CROCEUsing free cash flow instead of ebit, to be able to evaluate stocks that are not yet profitable.
the formulas are
fcf ttm / (not financial operating working capital - Cash + Net Property Plant and Equipment)
and
fcf yield on Enterprice Value
Example CRWD negative ebit, but cash creation, in this case the expenses in research and development go to affect the ebit.
Pesquisar nos scripts por "profitable"
Trendmaster - Crypto On-Chain Metric BundleWhat it is:
The ‘Trendmaster Crypto On-Chain Metric Bundle’ is truly a one-of-a-kind bundle. It provides a complete insight into the on-chain dynamics of the entire Crypto asset class, with a multitude of different included indicators providing unique information and data points to give users an edge regardless of ticker, timeframe, or trading style.
What it Does:
Allows you to switch between several different metrics in one place and see specific combined metrics and look at the metrics to take contrarian positions
How to Use it:
Use these metrics to see the on-chain actions in cryptocurrency and play the contrarian. For example, when people are flooding into stablecoins as the price goes down you can see that as a potential buy indicator.
All metrics can be viewed with a Dashboard allowing the user to see all of the information in 1 place.
List of On-Chain Metrics:
To begin with, we have the ‘Trendmaster On-Chain Rating’ – which is our all-in-one, complete on-chain overview metric that can give you an instant insight into the fundamental and underlying strength of any given Crypto asset. It collates the key factors provided by all other indicators within the bundle, weighing in and condensing all of that information into a simple -5 to 5 scale; with a -5 indicating a completely bearish outlook on the asset, and a +5 representing truly great upcoming upside potential. As this indicator is taking into account large amounts of data and statistics to provide an on-chain overview, this value is best taken into consideration on higher timeframes such as the 4hour or daily to provide fundamentally strong buy or sell swing trade opportunities. Extreme rating signals on this indicator are rare but always worth taking into serious consideration.
Secondly, we have the ‘Collated Open Interest Oscillator’ – which gives us a peek into the current outlook of the derivatives market across a wide array of Crypto futures on a number of different exchanges. This indicator provides data on a 0-100 scale, with 100 indicating a substantial and sustained increase in open derivative positions in relation to the underlying market volume. A score of 100 can tell us that a huge amount of traders are trying to position themselves with high leverage in anticipation of a big move, and can often be compared to periods of extreme greed from market participants. On the contrary, a value of 0 shows us that the derivative market is decreasing in volume and therefore open interest is decreasing, which can be likened to periods of extreme fear. This data is only provided at daily intervals, but as incredibly high or low values on this indicator can have an almost instant impact, this indicator is best utilized for medium-term trading and investment decisions.
The ‘Social Sentiment Oscillator' analyses bullish and bearish narratives in relation to a number of large Cryptocurrencies and the market in general, across multiple social media platforms. Rather than a traditional 0-100 ‘Fear & Greed’ index that many may be familiar with, this indicator tracks the changing in sentiment across platforms on a -100 to 100 scale. A score of -100 may not necessarily indicate immediate extreme fear in the market, but instead a huge shift from an incredibly bullish narrative to an incredibly bearish one. Similar to a score of 100, this does not necessarily indicate that the current outlook on social media platforms is currently positive, but rather that a substantial amount of people are altering their views and have become more bullish on a short-term basis. This data is only provided at daily intervals, so make sure to keep an eye on price and sentiment divergences for the best swing trade opportunities to play contrarian to the majority.
Following this is the ‘Miner Confidence Metric’, which provides a long-term overview of the current Crypto miner's outlook. This simple -10 to 10 scale gives us an easy-to-follow bearish to the bullish sentiment of miners. This indicator takes into account the current hash rate, looking at both how it historically compares as well as its rate of decrease/increase; as well as on-chain miner movements to verify their stance on either holding onto their Crypto earnings or preferring to move their coins to exchanges to sell and cover their running costs. Generally speaking, miners can face difficulties operating during times of large market drawdowns, and may be forced into offloading and selling physical and virtual resources to remain afloat – this is indicated by a -10 value at the extreme end, and has historically provided outsized returns for long-term investors accumulating at their demise. Contrary to this, a score of 10 can indicate that miners are not only bullish on the future of crypto, but are likely also expanding operations in anticipation of higher prices in the future. This data is only provided at daily intervals, but on longer-term timeframes provide some of the best long-term accumulation opportunities available to market participants.
Next is the ‘Collated On-Chain Volume’ indicator, which simply monitors a variety of Cryptocurrencies and their underlying on-chain transactional usage. When collating these volumetric data it can provide invaluable insight into the current actions taken by market buyers and sellers and often larger players who can have a big influence on price. Typically when we see large spikes in on-chain usage it indicates substantial levels of accumulation or distribution, which can be made more obvious by observing where we currently are in a market cycle. Large spikes after large and extended periods of drawdown can represent coins transferring from retail to larger players who are often referred to as ‘smart money’; and with large on-chain volume following a substantial bull cycle, this may show us larger players distributing coins to retail. Data can only be fetched at daily intervals, but watch for big spikes to try and position yourself alongside the big players.
We also have the ‘Holder in Profit %’ which as it sounds, is just giving us a percentile value of Crypto traders, investors, and holders who are currently in profit on their positions. Historically speaking, when a majority are at a loss – and buying ‘when there is blood in the streets has been a profitable venture. Considering cutting some of your positions when market exuberance is in full effect and a vast majority of participants are reaping in easy profits. As data is only obtained at daily intervals, using this as a longer-term gauge for where we may be in a cycle is where it is most insightful.
The ‘Long/Short Ratio Crossover’ analyses the current disparity between traders who have positioned themselves in a long position on derivatives markets in comparison to those betting on prices going down. This indicator provides another impressive insight into the fallacy of the herd mentality, and how aiming to be on the opposite side of the masses can often be a profitable venture. A value of 100 can show us that an overwhelming majority of traders are predicting a price increase and are trying to position themselves accordingly, whereas a value of -100 indicates almost all derivative traders are trying to bet on a sizeable market downturn. This metric can be useful for both long-term positions and shorter-term scalping methods of trading and investing, updating on a per-candle basis.
Along with this, the ‘Retail Stablecoin Demand’ looks into the current demand for a number of Crypto stablecoins, aiming to mimic an underlying value close to that of traditional fiat currencies like the US Dollar. This is calculated by analyzing the short to mid-term rush to these ‘safer’ assets by retail traders. Traditionally people will exit their positions in favor of stable assets when they are either currently or are expecting to experience losses. Conversely, when users foresee upcoming profits they are likely to transition into a more ‘risk-on’ thesis and exit their stablecoins for more speculative assets. A value of 100 represents a huge demand for stablecoins, whereas a value of -100 shows that there is currently a lack of interest. Another indication providing a chance to profitably play the contrarian, with figures constantly updating to provide the functionality to all regardless of your trading methodology or investment philosophy.
Lastly the ‘Whale Bubbles’, display overlaying circles of varying size and opacity to represent on-chain activity by larger market players who are transferring a portion of their substantial holding, usually to exchanges to sell. These bubbles are placed over price action to clearly see the point at which the transaction occurred. We can also lower the minimum requirement of what is defined as a ‘whale movement’ by increasing the sensitivity within the indicator settings and subsequently increasing signal frequency. When whales begin to sell in numbers, it may be worth considering doing the same yourself!
We hope you can find utility in all of these indicators, and that in unison they can take your trading and investment to the next level. A majority of these indicators within the bundle can be tweaked and optimized within the bundle to further fine-tune and cater to your preferred trading and investing thesis. Check out our other resources and let us know what you’d like to see next!
