[blackcat] L2 Auto MTF Pivot Forecast Level 2
Background
A algo for pivot points forecast for each bar of automatic multiple timeframe (MTF) data.
Function
In financial markets, a pivot point is a price level that is used by traders as an indicator of market movement. Pivot points are averaged from important prices (highest, lowest, closing) based on the market performance of the previous time period. There are many ways to calculate the pivot point. The pivot point is calculated using the highest price (H), the lowest price (L) and the closing price (C) of the previous time period, and sometimes the opening price of the current time period Valence (O) was added to it.
S1 yellow
S2 white
R1 Orange
R2 fuchsia
The smoothing parameter default to 55
The pivot point indicator can be used in two ways. First, the pivot point can be used as a price trend confirmation. It is generally believed that if the price is above the pivot point in the latter period of time, the market is considered to be in a bull market sentiment, otherwise it is considered to be in a bear market sentiment. Second, support and resistance levels are mainly used as exit positions. For example, R1 and R2 can be used as trade targets if the market price breaks above a pivot point. If the market effectively breaks R1 and R2, traders may consider adding to their long positions.
Remarks
Feedbacks are appreciated.
Blackcat1402
[blackcat] L2 Low TF Pivot Forecast Level 2
Background
A algo for pivot points forecast for each bar and its low tf data.
Function
In financial markets, a pivot point is a price level that is used by traders as an indicator of market movement. Pivot points are averaged from important prices (highest, lowest, closing) based on the market performance of the previous time period. There are many ways to calculate the pivot point. The pivot point is calculated using the highest price (H), the lowest price (L) and the closing price (C) of the previous time period, and sometimes the opening price of the current time period Valence (O) was added to it.
S1 yellow
S2 white
R1 Orange
R2 fuchsia
The smoothing parameter default to 55
The pivot point indicator can be used in two ways. First, the pivot point can be used as a price trend confirmation. It is generally believed that if the price is above the pivot point in the latter period of time, the market is considered to be in a bull market sentiment, otherwise it is considered to be in a bear market sentiment. Second, support and resistance levels are mainly used as exit positions. For example, R1 and R2 can be used as trade targets if the market price breaks above a pivot point. If the market effectively breaks R1 and R2, traders may consider adding to their long positions.
Remarks
Feedbacks are appreciated.
[blackcat] L2 Handicap Volume for StocksLevel 2
Background
Handicap volume is a way to understand market logic.
Function
I have studied many classic trading textbooks about volume. Most textbooks tell me that the most authentic indicator in the world is the trading volume, because other things can be faked, but the trading volume is real, and the real money is there, so it cannot be faked! But now, almost everyone knows that if you place an order there, and then eat it yourself, and the volume comes out, it does not reflect the real long-short will of the market.
So why is volume still considered the most important technical indicator by many successful traders in the stock market? Here is to distinguish from the duration and intensity of the trading volume, the actions of the main whales. It's like in the sea, small fish and shrimp can only create ripples, while whales can set off huge waves. When you need to fish, you must go to the sea with both ripples and huge waves. If the volume of a stock or a currency can fluctuate evenly or pulse ECG, the price will move unnaturally, and it will also be small fluctuations or ECG. This corresponds to a group of small fish and shrimp retail investors gathering, or stocks or altcoins with high control of whales, these two cannot participate. Otherwise, either your money will be wasted there, or you will be taken over by the unscrupulous project party with high control area.
This technical indicator is the handicap trading volume and turnover rate indicators. You can see clearly the type of funds operating on this target in a suitable time period, and thus determine whether this target is in line with your trading style and whether you want to participate Among them and so on.
My technical indicator is mainly to clearly see whether there are main whales participating in the stock by distinguishing the trading volume and the enlarged turnover rate. Its main purpose is to judge the character of the stock, that is, the nature of the stock. And in the yellow and purple positions with high turnover rates, it prompts the behavior of the main whales. This is just a reminder. As for whether the main whale will attack or retreat, you need to conduct an in-depth analysis based on market logic. This analysis data has gone beyond the scope of ordinary candle chart analysis, and requires additional dimensions of information to assist judgment.
