TOTAL3/BTC This Pine Script™ code, named "TOTAL3/BTC with Arrow," is designed for cryptocurrency analysis on TradingView.
This script essentially provides a visual tool for traders to gauge when altcoins might be gaining or losing ground relative to Bitcoin through moving average analysis and color-coded trend indication.
Intention was to help the community with a script based on classic TA only.
Use it with SASDv2r indicator.
Feel free to make it better. If you did so, please let me know.
Main elements:
Data Fetching: It retrieves market cap data for all cryptocurrencies excluding Bitcoin and Ethereum (TOTAL3) and for Bitcoin (BTC).
Ratio Calculation: The script calculates the ratio of TOTAL3 to BTC market caps, which indicates how altcoins (excluding ETH) are performing relative to Bitcoin.
Plotting the Ratio: This ratio is plotted on the chart with a blue line, allowing traders to see the relative performance visually.
Moving Averages: Two Simple Moving Averages (SMA) are calculated for this ratio, one for 20 periods (ma20) and another for 50 periods (ma50), though these are not plotted in the current version of the code.
Reference Lines: Horizontal lines are added at ratios of 0.3 and 0.8 to serve as visual equilibrium points or thresholds for analysis.
Complex Moving Average: The script uses constants (len, len2, cc, smoothe) from another script, suggesting it's adapting or simplifying another's logic for multi-timeframe analysis.
Average Calculation: Two SMAs (avg and avg2) are computed using the constants defined, focusing on different lengths for trend analysis.
Direction Determination: It checks if the moving average is trending up or down by comparing the current value with its value smoothe bars earlier.
Color Coding: The color of the plotted moving average changes based on its direction (lime for up, red for down, aqua if no clear direction), aiding in quick visual interpretation of trends.
Plotting: Finally, the script plots this multi-timeframe moving average with a dynamic color to reflect the current market trend of the TOTAL3/BTC ratio, with a thicker line for visibility.
Médias Móveis
Price Imbalance as Consecutive Levels of AveragesOverview
The Price Imbalance as Consecutive Levels of Averages indicator is an advanced technical analysis tool designed to identify and visualize price imbalances in financial markets. Unlike traditional moving average (MA) indicators that update continuously with each new price bar, this indicator employs moving averages calculated over consecutive, non-overlapping historical windows. This unique approach leverages comparative historical data to provide deeper insights into trend strength and potential reversals, offering traders a more nuanced understanding of market dynamics and reducing the likelihood of false signals or fakeouts.
Key Features
Consecutive Rolling Moving Averages: Utilizes three distinct simple moving averages (SMAs) calculated over consecutive, non-overlapping windows to capture different historical segments of price data.
Dynamic Color-Coded Visualization: SMA lines change color and style based on the relationship between the averages, highlighting both extreme and normal market conditions.
Median and Secondary Median Lines: Provides additional layers of price distribution insight during normal trend conditions through the plotting of primary and secondary median lines.
Fakeout Prevention: Filters out short-term volatility and sharp price movements by requiring consistent historical alignment of multiple moving averages.
Customizable Parameters: Offers flexibility to adjust SMA window lengths and line extensions to align with various trading strategies and timeframes.
Real-Time Updates with Historical Context: Continuously recalculates and updates SMA lines based on comparative historical windows, ensuring that the indicator reflects both current and past market conditions.
Inputs & Settings
Rolling Window Lengths:
Window 1 Length (Most Recent) Bars: Number of bars used to calculate the most recent SMA. (Default: 5, Range: 2–300)
Window 2 Length (Preceding) Bars: Number of bars for the second SMA, shifted by Window 1. (Default: 8, Range: 2–300)
Window 3 Length (Third Rolling) Bars: Number of bars for the third SMA, shifted by the combined lengths of Window 1 and Window 2. (Default: 13, Range: 2–300)
Horizontal Line Extension:
Horizontal Line Extension (Bars): Determines how far each SMA line extends horizontally on the chart. (Default: 10 bars, Range: 1–100)
Functionality and Theory
1. Calculating Consecutive Simple Moving Averages (SMAs):
The indicator calculates three SMAs, each based on distinct and consecutive historical windows of price data. This approach contrasts with traditional MAs that continuously update with each new price bar, offering a static view of past trends rather than an ongoing one.
Mean1 (SMA1): Calculated over the most recent Window 1 Length bars. Represents the short-term trend.
Mean1=∑i=1N1CloseiN1
Mean1=N1∑i=1N1Closei
Where N1N1 is the length of Window 1.
Mean2 (SMA2): Calculated over the preceding Window 2 Length bars, shifted back by Window 1 Length bars. Represents the medium-term trend.
\text{Mean2} = \frac{\sum_{i=1}^{N_2} \text{Close}_{i + N_1}}}{N_2}
Where N2N2 is the length of Window 2.
Mean3 (SMA3): Calculated over the third rolling Window 3 Length bars, shifted back by the combined lengths of Window 1 and Window 2 bars. Represents the long-term trend.
\text{Mean3} = \frac{\sum_{i=1}^{N_3} \text{Close}_{i + N_1 + N_2}}}{N_3}
Where N3N3 is the length of Window 3.
2. Determining Market Conditions:
The relationship between the three SMAs categorizes the market condition into either extreme or normal states, enabling traders to quickly assess trend strength and potential reversals.
Extreme Bullish:
Mean3Mean2>Mean1
Mean3>Mean2>Mean1
Indicates a strong and sustained downward trend. SMA lines are colored purple and styled as dashed lines.
Normal Bullish:
Mean1>Mean2andnot in extreme bullish condition
Mean1>Mean2andnot in extreme bullish condition
Indicates a standard upward trend. SMA lines are colored green and styled as solid lines.
Normal Bearish:
Mean1Mean2>Mean1
Mean3>Mean2>Mean1
Normal Bullish:
Mean1>Mean2andnot in Extreme Bullish
Mean1>Mean2andnot in Extreme Bullish
Normal Bearish:
Mean1 Mean2 > Mean3
Visualization: All three SMAs are displayed as gold dashed lines.
Median Lines: Not displayed to maintain chart clarity.
Interpretation: Indicates a strong and sustained upward trend. Traders may consider entering long positions, confident in the trend's strength without the distraction of additional lines.
2. Normal Bullish Condition:
SMAs Alignment: Mean1 > Mean2 (not in extreme condition)
Visualization: Mean1 and Mean2 are green solid lines; Mean3 is gray.
Median Lines: A thin blue dotted median line is plotted between Mean1 and Mean2, with two additional thin blue dashed lines as secondary medians.
Interpretation: Confirms an upward trend while providing deeper insights into price distribution. Traders can use the median and secondary median lines to identify optimal entry points and manage risk more effectively.
3. Extreme Bearish Condition:
SMAs Alignment: Mean3 > Mean2 > Mean1
Visualization: All three SMAs are displayed as purple dashed lines.
Median Lines: Not displayed to maintain chart clarity.
Interpretation: Indicates a strong and sustained downward trend. Traders may consider entering short positions, confident in the trend's strength without the distraction of additional lines.
4. Normal Bearish Condition:
SMAs Alignment: Mean1 < Mean2 (not in extreme condition)
Visualization: Mean1 and Mean2 are red solid lines; Mean3 is gray.
Median Lines: A thin blue dotted median line is plotted between Mean1 and Mean2, with two additional thin blue dashed lines as secondary medians.