ADX W. Wilders(DI+, DI-, DX, ADXR, Equilibrium Point)The reason for publishing the script was the lack of display of important components in the standard ADX indicator, such as DI+, DI-, DX , ADXR, and the absence of a choice of methods for calculating moving averages in the indicator.
According to the book by the author of the ADX indicator, W. Wilder, the indicator components were calculated using the SMA formula, however, the RMA moving average is used in the code of the built-in indicator in TradingView, which shows excellent results, but this is not a classic calculation method. In addition to SMA and RMA, there are also EMA , HMA , WMA , VWMA moving averages to choose from. Added the ability to display lines ADX , ADXR , DX , DI+, DI- and Equilibrium points (when DI+ and DI- are equal or intersect).
ADX Trading Rules
1. Trade the intersections of DI+ and DI-
2. Extreme Point Rule(EPR). EPR is formed when DI+, DI- (Equilibrium point) crosses, forming a trend reversal point at the extremum of the current bar. In the example on the ADX RMA chart, the DI- line is above DI+. Being in a short position at the reverse intersection of the DI- and DI + lines, it is necessary to take the high price of the crossing bar for the reversal point, upon breakdown of which, turn to long. In this example, the breakdown did not take place and the short position remained active, despite the intersection of the DI+ lines over DI-. This rule is an excellent filter that removes unnecessary transactions in the trading system.
3. DI+ > ADX and DI- > ADX. Stop trading trend-following systems.
4. If ADXR > 25, the trading system will be profitable. With ADXR < 20, trend-following systems need to stop trading. Many mistakenly use ADX values instead of ADXR . The author explicitly pointed to ADXR in his book.
5. Equilibrium Point - balance points. The accumulation of these points on the chart means the presence of a flat in the market. Accumulation often appears on a declining ADX after a top has been established on the ADX indicator. The smaller the distance between the points, the less significant movements occurred in the market.
6. For intraday trading of cryptocurrencies use can the following ADX settings:
DI Length = 100
ADX Smoothing = 14
MA Type = VWMA
Flat Zone = 30
P.S. Fragment from an interview with W. Wilder:
OH: You are probably best known for inventing the Relative Strength Index ( RSI ), Average Directional Index ( ADX ) and Average True Range (ATR). Which of these is the most powerful tool for a trader?
WW: The ADX .
OH: Is it the indicator you are most proud of?
WW: I guess so.
Bitcoin Indicator BThe Bitcoin Indicator was developed especially for high leverage Bitcoin trading. It comes in two parts; Bitcoin Indicator A/B. Indicator B shows the amount of money flow in & out the market in real time.
Indicator B must be used together with Indicator A. You can use it as the last confirmation after a trading signal on Indicator A. You can also look for divergence, trend continuation and trend dominance with it.
For example: There is a strong uptrend according to the Indicator A also a trend continuation signal appears. This case you won't jump into the trade immediately but check Indicator B. If there is a huge dominance on the positive side you can be pretty sure your trade will be profitable. If you rather look for trend reversal the best thing you can do is waiting for a divergence on the Bitcoin Indicator B and the price. If the Trend Cloud also shows weakness from Indicator A you can open your position.
Divergence usually comes with a new trend. So if you trade divergence you can use the Trend Cloud from Indicator A to identify trend weakness. When you see the weakness in the new trend there will be your exit point. If you do short-term trade you can also look for the top of the first hill on Indicator B right after the divergence.
There are 4 levels added to the indicator which are the grey lines. These will help you to identify the selling and buying power on the market. Also the lines can be changed manually and used for alerts.
The Bitcoin Indicator can be used on any timeframe. Also there are several strategies you can apply. For the other strategies you can read the Bitcoin Indicator user guide once you got access. For more information please go to the website.
Unicorn X-AlgoUnicorn X-Algo is a multifunctional trading indicator. It is designed to help traders make real-time decisions using quantitative models.
Its core is a trend trading strategy based on our enhanced Trailing Stop-Loss algorithm. This strategy provides the user with position entry and exit signals. It is customizable and has a built-in instant backtesting feature.
For those who have difficulty with finding the good settings the indicator has the Automatic Mode. In this mode, there is no need for the user to adjust any settings. The indicator calculates optimized trading signals automatically.
In addition, the indicator provides a number of useful tools that aim to provide additional confirmation to the trading signals. They include: support and resistance levels forecast, price range prediction and institutional activity detection.
The script can send real-time alerts to the user’s Email and to the cell phone via notifications in the TradingView app.
The indicator can be used for various types of trend and swing trading, including positional trading, day trading and scalping.
Unicorn X-Algo allows users to:
forecast direction of trends with BUY and SELL signals;
determine the right time to close a position;
detect institutional activity in the market;
forecast key support and resistance levels;
predict the future price range for any market;
customize any settings and do a backtest with one click;
see historical trades on the chart;
use the fully Automatic Mode where the algorithm optimizes all its settings itself.
When using this script, keep in mind that past results do not necessarily reflect future results and that many factors influence trading results.
FEATURES
Trading signals
The feature calculates trend or swing entry and exit signals. The underlying strategy does not use fixed Take-Profit levels. It trails the price with a Trailing Stop-Loss to get as many pips as possible from price movements.
The feature is based on our custom Volatility Stop algorithm. It uses linear regressions instead of averaging. As our practice shows, this helps to reduce signal lag while keeping the number of false signals low.
Trading signals are customizable with Sensitivity and Trade Length parameters which determine the trading signals frequency and width of the Trailing-Stop levels, respectively.
Automatic Mode
The Trading Signals function has an automatic mode. When it is turned on, you do not need to adjust the trading signals settings. The algorithm tries to calculate the best settings automatically using an optimization algorithm.
In this mode, Buy and Sell signals are displayed as green and red triangles respectively. There are two types of exit signals displayed as circles and crosses. A circle signal means that a price reversal is expected and you can partially close the position. A cross signal means that a trading signal in the opposite direction is expected soon and you can partially or completely close your position.
Support and Resistance Levels
Support/Resistance levels forecasting model. The forecasted levels are non-repainting. Once calculated for a specified period in the future (day, week, month, etc.), they don't change during this period.
The feature allows the trader to plan trades and use the forecasted levels as entry levels and targets for opening and closing positions. Both intraday and higher timeframes are supported.
The forecasting model analyses the distribution of the price time series to find clusters in the data. These clusters are then used to make the key price levels forecast.
Big Money Activity detection
The Big Money Activity tool identifies areas on the price chart associated with instructional traders' activity in the market.
Institutional activity in a trending market can be a leading signal for upcoming reversal. Institutions could be fixing their profit, causing the price to move against the current trend.
Institutional activity in a sideways market can be due to positions accumulation and signal a new trend formation.
The algorithm uses tick volume, volume, and volatility data to forecast activity of institutional investors. The method develops the idea described in the Daigler & Wiley (2015) and Shalen (1993) works. It says that when institutional traders actively open or close their positions in the market, a divergence between volume and volatility time-series arises. It can be due to their use of position-splitting algorithms that reduce the impact of their positions on the market.
Trading Range Forecast
Trading Range Forecast feature predicts the price range of an asset for a selected period of time in the future, called Forecast Horizon. It can be the next day or 12-hour trading session. This function works if your chart timeframe is intraday (i.e. the timeframe below "D"). It shows the upper and lower bounds between which the price is going to stay in the upcoming Forecast Horizon period.
