The market is moved by two types of investors, those called strong hands or sharks (agencies, funds, companies, banks, etc.) and weak hands or minnows (that is, us).
Minnows do not have the ability to manipulate a security, since our portfolio is limited, but we can enter and exit securities easily since we do not have much money. Sharks can manipulate a security since they have a lot of shares and / or money, however, they cannot move easily since selling or buying such amount of money is very difficult for them. So what can sharks do to buy or sell their shares? Well, he plays his game: Trying to make us believe that the company is cheap when they want to sell us their shares or make us believe that the company is expensive when they want to buy our shares. This manipulation is done in many ways, most of them through press news.
We, the minnows, cannot compete against the sharks, but we can find out what they are plotting (remember that they are slow moving their monstrous amounts of money) to get under them and imitate them. Better to be under the shark than in front of it.
How does Koncorde work?
Well, we already know how we should operate, but how do I know what the sharks are doing? Well, here the Koncorde indicator comes into play.
This indicator is made up of 6 indicators. 4 trend and 2 volume. The 2 for volume are the IVP (positive volume index) and the IVN (negative volume index). These two indicators are the interesting ones since they are programmed to proportionally attribute the volume traded between the strong hands (sharks) and the weak hands (minnows). To explain how the IVP and IVN work I will write a post since it is very interesting, but for this post, stay with what they do. Koncorde uses volume, therefore it cannot be used in Forex.
As for which temporality to use, the bigger the better, since at the end of the day what we are doing is data analysis and therefore the more data the better. I personally use it in daily candles.
And all this, how is it represented in the indicator? Its graphic representation consists of three overlapping layers and a red line.
Signal: Average represented with a red line Mountain: It is the brown layer that indicates the price trend Prado: It is the green layer that attributes the purchases or sales of the weak hands (the minnows) Water: It is the blue layer that attributes the purchases or sales of strong hands (sharks) When strong hands are below zero they are said to be selling while when they are above zero they are said to be buying. The same goes for weak hands. Generally, if strong hands are buying or selling, the price is lateralized (the Atlas indicator is very useful for this). The price movement is associated with the buying and selling that makes the hand weak.
Koncorde indicator at a glance shows us a lot of information
Meaning of each zone:
Blue area: strong hand. If it is positive it indicates accumulation and if it is negative distribution. Green area: weak hand. If it is positive it indicates a purchase and if it is negative it indicates a sale. Brown area: Indicates the trend and depends on the previous strong and weak hand values. Red line: It is an exponential average that smoothes the trend indicated by the brown area.
Simple operating example:
Buy: When the mountain rises above the red line. Sell: When Mountain goes below the red line.
This would be for long. To enter shorts would be the other way around.
We added an Hunt whale pattern This pattern is my idea and it could be said that it is a variant of the mirror pattern but, in my opinion, somewhat more powerful. The Pattern is the same… strong buying hands versus weak selling hands. The difference is in the Signal Line. If when the mirror occurs, the signal line crosses (or as I say, "harpoons") the blue area, it produces a very profitable bullish entry signal. Here is an example of the False Mirror Pattern and then a Sperm Whale Pattern.
Good day sir. PPsignal. Very grateful for improving the presentation of this indicator. I would like to ask the favor if it is possible to modify the presentation of the moving average that shows the main trend, so that depending on the degree of inclination it will change color from red to green or vice versa. Thanks for your time.
Steelpencil
⋅
Godd work but there is a lot of confusion with the colors. The red for example,who is relatet to?
MasBart
⋅
Thanks @PpSignal01 , very nice, thanks. The white text doesn't work well with white background though.
Hi, Thanks for good script. i'm trying to confiugre alerts, its not wroking for BIG FISH BUY and BIG FISH SELL signals are not working. Could you please help on this issue. it will be greatfull.
Chandana22
⋅
@Chandana22, Hi Sir, Could you please helps us how to configure BIG FISH BUY and BIG FISH SELL alerts.
prymix957
⋅
Dear sir Great result I want learning vedio about this indicator Pl send link Thanks
Wym1ng
⋅
thank you sir.but the buy&sell singal is white color,could we change it？