Remarks
Feedbacks are appreciated.
[blackcat] L3 YACD38Level 3
Background
"3/8 moving average" golden cross enters, and dead cross exits.
Function
This set of methods is an improved moving average usage - "38 moving average usage", we need to use three moving averages:
3-day, 8-day and 21-day moving averages.
Why is it the 3-day, 8-day, and 21-day moving averages? Most of my friends may not be clear. 3, 8, and 21 are all Fibonacci numbers, also known as the golden section numbers. The Fibonacci number is a basic pattern of nature, which exists in all things. If you don’t understand it, you can go to a certain degree to understand it. In short, it is a very magical existence.
Keep in mind the principle of only doing uptrends and not downtrends. Then we have to use our 21-day moving average skillfully. The 21-day moving average happens to be the average price line for one month. We take it as the decision-making line. When the decision-making line goes down or goes flat, we mainly wait and see; , the operation success rate is higher!
Let's directly share the technical points of "38 moving average usage":
1. Entry point: the 3-day line crosses the 8-day line to form a golden cross, or both the 3-day and 8-day line cross the 21-day moving average; the position of the golden cross must be above the 21-day moving average, and it is invalid if it is below;
2. Basis for holding shares: After entering the market, the moving averages are arranged in a long position, and the K-line rises along the 3-day and 8-day moving averages, hold it patiently, and sell for whatever reason you buy!
3. Exit point: When the 3-day moving average crosses the 8-day moving average to form a dead cross, or the 3-day and 8-day moving averages break below the 21-day moving average, then decisively leave the market;
Note: "38 moving average usage" only needs to refer to the moving average, and the other most reference quantities can be changed. As long as the above conditions are met, you can boldly intervene, and after the intervention, you will rise to the top! Don't underestimate the usage of this set of moving averages, carefully comprehend and memorize them by heart, and be able to achieve the unity of knowledge and action, and you will be able to stand up and be the master from now on!
Remarks
Feedbacks are appreciated.
[blackcat] L3 Bull ChannelLevel 3
Background
This is a bullish channel with spikes for long entries. Optimized for 4H time frame.
Function
This indicator places a fast and smooth lines into a channel for 4H time frame. The channel can work as overbought and oversould threshold for judgement. Also, the fast and smooth (green , red lines) will cross together and you can judge short term momentum with their cross status as golden cross or dead cross status.
For the color definitions:
Output upper_rail = 21-day moving average of the highest price*1.05, draw upper_rail
Output lower_rail = 21-day moving average of the lowest price*0.95, painted yellow
Output smooth_trend = 5-day moving average of the lowest price, painted red
Output fast_trend = 2-day moving average of the closing price, painted green
Output swing_long = If fast_trend wears smooth_trend, return upper_rail*1.05, otherwise return smooth_trend, draw red
Output leader_long = If fast_trend wears upper_rail, return upper_rail*1.10, otherwise return lower_rail, draw orange
Remarks
Feedbacks are appreciated.
[blackcat] L1 N-Shape AttackLevel 1
Background
At the beginning of the stock price rise, the stock form is a buying point in the "N" shape.
Function
This form is the same as the "N" shape. What is pursued is the strength of the skyrocketing rise after the sharp rise and fall. The adjustment time in the middle of the N shape must not exceed 3-4 days! If it is an aggressive Changyang, the total adjustment cycle must not exceed 5 days. A simple summary is: skyrocketing + quick callback + skyrocketing again! There has been a solid sun candle in the early stage, and a real sun candle appeared again after a few days of adjustment.
Key points of the N-shaped attack pattern:
1. The shorter the adjustment time, the better, indicating that individual stocks are already quite strong, and the rush to raise funds is quite obvious. It is best to only adjust for 1 day. The most extreme is a big rise and then a big fall and then a big rise. This is the most ideal. Adjust on 2 days and then follow. It is best to adjust the number of days below 5 days. The longer the adjustment time, the less obvious the effect.
2. The smaller the adjustment range, the better, and it is better if the lowest point during the adjustment period does not fall below the lowest point of the previous big rising candle.
3. It is more ideal if the closing price of the latter surge is higher than the highest price of the previous surge, and it is even more ideal if it exceeds the height of the adjustment period.