Instant Backtesting
After changing any settings, you can immediately see the performance of the strategy on the Instant Backtesting panel. Two metrics are displayed there - the percentage of profitable trades and the total return. This information, as well as the historical trades shown on the chart, will help you quickly and easily evaluate any settings you make.
SETTINGS
TRADING SIGNALS
Trade Length - defines the length of the trades the algorithm tries to make. Recommended values are from 1.0 to 6.0.
Sensitivity - controls the sensitivity of the trading signals algorithm. The sensitivity determines the density of trading signals and how close the trailing-stop levels follow the price. The higher the value of this parameter is, the less sensitive the algorithm is. High values of the Sensitivity parameters (100-500) can help to withstand large price swings to stay in longer price moves. Lower values (10-100) work well for short- and medium-term trades.
TRADING TOOLS
Big Money Activity - turns on and off the identification of the areas associated with institutional traders activity.
SUPPORТ AND RESISTANCЕ LEVELS
Show Support And Resistance Levels - turns on and off support and resistance levels calculation.
TRADING RANGE FORECAST
Show Trading Range Forecast - turns on/off trading range forecasting
Forecast Horizon - sets the period for which the trading range forecast is made
Forecasting Method - allows to choose a forecasting algorithm for the trading range forecast.
BACKTESTING
Use Starting Date - turns on/off the starting date for the strategy and backtests. When off, all available historical data is used.
Starting Date - sets the starting date for the strategy and backtests.
Show Instant Backtesting Dashboard - turns on/off a dashboard that shows the current strategy performance: the percentage of profitable trades and total return.
Leverage - sets the leverage that the strategy uses.
Unicorn QuantDeeply customizable trading algorithm with instant backtesting. It emulates real trading and displays all the actions it takes on the chart. For example, it shows when to enter or partially close a position, move Stop-Loss to breakeven, etc. The user can replicate these actions in their trading terminal in real time. The algorithm uses up to three Take-Profit levels, and a Stop-Loss level that can move in a trade to protect the floating profit.
The script can send real-time alerts to the user’s Email and to the cell phone via notifications in the TradingView app.
The indicator is designed to be used on all timeframes, including lower ones for intraday trading and scalping.
HOW TO USE
Set the Stop-Loss and up to three Take-Profit levels. Choose the rules for moving the Stop-Loss level in a trade. Adjust the sensitivity of the trading signals. And check the backtest result in the Instant Backtesting dashboard. If the performance of the strategy satisfies you, proceed with the forward testing or live trading.
When using this script, please, keep in mind that past results do not necessarily reflect future results and there are many factors that influence trading results.
FEATURES
Trading Signals
The feature calculates Buy and Sell signals for trend or swing trading. The user can change the Sensitivity parameter to control the frequency of the signals. This allows them to be adjusted for different markets and timeframes.
Position Manager
To make the Position Manager setup as easy as possible, the algorithm calculates Stop-Loss and Take-Profit levels in Average True Range (ATR) units. They are self-adjusting for any market and timeframe, since they account for its average volatility .
You don't have to worry about what market you are trading - Forex, Stocks, Crypto, etc. With the self-adjusting Stop-Loss and Take-Profit, you can find settings that work for one market and use the same numerical values as a starting point for a completely different market.
Instant Backtesting
After changing any settings, you can immediately see the performance of the strategy on the Instant Backtesting panel. Two metrics are displayed there - the percentage of profitable trades and the total return. This information, as well as the historical trades shown on the chart, will help you quickly and easily evaluate the settings.
SETTINGS
TRADING SIGNALS
Sensitivity - controls the sensitivity of the trading signals algorithm. It determines the frequency of the trading signals. The higher the value of this parameter, the less trading signals you get and the longer trends the algorithm tries to catch. The lower the sensitivity value, the more signals you receive. This can be useful if you want to profit from small price movements.
POSITION MANAGER
SL - sets the Stop-Loss level measured in ATR units.
TP1, TP2, TP3 - set the Take-Profit levels measured in the ATR units.
Close % at TP1, Close % at TP2, Close % at TP3 - set portions of the open position (as a percentage of the initial order size) to close at each of the TP levels.
At TP1 move SL to, At TP2 move SL to - set the rules for moving the Stop-Loss level in an open trade to protect the floating profit.
Show Open Position Dashboard - turns on/off a dashboard that shows the current Stop-Loss and Take-Profit levels for the open position.
BACKTESTING
Use Starting Date - turns on/off the starting date for the strategy and backtests. When off, all available historical data is used.
Starting Date - sets the starting date for the strategy and backtests.
Show Instant Backtesting Dashboard - turns on/off a dashboard that shows the current strategy performance: the percentage of profitable trades and total return.
Leverage - sets the leverage that the strategy uses.
MCDX+1. MCDX+ can be used on equities, futures, forex and crypto and also on different time frame (daily, weekly and hourly) as well, we advise only look for hourly chart or longer time frame.
2. Consists of fund candle, moving average line, info panel and tick & cross.
3. The indicator is easy to use and interpret the direction and strength of smart money.
4. Fund candle consists of three (3) colors :-
− RED = Profitable chips/banker sentiment
DARK RED = Banker sentiment above BMA but 10-day average is lower than the previous day
LIGHT RED/PINK = Banker sentiment down below BMA
− YELLOW = Floating chips/short-term trader
− TURQUOISE = Locked chips/retailers with loss
5. 10-day moving average line :-
− DARK RED = Profitable chips/banker sentiment (BMA)
− PURPLE = Floating chips/short-term trader (HMA)
− BLUE = Locked chips/retailers with loss (RMA)
6. Tick & cross :-
− Tick = Safety sign, BMA cross-up HMA/RMA
− Cross = Warning sign, BMA cross-down RMA
7. Application :-
− BULL = Banker sentiment (RED) higher is better, cross-up BMA and above level 50% without locked chips. BMA cross-up HMA/RMA
− BEAR = Banker (RED) has diminished to zero, locked chips (TURQUOISE) > 50%
8. Four (4) alert conditions are set to notify when desired condition was triggered, i.e.
(1) Banker chips cross-up BMA
(2) Banker chips cross-down BMA
(3) Strong Holding (without locked chips)
(4) BMA cross-up RMA
9. An info panel with values of banker chips, floating chips and locked chips is added. Users can opt for Full -Latest bar & prior day data (%) or Simplified -Latest bar data only (%) and choosing text size: Small or Normal size.
10. Tooltip is added in indicator’s setting to illustrate the options available.
11. MCDX+ is not advised to be used solely for the purpose of buy/sell, work best together with indicator TrendX+, DDX+ and BBD+.
Magnifying Glass (LTF Candles) by SiddWolf█ OVERVIEW
This indicator displays The Lower TimeFrame Candles in current chart, Like Zooming in on the Candle to see it's Lower TimeFrame Structure. It plots intrabar OHLC data inside a Label along with the volume structure of LTF candle in an eloquent format.
█ QUICK GUIDE
Just apply it to the chart, Hover the mouse on the Label and ta-da you have a Lower Timeframe OHLC candles on your screen. Move the indicator to the top and shrink it all the way up, because all the useful data is inside the label.
Inside the label: The OHLC ltf candles are pretty straightforward. Volume strength of ltf candles is shown at bottom and Volume Profile on the left. Read the Details below for more information.
In the settings, you will find the option to change the UI and can play around with Lower TimeFrame Settings.
█ DETAILS
First of all, I would like to thank the @TradingView team for providing the function to get access to the lower timeframe data. It is because of them that this magical indicator came into existence.
