CandelaCharts - Swing Failure Pattern (SFP) 📝 Overview
The Swing Failure Pattern (SFP) indicator is designed to identify and highlight Swing Failure Patterns on a user’s chart. This pattern typically emerges when significant market participants generate liquidity by driving price action to key levels. An SFP occurs when the price temporarily breaks above a resistance level or below a support level, only to quickly reverse and return within the previous range. These movements are often associated with stop-loss hunting or liquidity grabs, providing traders with potential opportunities to anticipate reversals or key market turning points.
A Bullish SFP occurs when the price dips below a key support level, triggering stop-loss orders, but then swiftly reverses upward, signaling a potential upward trend or reversal.
A Bearish SFP happens when the price spikes above a key resistance level, triggering stop-losses of short positions, but then quickly reverses downward, indicating a potential bearish trend or reversal.
The indicator is a powerful tool for traders, helping to identify liquidity grabs and potential reversal points in real-time. By marking bullish and bearish Swing Failure Patterns on the chart, it provides clear visual cues for spotting market traps set by major players, enabling more informed trading decisions and improved risk management.
📦 Features
Bullish/Bearish SFPs
Styling
⚙️ Settings
Length: Determines the detection length of each SFP
Bullish SFP: Displays the bullish SFPs
Bearish SFP: Displays the bearish SFPs
Label: Controls the labels size
⚡️ Showcase
Bullish
Bearish
Both
📒 Usage
The best approach is to combine a few complementary indicators to gain a clearer market perspective. This doesn’t mean relying on the Golden Cross, RSI divergences, SFPs, and funding rates simultaneously, but rather focusing on one or two that align well in a given scenario.
The example above demonstrates the confluence of a Bearish Swing Failure Pattern (SFP) with an RSI divergence. This combination strengthens the signal, as the Bearish SFP indicates a potential reversal after a liquidity grab, while the RSI divergence confirms weakening momentum at the key level. Together, these indicators provide a more robust setup for identifying potential market reversals with greater confidence.
🚨 Alerts
This script provides alert options for all signals.
Bearish Signal
A bearish signal is triggered when a Bearish SFP is formed.
Bullish Signal
A bullish signal is triggered when a Bullish SFP is formed.
⚠️ Disclaimer
Trading involves significant risk, and many participants may incur losses. The content on this site is not intended as financial advice and should not be interpreted as such. Decisions to buy, sell, hold, or trade securities, commodities, or other financial instruments carry inherent risks and are best made with guidance from qualified financial professionals. Past performance is not indicative of future results.
Patterns
Max/Min LevelsHighlights highs and lows that match the search criteria. A high is considered to be broken if the candlestick breaks through its shadow
A three-candlestick pattern will match the parameters:
Candle before - 1
Candle after - 1
A five-candlestick pattern will match the parameters:
Candle before - 2
Candle after - 2
Advanced Pattern Detector**Script Overview**
**Indicator Name:** Advanced Pattern Detector
**Pine Script Version:** v5
**Indicator Type:** Overlaid on the chart (overlay=true)
**Main Features:**
- Detection and visualization of various technical patterns.
- Generation of BUY and SELL signals based on detected patterns.
- Display of Fibonacci levels to identify potential support and resistance levels.
- Ability to enable or disable each pattern through the indicator settings.
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**Indicator Settings**
**Switches to Enable/Disable Patterns**
At the top of the indicator, there are parameters that allow the user to select which patterns will be displayed on the chart:
- Three Drives
- Rounding Top
- Rounding Bottom
- ZigZag Pattern
- Inverse Head and Shoulders
- Fibonacci Retracement
**Parameters for ZigZag**
Settings are also available for the ZigZag pattern, such as the depth of peak and trough detection, allowing the user to adjust the indicator's sensitivity to price changes.
---
**Pattern Detection**
Each pattern is implemented with its own logic, which checks specific conditions on the current bar (candle). Below are the main patterns:
1. **Three Drives**
- **Description:** This pattern consists of three consecutive price movements in one direction (up or down). It can signal the continuation of the current trend or its reversal.
- **How It Works:**
- **Upward Drive:** The indicator checks that the closing price of each subsequent candle is higher than the previous one for three bars.
- **Downward Drive:** The indicator checks that the closing price of each subsequent candle is lower than the previous one for three bars.
2. **Rounding Top**
- **Description:** A pattern representing a smooth decrease in maximum prices over several bars, which may indicate a potential downward trend reversal.
- **How It Works:**
- The indicator checks that the maximum prices of the last five bars are gradually decreasing, and the current bar shows a decrease in the maximum price.
3. **Rounding Bottom**
- **Description:** A pattern characterized by a smooth increase in minimum prices over several bars, signaling a possible upward trend reversal.
- **How It Works:**
- The indicator checks that the minimum prices of the last five bars are gradually increasing, and the current bar shows an increase in the minimum price.
4. **ZigZag Pattern**
- **Description:** Used to identify corrective movements on the chart. The pattern shows peak and trough points connected by lines, helping to visualize the main price movement.
- **How It Works:**
- The indicator uses a function to determine local maxima and minima based on the specified depth.
- Detected peaks and troughs are connected by lines to create a visual zigzag structure.
5. **Inverse Head and Shoulders**
- **Description:** An inverted head and shoulders formation signals a possible reversal of a downward trend to an upward one.
- **How It Works:**
- The indicator looks for three local minima: the left shoulder, the head (the lowest minimum), and the right shoulder.
- It checks that the left and right shoulders are approximately at the same level and below the head.
6. **Fibonacci Retracement Levels**
- **Description:** Automatically builds key Fibonacci levels based on the maximum and minimum prices over the last 50 bars. These levels are often used as potential support and resistance levels.
- **How It Works:**
- Daily, the minimum and maximum prices over the last 50 bars are calculated.
- Based on these values, Fibonacci levels are drawn: 100%, 23.6%, 38.2%, 50%, 61.8%, and 0%.
- Old levels are removed when a new day begins to keep the chart clean and up-to-date.
---
**Generation of Buy and Sell Signals**
The indicator combines the results of detected patterns to generate trading signals:
- **Buy Signals (BUY):**
- Rounding Bottom
- Three Drives Up
- Inverse Head and Shoulders
- ZigZag Low
- **Sell Signals (SELL):**
- Rounding Top
- Three Drives Down
- Inverse Head and Shoulders
- ZigZag High
**How It Works:**
- If one or more buy conditions are met, a "BUY" label is displayed below the corresponding bar on the chart.
- If one or more sell conditions are met, a "SELL" label is displayed above the corresponding bar on the chart.
---
**Visualization of Patterns on the Chart**
Each detected pattern is visualized using various graphical elements, allowing traders to easily identify them on the chart:
- **Three Drives Up:** Green upward triangle below the bar.
- **Three Drives Down:** Red downward triangle above the bar.
- **Rounding Top:** Orange "RT" label above the bar.
- **Rounding Bottom:** Blue "RB" label below the bar.
- **Inverse Head and Shoulders:** Turquoise "iH&S" label below the bar.
- **ZigZag High/Low:** Purple circles at the peaks and troughs of the zigzag.
---
**Displaying Fibonacci Levels**
Fibonacci levels are displayed as horizontal lines on the chart with corresponding labels. These levels help traders determine potential entry and exit points, as well as support and resistance levels.
---
**Drawing ZigZag Lines**
ZigZag lines connect the detected peaks and troughs, visualizing corrective movements. To avoid cluttering the chart, the number of lines is limited, and old lines are automatically removed as new ones are added.