4. When selecting stocks, try to select stocks whose 20-day and 60-day moving averages have started to rise, preferably in a long-term arrangement.
Market logic of N-shaped attack:
The main force took advantage of the opportunity to pull out the first big positive candle in the early stage, and then took advantage of the profit taking or the index pullback, and there was a rapid 1-3 day downward kill, just returning to the initial position of the previous big positive candle, and then increased the volume again Rising to new highs.
Remarks
The long signal frequency is low.
Feedbacks are appreciated.
[blackcat] L2 Bull-Bear MomentumLevel 2
Background
Momentum effect is generally called "inertia effect". Momentum effect was proposed by Jegadeesh and Titman (1993), which refers to the tendency of the return rate of the stock to continue the original direction of movement, that is, the return rate of the stock with a higher return rate in the past period will still be higher than the return rate in the past low-yielding stocks.
Function
The Bullish and Bearish Momentum Technical Indicator is a strategy for buying and selling by analyzing the strength and weakness of recent price trends. Traders seek to take advantage of the rising or falling trend of stock prices. When this technical indicator indicates that the stock is entering a strong upward trend, the trader will buy the stock; Will choose to short the stock.
In short, momentum trading is trading with the trend. Momentum trading is based on the idea that if there is enough momentum behind the current price action, it will continue to move in the same direction. When an asset reaches a higher price, it usually attracts more investor attention, driving up the market price. The price rise continues until sellers start to enter the market consistently, and once sellers slowly outpace buyers, momentum weakens and the trend may reverse.
I have not marked special tags for this indicator usage. Users are expected to define according to their own understanding. On the whole, the basic usage is to start long positions when the first green column appears; when the first red column appears, close long positions or open short positions.
Remarks
Feedbacks are appreciated.
[blackcat] L2 Dragon CloudLevel 2
Background
In addition to characterizing the trend through the special parameter SAR, this dragon cloud indicator also indicates that it is currently in the corresponding stage of the bull and bear market through the cloud layer of the large parameter.
Function
The SAR indicator characterizes short-term trend changes and provides swing buying and selling points. Red crosses and candles represent declines and their strength; green crosses and candles represent rises and their strength. At the same time, this technical indicator can judge which stage the market is currently in through the thickness of the bear cloud and the thickness of the bull cloud. When the blue cloud layer on the main picture is relatively thick, it means that it is in a deep bear market; as the blue cloud becomes thinner, and the red cloud is edited, it means that the bull-bear power game is in the process of transformation. The red cloud indicates the strength of doing more, and when its thickness is greater than the blue cloud, it means that the bull market is coming!
Remarks
Feedbacks are appreciated.
[blackcat] L1 Simple Buy BackLevel 1
Background
This indicator models the situation before banker fund or whales lurking, buying chips, and about to pull up. This is the simplest version of blackcat L1 Buy Back indicator with only single line of core code.
Function
When is the time to buy, even if you know that whales are accumulating, but how long it needs to be lurking, and when it will rise is unknown. This indicator has been conditionally modeled through statistical high probability events, and the main judgment is that it is the key to step back before rising The bit, once the signal appears, will be pulled up.
Remarks
Feedbacks are appreciated.
[blackcat] L1 Beauty ShoulderLevel 1
Background
A classic candle pattern : beauty shoulder.
Function
Beauty shoulder, as the name suggests, is that the trend of the candle chart is like a beauty shoulder. The most important feature of the beauty shoulder pattern is that after it reaches the shoulder, it does not wash the market through the downward trend of the stock price, but only by slowing down the rising speed to achieve washing out float chips.Therefore, the shape of the beauty shoulder is not rising from beginning to end, but the acceleration of the rise has changed.
Morphological characteristics:
1. Beauty shoulder is a candlestick pattern. It is usually the trace left by the main force opening up positions. This pattern is encountered by dozens every year, and you will always find it if you look for it carefully.
2. The technical characteristics of the beauty shoulder, the 5-day moving average and the 10-day moving average must continue to form a golden fork.
3. The trend in the first half of the candle chart must present an arch, and only in this way can it be called a beauty shoulder.