Magnifying Glass indicator displays a Candle's Lower TimeFrame data in Higher timeframe chart. It displays the LTF candles inside a label. It also shows the Volume structure of the lower timeframe candles. Range percentage shown at the bottom is the percentage change between high and low of the current timeframe candle. LTF candle's timeframe is also shown at the bottom on the label.
This indicator is gonna be most useful to the price action traders, which is like every profitable trader.
How this indicator works:
I didn't find any better way to display ltf candles other than labels. Labels are not build for such a complex behaviour, it's a workaround to display this important information.
It gets the lower timeframe information of the candle and uses emojis to display information. The area that is shown, is the range of the current timeframe candle. Range is a difference between high and low of the candle. Range percentage is also shown at the bottom in the label.
I've divided the range area into 20 parts because there are limitation to display data in the labels. Then the code checks out, in what area does the ltf candle body or wick lies, then displays the information using emojis.
The code uses matrix elements for each block and relies heavily on string manipulation. But what I've found most difficult, is managing to fit everything correctly and beautifully so that the view doesn't break.
Volume Structure:
Strength of the Lower TimeFrame Candles is shown at the bottom inside the label. The Higher Volume is shown with the dark shade color and Lower Volume is shown with the light shade. The volume of candles are also ranked, with 1 being the highest volume, so you can see which candle have the maximum to minimum volume. This is pretty important to make a price action analysis of the lower timeframe candles.
Inside the label on the left side you will see the volume profile. As the volume on the bottom shows the strength of each ltf candles, Volume profile on the left shows strength in a particular zone. The Darker the color, the higher the volume in the zone. The Highest volume on the left represents Point of Control (Volume Profile POC) of the candle.
Lower TimeFrame Settings:
There is a limitation for the lowest timeframe you can show for a chart, because there is only so much data you can fit inside a label. A label can show upto 20 blocks of emojis (candle blocks) per row. Magnifying Glass utilizes this behaviour of labels. 16 blocks are used to display ltf candles, 1 for volume profile and two for Open and Close Highlighter.
So for any chart timeframe, ltf candles can be 16th part of htf candle. So 4 hours chart can show as low as 15 minutes of ltf data. I didn't provide the open settings for changing the lower timeframe, as it would give errors in a lot of ways. You can change the timeframe for each chart time from the settings provided.
Limitations:
Like I mentioned earlier, this indicator is a workaround to display ltf candles inside a label. This indicator does not work well on smaller screens. So if you are not able to see the label, zoom out on your browser a bit. Move the indicator to either top or bottom of all indicators and shrink it's space because all details are inside the label.
█ How I use MAGNIFYING GLASS:
This indicator provides you an edge, on top of your existing trading strategy. How you use Magnifying Glass is entirely dependent on your strategy.
I use this indicator to get a broad picture, before getting into a trade. For example I see a Doji or Engulfing or any other famous candlestick pattern on important levels, I hover the mouse on Magnifying Glass, to look for the price action the ltf candles have been through, to make that pattern. I also use it with my "Wick Pressure" indicator, to check price action at wick zones. Whenever I see price touching important supply and demand zones, I check last few candles to read chart like a beautiful price action story.
Also volume is pretty important too. This is what makes Magnifying Glass even better than actual lower timeframe candles. The increasing volume along with up/down trend price shows upward/downward momentum. The sudden burst (peak) in the volume suggests volume climax.
Volume profile on the left can be interpreted as the strength/weakness zones inside a candle. The low volume in a price zone suggests weakness and High volume suggests strength. The Highest volume on the left act as POC for that candle.
Before making any trade, I read the structure of last three or four candles to get the complete price action picture.
█ Conclusion
Magnifying Glass is a well crafted indicator that can be used to track lower timeframe price action. This indicator gives you an edge with the Multi Timeframe Analysis, which I believe is the most important aspect of profitable trading.
~ @SiddWolf
Auto Adjust SuperTrend Indicator SuperTrend
It is a standard ATR (Average True Range)-based Trailing Indicator. The indicator takes two default values ATR Period and Factor. The standard settings for Super Trend I have seen are 10,3 or 10,2. These settings will not work for all the instruments, and we end up manually changing these settings. This is where Auto-Adjust Supertrend adds value. Auto-Adjust SuperTrend finds the optimized settings for ATRPeriod and Multiple using a defined algorithm to check all the different ATR Periods and Factors. It backtests different combinations of ATR Period and Factors and Indicator switches to these profitable settings as soon as it detects most profitable setting among given range in the settings.
Default ATR Period : 10 to 20
Default Factor : 2 to 5
The above settings can be altered in the indicator settings. Please do keep in mind that the performance of the indicator reduces as we increase the default settings range.
Alerts are available as well
Pls contact me for access.
[blackcat] L3 Chip TrendsLevel 3 (Stock ONLY)
Background
Chip theory is an intersting TA for trading. The profit and loss (pnl) ratio represents the ratio of profit-making or loss-making orders in the current market. The larger the profit ratio, the more investors are in a profitable state. Stock chip analysis is a kind of stock technical analysis. Investors can analyze it in combination with other indicators and data.
Function
This is a chip distribution and trend indicator I developed that consists of three different colored histograms. Yellow represents the percentage of floating chips, green represents the percentage of hold-ups, and red represents the percentage of profit. Among them, the more red columns, the more profitable chips, the more green columns, the more trapped chips. At the same time, I used three colored moving averages to represent the trends of these three types of chips for reference. At the same time, a table will appear in the middle of the indicator, indicating the chip ratio value of the latest bar in the form of a percentage.
Key Signal
profit chip percentage and trend--> red color
floating chip percentage and trend --> yellow color
loss chip percentage and trend --> green color
Remarks
This is a Level 3 free and closed source indicator.
NOT applicable for instruments except stocks.
Feedbacks are appreciated.
Venky's Scalping Signals This indicator developed specifically for the use of scalping trading.
This is combination of Most powerful indicators available in the market
1. Central Pivot Range
2. Moving Average
3. Average True Range
All the above indicators are available independently, but as per my experience combination of all these will be very good support for scalping.
How to trade this setup.
Moving Average: Look for only Long trades when market is above 200 EMA and vice versa.
4 Types of EMA can be added, Standard values kept as 8, 20, 50 & 200 for identifying scalping entry
Enjoy the ride till price does not close below/upper of EMA 8.
20 EMA can be used in trending market to re-enter a trade when price takes support or rejection from 20 EMA near an important pivot zone.
Central Pivot Range: This will indicate the immediate support and resistance zones, and we can fix our entry and exit accordingly.
Available timeframes (change in inputs tab): Daily-D, Weekly -W, Monthly -M
Change from Standard Pivots / Camarilla Pivots is possible
Tomorrow pivot is added to give a framework to plan trades to carry over for the next day.
Average True Range: This indicates the market direction and look for Long trades while the market is trading above ATR curve.
if there is a signal at important Pivot points, it can prove to be a high probability trade.
For best results and trending move, if all the signals are in the same direction, it will have a most trending move on the day.
This indicator works on all time frame, but be sure that all the 3 signals are in the same direction before entering the trade.
For Long Entry
Best Time Frame = 4 Mins
ATR Line should be Green
Price to be above ATR Line
Market should be above 200 & 50 Moving Average (If from bottom 200, 50, 20 & 8 then it will excellent most probable profitable entry)
Buy signals (Yellow Up arrow mark) appears, Immediately enter the market, or you can wait for candle close.
Exit when Exit signal (Yellow Down Arrow mark).
Stop Loss - Normally entry candle low, and you can trail stop loss for every next candle low.