Interpretation: Confirms a downward trend while providing deeper insights into price distribution. Traders can use the median and secondary median lines to identify optimal entry points and manage risk more effectively.
Customization and Flexibility
The Price Imbalance as Consecutive Levels of Averages indicator is highly adaptable, allowing traders to tailor it to their specific trading styles and market conditions through adjustable parameters:
SMA Window Lengths: Modify the lengths of Window 1, Window 2, and Window 3 to capture different historical trend segments, whether focusing on short-term fluctuations or long-term movements.
Line Extension: Adjust the horizontal extension of SMA and median lines to align with different trading horizons and chart preferences.
Color and Style Preferences: While default colors and styles are optimized for clarity, traders can customize these elements to match their personal chart aesthetics and enhance visual differentiation.
This flexibility ensures that the indicator remains versatile and applicable across various markets, asset classes, and trading strategies, providing valuable insights tailored to individual trading needs.
Conclusion
The Price Imbalance as Consecutive Levels of Averages indicator offers a comprehensive and innovative approach to analyzing price trends and imbalances within financial markets. By utilizing three consecutive, non-overlapping SMAs and incorporating median lines during normal trend conditions, the indicator provides clear and actionable insights into trend strength and price distribution. Its unique design leverages comparative historical data, distinguishing it from traditional moving averages and enhancing its utility in identifying genuine market movements while minimizing false signals. This dynamic and customizable tool empowers traders to refine their technical analysis, optimize their trading strategies, and navigate the markets with greater confidence and precision.
Multi-Timeframe Confluence IndicatorThe Multi-Timeframe Confluence Indicator strategically combines multiple timeframes with technical tools like EMA and RSI to provide robust, high-probability trading signals. This combination is grounded in the principles of technical analysis and market behavior, tailored for traders across all styles—whether intraday, swing, or positional.
1. The Power of Multi-Timeframe Confluence
Markets are influenced by participants operating on different time horizons:
• Intraday traders act on short-term price fluctuations.
• Swing traders focus on intermediate trends lasting days or weeks.
• Position traders aim to capture multi-month or long-term trends.
By aligning signals from a higher timeframe (macro trend) with a lower timeframe (micro trend), the indicator ensures that short-term entries are in harmony with the broader market direction. This multi-timeframe approach significantly reduces false signals caused by temporary market noise or counter-trend moves.
Example: A bullish trend on the daily chart (higher timeframe) combined with a bullish RSI and EMA alignment on the 15-minute chart (lower timeframe) provides a stronger confirmation than relying on the 15-minute chart alone.
2. Why EMA and RSI Are Essential
Each element of the indicator serves a unique role in ensuring accuracy and reliability:
• EMA (Exponential Moving Average):
• A dynamic trend filter that adjusts quickly to price changes.
• On the higher timeframe, it establishes the overall trend direction (e.g., bullish or bearish).
• On the lower timeframe, it identifies precise entry/exit zones within the trend.
• RSI (Relative Strength Index):
• Adds a momentum-based perspective, confirming whether a trend is backed by strong buying or selling pressure.
• Ensures that signals occur in areas of strength (RSI > 55 for bullish signals, RSI < 45 for bearish signals), filtering out weak or uncertain price movements.
By combining EMA (trend) and RSI (momentum), the indicator delivers confluence-based validation, where both trend and momentum align, making signals more reliable.
3. Cooldown Period for Signal Optimization
Trading in choppy or sideways markets often leads to overtrading and false signals. The cooldown period ensures that once a signal is generated, subsequent signals are suppressed for a defined number of bars. This prevents traders from entering low-probability trades during indecisive market phases, improving overall signal quality.
Example: After a bullish confluence signal, the cooldown period prevents a bearish signal from being triggered prematurely if the market enters a temporary retracement.
4. Use Cases Across Trading Styles
This indicator caters to various trading styles, each benefiting from the confluence of timeframes and technical elements:
• Intraday Trading:
• Use a 1-hour chart as the higher timeframe and a 5-minute chart as the lower timeframe.
• Benefit: Align intraday entries with the hourly trend for higher win rates.
• Swing Trading:
• Use a daily chart as the higher timeframe and a 1-hour chart as the lower timeframe.
• Benefit: Capture multi-day moves while avoiding counter-trend entries.
• Scalping:
• Use a 30-minute chart as the higher timeframe and a 1-minute chart as the lower timeframe.
• Benefit: Enhance scalping efficiency by ensuring short-term trades align with broader intraday trends.
• Position Trading:
• Use a weekly chart as the higher timeframe and a daily chart as the lower timeframe.
• Benefit: Time long-term entries more precisely, maximizing profit potential.
5. Robustness Through Customization
The indicator allows traders to customize:
• Timeframes for higher and lower analysis.
• EMA lengths for trend filtering.
• RSI settings for momentum confirmation.
• Cooldown periods to adapt to market volatility.
This flexibility ensures that the indicator can be tailored to suit individual trading preferences, market conditions, and asset classes, making it a comprehensive tool for any trading strategy.
Why This Mashup Stands Out
The Multi-Timeframe Confluence Indicator is more than a sum of its parts. It leverages:
• EMA’s ability to identify trends, combined with RSI’s insight into momentum, ensuring each signal is well-supported.
• A multi-timeframe perspective that incorporates both macro and micro trends, filtering out noise and improving reliability.
• A cooldown mechanism that prevents overtrading, a common pitfall for traders in volatile markets.
This integration results in a powerful, adaptable indicator that provides actionable, high-confidence signals, reducing uncertainty and enhancing trading performance across all styles.
Power Trend [MacAlgo]Description:
The Power Trend Indicator is a sophisticated technical analysis tool that overlays on your trading charts to identify prevailing market trends. It utilizes a combination of ATR-based trend calculations, moving averages, volume analysis, and momentum indicators to generate reliable buy and sell signals. Additionally, it offers customizable settings to adapt to various trading styles and timeframes.
Key Features:
Adaptive ATR Calculation: Automatically adjusts the ATR (Average True Range) period and multiplier based on the selected timeframe for more accurate trend detection.
Dynamic Trend Lines: Plots continuous trend lines with color-coded bars to visually represent bullish and bearish trends.
Buy/Sell Signals: Generates standard and power buy/sell signals to help you make informed trading decisions.
Volume Analysis: Incorporates average buy and sell volumes to identify strong market movements.
Multiple Timeframe Support: Automatically adjusts the indicator's timeframe or allows for manual selection to suit your trading preferences.
Highlighting: Highlights trending bars for easy visualization of market conditions.
Alerts: Customizable alert conditions to notify you of potential trading opportunities in real-time.
How it Works:
1. ATR-Based Trend Calculation:
ATR Period & Multiplier: Calculates ATR based on user-defined periods and multipliers, dynamically adjusting according to the chart's timeframe.
Trend Determination: Identifies trends as bullish (1) or bearish (-1) based on price movements relative to ATR-based upper (up) and lower (dn) trend lines.
2. Moving Averages:
EMA & SMA: Calculates exponential and simple moving averages to smooth price data and identify underlying trends.
AlphaTrend Line: Combines a 50-period EMA and a 30-period SMA on a 4-hour timeframe to create the AlphaTrend line, providing a robust trend reference.
3. Volume Analysis:
Buy/Sell Volume: Differentiates between buy and sell volumes to gauge market strength.
Average Volume: Compares current volume against average buy/sell volumes to detect significant market movements.
4. Momentum Indicators:
RSI, MACD, OBV: Incorporates Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD), and On-Balance Volume (OBV) to assess momentum and confirm trend strength.