4. The candle chart must be above the 60-day moving average. It is best to hang it in the air, or a stronger shoulder of the beauty. The candle chart is above the 30-day moving average, so the magnitude of the pull up will become larger.
5. The bottom of the shoulder of the beauty is the part of the consolidation, and the volume must be increased, because the shoulder of the beauty is the result of the main force building a strong position in a short time, so the volume must be increased.
6. The rise of the shoulders of the beauty is very scary, and the increase is usually more than 30%.
Remarks
Feedbacks are appreciated.
[blackcat] L1 Old Duck HeadLevel 1
Background
The old duck head is a classic form formed by a series of behaviors such as bankers opening positions, washing dishes, and pulling over the top of the duck head.
Function
A form of stock candles:
(1) Moving averages using 5, 10 and 60 parameters. When the 5-day and 10-day moving averages crossed the 60-day moving average, a duck neck was formed.
(2) The high point when the stock price fell back formed a duck head.
(3) When the stock price fell back soon, the 5-day and 10-day moving averages again turned up to form a duckbill.
(4) Duck nose refers to the hole formed when the 5-day moving average crosses the 10-day moving average and the two lines cross again.
Market significance:
(1) When the dealer starts to collect chips, the stock price rises slowly, and the 5-day and 10-day moving averages cross the 60-day moving average, forming a duck neck.
(2) When the stock price of the banker shakes the position and starts to pull back, the high point of the stock price forms the top of the duck's head.
(3) When the dealer builds a position again to collect chips, the stock price rises again, forming a duck bill.
Operation method:
(1) Buy when the 5-day and 10-day moving averages cross the 60-day moving average and form a duck neck.
(2) Buy on dips near the sesame point of trading volume near the duckbill.
(3) Intervene when the stock price crosses the top of the duck's head in heavy volume.
The top of the duck’s head should be a little far away from the 60-day moving average, otherwise it means that the dealer is not willing to open a position at this old duck’s head, and the bottom of the old duck’s head must be heavy. Small is better, nothing is the strongest! There must be a lot of sesame dots under the nostrils of the duck, otherwise it means that the dealer has poor control. There must be ventilation under the duck bill, the higher the ventilation, the better!
Remarks
Feedbacks are appreciated.
[blackcat] L3 KAMA Trend Trading SystemLevel: 3
Background
Kaufman’s Adaptive Moving Average ( KAMA ) was developed by American quantitative financial theorist Perry J. Kaufman in 1998.
Function
This is an improved KAMA trading system with my customized algorithm.You can use KAMA like any other trend-following indicator, such as a moving average. You can look for price crosses, directional changes and filtered signals. First, a cross above or below KAMA indicates directional changes in prices. As with any moving average, a simple crossover system will generate lots of signals and lots of whipsaws. Second, You can use the direction of KAMA to define the overall trend for a security. This may require a parameter adjustment to smooth the indicator further. You can change the fastline and slowline parameters to smooth KAMA and look for directional changes. The trend is down as long as KAMA is falling and forging lower lows. The trend is up as long as KAMA is rising and forging higher highs. Finally, You can combine signals and techniques. You can use a longer-term KAMA to define the bigger trend and a shorter-term KAMA for trading signals.
I have included in the indicator an input named "EnableSmooth" that allows you to determine if the KAMA line should be smoothed or not. A "True" as the input value smoothes the calculation. An "False" simply plots the raw KAMA line. When market volatility is low, Kaufman’s Adaptive Moving Average remains near the current market price, but when volatility increases, it will lag behind. What the KAMA indicator aims to do is filter out “market noise” – insignificant, temporary surges in price action. One of the primary weaknesses of traditional moving averages is that when used for trading signals, they tend to generate many false signals. The KAMA indicator seeks to lessen this tendency – generate fewer false signals – by not responding to short-term, insignificant price movements. Traders generally use the moving average indicator to identify market trends and reversals.
Remarks
Feedbacks are appreciated.
[blackcat] L1 Buy After RetracementLevel 1
Background
A summary of Buy After Retracement Entry Points.