For short Entry
Best Time Frame = 4 Mins
ATR Line Should be Red
Price to be below ATR Line
Market should be below 200 & 50 Moving Average (If From Top 200, 50, 20 & 8 then it will excellent most probable profitable entry)
Sell Signals (Yellow Down Arrow Mark) appears, Immediately enter the market, or you can wait for candle close.
Exit when Exit signal (Yellow Up Arrow Mark).
Stop Loss - Normally entry candle low, and you can trail stop loss for every next candle low.
Trading psychology is important, if market above 200 Moving average, look for only Long Trades.
If market below 200 Moving average, look for only Short Trades.
No Wick Candles [LYFTOFF-S]This indicator identifies "no wick" candles and labels them. Simple and effective candlestick analysis. Candles without wicks offer interesting trading opportunities, indicating severe momentum in a particular direction with no opposition. On higher timeframes, these can be consistently profitable signals for trades when paired with other technical analysis.
*LYFTOFF-S is part of the LYFTOFF strategy series, offering profitable and proven indicators that can be paired with our strategy template to automate trading.
Smart Patterns Lite - Engulf EditionHi Traders! Welcome to Smart Patterns Lite - Engulf Edition
This lite version of Smart Patterns script specifically focuses on different Engulfing Pattern approaches, and tracks their performance and success rate over time.
Key Features
This edition includes TradingView's Engulfing Pattern as well as two custom ones: Engulf (Trend) and Engulfing (Advanced)
When a Pattern reaches the Min. Target % within the Candles Range selected, it is then considered valid. Please remember that doesn't take into account possible draw-downs or stop-losses.
Patterns are constantly evaluated inside the script; when a pattern's overall score (Success Rate %) is below the required minimum, the signal won't be triggered. However, the script will keep monitoring it in the background, and trigger a signal again when its score comes back above the minimum Success Rate.
The Patterns' signals can be filtered by Success Rate, Minimum Patterns detected and candle size (calculated via ATR).
The Data Panel will show individual statistics for Enabled Patterns as well as final statistics for Triggered Patterns.
Tooltips in the settings panel will further explain available options.
Alerts: simple alerts can be added by selecting "any alert() function call" when adding an Alert. Customizable alerts can also be created through dropdown menu ( Bullish \ Bearish Patterns Detected).
Notes and Recommendations
Always be realistic when tweaking settings, making sure the output makes sense in a normal trading environment. Statistics are helpful but shouldn't be the only factor to base your decisions on - even if a pattern reaches 100% Success Rate, it doesn't mean it will keep being profitable.
Since the script crunches quite some data it may give output errors especially if settings are not properly tweaked - or if the filters are too liberal (e.g. Min Target % set to 0.1) - hence triggering lots of signals. Please adjust the settings or enable only the Patterns you are trading.
If the script gives the error "Too many drawings, cannot clean oldest" it means your settings give too many signals and that is usually not a good sign - it's recommended to double-check your settings as mentioned above.
Credits
Trading View for built-in patterns
Special thanks go to PineCoders community for their incredible efforts and learning material to help mastering PineScript!
Price Difference At ExpirationThe general idea:
When selling short options it is important to enter trades with a high probability of expiring Out Of The Money (OTM). Short options have limited upside and unlimited downside and so it is crucial to get both the direction and magnitude correct before entering a trade. However, this can be tricky to do reliably and so it's also a good idea to write options with a strike price far enough away from the underlying's price so that if you are directionally wrong, there's still a good chance of making a profitable trade.
But how far from the current price is far enough for a given underlying? How much is too much?
This indicator seeks to help short options traders answer these questions.
This script is fairly simple and is meant to work only on a daily chart. The basic idea is to show "if I had entered a trade with X days till expiration and a $Y strike, would the actual price change in the underlying have threatened my position before the option expired?"
To answer this question we take the closing price of each day and compare it with the closing price X number of days prior. If the current day closed higher than the day X days prior (Option entry), then we draw a positive bar with the value of the price change. Conversely, if the current day closed lower than the day X days prior we draw a negative bar with the value of the price change. For each bar we draw, we compare it with a given "max range" or "buffer". This buffer is how far OTM with which you are seeking to enter your options trade. If the actual price difference between the theoretical start and end of your trade is greater than the buffer you specified, the bar is drawn in red. Otherwise, if the total price change is safely within the buffer you built into your trade, the bar is drawn in gray.
Obviously, if you are really good at picking the direction of the underlying, the buffer you build into your options contract doesn't matter, you get a profitable trade no matter what! Good job, and please share your charts with me! However, for those of use a bit less clairvoyant, this indicator seeks to help options traders get a sense for whether or not their contracts have enough wiggle room to account for the price moving against them unexpectedly. This indicator gives you the ability to adjust expiration and buffer and get a sense for how well that configuration would have done historically if you had taken each contract to expiration. The assumption being: if it worked really well in the past, then it might work well for this trade. Obviously, past performance doesn't guarantee future results. Just because a particular buffer has worked well in the past doesn't mean that it will work now. Please trade at your own risk. This is just meant to help give a better sense of scale by offering historical comparisons. You can think of this as a rudimentary live backtesting tool.
How to use:
First, add the indicator to your chart and select an underlying. The example chart shown above is for RUT. In the example, I am interested in knowing whether a $200 buffer within 10DTE trades is sufficient to produce a likely winning trade even if I'm wrong about the direction of the underlying. To do this I push the settings button of the indicator and type in 10 for "Interval (days)" and 200 for "Buffer". Next I select only "Monday", "Wednesday", and "Friday" from the expiration checkboxes; leaving "Tuesday" and "Thursday" unchecked. This is because RUT has 3 expirations per week unlike most others that have just one per week (Friday). If you are looking at weekly options you should just check "Friday".
How to interpret the chart:
- Gray bars are your friends. Gray bars mean that if you had entered into a trade with the given DTE and buffer and you happen to be wrong about the direction (it happens to us all!), you would have still ended up with a winning trade. Good Job!
- Red bars indicate possible trouble. This means that your option would have likely been exercised if held till expiration given the amount of buffer you built into the contract. You might have needed to close for a loss or roll or take assignment.
How this can help:
I find it useful to adjust the DTE and buffer when I am going to enter a trade. It helps me see whether a similar trade has historically been resilient to lapses in directional judgement or not. If I'm really confident in the direction, then this won't be so useful. I could then sell closer to the money and feel like I have a winning position. But if there is less certainty and I want to dial back my risk, then this indicator helps me find the right risk/reward with regard to picking expirations and strikes.
The Witcher [30MIN] - AlertsHello,
This is the Witcher Bot
This bot is got best performance at BTCUSDTPERP BINANCE FUTURES
this is bot for leverage 1x,
I tried focusing at highest % profitable trades, bot could be optimalised to even higher profit net.
TP: 1.1
SL: 8.2
Stop-loss unfortunelly have to be high to avoid bear/bull traps
The core of this strategy is trend strenght ( MONEY FLOW INDKES)
Strategy can only open position on strong price movment, to avoid wrong decision
Settings are set for highest profitable trades %
Bot using 10 indicators to trigger basic condtition for long and short :
1) ADX - Is one of the most powerful and accurate trend indicators. ADX measures how strong a trend is, and can give valuable information on whether there is a potential trading opportunity.
2) RSI - value helps strategy to stop trade in right time. When RSI is overbought strategy don't open new longs , also when RSI is oversold strategy don't open new shorts
3) TREND STRENGHT
4) JURIK MOVING AVERAGE - The Jurik Moving Average indicator is one of the surest ways to smoothen price curves within a minimum time lag. The indicator offers currency traders one of the best price filters during strong price moves. In this time, when bitcoin price action is so strong, this indicator is necessary.