ABCD Harmonic Pattern [TradingFinder] ABCD Pattern indicator🔵 Introduction
The ABCD harmonic pattern is a tool for identifying potential reversal zones (PRZ) by using Fibonacci ratios to pinpoint critical price reversal points on price charts.
This pattern consists of four key points, labeled A, B, C, and D. In this structure, the AB and CD waves move in the same direction, while the BC wave acts as a corrective wave in the opposite direction.
The ABCD pattern follows specific Fibonacci ratios that enhance its accuracy in identifying PRZ. Typically, point C lies within the 0.382 to 0.886 Fibonacci retracement of the AB wave, indicating the correction extent of the BC wave.
Subsequently, the CD wave, as the final wave in this pattern, reaches point D with a Fibonacci extension between 1.13 and 2.618 of the BC wave. Point D, which marks the PRZ, is where a potential price reversal is likely to occur.
The ABCD pattern appears in both bullish and bearish forms. In the bullish ABCD pattern, prices tend to increase at point D, which defines the PRZ; in the bearish ABCD pattern, prices typically decrease upon reaching the PRZ at point D.
These characteristics make the ABCD pattern a popular tool for identifying PRZ and price reversal points in financial markets, including forex, cryptocurrencies, and stocks.
Bullish Pattern :
Beaish Pattern :
🔵 How to Use
🟣 Bullish ABCD Pattern
The bullish ABCD pattern is another harmonic structure used to identify a potential reversal zone (PRZ) where the price is likely to rise after a downward movement. This pattern includes four main points A, B, C, and D. In the bullish ABCD, the AB and CD waves move downward, and the BC wave acts as a corrective, upward wave. This setup creates a PRZ at point D, where the price may reverse and move upward.
To identify a bullish ABCD pattern, begin with the downward AB wave. The BC wave retraces upward between 0.382 and 0.886 of the AB wave, indicating the extent of the correction.
After the BC retracement, the CD wave forms and extends from point C down to point D, with an extension of around 1.13 to 2.618 of the BC wave. Point D, as the PRZ, represents the area where the price may reverse upwards, making it a strategic level for potential buy positions.
When the price reaches point D in the bullish ABCD pattern, traders look for upward reversal signals. This can include bullish candlestick formations, such as hammer or morning star patterns, near the PRZ to confirm the trend reversal. Entering a long position after confirmation near point D provides a calculated entry point.
Additionally, placing a stop loss slightly below point D helps protect against potential loss if the reversal does not occur. The ABCD pattern, with its precise Fibonacci structure and PRZ identification, gives traders a disciplined approach to spotting bullish reversals in markets, particularly in forex, cryptocurrency, and stock trading.
Bullish Pattern in COINBASE:BTCUSD :
🟣 Bearish ABCD Pattern
The bearish ABCD pattern is a harmonic structure that indicates a potential reversal zone (PRZ) where price may shift downward after an initial upward movement. This pattern consists of four main points A, B, C, and D. In a bearish ABCD, the AB and CD waves move upward, while the BC wave acts as a corrective wave in the opposite, downward direction. This reversal zone (PRZ) can be identified with specific Fibonacci ratios.
To identify a bearish ABCD pattern, start by observing the AB wave, which forms as an upward price movement. The BC wave, which follows, typically retraces between 0.382 to 0.886 of the AB wave. This retracement indicates how far the correction goes and sets the foundation for the next wave.
Finally, the CD wave extends from point C to reach point D with a Fibonacci extension of approximately 1.13 to 2.618 of the BC wave. Point D represents the PRZ where the potential reversal may occur, making it a critical area for traders to consider short positions.
Once point D in the bearish ABCD pattern is reached, traders can anticipate a downward price movement. At this potential reversal zone (PRZ), traders often wait for additional bearish signals or candlestick patterns, such as engulfing or evening star formations, to confirm the price reversal.
This confirmation around the PRZ enhances the accuracy of the entry point for a bearish position. Setting a stop loss slightly above point D can help manage risk if the price doesn’t reverse as anticipated. The ABCD pattern, with its reliance on Fibonacci ratios and clearly defined points, offers a strategic approach for traders looking to capitalize on potential bearish reversals in financial markets, including forex, stocks, and cryptocurrencies.
Bearish Pattern in OANDA:XAUUSD :
🔵 Setting
🟣 Logical Setting
ZigZag Pivot Period : You can adjust the period so that the harmonic patterns are adjusted according to the pivot period you want. This factor is the most important parameter in pattern recognition.
Show Valid Forma t: If this parameter is on "On" mode, only patterns will be displayed that they have exact format and no noise can be seen in them. If "Off" is, the patterns displayed that maybe are noisy and do not exactly correspond to the original pattern.
Show Formation Last Pivot Confirm : if Turned on, you can see this ability of patterns when their last pivot is formed. If this feature is off, it will see the patterns as soon as they are formed. The advantage of this option being clear is less formation of fielded patterns, and it is accompanied by the latest pattern seeing and a sharp reduction in reward to risk.
Period of Formation Last Pivot : Using this parameter you can determine that the last pivot is based on Pivot period.
🟣 Genaral Setting
Show : Enter "On" to display the template and "Off" to not display the template.
Color : Enter the desired color to draw the pattern in this parameter.
LineWidth : You can enter the number 1 or numbers higher than one to adjust the thickness of the drawing lines. This number must be an integer and increases with increasing thickness.
LabelSize : You can adjust the size of the labels by using the "size.auto", "size.tiny", "size.smal", "size.normal", "size.large" or "size.huge" entries.
🟣 Alert Setting
Alert : On / Off
Message Frequency : This string parameter defines the announcement frequency. Choices include: "All" (activates the alert every time the function is called), "Once Per Bar" (activates the alert only on the first call within the bar), and "Once Per Bar Close" (the alert is activated only by a call at the last script execution of the real-time bar upon closing). The default setting is "Once per Bar".
Show Alert Time by Time Zone : The date, hour, and minute you receive in alert messages can be based on any time zone you choose. For example, if you want New York time, you should enter "UTC-4". This input is set to the time zone "UTC" by default.
🟣 Conclusion
The ABCD harmonic pattern offers a structured approach in technical analysis, helping traders accurately identify potential reversal zones (PRZ) where price movements may shift direction. By leveraging the relationships between points A, B, C, and D, alongside specific Fibonacci ratios, traders can better anticipate points of market reversal and make more informed decisions.
Both the bearish and bullish ABCD patterns enable traders to pinpoint ideal entry points that align with anticipated market shifts. In a bearish ABCD, point D within the PRZ often signals a downward trend reversal, while in a bullish ABCD, this same point typically suggests an upward reversal. The adaptability of the ABCD pattern across different markets, such as forex, stocks, and cryptocurrencies, further highlights its utility and reliability.
Integrating the ABCD pattern into a trading strategy provides a methodical and calculated approach to entry and exit decisions. With accurate application of Fibonacci ratios and confirmation of the PRZ, traders can enhance their trading precision, reduce risks, and boost overall performance. The ABCD harmonic pattern remains a valuable resource for traders aiming to leverage structured patterns for consistent results in their technical analysis.
5-0 Harmonic Pattern [TradingFinder] 0XABCD 50 Harmonic Detector🔵 Introduction
Harmonic patterns are a powerful tool in technical analysis, widely used to detect reversal points and trend changes. Among these, the 5-0 Harmonic Pattern stands out due to its reliance on specific Fibonacci ratios—1.13, 1.618, 2.24, and 0.45 to 0.55—anchored at points 0, X, A, B, C, and D. This pattern provides a structured approach for identifying critical buy and sell points, helping traders achieve optimal entry and exit levels in volatile markets.