Function
The "retraction to the moving average buying method", as the name suggests, is a buying reference for short-term adjustment and retracement to the key moving average after a single stock rises. For example, after the index has undergone a sharp correction, many strong stock varieties have retreated or are about to retreat to the key moving average position, and the buying point generated at this time is the "retraction to moving average buying method". Because candlesticks and moving averages have different styles, I summarize what I think of through this script.
Remarks
Feedbacks are appreciated.
[blackcat] L1 Buy BackLevel 1
Background
This indicator models the situation before big money or whales lurking, buying chips, and about to pull up.
Function
When is the time to buy, even if you know that whales are accumulating, but how long it needs to be lurking, and when it will rise is unknown. This indicator has been conditionally modeled through statistical high probability events, and the main judgment is that it is the key to step back before rising The bit, once the signal appears, will be pulled up.
This includes: using a moving average of custom parameters (the parameters of this key moving average need to be found through backtesting for different markets and trading varieties) as the basis for the main characterization of large-capacity trading behavior. Then build a model through the volume-price relationship:
1. There is a feature that the lowest price is lower than the moving average after the downward pressure of large funds.
2. The closing price must effectively stand above the moving average.
3. The ratio of closing prices for two consecutive days is less than the moving average value.
4. The moving average is just above the heavy volume, and the volume ratio meets certain requirements, indicating that it is a feature of heavy volume. (Amplified volume is an important manifestation of banker fund action)
Remarks
Feedbacks are appreciated.
[blackcat] L3 Gann B-XtrenderLevel 3
Background
The Gann Slope indicator has been welcomed by the community since its release, and many people are trying to integrate it into their trading systems. One of these is the need to integrate Gann Slope into QuantTherapy's B-Xtrender @Puppytherapy.
Function
You can find QuantTherapy's script above , he recreated a trend following indicator published in IFTA Journal by Bharat Jhunjhunwala. It is mainly to be traded on big timeframes.
As requested, i replaced the oscillator part with my Gann slope oscillator. However, I found the setting for input parameters for B-Xtrender is rather complex, you need to take great care to tuning them for specific time frame and trading pairs. Pls don't be lazy to apply this indicator to your chart and expect good results. You have to try and find proper values of them to obtain acceptable results.
Remarks
Feedbacks are appreciated.
[blackcat] L3 Gann SlopeLevel 3
Background
William Gann (Wilian D. Gann) is one of the most famous investors in the twentieth century. His outstanding achievements in the stock and futures markets are unparalleled. The theory he created that perfectly combines time and price has been It is still talked about and highly praised by the investment community.
Function
The slope is the degree of the angle line relative to the time axis (X axis). Volatility is the ratio of unit amplitude to unit time. At the heart of Gann angles is the determination of volatility. Gann angle is the movement of price defined by time unit and price unit. Each angle is determined by the relationship between time and price. In the rising angle, the angle with the larger slope means that the stock price is rising stronger and falling. In a trend line, the larger the slope, the stronger the downtrend.
This technical indicator speaks of the Gann slope expressed as an oscillator. Its value varies from 0 to 100. The positive slope means rising, and the negative slope means falling. For rising and falling, the strength of rising and falling is distinguished by the thickness and color of the oscillating line:
1. The thin white line represents the basic oscillator curve and has no special meaning.
2. Light red indicates that an uptrend is established, and dark red indicates a very strong uptrend.
3. Light green indicates an established downtrend, dark green indicates a very strong downtrend.
Remarks
Feedbacks are appreciated.
[blackcat] L3 Stock VWAP Slope in DegreesLevel 3
Background
Smooth VWAP based on stock turnover and calculate the slope of the smoothed VWAP
Function
This is a technical indicator for stocks only. Because of the use of TradingView's financial functions, the scope of use is limited to stocks. It will give an error when you use it for other trading pairs. According to if the VWAP is smoothed according to the stock turnover rate, and the angle of the VWAP is calculated to judge the trend. The specific method of use is: the fast line crosses the slow line at a large angle, which can be regarded as a buy intervention point, and the fast line crosses the slow line in a small amount and then steps back on the slow line, which can also be regarded as a buy intervention point. The slow line is the 3-period moving average of the fast line.