5) SAR - The parabolic SAR is a technical indicator used to determine the price direction of an asset, as well as draw attention to when the price direction is changing. SAR supporting bot, to not open new trades when the trends are slowly changing
6) TREND INDICATOR
7) MOMENTUM - Indicator istechnical analysis tool used to determine the strength or weakness of a stock's price. Momentum measures the rate of the rise or fall of stock prices. Common momentum indicators include the relative strength index ( RSI ) and moving average convergence divergence ( MACD ).
8) OBV - On-balance volume (OBV) is a technical trading momentum indicator that uses volume flow to predict changes in stock price.
9) FAST MA - like previous ones this is for better view of trends, and correctly define the trends, also Speed_MA are using for predict the future price action.
10) RANGE FILTER - this indicator is for the better view of trends, define trends, that is important for every bull/bear traps which helps a lot becouse of the very variable trends.
I decided to add momentum indicator to strategy, to make a fast-reacting decision on lower timeframes at extremly price volatility
Also bot got additional EMA scalping option, which increase profit net but, in some situation, that could be risky.
For max security I recommend to turn off this option.
Commision are set at standard binancefutures VIP-0 = 0.04%
After converting strategy into study version, bot is ready for automation.
All the ploting color depends of adx value.
Strategy are not Repainting
For the source code I tried to keep as clean as I could
Enjoy
SVDThis indicator aims to compare between two charts if trader isn't sure which one is more active and powerful, it does NOT show entries or help your chart analysis directly.
The main features of this indicator is to show vitality and range of any given chart.
Volatility: it calculates the average profit of every swing in the range and the final result will be the chart volatility, which indicate how profitable this chart is.
Range: it calculates the profit of the whole range compared to the total price. (E.g. range bottom is 0.1 and range top is 0.2 the range will be 100%)
Extra: indicator shows the total direction of the chart in term of (STRONG UPTREND, UPTREND, SIDEWAYS, DOWNTREND, STRONG DOWNTREND), if you got (Somthing_wrong) please contact me.
How to use: apply the indicator on different charts that you have chosen and the higher (volatility & range) the more profitable the chart is.
inputs:
Lookback length: how long the range is (how many candles are included).
How intense should the Swing be: how many candles should be counted as a confirmation complete swing.
Show counted Swings: if checked as true, will show the swings counted in the volatility calculation.
For any notes on the indicator to be edited, or for another indicator ideas please comment.
Permabull Profit RatioCumulative profit/loss of market bulls.
Price is only half the story - volume is just as important. This indicator combines both to calculate the ratio of profitable longs to losing longs.
Presumably the banks like to reset this to negative territory now and then (eg March 2020) - which is always a great time to buy. Right now we see a modern record of profitable longs - probably not the best entry, but not an indicator of imminent doom. However it does mean that the "fall will be great" when it comes.
Price is only half the story - volume is just as important. This indicator combines both to calculate the cumulative profit/loss of market bulls.
Ranging Market Detector [AstrideUnicorn]Determining if the market is in a trend or a range regime is a very complex problem. And knowing the answer can be, in some situations, the real holy grail. If the trader knows when the market is in a range regime, they can avoid overtrading and make moving average crossover strategies more profitable. A regime switch from a trend to a range can be a signal to close open positions. It can also be helpful when trading such instruments as short-term binary options. When the market is ranging directional moves are not expected, and the trader should be careful as opening a position in such conditions is, by some degree, a random outcome game. Range breakouts trading is one more example when knowing the market regime is critical.
We have created an indicator that predicts the current market regime. It smooths the price using the Kalman filter and analyzes the curve's slope. If the absolute value of the slope is low, then the market is in range mode and vice versa. To distinguish between the two regimes, the algorithm compares the absolute value of the slope with its long-term average.
HOW TO USE
The indicator shows the difference between the absolute slope value and its long-term average as a histogram. When a bar of the histogram is higher than the threshold level presented by the red line, the market is in a trending regime. In this regime, the background of the indicator is blue. When the market is in a range regime, the indicator background turns red.
The threshold level helps to control the lag. The greater it is, the more lagging the indicator will be. By default, this value is set to a negative value. It means that the indicator switches from range to trend a little bit earlier than the slope gets higher than the average slope. You can use the value of zero or low negative values to find the optimal tradeoff between the strength of the signals and their lag.
SETTINGS
The indicator has one input parameter called Threshold. It sets the threshold level described above. Its value should be close to zero. The less the value is, the less is the indicator's lag, but at the same time, the less confirmed the regime-switching signals are.
The use cases can be very different. And as the code is open, you can also use the indicator as a building block for your custom trading strategies.
Let us know your thoughts and suggestions!
Data Trader Stoch | RSI | MACD Strategy IndicatorImplementation of Data Trader's strategy, described in the youtube video, "Highly Profitable Stochastic + RSI + MACD Trading Strategy (Proven 100x)"
Also see Algovibes' video, "Highly Profitable Stochastic + RSI + MACD Trading Strategy? Testing Data Traders strategy in Python"
Note: Despite the claims, it generates barely, if any, signals, certainly in the crypto markets
If there are any mistakes, give feedback in the comments, and I'll fix
### Strategy Summary ###
# Long Signals #
Stoch K and D are oversold
RSI above midline
MACD above signal line
# Short Signals #
Stoch K and D are overbought
RSI below midline
MACD below signal line
# Stop loss and Take Profit #
Stop loss
Longs: below last swing low
Shorts: above last swing high
Take profit at 1.5x stop loss
Crypto Scannner for Traffic Lights StrategyI allways try to make trading easier. Developing Scripts for a quick backtest and improvement of a strategy, getting alerts for entry and exit a position. Loading data to a spreadsheet is also important and takes time.
In this case finding good parameters in different markets or assets to enter in a position, is a bit exhausting. It is something you have to do everyday, and sometimes in different moments of the day.
So I manage to develop a Screener, to take a quick look at specific hours, and tell if I have a buy or sell condition in an specific asset. Obviously this is not an alert to make a trade instantaneusly, but this help you filter a lot of information in matters of seconds. Then open those specific charts and make a better analisys.
A few weeks ago, I published a scrpipt called "Traffic Lights Strategy", that uses 4 emas to get a buy or a sell condition.
It is easy to understand and use, but if you don´t want to missed some opportunities, and don't want to be look at the screen in all the time looking for them, I have here a simple solution.
This script works plotting 2 labels. The first one plots all the assets in which the condition is true (fastema > medema > slowema > filterema or fastema < medema < slowema < filterema)
The second one plots the assets were the condition is true only if happened up to 5 candles back, so you can be in time to enter a trade.
You can take the script and customize it for a different strategy or assets. I coded like this because I backtested this strategy in this specific assets, and statistics suggest that it might be profitable.
I hope this works for you. In other time I'll try to code a script for the others strategies I published.
Silen's Financials P/E & P/S[x10] RatesThis script aims to give a better visualization of P/E and P/S rates compared to the build-in "Price to earnings ratio" and "Price to sales ratio" in the "Financials" Section of Tradingview. For those of you don't know, those rates compare earnings and sales with your share price in regard to market cap and outstanding shares.
The scripts differs to the build-in versions in the following points:
- P/E & P/S rates are combined in one indicator
- Negative P/E rates are displayed better: Positive P/E rates are green, Negative P/E rates are red
- For visualization reasons, the indicator will cap positive and negative P/E rates at 100. (P/E rates above those levels are not siginificant either way)
- P/E & P/S rate are directly displayed on the graph
- Both P/E and P/S rates are combined on one left scale
- For visualization reasons, P/S rate is showing 10x the actual P/S rate. Using the standard P/S rate would result in hard-to-recognize changes of the P/S line.