This 5-0 Harmonic Pattern indicator automatically detects and marks bullish and bearish formations on the chart, offering precise trading signals based on established harmonic ratios. With its dynamic signals, the 5-0 pattern enables traders to anticipate market movements and capitalize on favorable price trends.
Especially in fast-moving markets, harmonic patterns, particularly the 5-0 Harmonic Pattern, equip traders with an essential framework for identifying reversal opportunities and refining their trading strategies.
Bullish 5-0 Pattern :
Bearish 5-0 Pattern :
🔵 How to Use
The 5-0 Harmonic Pattern indicator is designed to automatically mark the key levels of the harmonic structure: 0, X, A, B, C, and D. By doing so, it detects both bullish and bearish patterns and helps traders recognize optimal entry and exit points.
Formed through specific Fibonacci levels, this pattern signals potential shifts in trend direction, giving traders critical insights for managing entries and exits effectively. The tool proves valuable in high-volatility settings, enabling traders to leverage these signals for refined decision-making.
🟣 Bullish 5-0 Pattern
A bullish 5-0 pattern materializes when Fibonacci levels indicate a potential price reversal to the upside. With points 0, X, A, B, C, and D in alignment, the indicator highlights this upward momentum by displaying a green arrow as a buy signal on the chart. This marking provides a clear entry point, indicating that prices are likely to rise, making it a prime moment for traders to enter long positions.
Additionally, the bullish 5-0 pattern is equipped with tools for traders to set stop-loss and take-profit points based on harmonic lines within the pattern, which represent support and resistance levels. Using these dynamic points, traders can create a more effective risk-reward setup while following the bullish signals in a standalone harmonic strategy.
🟣 Bearish 5-0 Pattern
The bearish 5-0 pattern functions similarly but signals a likely downturn. This pattern emerges when Fibonacci ratios align at points 0, X, A, B, C, and D, predicting a reversal downward. The indicator generates a sell signal, marked by a red arrow, prompting traders to exit long positions or initiate short trades to capitalize on falling prices.
Traders can utilize this bearish pattern for defining exit strategies and setting key levels for stop-loss and take-profit orders. The bearish 5-0 pattern enhances traders’ abilities to gauge critical price levels and manage trade risk effectively, especially in volatile markets. For traders focused on profiting from downward trends, this indicator serves as a powerful tool for timely entries and exits.
🔵 Setting
🟣 Logical Setting
ZigZag Pivot Period : You can adjust the period so that the harmonic patterns are adjusted according to the pivot period you want. This factor is the most important parameter in pattern recognition.
Show Valid Forma t: If this parameter is on "On" mode, only patterns will be displayed that they have exact format and no noise can be seen in them. If "Off" is, the patterns displayed that maybe are noisy and do not exactly correspond to the original pattern.
Show Formation Last Pivot Confirm : if Turned on, you can see this ability of patterns when their last pivot is formed. If this feature is off, it will see the patterns as soon as they are formed. The advantage of this option being clear is less formation of fielded patterns, and it is accompanied by the latest pattern seeing and a sharp reduction in reward to risk.
Period of Formation Last Pivot : Using this parameter you can determine that the last pivot is based on Pivot period.
🟣 Genaral Setting
Show : Enter "On" to display the template and "Off" to not display the template.
Color : Enter the desired color to draw the pattern in this parameter.
LineWidth : You can enter the number 1 or numbers higher than one to adjust the thickness of the drawing lines. This number must be an integer and increases with increasing thickness.
LabelSize : You can adjust the size of the labels by using the "size.auto", "size.tiny", "size.smal", "size.normal", "size.large" or "size.huge" entries.
🟣 Alert Setting
Alert : On / Off
Message Frequency : This string parameter defines the announcement frequency. Choices include: "All" (activates the alert every time the function is called), "Once Per Bar" (activates the alert only on the first call within the bar), and "Once Per Bar Close" (the alert is activated only by a call at the last script execution of the real-time bar upon closing). The default setting is "Once per Bar".
Show Alert Time by Time Zone : The date, hour, and minute you receive in alert messages can be based on any time zone you choose. For example, if you want New York time, you should enter "UTC-4". This input is set to the time zone "UTC" by default.
Conclusion
The 5-0 Harmonic Pattern indicator serves as a robust solution for technical analysts and traders looking to pinpoint market reversal points. By automatically recognizing 5-0 patterns and generating buy and sell signals based on Fibonacci ratios, this tool supports precise trend analysis and entry/exit timing. The indicator’s adjustable alerts, color themes, and pattern toggles allow for comprehensive customization, ensuring alignment with individual trading strategies.
Harmonic patterns, especially the 5-0 Harmonic Pattern, guide traders in identifying high-accuracy entry and exit points, thus aiding in more informed trading decisions. By combining Fibonacci ratio analysis with real-time signal updates, this indicator provides a well-rounded approach for risk management and capitalizing on trading opportunities. Professional traders can harness this tool to enhance technical analysis precision and capitalize on price trends effectively, maximizing profitability in both bullish and bearish markets.
Custom Time Range HighlighterCustom Time Range Highlighter
This versatile indicator allows traders to highlight specific time ranges on their charts, accommodating users worldwide by supporting customizable UTC offsets. Traders can define two distinct time ranges, setting start and end hours in their local time zone.
A toggle option enables the display of highlights for today only , ensuring focus on current trading conditions.
Ideal for day traders and those following specific market sessions, this tool enhances visibility of active trading periods and aids in effective trade management.
Shark Harmonic Pattern [TradingFinder] Shark Detector Indicator🔵 Introduction
The Shark harmonic pattern, first introduced by Scott Carney in 2011, is a recognized tool in technical analysis. Since its inception, it has been widely adopted by traders as an essential market analysis tool.
Due to its complexity, the Shark pattern can be challenging for novice traders. Therefore, we have developed the Harmonic Pattern Indicator to help analysts and traders easily identify these patterns.
🟣 Understanding the Types of Shark Pattern
In technical analysis, the Shark harmonic pattern forms at the end of trends and is categorized into two types: Bullish and Bearish Shark Patterns.
Bullish Shark Pattern : This pattern appears at the end of a downtrend, indicating a potential reversal to an uptrend. Traders can use this pattern to identify buy entry points. The image below illustrates the core components of the Bullish Shark Pattern.
Bearish Shark Pattern : Conversely, the Bearish Shark Pattern forms at the end of an uptrend, signaling a possible reversal to a downtrend. This pattern prompts traders to shift their positions from buying to selling. The image below showcases the characteristics of the Bearish Shark Pattern.
🔵 How to Use
🟣 Trading with the Bullish Shark Pattern
The Bullish Shark Pattern acts as a reversal pattern, helping traders identify the end of a downtrend and the beginning of an uptrend. It consists of five key points that indicate alternating bullish and bearish movements.
Upon the complete formation of this pattern, traders can look for opportunities to enter buy trades. To manage risk effectively, it is advisable to set a stop-loss below the lowest price point within the pattern.
🟣 Trading with the Bearish Shark Pattern
Similarly, the Bearish Shark Pattern functions as a reversal pattern but in the opposite direction. It helps traders identify the end of an uptrend and the onset of a downtrend.
After the pattern fully forms, traders can seek sell entry opportunities. As with the bullish pattern, placing a stop-loss above the highest price point within the pattern is recommended for risk management.
🔵 Setting
🟣 Logical Setting
ZigZag Pivot Period : You can adjust the period so that the harmonic patterns are adjusted according to the pivot period you want. This factor is the most important parameter in pattern recognition.
Show Valid Format : If this parameter is on "On" mode, only patterns will be displayed that they have exact format and no noise can be seen in them. If "Off" is, the patterns displayed that maybe are noisy and do not exactly correspond to the original pattern.
