The Support and Resistance Signals MTF [LuxAlgo] indicator aims to identify undoubtedly one of the key concepts of technical analysis Support and Resistance Levels and more importantly, the script aims to capture and highlight major price action movements, such as Breakouts, Tests of the Zones, Retests of the Zones, and Rejections.
The script supports Multi-TimeFrame (MTF) functionality allowing users to analyze and observe the Support and Resistance Levels/Zones and their associated Signals from a higher timeframe perspective.
Identification of key support and resistance levels/zones is an essential ingredient to successful technical analysis.
🔶 USAGE
Support and resistance are key concepts that help traders understand, analyze and act on chart patterns in the financial markets. Support describes a price level where a downtrend pauses due to demand for an asset increasing, while resistance refers to a level where an uptrend reverses as a sell-off happens.
The creation of support and resistance levels comes as a result of an initial imbalance of supply/demand, which forms what we know as a swing high or swing low. This script starts its processing using the swing highs/lows. Swing Highs/Lows are levels that many of the market participants use as a historical reference to place their trading orders (buy, sell, stop loss), as a result, those price levels potentially become and serve as key support and resistance levels.
One of the important features of the script is the signals it provides. The script follows the major price movements and highlights them on the chart.
🔹 Breakouts (non-repaint)
A breakout is a price moving outside a defined support or resistance level, the significance of the breakout can be measured by examining the volume. This script is not filtering them based on volume but provides volume information for the bar where the breakout takes place.
🔹 Retests
Retest is a case where the price action breaches a zone and then revisits the level breached.
🔹 Tests
Test is a case where the price action touches the support or resistance zones.
🔹 Rejections
Rejections are pin bar patterns with high trading volume.
Finally, Multi TimeFrame (MTF) functionality allows users to analyze and observe the Support and Resistance Levels/Zones and their associated Signals from a higher timeframe perspective.
🔶 SETTINGS
The script takes into account user-defined parameters to detect and highlight the zones, levels, and signals.
🔹 Support & Resistance Settings
Detection Timeframe: Set the indicator resolution, the users may examine higher timeframe detection on their chart timeframe.
Detection Length: Swing levels detection length
Check Previous Historical S&R Level: enables the script to check the previous historical levels.
🔹 Signals
Breakouts: Toggles the visibility of the Breakouts, enables customization of the color and the size of the visuals
Tests: Toggles the visibility of the Tests, enables customization of the color and the size of the visuals
Retests: Toggles the visibility of the Retests, enables customization of the color and the size of the visuals
Rejections: Toggles the visibility of the Rejections, enables customization of the color and the size of the visuals
🔹 Others
Sentiment Profile: Toggles the visibility of the Sentiment Profiles
@LuxAlgo Thanks a ton for this script and the recent updates. I would say this gets as close as possible to visually replicating trade setup
carnagecain
⋅
@carnagecain, Well I said way more than that but forgot it cuts the statement out when you add coins...Bottom Line - You implemented it really well and its a great tool, thanks!
@LuxAlgo, upon further thought, I think implementing this same functionality but with trend lines would be an awesome capability not quite seen on TV yet. There is potential it doesn't return as useful of results as this but may be worth the coding to test it out since you clearly don't have much going on lol jk. Thanks again for this!
JOldschool
⋅
No alerts? Would love alerts for the breaks and retests and such.
@JOldschool, read the script since it is open anyway which is so generous and kind of Luxalgo. If you add alerts, that would be a lot IMHO. I think best is for breakout alerts - bullish and bearish. I did try for my study purposes only and TBH it is quite easy to add any alert functions. The way it was coded was so organized. You can also add intraday timeframes if you like. I would suggest used it together with LuxAlgo Premium PAC, seems quite good combo so far.
Thank you for this LuxAlgo.
JOldschool
⋅
@sharpie0319, thanks I just have no idea how to do that but I’m sure I could figure it out. I do really like the breakout and retests. I could see how it could work well with a PAC indicator and will take a closer look.
sharpie0319
⋅
@JOldschool, I posted a sample code on adding alert in another indicator but it got deleted by the author or by Tradingview. If you want your alert to show timeframe then just add identifier first for timeframe.period, if you want to add the symbol or ticker just add syminfo.ticker. create an alert message first with syminfo and timeframe and your message, then add alert (not alertcondition) and you should be able to use any alert function. Again I would suggest take a look at the line where the bearish breakout and bullish breakout so as not to have too many alerts though (just my thought).