To sum up:
- Positive P/E rates are green
- Negative P/E rate are red
- P/S rates are multiplied by 1 0
- P/S rates are yellow
How to use P/E and P/S rates:
The US market average for P/E rates is roughly ~18 in the US right now (10/2022) while the market average for P/S rates is roughly ~3 in the US. Note that average P/E and P/S can change when the market situation changes.
P/E and P/S rates help you value your stock better and help you decide whether your stock is undervalued or overvalued compared to the market or the industry when it comes to earnings and sales. If you compare to Market averages, a positive P/E of less than 18 means that your stock is likely unvervalued. A P/S rate below 3 (30 in the chart!) means that your stock is likely undervalued as well. If your stock shows rates above those, it is likely that it is overvalued compared to market averages.
Please note that P/E and P/S rates are not the only factors that make up a stock valuation. Valuations are complex and subjective.
A positive P/E rate also means that your company is profitable.
A Negative P/E rate means that your company is unprofitable.
If you have any questions or feedback let me know!
Disclaimer: This script doesn't show the actual P/S rate. It shows the P/S rate multiplied by 10, due to visualization issues. Positive P/E Rates above 100 are displayed as 100. Positive P/E rates are green, Negative P/E rates are red and multiplied by -1.
Disclaimer2: @Tradingview_Team: I couldn't find the right category for this script but categories are mandatory. I assume that "Breadth Indicators" is still the closest there is. Please let me know if you want me to change the category.
Disclaimer3: For visualization, the opacity of the displayed image is 70%. The standard opacity for the P/E and P/S lines is 50% and can be changed in the indicator settings. I found this setting more useful when working together with other indicators on the same chart
Disclaimer4: Earnings Per Share, Total Revenue used are TTM. Total Shares Outstanding used are FQ.
EMASAR Investor ModePLEASE READ THE FULL DESCRIPTION BEFORE BUYING OR USING THIS INDICATOR
THIS IS THE INVESTOR MODE ONLY VERSION OF THE EMASAR INDICATOR. IT INCLUDES THE ORIGINAL SIGNALS TELLING YOU WHEN TO BUY OR SELL. IT ONLY INCLUDES THE OCEAN TO INDICATE PULLBACKS AND NOT OTHER TRADING REGIONS ARE INCLUDED. IT SHOWS THE BUY/SELL SIGNALS AS WAS PUBLISHED IN THE ORIGINAL VERSION OF EMASAR
EMASAR (pronounced Emma-sar) is a strategy based on Exponential Moving Averages and the Parabolic SAR. This is a position trading approach that is derived from Tyler Jenks’ Consensio.
This strategy was developed with four objectives in mind: (1) managing risk (2) protecting from missing out on major moves (3) maximizing risk:reward (4) staying in a trending market and taking profit before it fully reverses.
EMASAR does a great job at accomplishing all of the above through the buy and sell signals that are generated. The data provided below is from the signals that occurred on Bitcoin ( Bitstamp ) from January 1, 2015 to present (November 11, 2019).
(1) Risk is tightly managed, relative to the winners, and losing positions will be exited before the market moves too far against.
The biggest losing trade on Bitcoin , for the time period outlined above, is -18.47%.
(2) Following the EMASAR buy and sell signals guarantees that one will not miss out on a major trend. As a result of the indicators used for this system it is mathematically impossible for a major trend to occur without providing a buy or sell signal. This system isn't meant to catch exact tops or bottoms but it will do a great job of capturing ~85% of a trend.
(3) On average the winning trades will be 5.55 times the losing trades. There will be stretches where the losers are bigger than the winners and this could last for many months, maybe even a year. However, over the long run the average reward is expected to be 5.55 times the average risk*.
*Past performance does not guarantee future results!
(4) This indicator was designed to capitalize on parabolic markets, specifically Bitcoin and alt coins. Crypto markets have a tendency to get moving so fast that many indicators become all but useless.
Entries can get signaled too late and exits will get signaled way too early. This is specifically true when using oscillators that are designed to identify overbought or oversold environments. EMASAR does a great job of keeping us in a position for the duration of a trend and this includes the major parabolic runs that Bitcoin has a tendency to go on.
When Bitcoin , or other alts, really get moving it can be very difficult to distinguish between a correction and a full reversal. We do not want to be exiting during a minor correction, instead this is a time when we want to be holding on or looking to buy the dip.
This is a very fragile balance. The market has a very strong tendency to make corrections looks like reversals and to make reversals look like corrections. Therefore it is very important to have a tool(s) that you trust to distinguish in between the two.
I believe that EMASAR is the best way to find that balance - if I knew of a better way then I would be using it instead!
Following these signals will help us to hold onto positions while the market is still trending in our favor when most think that it has moved too far / too fast, and it will also get us out before a market fully reverses.
Keep in mind that there will be times when we exit a market that is in danger of reversing, only to buy back higher later on. That is okay because it enables us to properly manage risk during times of uncertainty and buying back in at a higher price is more than worth the opportunity cost.
Risks
The biggest risks with trading EMASAR revolve around disobeying the signals. Risk management is built into this system with the exit signals that will occur, however it is up to the individual to execute those signals. Passing on an exit signal could lead to a big loss which would have a dramatic impact on the ROI . Most trading systems will have small and medium losses with small, medium and large wins. That is exactly how this works. The small - medium losses and wins will mostly be a wash and will account for roughly 80% of the trades. The large wins will happen about 20% of the time and will make up 80% - 90% of the profits.
Therefore the two biggest risks are passing on signals entirely, or exiting preemptively. Getting chopped in and out of a market can be quite frustrating. If you become overwhelmed with negative emotions then it could cause you to pass up on the next signal. That signal will often be the one that more than makes up for the small - medium losses that preceded.
On average EMASAR will provide one signal every 6 weeks when using the default settings on the 4h chart. Therefore missing one entry could turn an otherwise profitable year into a loser. If electing to trade a system, whether it is EMASAR or another, it is crucial to commit to taking every signal regardless of outside variables (namely your personal bias about market direction or frustration that follows a losing stretch).
Another major risk with this system is taking too much profit too soon. When getting into a trade that has the potential to be a big winner it can be challenging to continue holding through the swings. Anyone that has watched paper profits vanish will be inclined to start exiting after the market makes a big move in his or her favor. While this is better than watching profits completely evaporate, this mistake can be enough to turn a profitable system into one that loses to the market. If 80% - 90% of our profits come from 10% - 20% of our trades then it is vital we do not cut those positions off at the knees.
If taking too much profit too soon then you will consistently turn potential large winners into medium winners. This may lead to making money over the long run which will make it very difficult to realize that anything is wrong. However making money and beating the market are two very different things. Exiting early and making money is nearly as big of a risk as missing entries entirely.
If you have the discipline to execute signals in a timely manner after they are triggered and the emotional control to let the winners run despite the appearance of a vastly overbought / oversold market, then you should have what it takes to beat the market with EMASAR.
If you are not an experienced trader then it is very important to start out small. The only way to learn is to trade in a live environment and the only way to succeed is to risk much less than you can afford to lose. If you have $2,000 to trade with then start with a maximum position size of $20 - $50 and don’t be shy about scaling that down even further. Focus on ROI instead of actual dollars made. If you can return 100% on a $20 roll then you should be able to do the same with a $2,000 roll.
Important Notes
Make sure that you read / understand the risks outlined above. If you jump into this without understanding the unique risks that this system entails then you are going to have a bad time.