Remarks
Feedbacks are appreciated.
[blackcat] L1 Slope OscillatorLevel 1
Background
This technical indicator can judge the upside potential of individual stocks based on the slope
Function
This technical indicator determines whether the trend continues or reverses by defining a fast slope and a slow slope. If it shows a golden cross to buy at a low level, a dead cross to sell. It can be combined with other types of fast technical indicators to determine the resonance of buying and selling points. The premise of buying stocks is that this indicator has a golden cross and the individual stocks are trending upwards.
Remarks
Feedbacks are appreciated.
[blackcat] L3 Candle Skew 3821 TraderLevel 3
Background
By modeling skew to produce long and short entry points.
Function
The concept of skew comes from physics and statistics, and is used in market technical analysis to reflect the expectation of future stock price distribution. Because the return distribution of stocks in the trend market has skew (Skew), it is reasonable to judge the trend continuity according to the historical and current skew. It is precisely because the stock price rises that there is a skew. The greater the strength of the rise, the greater the angle of inclination and the greater the skew. The degree of this upward or downward slope in the statistical distribution of stock prices is defined as skew. Through the size of skew, we can know the direction, inertia and extent of the stock's rise or fall, and find stocks with a high probability of quick profit. The technical indicator introduced today is a simplified but effective stock price skew model used to generate buying and selling points.
The principle of this technical indicator is based on the success rate test results of different moving averages corresponding to different skews as follows:
10 trading cycles profit 5% success rate (%)
5 period moving average 10 period moving average 20 period moving average 30 period moving average 60 period moving average
skew>=0 51.36 52.26 52.65 52.55 52.08
skew>=0.5 55.44 58.06 60.56 62.37 65.66
skew>=1 59.72 63.06 67.07 69.78 70.62
skew>=1.5 63.01 67.08 71.61 72.9 70.61
skew>=2 65.53 70.22 74.18 73.76 70.12
skew>=2.5 67.89 72.93 75.32 73.66 68.92
skew>=3 70.07 75.32 75.69 72.54 67.45
skew>=3.5 71.85 77.05 75.32 73.63 63.82
skew>=4 73.6 78.06 74.19 68.96 59.91
skew>=4.5 76.04 78.56 72.85 69.55 49.24
skew>=5 77.44 78.88 71.58 67.28 51.69
skew>=5.5 78.97 78.39 70.33 64.31 49.7
skew>=6 79.68 78.07 68.82 61.65 53.57
Table 1
As can be seen from the above table, with the increase of the 5-period and 10-period moving average skew values, the success rate is increasing, but after the 20- and 30-period moving average skew values increase to an upper bound, it shows a downward trend. When the skew of the 20-period and 30-period moving averages is greater than 0.5, the 10-period profit of 5% is above 60%, and when it is greater than 1.5, the success rate can reach above 70%. The larger the 5-period moving average skew, the higher the success rate, but often because the short-term skew is too large, the stock price has risen rapidly to a high level, and chasing up is risky, which is not suitable for the investment habits of most people, so prudent investors may like to do swings. Investors may wish to pay more attention to the skew of the 20-period and 30-period moving averages. Based on the above analysis, as a short-term trading enthusiast, I need to choose the 5-period and 10-period moving average skew, and consider the medium-term trend as a compromise, and I also need to consider the 20-period moving average skew. Finally, according to the principle of personal preference, I chose 3 groups of periods based on Fibonacci magic numbers: 3 periods, 8 periods, 21 periods, and skews that take into account both short-term and mid-line trends. So, I named this indicator number 3821 as a distinction.
002084 1D from TradingView
BTCUSDT 1H from TradingView
Tesla 1D from TradingView
[blackcat] L3 Gradient Swings of Bull and BearLevel 3
Background
Some friends in the TradingView community say that my technical indicators are too complicated to write. Is there anything that is easy to use? This time I will publish a simple indicator to use.
Function
This indicator uses a custom stochastic indicator as its initial value. Calculate the difference between the short-term and long-term EMA moving averages twice. Find the geometric mean of the above values and calculate the variance value. According to this algorithm, two sets of variance values are calculated respectively, one is the fast line and the other is the slow line. Finally, the 22-period EMA of the fast and slow lines is used as the final output value. This output can effectively reflect the band characteristics of the price.