Show Formation Last Pivot Confirm : if Turned on, you can see this ability of patterns when their last pivot is formed. If this feature is off, it will see the patterns as soon as they are formed. The advantage of this option being clear is less formation of fielded patterns, and it is accompanied by the latest pattern seeing and a sharp reduction in reward to risk.
Period of Formation Last Pivot : Using this parameter you can determine that the last pivot is based on Pivot period.
🟣 Genaral Setting
Show : Enter "On" to display the template and "Off" to not display the template.
Color : Enter the desired color to draw the pattern in this parameter.
LineWidth : You can enter the number 1 or numbers higher than one to adjust the thickness of the drawing lines. This number must be an integer and increases with increasing thickness.
LabelSize : You can adjust the size of the labels by using the "size.auto", "size.tiny", "size.smal", "size.normal", "size.large" or "size.huge" entries.
🟣 Alert Setting
Alert : On / Off
Message Frequency : This string parameter defines the announcement frequency. Choices include: "All" (activates the alert every time the function is called), "Once Per Bar" (activates the alert only on the first call within the bar), and "Once Per Bar Close" (the alert is activated only by a call at the last script execution of the real-time bar upon closing). The default setting is "Once per Bar".
Show Alert Time by Time Zone : The date, hour, and minute you receive in alert messages can be based on any time zone you choose. For example, if you want New York time, you should enter "UTC-4". This input is set to the time zone "UTC" by default.
🔵 Conclusion
The Shark harmonic pattern is a potent analytical tool in technical analysis that aids traders in identifying critical reversal points in financial markets. Whether in a bullish or bearish context, this pattern provides clear trend change signals, allowing traders to enter trades with greater precision and optimize their strategies.
However, as with all analytical methods, it is essential to supplement the Shark pattern with additional analyses and strict risk management to avoid potential losses. Incorporating this pattern into a comprehensive trading strategy can lead to better trade outcomes and more opportunities for success
Harmonic Patterns [WinWorld]PREFACE
This indicator was made with the help of our team's fellow friend and harmonic patterns expert, whose support we deeply appreciate — @Muneer_Gove
DESCRIPTION
Harmonic patterns are one the most recognizable and popular trading concepts in the word of trading.
They are distinct formations, found in the financial markets, that predict potential price movements based on Fibonacci ratios. These patterns, which include the Gartley, Bat, Alt Bat, Butterfly and etc., identify specific and repetitive price structures that can forecast future price reversals. By incorporating these patterns into trading process, one does gain an opportunity to profit from repetetitve price movements.
The whole thing about harmonic pattern is the process of finding them. The basic step-by-step guide to build a harmonic pattern is this:
Locate significant highs and lows on the chart, which form the basis of the pattern. The best tools to use for this purple is zigzag, because zigzag indicator draw lines, which will be helpful quite helpful in the process and will save you a lot of time;
Use Fibonacci tools to measure the retracement and extension levels between legs of pattern — distances between pair of points . Each harmonic pattern has specific Fibonacci ratios that define its structure;
Draw lines connecting the pivot points according to the pattern's structure. For example, a Gartley pattern connects five points (X, A, B, C, D) in a specific sequence and ratio;
Ensure that the identified structure adheres to the harmonic pattern’s Fibonacci requirements. If the points align within the acceptable ranges, the pattern is valid.
In order to better understand this process let's see an example of the pattern from our indicator right away:
This is a Butterfly pattern. Its set of retracememt ratios is as follows:
AB/XA = 0.756 to 0.816
BC/AB = 0.382 to 0.990
CD/BC = 1.618 to 2.618
AD/XA = 1.27
Below you can see that each ratio of the pattern is successfully met:
* Note : white lines — ratio range, yellow line — point 's price level in between ranges.
AB/XA Ratio
BC/AB Ratio
CD/BC Ratio
AD/XA Ratio
SETTINGS
Main Settings
Failed Patterns — shows/hides patterns, which meet one of these conditions:
— Price crossed level of point C before reaching PRZ;
— New pattern appeared and PRZ of previous pattern was not reached;
Completed Patterns — shosw/hides patterns, whose PRZ was reached;
Dashboard — shows/hides dashboard, which displays active patterns (patterns, which can be used to trade).
Alert Settings
PRZ — enables/disables alert of event, when price reaches PRZ.
ZigZag Settings
Depth #1-9 — shows/hides patterns of the chosen zigzag copy. Here you can choose customize depth number.
Pattern Visual Controls
Bullish Patterns — shows/hides bullish patterns;
Bearish Patterns — shows/hides bearish patterns;
Pending Patterns — shows/hides patterns, whose PRZ has not been reached yet;
list of pattern names — hides/shows chosen pattern.
Colours
Bullish — colour of bullish patterns;
Bearish — colour of bearish patterns.
IMPORTANT CONCEPTS
PRZ — entry target level.
If its text near the line level is purple, it means that PRZ has NOT been reached yet.
If it is white, it means that PRZ has been reached.
In order for SL or TP to be counted when price reaches, price has to reach PRZ first with its high/low.
SL — stop-loss.
If its near the line level is red, it means that SL has NOT been reached yet.
If it is white, it means that SL has been reached.
If it is gray, it means that SL has been invalidated — price crossed with high/low the level of point C before reaching PRZ.
If SL is reached and price reaches TP targets, they will be counted.
SL of each pattern are built by individual ratio. For example, in Butterfly pattern SL ratio is 1.414 and it is calculated as (SL - A)/XA.
IMPORTANT NOTE : SL is reached when price crosses SL level with candle's close (!)
TP — take-profit.
If its near the line level is green, it means that TP has NOT been reached yet.
If it is white, it means that TP has been reached.
If one of the TP targets is reached and price reached SL, it will not be counted.
IMPORTANT NOTE : TP is reached when price crosses TP level with candle's high/low(!)
TP of each pattern are built by same the ratios for all patterns, but it is calculated by individual algorithm. For example, in the same Butterfly pattern TP ratio will be 0.382, 0.500 and 0.618 and they will be placed as Fibonacci retracement grid from point A to point D ( same for formula for all other patterns, excluding the ones listed next ), BUT on Shark , Muner and AB=CD pattern the same TP will be placed as Fibonacci retracement grid from point C to point D
WHY USE THIS INDICATOR?
Our Harmic Patterns indicator uses zigzag, which is based on depth mechanic. In order to identify the maximum possible amount of patterns this indicator runs 9 copies of the same zigzags with different depth values. Each copy of zigzag can be turned off in the settings individually.
At the moment of publishing, this indicator can autmatically identify 10 patterns:
Crab
Deep Crab
Gartley
Deep Gartley
Bat
Alt Bat
Muner
Butterfly
Shark
AB=CD
Things, that make this indicator different from other harmonic pattern indicator, are:
Advanced pattern recognition and validation process. We have implemeted special logic, which allows the indicator to draw fully accurate patterns, which satisfy industry standards.
For example, let's say we have a bearish pattern. We take points X an A. If there is a price's high, that is above X point's high, such pattern should be automatically invalidated. We have found even one indicator that does perform such validation process, and our indicator does that. . And this is just one example, we have much of such mechanics implemeted thanks to Mr. Muner's knowledge.
Advanced pattern extension mechanics . Right this mechanic applies to only one pattern — Shark. Its classic CD/BC ratio is 0.886, but when price moves in a way so this ratio now equals to 1.13, this signal the indicator to redraw the pattern, based on this new CD/BC ratio. We haven't found any indicator on the market that has such mechanic implemented.