This indicator was developed around the 4h and that is where it works best. For crypto adjusting to higher TF’s will cause for bad results as the entries / exits will be late to the party. For traditional markets the Daily - Weekly time frames are preferred. It was not originally intended for smaller TF's but we have seen some good results on the 15m and 1h. The RSI can be a great compliment when using on smaller TF's. Adding a rule for not entering when RSI > 75 or < 25 and instead entering when RSI retests 50 will help to avoid some bad signals.
Alerts can be set for this indicator. Simply make sure that it is visible on the chart, then click the alert icon on the top panel. In the first dropdown set 'Condition' to 'EMASAR' and the second 'Condition' for the upcoming signal. For example if just entered long then set the second condition to 'Close Long' and you will be notified as soon as that signal occurs. If waiting for the next long entry then set the second condition to 'Open Long' so on and so forth . There is an 'All in One' alert that is also available. If you select that then you will be alerted any time that a signal occurs. The message will tell you to check the chart to see which signal caused the alert.
Pivot Target (5m Futures)I am new to both Futures Trading and Pivots. Looking for shorter-term profitable opportunities, I have investigated the use of pivots from a higher timeframe. All the work of this script is performed using two lines. It calculates the pivot from the previous 2-hour bar and draws this pivot line on the 5-minute timeframe. Many many times, the price will reach back to this pivot point - sometimes fairly quickly within the same horizontal pivot line and sometimes farther out (4-hours to 6-hours, or within the next few days). Price tends to reach the level around ninety percent of the time, making for plenty of short-term trading opportunities.
I get the best results when I see the price rise or fall from the pivot, along with a second indicator indicating a possible reversal (my favorite is Divergence for Many Indicators v4 by LonesomeTheBlue . Who knew divergence (both regular and hidden) was so common and useful for finding probable reversals? If I find the price above or below the pivot line with a second signal, I'll place a buy or sell within that same 2-hour window the price tends to return back to the higher timeframe pivot for a nice profit very quickly. Other times it does take a little longer to return with only a small percentage of time not returning within a reasonable amount of time, or very unusually, not at all. The image above shows a number of profitable trading opportunities using a combination of the Pivot Target and LonesomeTheBlue's Divergence for Many Indicators v4. You can further limit risk by only taking trades that are in the same direction of the overall trend, possibly confirmed on a higher timeframe.
This script will only be visible on the 5-minute timeframe the way it is written right now. I wouldn't suggest shorter or longer timeframes unless some editing is done by you. It doesn't seem to work as well with stocks, but is best on Futures due to the wave-like natures of the futures market. Trade safe, trade with the trend, use stops and limits appropriately and stay safe.
[CP]Pivot Boss Candlestick Scanner - No Repainting This indicator is based on the high probability candlestick patterns described in the ’Secrets of a Pivot Boss’ book.
The indicator does not suffer from repainting.
I have kept this indicator open source, so that you can take this indicator and design a complete trading system around it.
Although the patterns have some statistical edge in the markets, blindly using them as Buy/Sell Indicators will certainly result in a heavy loss.
I like some of these setups more than others, and I have listed them in the order of my likeness.
The first one I like the most, the last one, I like the least.
The patterns are universal and work well in both intraday, daily and even larger timeframes.
Signals in the example charts are manually marked by,
Hammer - profitable short signal
Rocket - profitable long signal
X - unprofitable long or short signal
GENERAL USER INPUTS:
These settings exist as the indicator uses ‘Labels’ to mark the patterns and Pine Script limits a maximum of 500 labels on a chart.
If you want to go back in the past and check how the indicator was doing, set the Start and End dates both and check the ’Use the date range above to mark the Candlestick Setups?’ option.
EXTREME REVERSAL SETUP:
This is by far my favorite setup in the lot. Classic Mean Reversion setup.
The logic, as explained in the book, goes like this,
1. The first bar of the pattern is about two times larger than the average size of the candles in the lookback period.
2. The body of the first bar of the pattern should encompass more than 50 percent of the bar’s total range, but usually not more than 85 percent.
3. The second bar of the pattern opposes the first.
The setup works extremely well in high beta stocks like Vedanta VEDL.
Feel free to play with the settings in order to better align this pattern with your favorite stock.
Check out the examples below,
No indicator is perfect, failed patterns are marked with an X.
OUTSIDE REVERSAL SETUP:
My second favorite setup, it is quite good at catching intraday trends.
Here’s the logic,
1. The engulfing bar of a bullish outside reversal setup has a low that is below the prior bar’s low and a close that is above the prior bar’s high. Reverse the conditions for bearish outside reversal.
2. The engulfing bar is usually 5 to 25 percent larger than the size of the average bar in the lookback period.
Settings for this pattern simply reflect these conditions. Feel free to modify them as you wish.
The pattern is pretty powerful and will sometimes help you catch literally all the highs and lows of the market, as shown in the examples of Vedanta VEDL and RELIANCE stocks below.
As usual, this pattern is not PERFECT either.
DOJI REVERSAL SETUP:
Doji candles signify market indecision and this pattern tries to profit off these market conditions.
Logic:
1. The open and close price of the doji should fall within 10 percent of each other, as measured by the total range of the candlestick.
2. For a bullish doji, the high of the doji candlestick should be below the ten-period simple moving average. Vice-versa for bearish.
3. For a bullish doji setup, one of the two bars following the doji must close above the high of the doji. Vice-versa for bearish.
Feel free to modify the settings and optimize according to the stock you are trading.
Don't optimize too much :)
This pattern works brilliantly well on larger intraday timeframes, like 15m/30m/60m.
This pattern also has a higher propensity to give false indications than the two described above.
Doji reversal typically helps to catch larger trend reversals. Check out the examples below from RELIANCE and NIFTY charts,
Note that the RELIANCE chart below is the same as shown for the Outside Reversal Setup above, notice the confluence of Outside
Reversal and Doji Reversal on the 31st August.
Confluence of patterns usually increases the probability of success.
RELIANCE 15m Chart - Pattern can catch nice trends on higher timeframes
NIFTY 15m Chart
WICK REVERSAL SETUP:
This pattern tries to capture candlesticks with large wick sizes, as they often indicate trend reversal when coupled with significant support and resistance levels.
Logic:
1. The body is used to determine the size of the reversal wick. A wick that is between 2.5 to 3.5 times larger than the size of the body is ideal.
2. For a bullish reversal wick to exist, the close of the bar should fall within the top 35 percent of the overall range of the candle.
3. For a bearish reversal wick to exist, the close of the bar should fall within the bottom 35 percent of the overall range of the candle.
This pattern must always be coupled with important support resistance levels, else there will be a lot of false signals.
The chart below is the same NIFTY chart as above with the Wick Reversal candles marked as well.
You can see that there are a lot of false signals, but the price also indicates ’pausing’ at important levels by printing a wick reversal setup.
You can use this information to your advantage when riding a trend.
FINAL WORDS:
Settings for various patterns simply reflect the logic described.
You will probably need to tweak and optimize the pattern settings for the stock that you are trading.
Higher Beta/Higher Volatility stocks are a great choice for these patterns.
Using these patterns at critical support and resistance levels will result in dramatically high accuracy.
Be creative and try to develop a proper system around this indicator, with rules for position sizing, stop loss etc.
You do not have to trade all the patterns. Even trading just one pattern with a proper system is good enough.
DO NOT USE THIS INDICATOR AS A BUY/SELL SYSTEM, YOU WILL LOSE MONEY.
Feel free to drop any feedback in the comments section below, or if you have any unique candlestick patterns that you would like me to code.