Because this output is relatively smooth, it can effectively filter out clutter noise, so you can clearly see the shape of the entire band. Go long during an uptrend and go short on the contrary. I use red and green gradients for longs and shorts respectively. The entry points are identified by red and green labels at the start of the band. In addition, the filtered peaks and troughs are also the basis for technical divergence judgments, so I added divergence identification lines.
The disadvantage of this indicator is that it is prone to many interference signals in the sideway stage. In order to filter out these signals and extract only useful trend signals, the user can enter a threshold in the settings dialog and select an appropriate display threshold in combination with the amplification factor. This way the part between 0 and the threshold will be grayed out. The gray area is the sideway, where the signal can be ignored.
Remarks
Feedbacks are appreciated.
[blackcat] L3 God Hunter ScalpingLevel 3
Background
An ultra-short scaler that I integrate with multiple custom function implementations. Because of its responsiveness it is suitable for small cycle applications.
Function
The first technical indicator to integrate is the stoch. By combining the stoch indicators of long and short periods, I can not only ensure its high-speed reaction speed, but also be compatible with stability.
The second is the improved KDJ indicator to further strengthen buying and selling conditions. Because the final trend output is relatively fast, I used a variety of long-short conditions to improve adaptability. and minimize noise. It is well known that price fluctuations in small cycles are more random.
The third feature is the classification of buying and selling points, not only through the reversal of the trend curve, but also several other buying and selling point conditions, oversold and overbought signals, signal divergence techniques, etc.
Finally, through the nested RSI, the momentum trend strength of the trend signal is represented by a gradient color to assist in judging whether the reversal point is approaching.
Remarks
For differnent instruments and time frames, overbought and oversold threshold should be adjusted accordingly, or it may not work well.
Feedbacks are appreciated.
[blackcat] L3 Swing Whale CatcherLevel 3
Background
Whale catcher is a resonance indicator combining both customized MACD and customized KDJ. It use two resonance bands to identify oppotunities of middle-short term.
Function
When we use MACD and KDJ alone, in the trend market, the prices are arranged in the order of the moving average, and the operation is simple and the profit space is large. The MACD and KDJ diverge from reality and can be a good catch of trend reversal tops and bottoms. The disadvantage of this system is also very serious. In the volatile market, the moving average fails, and the false divergence of MACD and KDJ has become a contrarian operation. Everyone should know the degree of danger of contrarian operations in a unilateral market.
Therefore, this indicator can confirm each other by improving the performance of the separate MACD and KDJ and combining the two in one main chart. When the two resonate, a more reliable signal can be prompted.
In order to adapt to different time periods, I designed a look-up table (LUT) that automatically assigns parameters according to the icon period. It can make this indicator more stable over different time periods.
The green and purple ribbons are the trend lines of the customized version of MACD, and the red and blue ribbons are the trend lines of the customized version of KDJ. In most cases, the two trends are different, but obviously KDJ is more sensitive than MACD and is suitable for judging entry and exit points. MACD is more likely to see large-scale trends. When the two are combined, the judgment can be strengthened. For example, use the logical AND operation to combine the two.
Finally, except for the two fast and slow line combinations of MACD and KDJ. I also plot the difference column of the two. Because the performance of the two sub-levels represented by the difference bar is more conducive to obtaining the information of the trend reversal in advance. The dark green above zero and the dark red below zero are the differential columns of KDJ. Four-color difference offline is the difference column of MACD. In this way, it is not easy to be confused by the graphic expression, I hope you like it.
Remarks
Feedbacks are appreciated.