5. Signal Generation:
Standard Signals: Basic buy and sell signals based on trend crossovers.
Power Signals: Enhanced signals requiring multiple conditions (e.g., increased volume, momentum confirmation) for higher confidence trades.
Customization Options:
Tailor the Power Trend Indicator to your specific trading needs with the following settings:
ATR Period: Set the period for ATR calculation (default: 8).
ATR Multiplier: Adjust the ATR multiplier to fine-tune trend sensitivity (default: 3.0).
Source: Choose the price source (e.g., HL2, Close) for calculations.
Change ATR Calculation Method: Toggle between different ATR calculation methods.
Show Buy/Sell Signals: Enable or disable the display of buy and sell signals on the chart.
Highlighting: Turn on or off the bar highlighting feature.
Timeframe Adjustment: Choose between automatic timeframe adjustment or manually set
the indicator's timeframe.
Manual Indicator Timeframe: If manual adjustment is selected, specify the desired timeframe (default: 60 minutes).
Visual Components:
Trend Lines: Continuous lines representing the current trend, color-coded for easy identification (green for bullish, red for bearish, orange for neutral).
Bar Coloring: Bars are colored based on the current trend and its relationship to the AlphaTrend line.
Buy/Sell Triangles: Triangular markers appear on the chart to indicate buy and sell signals.
Power Signals: Larger triangles highlight strong buy and sell opportunities based on multiple confirming factors.
Highlighting: Transparent overlays highlight trending areas to enhance visual clarity.
Alerts:
Stay informed with customizable alerts that notify you of important market movements:
SuperTrend Buy/Sell: Alerts when standard buy or sell signals are generated.
Power Buy/Sell Alerts: Notifications for strong buy or sell signals based on comprehensive conditions.
Trend Direction Change: Alerts when the trend changes from bullish to bearish or vice versa.
How to Use:
Add to Chart: Apply the Power Trend Indicator to your preferred trading chart on TradingView.
Configure Settings: Adjust the input parameters to match your trading style and the timeframe you are analyzing.
Analyze Trends: Observe the trend lines, bar colors, and AlphaTrend line to understand the current market trend.
Follow Signals: Look for buy and sell signals or power signals to identify potential entry and exit points.
Set Alerts: Enable alerts to receive real-time notifications of significant trading opportunities.
Adjust as Needed: Fine-tune the settings based on market conditions and your trading experience.
Important Notes:
Backtesting: While the Power Trend Indicator is built using robust technical analysis principles, it's essential to backtest and validate its performance within your trading strategy.
Market Conditions: The indicator performs best in trending markets. In sideways or highly volatile markets, signal reliability may vary.
Risk Management: Always employ proper risk management techniques when trading based on indicator signals to protect your capital.
Disclaimer:
This indicator is intended for educational purposes only and does not provide financial advice or guarantee future performance. Trading involves risk, and past results are not indicative of future outcomes. Always conduct your own analysis and risk management.
Crodl Market StructureCrodl Market Structure | FVG | MFI | EMA
The Crodl Market Structure indicator is a powerful trading tool designed to help traders identify key price movements, trend direction, and potential liquidity zones. It combines Fair Value Gaps (FVGs), Money Flow Index (MFI) Trend Filters, and Exponential Moving Averages (EMAs) to provide a structured market view.
Features:
Exponential Moving Averages (EMAs) – Trend Confirmation
Tracks EMA 20, EMA 50, and EMA 200 to identify trend direction.
EMAs change color dynamically based on price action.
Helps traders determine uptrends, downtrends, and potential reversals.
Money Flow Index (MFI) – Trend Strength & Exhaustion
Uses MFI to detect overbought (80) and oversold (20) levels.
Confirms trend exhaustion and highlights potential reversals.
Works with EMAs to generate high-confidence entry signals.
Fair Value Gap (FVG) – Liquidity & Price Imbalance
Identifies Fair Value Gaps (price imbalances) based on 3 consecutive bullish or bearish candles.
Marks liquidity zones where price may return for mitigation.
Toggle ON/OFF to show/hide Fair Value Gaps on the chart.
Smart Buy & Sell Signals
🔺 Bullish Entry Signal: Price crosses above EMA 20 after oversold MFI & downtrend.
🔻 Bearish Entry Signal: Price crosses below EMA 20 after overbought MFI & uptrend.
Helps confirm trend continuation or reversal opportunities.
🔹 How to Use:
1️⃣ Trend Analysis – Check EMAs alignment to identify the overall trend.
2️⃣ Momentum Confirmation – Use MFI to spot trend exhaustion before price reverses.
3️⃣ Liquidity Gaps – Watch for Fair Value Gaps (FVGs) to anticipate price retracements.
🔹 Settings:
EMA Settings: Enable/Disable EMAs, adjust lengths (20, 50, 200).
MFI Trend Filter: Enable/Disable trend signals, customize MFI levels.
Fair Value Gaps: Show/Hide FVGs, adjust extension & colors.
Rabbit Moves - Buy Sell Signals (No Repaint)The Rabbit Moves - Buy Sell Signals (No Repaint) is a powerful TradingView indicator designed to help traders identify potential buy and sell opportunities in the market. By combining the RSI (Relative Strength Index), EMA (Exponential Moving Average), and momentum analysis, this indicator provides clear entry signals for bullish and bearish market movements.
Unlike many repainting indicators, Rabbit Moves ensures reliability by locking in signals once they appear, preventing misleading backtesting results.
How It Works
1. RSI: The Relative Strength Index (RSI) measures the magnitude of recent price changes to evaluate overbought or oversold conditions. A crossover above 50 signals potential bullish momentum, while crossing below 50 suggests bearish momentum.
2. EMA: The Exponential Moving Average (EMA) is used to smooth price data and generate dynamic support or resistance levels. A crossover above the EMA indicates a bullish condition, while a cross below suggests a bearish condition.
3. Momentum: The momentum indicator measures the rate of change of the price and confirms whether the trend is strengthening (bullish) or weakening (bearish).
4. Buy/Sell Percentage:
o The indicator calculates the Buy (Bullish) and Sell (Bearish) probabilities based on the lookback period, which analyzes recent price action to determine how often the market has closed in either direction.
o The Buy Percentage is calculated by determining the number of times the price moved upwards in the past lookback bars, expressed as a percentage of the total observations.
o The Sell Percentage is the inverse, showing the percentage of times the price moved down in the same lookback period.
o These percentages help you assess the likelihood of the next candlestick closing in the predicted direction (up or down), offering additional confirmation for your trades.
Additionally, the indicator calculates the probability of bullish or bearish moves within a defined lookback period. These probabilities are displayed on the chart as percentages, helping traders assess market sentiment.
How to Use the Indicator
1. How to Access
o Kindly check out authors instructions, how you can access this indicator
2. Interpreting the Signals
o Green upward arrow → Indicates a potential buy signal.
o Red downward arrow → Indicates a potential sell signal.
o Probability Display → Shows the likelihood of bullish vs. bearish movements based on historical data.
3. Enhancing Your Strategy
o Use this indicator in combination with support & resistance levels, volume analysis, and price action for better accuracy.
o Apply risk management techniques, such as stop-loss orders and position sizing, to minimize losses.
Why Use This Indicator?
✅ No Repainting – Ensures accurate backtesting and real-time reliability.
✅ Probability-Based Insights – Helps gauge market sentiment before making a trade.
✅ Combines Multiple Technical Factors – Increases accuracy by using RSI, EMA, and momentum together.
