes:

* **IC (Iron Condor)** – range/mean-reversion conditions
* **PCS (Put Credit Spread)** – bullish/trend-up conditions
* **CCS (Call Credit Spread)** – bearish/trend-down conditions

For each regime, it builds a **0–5 score** using:

* **EMA stack (8/13/34)** – trend structure
* **ADX (custom DMI-based)** – trend strength vs range
* **Previous-day CPR** – in CPR vs break above/below
* **VWAP (session)** – near/far value
* **Camarilla H3/L3** – for IC context
* **RSI (14)** – used as a **brake**, not a primary signal
* **Daily trend / Daily ADX** – used as **hard gates**, not double-counted as extra points

Then:

* Scores for PCS / CCS / IC are **cross-penalised** (they pull each other down if conflicting)
* Final scores are **smoothed** (current + previous bar) to avoid jumpy signals

The **background colour** shows the current regime and conviction:

* Blue = IC
* Green = PCS
* Red = CCS
* Stronger tint = higher regime score

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## Scoring details (per timeframe)

**PCS (uptrend, bullish credit spreads)**

* +2 if EMA(8) > EMA(13) > EMA(34)
* +1 if ADX > ADX_TREND
* +1 if close > CPR High
* +1 if close > VWAP
* RSI brake:

* If RSI < 50 → PCS capped at 2
* If RSI > 75 → PCS capped at 3
* Daily gating:

* If daily EMA stack is **not** uptrend → PCS capped at 2

**CCS (downtrend, bearish credit spreads)**

* +2 if EMA(8) < EMA(13) < EMA(34)
* +1 if ADX > ADX_TREND
* +1 if close < CPR Low
* +1 if close < VWAP
* RSI brake:

* If RSI > 50 → CCS capped at 2
* If RSI < 25 → CCS capped at 3
* Daily gating:

* If daily EMA stack is **not** downtrend → CCS capped at 2

**IC (range / mean-reversion)**

* +2 if ADX < ADX_RANGE (low trend)
* +1 if close inside CPR
* +1 if near VWAP
* +0.5 if inside Camarilla H3–L3
* +1 if daily ADX < ADX_RANGE (daily also range-like)
* +0.5 if RSI between 45 and 55 (classic balance zone)
* Daily gating:

* If daily ADX ≥ ADX_TREND → IC capped at 2 (no “strong IC” in strong trends)

**Cross-penalty & smoothing**

* Each regime’s raw score is reduced by **0.5 × max(other two scores)**
* Final IC / PCS / CCS scores are then **smoothed** with previous bar
* Scores are always clipped to **[0, 5]**

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## Regime selection

* If one regime has the highest score → that regime is selected.
* If there is a tie or close scores:

* When ADX is high, trend regimes (PCS/CCS) are preferred in the direction of the EMA stack.
* When ADX is low, IC is preferred.

The selected regime’s score is used for:

* Background colour intensity
* Minimum score gate for alerts
* Display in the info panel

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## DEFEND / HARVEST / REGIME alerts

The script also defines **management signals** using ATR-based buffers and Camarilla breaks:

* **DEFEND**

* Price moving too close to short strikes (PCS/CCS/IC) relative to ATR, or
* Trend breaks through Camarilla with ADX strong
→ Suggests rolling away / widening / converting to reduce risk.

* **HARVEST**

* Price has moved far enough from your short strikes (in ATR multiples) and market is still range-compatible
→ Suggests booking profits / rolling closer / reducing risk.

* **REGIME CHANGED**

* Regime flips (IC ↔ PCS/CCS) with cooldown and minimum score gate
→ Suggests switching playbook (range vs trend) for new entries.

Each of these has a plotshape label plus an `alertcondition()` for TradingView alerts.

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## UI / Panel

The **top-right panel** (optional) shows:

* Strategy + final regime score (IC / PCS / CCS, x/5)
* ADX / RSI values
* CPR status (Narrow / Normal / Wide + %)
* EMA Stack (Up / Down / Mixed) and EMA tightness
* VWAP proximity (Near / Away)
* Final **IC / PCS / CCS** scores (for this timeframe)
* H3/L3, H4/L4, CPR Low/High and VWAP levels (rounded)

These values are meant to be **read quickly at the decision time** (e.g. near the close of the 4H bar or daily bar).

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## Intended workflow

1. Run the script on **4H** and **1D** charts separately.
2. For each timeframe, read the panel’s **IC / PCS / CCS scores** and regime.
3. Decide:

* Final regime (IC vs PCS vs CCS)
* Combined score (e.g. `AlignScore = min(Score_4H, Score_1D)`)
4. Map that combined score to **your own lot-size buckets** and trade rules.
5. During the life of the position, use **DEFEND / HARVEST / REGIME** alerts to adjust.

The script does **not** auto-calculate lot size or P&L. It focuses on giving a structured, consistent **market regime + strength + levels + management** layer for weekly option selling.

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## Disclaimer

This is a discretionary **decision-support tool**, not a guarantee of profit or a replacement for risk management.
No performance is implied or promised. Always size positions and manage risk according to your own capital, rules, and regulations.