Dashboard for displaying active patterns . On this dashboard you can find patterns, whose SL and TP have not been touched yet. If price touches the SL or TP of the pattern, this pattern is removed from the dashboard, because it is considered finished.
At the moment of publishing this dashboard only shows the patterns from the current timeframe.
Informative alert when price reaches PRZ of the pattern . Many other indicator do not provide details of this event, which requires trader to waste his time on opening up the chart and searching for this event. Our indicator allows trader to see the PRZ price right when alert happens and open up the trade much fastr.
Alert message is made by this template:
, : PRZ was reached at on
Example:
BTCUSDT, long Bat: PRZ was reached at 70,000 on 15m.
ALERTS
At the moment of publishing this indicator offers one alert, which happens when price reaches PRZ level.
HOW CAN I GET THE MOST OUT OF THIS INDICATOR?
This indicator can act as the standalone tool, because PRZ, TP and SL are assigned to each pattern and tracked during the pattern's life period.
You can this indicator with any other strategy or indicator, because this indicator is basically a tool that shows the trader repetitive price formations, after which price tends to go a certaion direction in the most cases, allowing trader to profit from it.
You can try combining Harmonic Patterns indicator with Smart Money tools, made by our team, because Smart Money strategies basically show the most liquid price zones and levels, which can be used to find an entry opportunity and Harmonic Patterns indicator can be added to make a final decision on the entry.
If you are interested in trying these two strategies together, feel free to learn Smart Money trading strategy by reading our Advanced SMC guide, which is available in our eductional materials.
SUMMARY
Harmonic Patterns indicator is an advanced tool of technical analysis, which automatically finds 10 most used harmonic patterns on the chart, assign PRZ, TP and SL targets to them and tracks them during each pattern 'life period'.
While searching for these patterns, this indicator performs series of validation techniques, that allow trader to see only the most valid patterns, which have a higher changes to succeed.
This indicator can be used both as a standalone tool and as 'team player' for any stategy by being the tool, which can be used for making a final decision on an entry target.
AFTERWORD
This indicator has been developed for more than 2 weeks, which consisted of everyday discussions, bug fixes and special additons to the algorithm in order to making patterns more valid, so we really hope you will find a great use of this indicator and it will help you recude time on the analysis and boost your profits :)
We want to express our gratitude to @Muneer_Gove once again, because he has done huge job helping us fine-tuning the algorithm, building complex pattern validatiom and extension logic and fixing bugs. Thank you!
Best of luck , traders!
— with love, WinWorld Team
Reversal Candlestick Structure [LuxAlgo]The Reversal Candlestick Structure indicator detects multiple candlestick patterns occurring when trends are most likely to experience a reversal in real-time. The reversal detection method includes various settings allowing users to adjust the reversal detection algorithm more precisely.
A dashboard showing the percentage of patterns detected as reversals is also included.
🔶 USAGE
Candlestick patterns are ubiquitous to technical analysts, allowing them to detect trend continuations, reversals, and indecision.
The proposed tool effectively detects reversals by using the confluence between candlestick patterns and a reversal detection method based on the stochastic oscillator, acting as a filter for the patterns. If a candlestick pattern occurs while conditions suggest a potential reversal then the pattern is highlighted.
The displayed candle coloring allows users to observe the reversal detection method, with colored candles indicating potential reversals.
Users wanting to detect longer-term reversals can use a higher "Trend Length" setting, this can however lead to an increased amount of displayed candlestick patterns.
To prevent false positives users also have control over a "Threshold" setting in a range between (0, 100), with values closer to 100 preventing candlesticks from being detected at the start of trends.
The "Warmup Length" serves a similar purpose, and aims to prevent sudden moves to be classified as reversals. Higher values of this setting will require trends to be established for a longer period of time for reversal conditions to be detected.
🔹 Dashboard
To evaluate the role of individual candlestick patterns as potential reversal signals relative to the proposed reversal detection method, a dashboard displaying the percentage of candlestick patterns displayed (that occur when a potential reversal is detected) over the total amount detected.
Hovering on the dashboard cells of the "Reversal %" column allows displaying the total amount of patterns detected.
🔶 CANDLESTICKS PATTERNS
This tool detects 16 popular candlestick patterns, each listed in the sub-sections below.
🔹 Bullish Patterns
Hammer - A bullish reversal pattern that forms after a decline, characterized by a small body at the upper end of the trading range and a long lower shadow.
Inverted Hammer - A bullish reversal pattern that forms after a downtrend, featuring a small body at the lower end of the trading range and a long upper shadow.
Bullish Engulfing - A bullish reversal pattern where a small bearish candlestick is followed by a larger bullish candlestick that completely engulfs the previous candle.
Rising 3 - A bullish continuation pattern that consists of a long bullish candlestick followed by three smaller bearish candlesticks and then another long bullish candlestick.
3 White Soldiers - A bullish reversal pattern consisting of three consecutive long bullish candlesticks, each opening within the previous candle's body and closing higher.
Morning Star - A bullish reversal pattern made up of three candlesticks: a long bearish candlestick, followed by a short candlestick, and then a long bullish candlestick.
Bullish Harami - A bullish reversal pattern where a small bullish candlestick is completely within a previous larger bearish candlestick.
Tweezer Bottom - A bullish reversal pattern identified by an initial bullish candle, followed by a bearish candle, both having equal lows.
🔹 Bearish Patterns
Hanging Man - A bearish reversal pattern that forms after an uptrend, characterized by a small body at the upper end of the trading range and a long lower shadow.
Shooting Star - A bearish reversal pattern that forms after an uptrend, featuring a small body at the lower end of the trading range and a long upper shadow.
Bearish Engulfing - A bearish reversal pattern where a small bullish candlestick is followed by a larger bearish candlestick that completely engulfs the previous candle.
Falling 3 - A bearish continuation pattern that consists of a long bearish candlestick followed by three smaller bullish candlesticks and then another long bearish candlestick.
3 Black Crows - A bearish reversal pattern consisting of three consecutive long bearish candlesticks, each opening within the previous candle's body and closing lower.
Evening Star - A bearish reversal pattern made up of three candlesticks: a long bullish candlestick, followed by a short candlestick, and then a long bearish candlestick.
Bearish Harami - A bearish reversal pattern where a small bearish candlestick is completely within a previous larger bullish candlestick.
Tweezer Top - A bearish reversal pattern is identified by an initial bullish candle, followed by a bearish candle, both having equal highs."
🔶 SETTINGS
🔹 Patterns
Group including toggles for each of the supported candlestick patterns. Enabled toggles will allow detection of the associated candlestick pattern.
🔹 Reversal Detection
Trend Length: Determines the sensitivity of the reversal detection method to shorter-term variation, with higher values returning a detection method more sensitive to longer-term trends.
Threshold: Determines how easy it is for the reversal detection method to consider a trend at an extreme point.
Warmup Length: Warmup period in the reversal detection method, longer values will require a longer-term trend to detect potential reversals.
🔹 Style
Color Candles: Enable candle coloring on the user chart based on the reversal detection method.
Use Gradient: Use a gradient as candle coloring.
Label Size: Size of the labels displaying the detected candlesticks patterns.
🔹 Dashboard
Show Dashboard: Display the dashboard on the user chart when enabled.
Location: Dashboard location on the user chart.
Size: Size of the displayed dashboard.
Flags With Measured Move [QuantVue]Flags with Measured Moves is a technical analysis tool that identifies bull flags and provides a measured move target.
A bull flag is a continuation pattern that occurs within the context of a general uptrend. It represents a pause or small consolidation before the price resumes its upward movement.
A bull flag consists of two sections: the flagpole and the flag.