✅ Easy-to-Use Signals – Clear buy/sell alerts with visual representation on the chart.
This indicator is designed to work on Forex, Crypto, Stocks, and other financial markets.
Disclaimer:
This indicator is intended solely for educational and informational purposes. It does not constitute financial or investment advice. Trading in financial markets involves significant risk, and past performance is not indicative of future results. Users are responsible for their own trading decisions and should carefully evaluate their risk tolerance and objectives. Always seek professional financial advice before engaging in trading activities.
TrendMasterPro_FekonomiTrend Change and Start Signals with Weighted Conditions
The Trend Change and Start Signals with Weighted Conditions indicator leverages various technical analysis tools to generate reliable buy and sell signals. This indicator helps investors more accurately identify trend changes and start signals in the market.
Features:
Utilizes popular technical analysis tools such as MACD, RSI, EMA, and Ichimoku Cloud.
Enhances signal accuracy with additional indicators like ADX and Volume Increase.
Allows users to adjust the weights of each condition to set their importance.
The Confidence Level parameter lets you adjust the accuracy rate of the signals.
Visual Signals make it easy to track buy and sell points directly on the chart.
How It Works:
Condition Weights: Users assign weights to indicators like MACD, RSI, EMA, and Ichimoku Cloud. If you have no idea, use default settings.
Condition Fulfillment: Checks if the conditions for each indicator are met.
Confidence Level: The total weight of the fulfilled conditions must exceed the user-defined confidence level.
Signal Generation: When these conditions are met, a buy or sell signal is generated and visually displayed on the chart.
Customization:
Personalize Signals: By adjusting the weights of the indicators used, you can personalize the signals to match your trading strategy and preferences.
Use Cases:
Short-Term Investments: Identify quick trend changes for short-term trading decisions.
Long-Term Investments: Detect long-term trend starts and changes for strategic investment decisions.
Technical Analysis: Combine different technical analysis tools for more comprehensive and reliable analyses.
With this indicator, you can better understand market movements and make more informed investment decisions. Try it now and enhance your trading strategy!
by Fekonomi
LevelUp^ Upside Reversal ScreenerThe Upside Reversal Screener can be helpful to find strength when stocks have been showing weakness or the overall market is down. An upside reversal in a stock occurs when its price, after declining, changes direction and begins to trend upward. This pattern can signify a shift in market sentiment from bearish to bullish.
🔹 Upside Reversal Characteristics
✓ Price goes below prior day/week low then rallies to close with a gain or a minimal loss.
✓ Closing range in the upper half of the day/week.
✓ Ideally, volume shows an increase over the average daily/weekly volume.
🔹 Configurable Settings
✓ Specify the number of lower lows.
✓ Require the price low to be above a configurable moving average.
✓ Require the moving average to be trending up.
✓ Specify price % change.
✓ Specify closing range.
✓ Limit search to specific symbol types, for example, only stocks and no ETFs.
🔹 Pros of an Upside Reversal
An upside reversal can provide an early entry point into a potential new uptrend. The reversal may attract buyers, resulting in sustained upward price momentum. Reversals that follow a prolonged downtrend suggest the end of bearish dominance, which may give way to a longer-term bullish trend.
🔹 Cons of an Upside Reversal
Not all reversals continue their upward trend; some may turn out to be "dead cat bounces" or a short-term retracement before the downtrend resumes. It can also be challenging to know when to enter a trade on a reversal as entering too early might lead to losses if price reverses and the downtrend continues.
🔹 Risk Management
One common approach to risk management is to use a recent low as a stop. Another potential stop would be an area of prior support or consolidation. It often feels counterintuitive to enter a trade when the trend has been downward. Which speaks to why risk management must always be part of your game plan.
🔹 Installation And Usage
▪ Mark this indicator as a Favorite.
▪ Use the Pine Screener to search for stocks.
▪ Save the search results to a watchlist.
▪ View the watchlist in TradingView.
EMA Crossover with 50 EMA Filter50-period EMA: We added the 50-period EMA as the filterEMA variable.
Buy and Sell Conditions: The buy signal is generated only if the 8-period and 16-period EMAs both cross above each other and are above the 50-period EMA. Similarly, the sell signal is generated when the 8-period and 16-period EMAs cross below each other and are below the 50-period EMA.
Plotting: The 50-period EMA is also plotted on the chart (in orange).
This strategy will ensure that the buy signals are only triggered when the trend is considered "bullish" (both EMAs above the 50 EMA) and sell signals when the trend is "bearish" (both EMAs below the 50 EMA).
You can set up alerts for both buy and sell conditions using the alertcondition() function.
Let me know if you need further adjustments!
NOTE :- Applicable only for banknifty
VWAP Suite by Augur - Multi PeriodOverview
The Multi-Timeframe VWAP Suite revolutionizes price analysis by combining institutional-grade volume-weighted pricing with multi-period deviation analytics. This professional toolkit simultaneously tracks VWAP across 5 time horizons (Daily to Yearly) with smart deviation bands, offering traders unparalleled insight into market structure and volatility dynamics.
Key Features
Multi-Timeframe VWAP Matrix
Simultaneous Daily/Weekly/Monthly/Quarterly/Yearly VWAP tracking
Institutional-level volume-weighted calculations
Independent timeframe toggles for focused analysis
Smart Deviation Architecture
Dual-layer standard deviation bands (1σ & 2σ)
Separate colors for upper/lower deviation zones
Adaptive 95% transparency fills for layered visualization
Professional Visual Design
Strategic color coding per timeframe (FIXED palette)
Dark Blue/Yellow/Purple/Pink/Red VWAP hierarchy
Orange-Green-Red-Blue deviation band system
Advanced Calculation Engine
HLC3 price source integration
Cumulative volume-weighting algorithm
Real-time standard deviation updates
Internal Bar StrengthShort Description:
This indicator calculates the Internal Bar Strength (IBS) for each bar, which measures the close price’s relative position within that bar’s high-low range, and then optionally smooths that value with a selected moving average.
What Does It Measure?
Internal Bar Strength (IBS):
The IBS formula is (close-low)/(high-low)
. This ratio indicates where the closing price lies within a bar’s trading range:
A value near 0 means the close is near the bar’s low.
A value near 1 means the close is near the bar’s high.
A value of 0.5 means the close is exactly in the middle of the bar’s range.
Smoothing (Moving Averages):
You can choose to smooth the IBS value with one of five different moving average types: RMA, SMA, EMA, WMA, or VWMA. The default length for smoothing is 10, but this can be adjusted for more or less sensitivity.
Key Features
Multiple MA Options:
RMA: Also known as the Wilder’s moving average, it reacts slightly slower to changes than EMA.
SMA: Simple moving average, straightforward average of the last n values.
EMA: Exponential moving average, places more weight on recent data.
WMA: Weighted moving average, linear weighting from oldest to newest data.
VWMA: Volume-weighted moving average, weights price by trading volume.
Color Coding:
Green when IBS is greater than 0.5.
Red when IBS is less than or equal to 0.5.
Scalping trading system based on 4 ema linesScalping Trading System Based on 4 EMA Lines
Overview:
This is a scalping trading strategy built on signals from 4 EMA moving averages: EMA(8), EMA(12), EMA(24) and EMA(72).
Conditions:
- Time frame: H1 (1 hour).
- Trading assets: Applicable to major currency pairs with high volatility
- Risk management: Use a maximum of 1-2% of capital for each transaction. The order holding time can be from a few hours to a few days, depending on the price fluctuation amplitude.
