The Jewel

The Jewel is a comprehensive momentum and trend-based indicator designed to give traders clear insights into potential market shifts. By integrating RSI, Stochastic, and optional ADX filters with an EMA-based trend filter, this script helps identify high-conviction entry and exit zones for multiple trading styles, from momentum-based breakouts to mean-reversion setups.

Features
Momentum Integration:
Leverages RSI and Stochastic crossovers for real-time momentum checks, reducing noise and highlighting potential turning points.

Optional ADX Filter:
Analyzes market strength; only triggers signals when volatility and directional movement suggest strong follow-through.

EMA Trend Filter:
Identifies broad market bias (bullish vs. bearish), helping traders focus on higher-probability setups by aligning with the prevailing trend.

Caution Alerts:
Flags potentially overbought or oversold conditions when both RSI and Stochastic reach extreme zones, cautioning traders to manage risk or tighten stops.

Customizable Parameters:
Fine-tune RSI, Stochastic, ADX, and EMA settings to accommodate various assets, timeframes, and trading preferences.

How to Use
Momentum Breakouts: Watch for RSI cross above a set threshold and Stochastic cross up, confirmed by ADX strength and alignment with the EMA filter for potential breakout entries.

Mean Reversion: Look for caution signals (RSI & Stoch extremes) as early warnings for trend slowdown or reversal opportunities.

Trend Continuation: In trending markets, rely on the EMA filter to stay aligned with the primary direction. Use momentum crosses (RSI/Stochastic) to time add-on entries or exits.

Important Notes

1. Non-Investment Advice
   

The Jewel is a technical analysis tool and does not constitute financial advice. Always use proper risk management and consider multiple confirmations when making trading decisions.

1. No Warranty
   

This indicator is provided as-is, without warranty or guarantees of performance. Traders should backtest and verify its effectiveness on their specific instruments and timeframes.

1. Collaborate & Share
   

Feedback and suggestions are welcome! Engaging with fellow traders can help refine and adapt The Jewel for diverse market conditions, strengthening the TradingView community as a whole.

Happy Trading!
If you find this script valuable, please share your feedback, ideas, or enhancements. Collaboration fosters a more insightful trading experience for everyone.