The flagpole is the initial upward movement that occurs before the flag forms.
The flag forms as the price consolidates after the initial uptrend. During this phase, the price tends to drift downward or sideways, ideally with declining volume.
Once the flag has put in a low, the initial range of thrust is added to the flag low to form the measured move target.
Every element of the flag is customizable by the trader, including the size and length of the prior uptrend and the minimum and maximum flag depth and length.
The indicator also includes alerts for when new flags are formed, when a breakout from the flag occurs, and when the measured move target is reached.
By default, the indicator settings are set for use on a daily timeframe. If using the indicator on an intraday timeframe, you will need to adjust the settings.
Give this indicator a BOOST and COMMENT your thoughts!
We hope you enjoy.
Cheers!
Seasonality Widget [LuxAlgo]The Seasonality Widget tool allows users to easily visualize seasonal trends from various data sources.
Users can select different levels of granularity as well as different statistics to express seasonal trends.
🔶 USAGE
Seasonality allows us to observe general trends occurring at regular intervals. These intervals can be user-selected from the granularity setting and determine how the data is grouped, these include:
Hour
Day Of Week
Day Of Month
Month
Day Of Year
The above seasonal chart shows the BTCUSD seasonal price change for every hour of the day, that is the average price change taken for every specific hour. This allows us to obtain an estimate of the expected price move at specific hours of the day.
Users can select when data should start being collected using the "From Date" setting, any data before the selected date will not be included in the calculation of the Seasonality Widget.
🔹 Data To Analyze
The Seasonality Widget can return the seasonality for the following data:
Price Change
Closing price minus the previous closing price.
Price Change (%)
Closing price minus the previous closing price, divided by the
previous closing price, then multiplied by 100.
Price Change (Sign)
Sign of the price change (-1 for negative change, 1 for positive change), normalized in a range (0, 100). Values above 50 suggest more positive changes on average.
Range
High price minus low price.
Price - SMA
Price minus its simple moving average. Users can select the SMA period.
Volume
Amount of contracts traded. Allow users to see which periods are generally the most /least liquid.
Volume - SMA
Volume minus its simple moving average. Users can select the SMA period.
🔹 Filter
In addition to the "From Date" threshold users can exclude data from specific periods of time, potentially removing outliers in the final results.
The period type can be specified in the "Filter Granularity" setting. The exact time to exclude can then be specified in the "Numerical Filter Input" setting, multiple values are supported and should be comma separated.
For example, if we want to exclude the entire 2008 period we can simply select "Year" as filter granularity, then input 2008 in the "Numerical Filter Input" setting.
Do note that "Sunday" uses the value 1 as a day of the week.
🔶 DETAILS
🔹 Supported Statistics
Users can apply different statistics to the grouped data to process. These include:
Mean
Median
Max
Min
Max-Min Average
Using the median allows for obtaining a measure more robust to outliers and potentially more representative of the actual central tendency of the data.
Max and Min do not express a general tendency but allow obtaining information on the highest/lowest value of the analyzed data for specific periods.
🔶 SETTINGS
Granularity: Periods used to group data.
From Data: Starting point where data starts being collected
🔹 Data
Analyze: Specific data to be processed by the seasonality widget.
SMA Length: Period of the simple moving average used for "Price - SMA" and "Volume - SMA" options in "Analyze".
Statistic: Statistic applied to the grouped data.
🔹 Filter
Filter Granularity: Period type to exclude in the processed data.
Numerical Filter Input: Determines which of the selected hour/day of week/day of month/month/year to exclude depending on the selected Filter Granularity. Only numerical inputs can be provided. Multiple values are supported and must be comma-separated.
TimeSeriesGrammianAngularFieldLibrary "TimeSeriesGrammianAngularField"
provides Grammian angular field and associated utility functions.
___
Reference:
*Time Series Classification: A review of Algorithms and Implementations*.
www.researchgate.net
method normalize(data, a, b)
Normalize the series to a optional range, usualy within `(-1, 1)` or `(0, 1)`.
Namespace types: array
Parameters:
data (array) : Sample data to normalize.
a (float) : Minimum target range value, `default=-1.0`.
b (float) : Minimum target range value, `default= 1.0`.
Returns: Normalized array within new range.
___
Reference:
*Time Series Classification: A review of Algorithms and Implementations*.
normalize_series(source, length, a, b)
Normalize the series to a optional range, usualy within `(-1, 1)` or `(0, 1)`.\
*Note that this may provide a different result than the array version due to rolling range*.
Parameters:
source (float) : Series to normalize.
length (int) : Number of bars to sample the range.
a (float) : Minimum target range value, `default=-1.0`.
b (float) : Minimum target range value, `default= 1.0`.
Returns: Normalized series within new range.
method polar(data)
Turns a normalized sample array into polar coordinates.
Namespace types: array
Parameters:
data (array) : Sampled data values.
Returns: Converted array into polar coordinates.
polar_series(source)
Turns a normalized series into polar coordinates.
Parameters:
source (float) : Source series.
Returns: Converted series into polar coordinates.
method gasf(data)
Gramian Angular Summation Field *`GASF`*.
Namespace types: array
Parameters:
data (array) : Sampled data values.
Returns: Matrix with *`GASF`* values.
method gasf_id(data)
Trig. identity of Gramian Angular Summation Field *`GASF`*.
Namespace types: array
Parameters:
data (array) : Sampled data values.
Returns: Matrix with *`GASF`* values.
Reference:
*Time Series Classification: A review of Algorithms and Implementations*.
method gadf(data)
Gramian Angular Difference Field *`GADF`*.
Namespace types: array
Parameters:
data (array) : Sampled data values.
Returns: Matrix with *`GADF`* values.
method gadf_id(data)
Trig. identity of Gramian Angular Difference Field *`GADF`*.
Namespace types: array
Parameters:
data (array) : Sampled data values.
Returns: Matrix with *`GADF`* values.
Reference:
*Time Series Classification: A review of Algorithms and Implementations*.
Fibonacci Timing Pattern IIThe Fibonacci Timing Pattern II is a price-based counter that seeks to determine medium-term reversals in price action. It is based on the following set of conditions:
* For a bullish Fibonacci timing signal II: The current close must be lower than the close prices from one and two periods ago. Simultaneously, the close price from two periods ago must be lower than the close price from three periods ago, and the close price from three periods ago must be lower than the close price from five periods ago. The Fibonacci sequence continues until the close price from thirty four periods ago which must be above the close price from fifty five periods ago.
* For a bearish Fibonacci timing signal II: The current close must be higher than the close prices from one and two periods ago. Simultaneously, the close price from two periods ago must be higher than the close price from three periods ago, and the close price from three periods ago must be higher than the close price from five periods ago. The Fibonacci sequence continues until the close price from thirty four periods ago which must be lower the close price from fifty five periods ago.
The signals of the pattern are ideally used in a sideways market or used in tandem with the trend (bullish signals are taken in a bullish market and bearish signals are taken in a bearish market).
Dip & Rip Patterns - The Quant Science🇺🇸
GENERAL OVERVIEW
This indicator detects Dip and Rip patterns by quickly highlighting them on the chart.
These patterns have become popular during the pandemic period mainly in the stock, ETF and cryptocurrency markets on which traders use two interesting strategies:
Buy The Dip
Sell The Rip
Before going into the merits of this technical indicator, let's understand what these two patterns mean and what they identify precisely.
Rip (Rise In Price) : wants to identify a market condition in which the price rises rapidly, for example from $100 to $110 in a few minutes or hours.
Dip (Drop In Price) : wants to identify a market condition in which the price drops rapidly, for example from $100 to $90 in a few minutes or hours.