Trading rules:
Determine the main trend:
Uptrend: EMA(8), EMA(12) and EMA(24) are above EMA(72).
Downtrend: EMA(8), EMA(12) and EMA(24) are below EMA(72).
Trade in the direction of the main trend** (buy in an uptrend and sell in a downtrend).
Entry conditions:
- Only trade in a clearly trending market.
Uptrend:
- Wait for the price to correct to the EMA(24).
- Enter a buy order when the price closes above the EMA(24).
- Place a stop loss below the bottom of the EMA(24) candle that has just been swept.
Downtrend:
- Wait for the price to correct to the EMA(24).
- Enter a sell order when the price closes below the EMA(24).
- Place a stop loss above the top of the EMA(24) candle that has just been swept.
Take profit and order management:
- Take profit when the price moves 20 to 40 pips in the direction of the trade.
Use Trailing Stop to optimize profits instead of setting a fixed Take Profit.
Note:
- Do not trade within 30 minutes before and after the announcement of important economic news, as the price may fluctuate abnormally.
Additional filters:
To increase the success rate and reduce noise, this strategy uses additional conditions:
1. The price is calculated only when the candle closes (no repaint).
2. When sweeping through EMA(24), the price needs to close above EMA(24).
3. The closing price must be higher than 50% of the candle's length.
4. **The bottom of the candle sweeping through EMA(24) must be lower than the bottom of the previous candle (liquidity sweep).
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Alert function:
When the EMA(24) sweep conditions are met, the system will trigger an alert if you have set it up.
- Entry point: The closing price of the candle sweeping through EMA(24).
- Stop Loss:
- Buy Order: Place at the bottom of the sweep candle.
- Sell Order: Place at the top of the sweep candle.
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Note:
This strategy is designed to help traders identify profitable trading opportunities based on trends. However, no strategy is 100% guaranteed to be successful. Please test it thoroughly on a demo account before using it.
Market Average Long/ShortMarket Average Long/Short
This indicator is designed to calculate and visualize average prices for long and short positions based on Open Interest (OI) and volume changes.
Key Features
Open Interest-Based Analysis:
Utilizes Open Interest (OI) data to track changes in positions.
Separates long and short positions based on the direction of the OI change.
Multiple Look-Back Periods:
Short, medium, and long-term look-back periods are configurable.
Each period calculates average long and short prices for those timeframes.
Real-Time Updates:
Plots the average prices as lines on the chart.
Displays labels for the most recent values at the last candle.
Customizable Settings:
Allows users to enable/disable short, medium, and long look-back periods and adjust their lengths.
How It Works
Input Parameters:
Users can enable or disable the look-back periods (short, medium, long). Configurable periods define how many bars to look back for each calculation.
Fetching Data:
The script determines the correct Open Interest symbol ( _OI ) for the current chart symbol.
Open Interest (OI): Open, high, low, close values.
Volume: Total trading volume for each bar.
Open Interest Changes:
Calculates the change in Open Interest ( oiChange ) between the current and previous bar:
Positive OI Change: Represents long positions opening.
Negative OI Change: Represents short positions opening.
Volume Segmentation:
Separates the total trading volume into:
Open Volume: Volume associated with opening long or short positions.
Close Volume: Remaining volume (assumed to be closing positions).
Cumulative Long/Short Data:
Tracks cumulative long and short volumes and their respective values ( price × volume ).
Calculates the Max Average Prices:
Average Long Price Max: Total long value ÷ total long volume.
Average Short Price Max: Total short value ÷ total short volume.
Look-Back Calculations:
For each enabled period (short, medium, long):
A custom summation function ( f_sum ) calculates the sum of volumes and values over the specified look-back period.
Average prices for longs and shorts are computed:
averageLongPrice = lookBackLongValue / lookBackLongVolume
averageShortPrice = lookBackShortValue / lookBackShortVolume
Plotting Data:
Lines:
Plots lines for Max Average Long/Short Prices.
Look-back period averages (short, medium, long).
Labels:
Labels are displayed for the most recent average prices at the last candle, including descriptions like "Max Avg Long" or "Short Avg Long" .
Use Case
This indicator is particularly useful for futures traders who:
Want to analyze the behavior of long and short positions in the market.
Use Open Interest as a metric for sentiment (e.g., increasing OI = more positions opening).
Need a visual representation of average entry prices for long and short positions across different time horizons.
What It Tells You
Max Average Long/Short Prices:
Represents the overall average entry price of all open long/short positions in the market. Useful for understanding where the majority of traders are positioned.
Look-Back Periods:
Highlights recent trends in long/short positioning. Shorter look-back periods are more responsive to recent data, while longer periods show broader trends.
Volume Dynamics:
Helps identify whether the market is dominated by long or short volume.
Trend Reversals:
When the current price approaches the average price lines, it can indicate areas of potential support or resistance.
Example Scenarios
Trend Analysis:
If the price is above the average long price and trending upward, the market is dominated by longs.
Conversely, if the price is below the average short price, the market is dominated by shorts.
Support/Resistance:
Average prices often act as psychological levels for traders, where support or resistance may occur.
Volume Insights:
Significant increases in open/close volume can signal an impending breakout or trend change.
Advanced Notes
Real-Time Data:
This indicator is most effective with intraday or daily timeframes for futures markets, as Open Interest is critical for short-term trading.
Customization:
Users can adjust the look-back periods and enable only the periods relevant to their trading style.
Open Interest Ticker:
The _OI ticker needs to exist for the current chart symbol; otherwise, the indicator won't fetch data.
This indicator combines market sentiment analysis with price action and volume to provide a powerful tool for futures traders.
Weighted Close SumWeighted Close Sum Indicator - Overview
The Weighted Close Sum Indicator is a dynamic and adaptive technical tool designed to analyze price action by incorporating a volatility-adjusted weighted smoothing approach. Unlike traditional moving averages, this indicator adjusts its smoothing length based on market volatility, making it highly responsive to price fluctuations while maintaining accuracy in trend detection.
How It Works
Dynamic Length Adjustment Using ATR:
The indicator calculates the Average True Range (ATR) over a default period of 14 to gauge market volatility.
A dynamic smoothing length is computed based on the user-defined length and a volatility multiplier, allowing the indicator to adapt to changing market conditions.
Formula:
Dynamic Length=Length×(1+ATRClose Price×Multiplier)
Dynamic Length=Length×(1+Close PriceATR×Multiplier)
Cosine-Weighted Smoothing:
A set of weights is calculated using a cosine function to create a smooth and responsive weighting curve.
These weights are then applied to past closing prices, emphasizing recent data while retaining a natural tapering effect for older data points.
Weighted Close Sum Calculation:
The final value, known as the Cumulative Sum of Moving Averages (CSMA), is computed by multiplying the closing prices with their corresponding weights and summing them up.
This results in a smooth representation of price trends that dynamically adjusts based on market conditions.
How to Use the Indicator
Trend Identification:
Rising values of the Weighted Close Sum indicate an uptrend, while declining values suggest a downtrend.
Volatility Sensitivity:
The adaptive length ensures that the indicator responds faster during high volatility and smooths out during calmer periods, making it suitable for trend-following strategies.
Customizable Parameters:
Length: Controls the base period for calculation. A higher length provides smoother outputs, while a lower value makes the indicator more sensitive.
Volatility Multiplier: Adjusts the sensitivity of the indicator to price fluctuations. A higher multiplier increases responsiveness during volatile periods.