[blackcat] L3 RMI Trading StrategyLevel 3
Background
My view of correct usage of RSI and the relationship between RMI and RSI. A proposed RMI indicator with features is introduced
Descriptions
The Relative Strength Index (RSI) is a technical indicator that many people use. Its focus indicates the strength or weakness of a stock. In the traditional usage of this point, when the RSI is above 50, it is strong, otherwise it is weak. Above 80 is overbought, below 20 is oversold. This is what the textbook says. However, if you follow the principles in this textbook and enter the actual trading, you would lose a lot and win a little! What is the reason for this? When the RSI is greater than 50, that is, a stock enters the strong zone. At this time, the emotions of market may just be brewing, and as a result, you run away and watch others win profit. On the contrary, when RSI<20, that is, a stock enters the weak zone, you buy it. At this time, the effect of losing money is spreading. You just took over the chips that were dumped by the whales. Later, you thought that you had bought at the bottom, but found that you were in half mountainside. According to this cycle, there is a high probability that a phenomenon will occur: if you sell, price will rise, and if you buy, price will fall, who have similar experiences should quickly recall whether their RSI is used in this way. Technical indicators are weapons. It can be either a tool of bull or a sharp blade of bear. Don't learn from dogma and give it away. Trading is a game of people. There is an old saying called “people’s hearts are unpredictable”. Do you really think that there is a tool that can detect the true intentions of people’s hearts 100% of the time?
For the above problems, I suggest that improvements can be made in two aspects (in other words, once the strategy is widely spread, it is only a matter of time before it fails. The market is an adaptive and complex system, as long as it can be fully utilized under the conditions that can be used, it is not easy to use. throw or evolve):
1. RSI usage is the opposite. When a stock has undergone a deep adjustment from a high level, and the RSI has fallen from a high of more than 80 to below 50, it has turned from strong to weak, and cannot be bought in the short term. But when the RSI first moved from a low to a high of 80, it just proved that the stock was in a strong zone. There are funds in the activity, put into the stock pool.
Just wait for RSI to intervene in time when it shrinks and pulls back (before it rises when the main force washes the market). It is emphasized here that the use of RSI should be combined with trading volume, rising volume, and falling volume are all healthy performances. A callback that does not break an important moving average is a confirmed buying point or a second step back on an important moving average is a more certain buying point.
2. The RSI is changed to a more stable and adjustable RMI (Relative Momentum Indicator), which is characterized by an additional momentum parameter, which can not only be very close to the RSI performance, but also adjust the momentum parameter m when the market environment changes to ensure more A good fit for a changing market.
The Relative Momentum Index (RMI) was developed by Roger Altman and described its principles in his article in the February 1993 issue of the journal Technical Analysis of Stocks and Commodities. He developed RMI based on the RSI principle. For example, RSI is calculated from the close to yesterday's close in a period of time compared to the ups and downs, while the RMI is compared from the close to the close of m days ago. Therefore, in principle, when m=1, RSI should be equal to RMI. But it is precisely because of the addition of this m parameter that the RMI result may be smoother than the RSI.
Not much more to say, the below picture: when m=1, RMI and RSI overlap, and the result is the same.
The Shanghai 50 Index is from TradingView (m=1)
The Shanghai 50 Index is from TradingView (m=3)
The Shanghai 50 Index is from TradingView (m=5)
For this indicator function, I also make a brief introduction:
1. 50 is the strength line (white), do not operate offline, pay attention online. 80 is the warning line (yellow), indicating that the stock has entered a strong area; 90 is the lightening line (orange), once it is greater than 90 and a sell K-line pattern appears, the position will be lightened; the 95 clearing line (red) means that selling is at a climax. This is seen from the daily and weekly cycles, and small cycles may not be suitable.
2. The purple band indicates that the momentum is sufficient to hold a position, and the green band indicates that the momentum is insufficient and the position is short.
3. Divide the RMI into 7, 14, and 21 cycles. When the golden fork appears in the two resonances, a golden fork will appear to prompt you to buy, and when the two periods of resonance have a dead fork, a purple fork will appear to prompt you to sell.
4. Add top-bottom divergence judgment algorithm. Top_Div red label indicates top divergence; Bot_Div green label indicates bottom divergence. These signals are only for auxiliary judgment and are not 100% accurate.
5. This indicator needs to be combined with VOL energy, K-line shape and moving average for comprehensive judgment. It is still in its infancy, and open source is published in the TradingView community. A more complete advanced version is also considered for subsequent release (because the K-line pattern recognition algorithm is still being perfected).
Remarks
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