HOW TO USE
For a better user experience, we recommend choosing a neutral colour for the candles while analysing with this indicator. You can quickly change the colour in Chart Settings > Symbol > Candles .
Depending on the configuration set by the user, the indicator will show Dip (Dip In Price) patterns in red and Rip (Rise In Price) patterns in green.
When the pattern forms, a circle will be displayed and a vertical line will be coloured on the chart along with the body of the candle. The user will then be able to quickly and easily track the configured market conditions.
In this example, we decided to use a 4H timeframe on the BTC/USDT pair (Binance).
Set in the user interface:
Period: 20
Dip (%): -25
Rip (%): 20
Price falls by 25% or more in 80 hours (Dip Pattern).
Price rise by 25% or more in 80 hours (Rip Pattern).
The user can easily configure the parameters via the user interface in the Inputs section (A) and change the indicator design in the Properties section (B).
🇮🇹
PANORAMICA GENERALE
Questo indicatore rileva i Dip e Rip patterns evidenziandoli velocemente sul grafico.
Questi patterns sono diventati famosi durante il periodo pandemico principalmente nel mercato delle azioni, ETF e Criptovalute su cui i trader utilizzano due interessanti strategie:
Buy The Dip
Sell The Rip
Prima di entrare nel merito di questo indicatore tecnico, comprendiamo il significato di questi due pattern e cosa identificano precisamente.
Rip (Rise In Price) : vuole identificare una condizione di mercato in cui il prezzo sale rapidamente, per esempio passando da 100$ a 110$ in pochi minuti o poche ore.
Dip (Drop In Price) : vuole identificare una condizione di mercato in cui il prezzo cala rapidamente, per esempio passando da 100$ a 90$ in pochi minuti o poche ore.
UTILIZZO
Per una migliore esperienza utente consigliamo di scegliere un colore neutro per le candele mentre si analizza con questo indicatore. Puoi cambiare velocemente il colore in Chart Settings > Symbol > Candles .
In base alla configurazione impostata dall'utente l'indicatore mostrerà in rosso i pattern Dip (Dip In Price) e in verde i pattern Rip (Rise In Price).
Quando il pattern si forma verrà visualizzato un cerchio e una linea verticale sul grafico che sarà colorata insieme al corpo della candela. L'utente quindi potrà tracciare facilmente e velocemente le condizioni di mercato configurate.
In questo esempio abbiamo deciso di utilizzare un timeframe 4H con l'obbiettivo di ricercare i patterns sul pair BTC/USDT (Binance).
Impostiamo nell'interfaccia utente:
Period: 20
Dip (%): -25
Rip (%): 20
Il prezzo diminuisce del 25% o più in 80 ore (Dip Pattern).
Il prezzo aumenta del 25% o più in 80 ore (Rip Pattern).
L' utente può configurare facilmente i parametri attraverso l'interfaccia utente nella sezione Inputs (A) e modificare il design dell'indicatore nella sezione Properties (B).
YinYang RSI Volume Trend StrategyThere are many strategies that use RSI or Volume but very few that take advantage of how useful and important the two of them combined are. This strategy uses the Highs and Lows with Volume and RSI weighted calculations on top of them. You may be wondering how much of an impact Volume and RSI can have on the prices; the answer is a lot and we will discuss those with plenty of examples below, but first…
How does this strategy work?
It’s simple really, when the purchase source crosses above the inner low band (red) it creates a Buy or Long. This long has a Trailing Stop Loss band (the outer low band that's also red) that can be adjusted in the Settings. The Stop Loss is based on a % of the inner low band’s price and by default it is 0.1% lower than the inner band’s price. This Stop Loss is not only a stop loss but it can also act as a Purchase Available location.
You can get back into a trade after a stop loss / take profit has been hit when your Reset Purchase Availability After condition has been met. This can either be at Stop Loss, Entry or None.
It is advised to allow it to reset in case the stop loss was a fake out but the call was right. Sometimes it may trigger stop loss multiple times in a row, but you don’t lose much on stop loss and you gain lots when the call is right.
The Take Profit location is the basis line (white). Take Profit occurs when the Exit Source (close, open, high, low or other) crosses the basis line and then on a different bar the Exit Source crosses back over the basis line. For example, if it was a Long and the bar’s Exit Source closed above the basis line, and then 2 bars later its Exit Source closed below the basis line, Take Profit would occur. You can disable Take Profit in Settings, but it is very useful as many times the price will cross the Basis and then correct back rather than making it all the way to the opposing zone.
Longs:
If for instance your Long doesn’t need to Take Profit and instead reaches the top zone, it will close the position when it crosses above the inner top line (green).
Please note you can change the Exit Source too which is what source (close, open, high, low) it uses to end the trades.
The Shorts work the same way as the Long but just opposite, they start when the purchase source crosses under the inner upper band (green).
Shorts:
Shorts take profit when it crosses under the basis line and then crosses back.
Shorts will Stop loss when their outer upper band (green) is crossed with the Exit Source.
Short trades are completed and closed when its Exit Source crosses under the inner low red band.
So, now that you understand how the strategy works, let’s discuss why this strategy works and how it is profitable.
First we will discuss Volume as we deem it plays a much bigger role overall and in our strategy:
As I’m sure many of you know, Volume plays a huge factor in how much something moves, but it also plays a role in the strength of the movement. For instance, let’s look at two scenarios:
Bitcoin’s price goes up $1000 in 1 Day but the Volume was only 10 million
Bitcoin’s price goes up $200 in 1 Day but the Volume was 40 million
If you were to only look at the price, you’d say #1 was more important because the price moved x5 the amount as #2, but once you factor in the volume, you know this is not true. The reason why Volume plays such a huge role in Price movement is because it shows there is a large Limit Order battle going on. It means that both Bears and Bulls believe that price is a good time to Buy and Sell. This creates a strong Support and Resistance price point in this location. If we look at scenario #2, when there is high volume, especially if it is drastically larger than the average volume Bitcoin was displaying recently, what can we decipher from this? Well, the biggest take away is that the Bull’s won the battle, and that likely when that happens we will see bullish movement continuing to happen as most of the Bears Limit Orders have been fulfilled. Whereas with #2, when large price movement happens and Bitcoin goes up $1000 with low volume what can we deduce? The main takeaway is that Bull’s pressured the price up with Market Orders where they purchased the best available price, also what this means is there were very few people who were wanting to sell. This generally dictates that Whale Limit orders for Sells/Shorts are much higher up and theres room for movement, but it also means there is likely a whale that is ready to dump and crash it back down.
You may be wondering, what did this example have to do with YinYang RSI Volume Trend Strategy? Well the reason we’ve discussed this is because we use Volume multiple times to apply multiplications in our calculations to add large weight to the price when there is lots of volume (this is applied both positively and negatively). For instance, if the price drops a little and there is high volume, our strategy will move its bounds MUCH lower than the price actually dropped, and if there was low volume but the price dropped A LOT, our strategy will only move its bounds a little. We believe this reflects higher levels of price accuracy than just price alone based on the examples described above.
Don’t believe us?
Here is with Volume NOT factored in (VWMA = SMA and we remove our Volume Filter calculation):
Which produced -$2880 Profit
Here is with our Volume factored in:
Which produced $553,000 (55.3%)
As you can see, we wen’t from $-2800 profit with volume not factored to $553,000 with volume factored. That's quite a big difference! (Please note previous success does not predict future success we are simply displaying the $ amounts as example).
Now how about RSI and why does it matter in this strategy?