EMA Crossover PredictionThis indicator predicts potential EMA crossovers by analyzing the rate of change between short and long EMAs. It calculates future EMA values based on current trends and displays predicted crossover points with their estimated timeframe and price level. The script uses customizable periods for both EMAs and forecast length, making it adaptable for different trading timeframes. Green labels indicate predicted bullish crossovers (short EMA crossing above long EMA), while red labels show bearish crossover predictions (short EMA crossing below long EMA).
Channels by SmanovIndicator Description
“Channels by Smanov” is a multi-channel indicator that plots dynamic support and resistance zones around a moving average line. It is composed of two main parts:
FL 1 (Flexible Channels):
A Simple Moving Average (SMA) serves as the Basis.
Upper and lower bands are calculated by adding and subtracting an ATR-based buffer from the Basis.
User-defined inputs (such as Half Length, ATR Period, and ATR Multiplier) allow for flexibility in adapting the channel width to different market conditions.
FL 2 (Fixed Channels):
Eight additional bands expand on the same SMA + ATR logic but use fixed ATR multipliers (ranging from 2.2 up to 5.0).
These extra lines can help you gauge more distant levels of potential support or resistance.
By combining an SMA (to smooth price data) with ATR (to gauge volatility), this indicator highlights areas where price may be “stretched” relative to recent volatility. Traders often use channel-based indicators to identify potential “overbought” or “oversold” conditions, as well as to spot trend continuations or reversals.
How to Use / Trading Strategy
Trend Identification (Basis Line):
The middle line (the SMA) can be used as a trend filter:
If price consistently stays above the basis, it suggests an uptrend.
If price consistently stays below the basis, it suggests a downtrend.
Reversal Opportunities (Outer Bands):
When price moves into or beyond the upper bands, it may signal overbought conditions, creating potential short (or profit-taking) opportunities.
Conversely, when price dips into or beyond the lower bands, it may signal oversold conditions, which some traders use for initiating or adding to long positions.
Breakout or Continuation Signals:
In a strong trend, price may “ride” along the outer channels.
A clear break above/below a channel that previously acted as resistance/support could hint at trend continuation.
Failure to break these levels could suggest a potential reversal or consolidation phase.
Stop-Loss Placement:
Traders often place stops just outside a relevant band. For example, if you go long on a dip near a lower band, you might place your stop slightly below that band, relying on the ATR-based buffer to reflect normal volatility.
Multiple Timeframe Analysis:
Consider confirming signals on a higher timeframe (e.g., 4-hour or daily) while taking entries on a lower timeframe.
Channels on higher timeframes can act as stronger support or resistance, offering additional confluence.
Disclaimer
This indicator is provided for educational purposes and does not guarantee specific results. Trading involves risk, and individual traders are responsible for managing their own risk and capital. Always conduct thorough analysis and use appropriate risk management (e.g., stop-losses) when entering any market positions.
Enjoy using Channels by Smanov! Your feedback and personal insights can further refine the indicator’s settings for your preferred trading style. Good luck and trade responsibly!
This Pine Script™ code is subject to the terms of the Mozilla Public License 2.0.
© Smanov_I
[Sapphire] Fibonacci Retracement + AlertsFibonacci Retracement
This Fibonacci Retracement Indicator utilizes Fibonacci sequence numbers for moving averages and monitors for a crossover of the 13/55 plots.
The option is available to the user if they would like to toggle between an SMA or an EMA for the Fibonacci moving averages.
There is also a trading window built in so you can filter out a certain time of day to show signals if that is preferred.
The signals have alert conditions as well.
In the example, I am using a range chart. I find that it shows a signal much more efficiently as opposed to a time based bar.
Kubricks Super Colliding Indicator v2The Kubricks Super Colliding Indicator v2 is a comprehensive technical analysis tool designed for TradingView. It combines multiple indicators and conditions to help traders identify potential buy/sell signals and trend directions. The script is highly customizable, allowing users to toggle specific features on/off and adjust parameters to suit their trading style.
Key Features
Moving Averages:
Plots SMAs (Simple Moving Averages) and EMAs (Exponential Moving Averages) with customizable periods and colors.
Includes Golden Cross (bullish) and Death Cross (bearish) conditions based on SMA and EMA crossovers.
RSI (Relative Strength Index):
Identifies overbought and oversold conditions using customizable RSI levels.
Displays visual alerts (plotshapes) for overbought/oversold conditions.
MACD (Moving Average Convergence Divergence):
Detects bullish and bearish crossovers of the MACD line and signal line.
Displays visual alerts for MACD crossovers.
Customizable Alerts:
Alerts for Golden Cross, Death Cross, RSI overbought/oversold, MACD crossovers, and close above SMA.
Toggleable Indicators:
Allows users to enable/disable specific features (e.g., RSI, MACD, SMA cross signals) for a cleaner chart.
Visual Enhancements:
Highlights Golden Cross and Death Cross conditions with background colors.
Uses plotshapes to mark key signals (e.g., overbought/oversold, MACD crossovers, close above SMA).
How It Helps Traders
Trend Identification: The combination of SMAs and EMAs helps identify long-term and short-term trends.
Momentum Confirmation: RSI and MACD provide additional confirmation of momentum and potential reversals.
Customizability: Traders can tailor the script to their preferences, focusing on the indicators and conditions most relevant to their strategy.
Visual Alerts: Clear visual cues and alerts make it easier to spot trading opportunities in real-time.
Ideal For
Swing Traders: Identifying trend reversals and momentum shifts.
Position Traders: Confirming long-term trends with Golden/Death Crosses.
Day Traders: Using RSI and MACD for short-term entry/exit signals.
This script is a powerful, all-in-one tool for traders looking to combine multiple technical indicators into a single, easy-to-use interface. Let me know if you need further assistance!
4 EMA & MACDThe indicator that combines Moving Average and MACD into one is very useful for providing a more complete picture of the market. Here's how it works:
Moving Average (MA): This is a trend indicator that smooths the price to show the dominant trend direction. MA helps traders determine whether the market is in an uptrend, downtrend, or sideways. For example, if the price is above the MA, it might indicate an uptrend, while if the price is below the MA, it might indicate a downtrend.
MACD (Moving Average Convergence Divergence): MACD measures market momentum and can provide entry and exit signals based on the difference between two moving averages (fast MA and slow MA). A buy signal occurs when the MACD crosses above the signal line, and a sell signal occurs when the MACD crosses below the signal line.
Combining both gives traders a more complete view:
MA provides an overview of the larger trend direction.
MACD helps identify moments when momentum supports a position for entering or exiting.
Common usage:
Entry: If the price is above the Moving Average (uptrend) and the MACD shows a buy signal (for example, MACD crossing above the signal line), it can be a signal to buy.
Exit: If the price starts moving below the MA and the MACD shows a sell signal, it can be a signal to sell or exit the position.
There is an indicator called MACD + Moving Average Cross, which combines both elements, providing stronger signals and making it easier to follow the market.
hector mena Breakout Trading with ATR, RSI and MA CrossTitle: Breakout Trading Strategy with ATR, RSI, and Moving Average Cross
Description (English):
This script combines key technical indicators—ATR (Average True Range), RSI (Relative Strength Index), and Moving Averages—to provide a comprehensive breakout trading strategy. It is designed to help traders identify significant breakout levels and confirm signals with momentum and trend analysis.
How It Works:
ATR for Breakout Levels:
The ATR is used to calculate dynamic breakout levels by adjusting the highest resistance and lowest support levels with a customizable multiplier. This ensures that breakout levels adapt to market volatility.
RSI for Momentum Confirmation:
The RSI identifies overbought and oversold conditions, providing an additional layer of confirmation for breakouts. A breakout accompanied by an RSI signal can indicate stronger momentum.
Moving Average Cross for Trend Validation:
Two simple moving averages (short-term and long-term) are included to validate the trend. A crossover suggests a potential change in trend, aligning with breakout signals.
Why Combine These Indicators?
The ATR ensures breakout levels are realistic and volatility-adjusted.
The RSI avoids false signals by confirming if the price has momentum during a breakout.
Moving Average crossovers add trend-following confirmation, helping traders align with market direction.
The combination provides a robust framework to filter out false signals and improve the reliability of trading decisions.
Key Features:
Breakout Levels: Upper and lower breakout levels dynamically calculated using ATR.
RSI Confirmation: Visual overbought (70) and oversold (30) levels and RSI plot.
Trend Validation: Short and long-term moving averages plotted on the chart with crossover signals.
Visual Alerts: Clear "BUY" and "SELL" labels for actionable signals.
Custom Alerts: Configurable alerts for breakouts and moving average crossovers.
How to Use It:
Adjust the parameters (ATR length, multiplier, RSI length, and moving averages) based on your trading strategy.
Look for "BUY" signals when:
Price breaks above the resistance level, and RSI indicates oversold conditions.
Moving averages cross bullishly.
Look for "SELL" signals when:
Price breaks below the support level, and RSI indicates overbought conditions.
Moving averages cross bearishly.
Use alerts for automated notifications about potential trades.
Notes:
This script is intended for educational purposes. Use it alongside proper risk management techniques and backtesting.
Always test in demo mode before applying it to live trading.
Dawud Range Rover BarsThe Dawud Range Rover Bars indicator is a dynamic technical analysis tool designed to normalize price movements into a 0-100 range, helping traders identify overbought and oversold conditions while incorporating adaptive signal tracking. This indicator utilizes multiple smoothing techniques, including EMA, RMA, SMA, and TMA, allowing traders to filter price movements based on their preferred method. By applying a rolling min-max scaling approach, the script converts price action into a normalized range, making it easier to detect potential trend reversals or continuations.
A key feature of this indicator is its dynamic signal line, which smooths the normalized value to help confirm trend shifts. Traders can adjust the length and smoothing strength of both the primary normalization process and the signal line to fine-tune the sensitivity of the indicator. Overbought and oversold levels are marked with customizable thresholds, providing visual cues to identify key trading opportunities. Additionally, background highlights dynamically change color when the price enters extreme zones, making trend shifts more apparent.
The indicator also incorporates a unique threshold-based bar plotting system that displays colored bars below the price when the normalized value crosses the upper or lower custom thresholds. This provides an additional visual confirmation of extreme price conditions. To ensure accuracy and avoid repainting, historical values are stored in arrays, preventing future bars from influencing past signals. This non-repainting approach makes the Dawud Range Rover Bars a reliable tool for traders looking for consistent signals without the risk of misleading historical data.
By combining trend smoothing, normalization, adaptive signal lines, and threshold-based visual cues, the Dawud Range Rover Bars indicator offers a comprehensive approach to market analysis. It helps traders identify key reversal zones, trend strengths, and breakout opportunities with greater clarity. With its flexibility in customization and non-repainting methodology, this indicator is suitable for traders across different timeframes and asset classes who are looking for a structured and visually intuitive method to assess market conditions.
Liquidity Trap Detector (LTD)The Liquidity Trap Detector is an advanced trading tool designed to identify liquidity zones and potential traps set by institutional players. It provides traders with a comprehensive framework to align with smart money movements, helping them avoid common retail pitfalls such as bull and bear traps.
The indicator focuses on detecting liquidity sweeps, breaker blocks, and areas of institutional accumulation/distribution. It integrates multiple technical analysis methods to offer high-probability signals and insights into how liquidity dynamics unfold in the market.
Note : This indicator is not designed for beginners; it is intended for traders who already have a solid understanding of trading fundamentals. It is tailored for individuals who are familiar with concepts like liquidity, order blocks, and traps. Traders with at least 6 months to 1 year of trading experience will fully appreciate the power and potential of this indicator, as they will have the necessary knowledge to leverage its features effectively. Beginners may find it challenging to grasp the advanced concepts embedded in this tool.
Why Combine These Elements?
The components of the Liquidity Trap Detector are carefully chosen to address the core challenges of identifying institutional activity and liquidity traps. Here’s why each element is included and how they work together:
1. Order Blocks:
• Purpose: Identify zones where large institutional players accumulate or distribute positions.
• Role in the Indicator: These zones act as primary liquidity areas, where price is likely to reverse or consolidate due to significant order flow.
2. Breaker Blocks:
• Purpose: Highlight areas where liquidity has been swept, leading to potential price reversals or continuations.
• Role in the Indicator: Confirms whether a liquidity trap has occurred and provides actionable levels for entry or exit.
3. ATR-Based Volatility Zones:
• Purpose: Filter signals based on market volatility to ensure trades align with statistically significant price movements.
• Role in the Indicator: Defines dynamic support and resistance zones, improving the accuracy of signal generation.
4. Volume Delta:
• Purpose: Measure the imbalance between aggressive buyers and sellers, often indicating institutional activity.
• Role in the Indicator: Validates whether a liquidity trap is backed by smart money absorption or retail-driven momentum.
5. Trend Confirmation (EMA):
• Purpose: Align liquidity trap signals with the broader market trend, reducing false positives.
• Role in the Indicator: Ensures trades are executed in the direction of the prevailing trend.
What Makes It Unique?
1. Gen 1 Liquidity Zones and Traps:
• The indicator identifies Gen 1 Liquidity Zones, which represent the first areas where liquidity is accumulated or swept. While these zones often lead to reversals, they can sometimes fail, resulting in continuation moves. The indicator highlights these scenarios, helping traders adapt.
• For example, a bull trap identified in a Gen 1 Zone may see price move higher after an initial red candle, completing a secondary liquidity sweep before reversing.
2. Multi-Layer Signal Validation:
• Signals are only generated when liquidity, volume, trend, and volatility align. This ensures high-probability setups and reduces noise in choppy markets.
3. Dynamic Adaptability:
• ATR-based zones and volume delta filtering allow the indicator to adapt to different market conditions, from trending to range-bound environments.
4. Institutional Insights:
• By focusing on liquidity sweeps, order blocks, and volume imbalances, the indicator helps traders align with institutional strategies rather than retail behavior.
How It Works
The Liquidity Trap Detector uses a step-by-step process to identify and validate liquidity traps:
1. Identifying Liquidity Zones:
• Order Blocks: Mark key zones of institutional activity where price is likely to reverse.
• Breaker Blocks: Highlight areas where liquidity sweeps have occurred, signaling potential traps.
2. Filtering with Volatility (ATR):
• ATR defines dynamic support and resistance zones, ensuring signals are only generated near significant price levels.
3. Validating Traps with Volume Delta:
• Volume delta shows whether liquidity sweeps are backed by aggressive buying/selling from institutions, confirming the trap’s validity.
4. Aligning with Market Trends:
• EMA ensures signals align with the broader trend to reduce false positives.
5. Monitoring Gen 1 Liquidity Zones:
• The indicator highlights Gen 1 Liquidity Zones where price may initially reverse or sweep further before a true reversal. Traders are alerted to potential continuation scenarios if volume or momentum suggests unmet liquidity above/below the zone.
How to Use It
Buy Signal:
• Triggered when:
• Price sweeps below an order block and forms a breaker block, indicating a liquidity trap.
• Volume delta confirms aggressive selling absorption.
• ATR volatility zone supports the reversal.
• EMA confirms a bullish trend.
• Action: Enter a Buy trade and set:
• Stop Loss (SL): Below the order block.
• Take Profit (TP): Near the next resistance or liquidity zone.
Sell Signal:
• Triggered when:
• Price sweeps above an order block and forms a breaker block, indicating a liquidity trap.
• Volume delta confirms aggressive buying absorption.
• ATR volatility zone supports the reversal.
• EMA confirms a bearish trend.
• Action: Enter a Sell trade and set:
• SL: Above the order block.
• TP: Near the next support or liquidity zone.
Timeframes:
• Best suited for scalping and intraday trading on lower timeframes (5m, 15m, 1H).
• Can also be applied to swing trading on higher timeframes.
Example Scenarios:
1. Bull Trap in a Gen 1 Zone:
• Price sweeps above a resistance order block, forms a breaker block, and reverses sharply. However, if momentum persists, price may continue higher after a minor pullback. The indicator helps traders anticipate this by monitoring volume and trend shifts.
2. Bear Trap with Secondary Sweep:
• Price sweeps below a support order block but fails to reverse immediately, instead forming a secondary liquidity sweep before turning bullish. The indicator highlights both scenarios, allowing for flexible trade management.
Why Use It?
The Liquidity Trap Detector offers:
1. Precision: Combines multiple filters to identify institutional liquidity traps with high accuracy.
2. Adaptability: Works across trending and range-bound markets.
3. Smart Money Alignment: Helps traders avoid retail traps by focusing on liquidity sweeps and institutional behavior.
Quantitative Breakout Bands (AIBitcoinTrend)Quantitative Breakout Bands (AIBitcoinTrend) is an advanced indicator designed to adapt to dynamic market conditions by utilizing a Kalman filter for real-time data analysis and trend detection. This innovative tool empowers traders to identify price breakouts, evaluate trends, and refine their trading strategies with precision.
👽 What Are Quantitative Breakout Bands, and Why Are They Unique?
Quantitative Breakout Bands combine advanced filtering techniques (Kalman Filters) with statistical measures such as mean absolute error (MAE) to create adaptive price bands. These bands adjust to market conditions dynamically, providing insights into volatility, trend strength, and breakout opportunities.
What sets this indicator apart is its ability to incorporate both position (price) and velocity (rate of price change) into its calculations, making it highly responsive yet smooth. This dual consideration ensures traders get reliable signals without excessive lag or noise.
👽 The Math Behind the Indicator
👾 Kalman Filter Estimation:
At the core of the indicator is the Kalman Filter, a recursive algorithm used to predict the next state of a system based on past observations. It incorporates two primary elements:
State Prediction: The indicator predicts future price (position) and velocity based on previous values.
Error Covariance Adjustment: The process and measurement noise parameters refine the prediction's accuracy by balancing smoothness and responsiveness.
👾 Breakout Bands Calculation:
The breakout bands are derived from the mean absolute error (MAE) of price deviations relative to the filtered trendline:
float upperBand = kalmanPrice + bandMultiplier * mae
float lowerBand = kalmanPrice - bandMultiplier * mae
The multiplier allows traders to adjust the sensitivity of the bands to market volatility.
👾 Slope-Based Trend Detection:
A weighted slope calculation measures the gradient of the filtered price over a configurable window. This slope determines whether the market is trending bullish, bearish, or neutral.
👾 Trailing Stop Mechanism:
The trailing stop employs the Average True Range (ATR) to calculate dynamic stop levels. This ensures positions are protected during volatile moves while minimizing premature exits.
👽 How It Adapts to Price Movements
Dynamic Noise Calibration: By adjusting process and measurement noise inputs, the indicator balances smoothness (to reduce noise) with responsiveness (to adapt to sharp price changes).
Trend Responsiveness: The Kalman Filter ensures that trend changes are quickly identified, while the slope calculation adds confirmation.
Volatility Sensitivity: The MAE-based bands expand and contract in response to changes in market volatility, making them ideal for breakout detection.
👽 How Traders Can Use the Indicator
👾 Breakout Detection:
Bullish Breakouts: When the price moves above the upper band, it signals a potential upward breakout.
Bearish Breakouts: When the price moves below the lower band, it signals a potential downward breakout.
The trailing stop feature offers a dynamic way to lock in profits or minimize losses during trending moves.
👾 Trend Confirmation:
The color-coded Kalman line and slope provide visual cues:
Bullish Trend: Positive slope, green line.
Bearish Trend: Negative slope, red line.
👽 Why It’s Useful for Traders
Dynamic and Adaptive: The indicator adjusts to changing market conditions, ensuring relevance across timeframes and asset classes.
Noise Reduction: The Kalman Filter smooths price data, eliminating false signals caused by short-term noise.
Comprehensive Insights: By combining breakout detection, trend analysis, and risk management, it offers a holistic trading tool.
👽 Indicator Settings
Process Noise (Position & Velocity): Adjusts filter responsiveness to price changes.
Measurement Noise: Defines expected price noise for smoother trend detection.
Slope Window: Configures the lookback for slope calculation.
Lookback Period for MAE: Defines the sensitivity of the bands to volatility.
Band Multiplier: Controls the band width.
ATR Multiplier: Adjusts the sensitivity of the trailing stop.
Line Width: Customizes the appearance of the trailing stop line.
Disclaimer: This indicator is designed for educational purposes and does not constitute financial advice. Please consult a qualified financial advisor before making investment decisions.
Enhanced Cumulative Volume Delta + MAThe Enhanced Cumulative Volume Delta (CVD) indicator is designed to help traders analyze the cumulative buying and selling pressure in the market by examining the delta between the up and down volume. By tracking this metric, traders can gain insights into the strength of a trend and potential reversals. This indicator uses advanced volume analysis combined with customizable moving averages to provide a more detailed view of market dynamics.
How to Use This Indicator:
Volume Delta Visualization:
The indicator plots the cumulative volume delta (CVD) using color-coded candles, where teal represents positive delta (buying pressure) and soft red represents negative delta (selling pressure).
Moving Averages:
Use the moving averages to smooth the CVD data and identify long-term trends. You can choose between SMA and EMA for each of the three available moving averages. The first and third moving averages are typically used for short-term and long-term trend analysis, respectively, while the second moving average can serve as a medium-term filter.
Arrow Markers:
The indicator will display arrows (green triangle up for crossing above, red triangle down for crossing below) when the CVD volume crosses the 3rd moving average. You can control the visibility of these arrows through the input parameters.
Volume Data:
The indicator provides error handling in case no volume data is available for the selected symbol, ensuring that you're not misled by incomplete data.
Practical Applications:
Trend Confirmation: Use the CVD and moving averages to confirm the overall trend direction and strength. Positive delta and a rising CVD can confirm an uptrend, while negative delta and a falling CVD indicate a downtrend.
Volume Breakouts: The arrows marking when the CVD crosses the 3rd moving average can help you spot potential volume breakouts or reversals, making them useful for entry or exit signals.
Volume Divergence: Pay attention to divergences between price and CVD, as these can often signal potential trend reversals or weakening momentum.