As I’m sure most of you are aware, RSI is one of the leading indicators used in trading. For this reason we figured it would only make sense to incorporate it into our calculations. We fiddled with RSI for quite awhile and sometimes what logically seems to be the right way to use it isn’t. Now, because of this, our RSI calculation is a little odd, but basically what we’re doing is we calculate the RSI, then turn it into a percentage (between 0-1) that can easily be multiplied to the price point we need. The price point we use is the difference between our high purchase zone and our low purchase zone. This allows us to see how much price movement there is between zones. We multiply our zone size with our RSI multiplication and we get the amount we will add +/- to our basis line (white line). This officially creates the NEW high and low purchase zones that we are actually using and displaying in our trades.
If you found that confusing, here are some examples to why it is an important calculation for this strategy:
Before RSI factored in:
Which produced 27.8% Profit
After RSI factored in:
Which produced 553% Profit
As you can see, the RSI makes not only the purchase zones more accurate, but it also greatly increases the profit the strategy is able to make. It also helps ensure an relatively linear profit slope so you know it is reliable with its trades.
This strategy can work on pretty much anything, but you should tweak the values a bit for each pair you are trading it with for best results.
We hope you can find some use out of this simple but effective strategy, if you have any questions, comments or concerns please let us know.
HAPPY TRADING!
The Next Pivot [Kioseff Trading]Hello!
This script "The Next Pivot" uses various similarity measures to compare historical price sequences to the current price sequence!
Features
Find the most similar price sequence up to 100 bars from the current bar
Forecast price path up to 250 bars
Forecast ZigZag up to 250 bars
Spearmen
Pearson
Absolute Difference
Cosine Similarity
Mean Squared Error
Kendall
Forecasted linear regression channel
The image above shows/explains some of the indicator's capabilities!
The image above highlights the projected zig zag (pivots) pattern!
Colors are customizable (:
Additionally, you can plot a forecasted LinReg channel.
Should load times permit it, the script can search all bar history for a correlating sequence. This won't always be possible, contingent on the forecast length, correlation length, and the number of bars on the chart.
Reasonable Assessment
The script uses various similarity measures to find the "most similar" price sequence to what's currently happening. Once found, the subsequent price move (to the most similar sequence) is recorded and projected forward.
So,
1: Script finds most similar price sequence
2: Script takes what happened after and projects forward
While this may be useful, the projection is simply the reaction to a possible one-off "similarity" to what's currently happening. Random fluctuations are likely and, if occurring, similarities between the current price sequence and the "most similar" sequence are plausibly coincidental.
That said, if you have any ideas on cool features to add please let me know!
Thank you (:
BladeSCALPER by MetaSignalsProBladeSCALPER
The sharpest tool to scalp M and W patterns
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✔️ Get a clear signal of the next probable reversal move
✔️ Get instantly the zone where the price will probably get attracted to
✔️ Adjust TP1/TP2/TP3 accordingly to the PowerZONES
✔️ Check the winning rate of the M & W patterns on a time period
✔️ Optimize the probability of success of the M & W patterns
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📌 For who?
---------------
Initialy, scalping is based on small moves, supposedly more predictable than big ones and repeating this operation many times.
For that, scalping means usally daytrading and not everybody can/want to be a daytrader: managing one's emotions is just critical;
But you can also use this indicator on a bigger time frame and trade when you want the M & Ws!
So basicaly BladeSCALPER is for anybody who wants to trade succesfully M&W patterns whatever Timeframe, whatever asset!
📌 For which asset?
-------------------------
BladeSCALPER is universal and works fine on all assets and all time-frames;
📌Why we made these innovations?
--------------------------------------------
"Double Tops" and "Double Bottoms", commonely called "M" and "W" as the letter explicitely shows these patterns, are some of the most predictive patterns you can find.
To exploit them, we needed to have an all in one tool:
◾ a very sharp scalping and innovative tool with embed statistics
◾ identify Risk/Reward ratio for TakeProfits
◾ and advanced Supports and Resistances information i.e the PowerZONES
📌 How to trade with BladeSCALPER ?
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🔹 ScalpUP / ScalpDOWN Signals
The signals are given when the patterns of M and W are identified, in real time and do not repaint.
☝️ Quite often the Market will test the bottoms and the tops before validating such a figure;
👉 Only enter the trade when the candle closes clearly inside the coloured zone and not immediately on the signal.
🔹 PowerZONES
We innovated on the basic Supports and Resistances concept by adding new features with:
◾ zones that correspond better to real life trading than lines
◾ zones that change color depending of their position vs price : they turn red is the price is below them and blue if they are above.
◾ strength / attractivity of these zones = how many times the Support/Resistance have been touched in the past that will magnetize the price
◾ and distance between these zones to give a clear picture
Importance of the PowerZONES
In the current version, the TPs do not adjust to the PowerZONES, precisely to be able to keep a global statistical view;
☝️ But when you plan to trade on a signal, the real relevance is to adjust them according to the PowerZONES, of course;
👉 When buying, place your TPs just below the consecutive PowerZONES that the price could test
👉 When selling, place them just above the consecutive PowerZONES
🔹 TP1/TP2/TP3
TakeProfits are set theoretically and based on 3 risk/reward ratios: 1 / 1.5 / 2 ;
But of course this is just a setting to get an overall view of the effectiveness of the pattern on the current asset;
if you change these settings, you'll see that the Stats change accordingly.
☝️ Again, when you plan to trade on a signal, the real relevance is to adjust them according to the PowerZONES, of course;
🔹 StatsPANEL
With this innovative feature you can now see immediately
◾ the probability of win, based on the past patterns
◾ the exacts number of trades that have reached the TP1/TP2/TP3
◾ and more importantly the gains made by these trades in pips
We introduce also 2 important possibilities to improve the precision and relience of BladeSCALPER
◾ the PatternFACTOR can be changed; it defines a key percentage of the M & W patterns
◾ the MoveringAverageFILTER can be activated to
◽ suppress M patterns when the price is below the selected MovingAverage
◽ suppress W patterns when the price is over the selected MovingAverage
👉 Modifying these variables will change immediately the statistics just like the position of the TP1/TP2/TP3 and HistoryMax variables.
📌 Importance of setting up a Multi TimeFrame and doing a trend analysis
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Even if you are on a scalping mode, it is crucial you set up a Multi Time Frame workspace and that you conduct a trend analysis before entering the market.
If you don't, you won't maximize your chances;
No indicator is 100% reliable, because the market cannot be modelized; anyone who tells you otherwise is lying to your face;
However, a statistical approach to the market is possible, because agents are not incoherent.
This is the meaning of stats we apply on double tops and double bottoms;
But to reinforce this point, you need to know what's happening on the next higher time unit to get a global view.
To do this, it's important to do a trend analysis or have a trend analysis tool.
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🎛️ Configuration
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◾ Buy/Sell Signals: choose if you want to see only W or only M pattern signals
◾ PowerZones: uncheck if you don't want to see them (not recommanded)
◾ RewardBoxText: uncheck if you don't want to see the words "Entry, TP1, TP2, TP3"
◾ TakeProfit1/TakeProfit2/TakeProfit3: by default correspond to the multiple of the risk zone in grey under/above "Entry" i.e it is the classic concept of Risk/Reward ratio
◾ PowerZoneTouch: sets the number of time the zone has been touched
◾ PowerZoneDensity: increase this number if you want the number of zones to increase and reversely
◾ RewardBoxLength: adjust the standard number to the length of the anticipated move in duration
◾ StopLossExtraPoints: for a W pattern (ScalpUP) will bring lower the lower border of the RewardBOX; in a M pattern (ScalpDOWN) will bring higher the higher border of the RewardBOX; it will automatically move the distance of the TP1/TP2/TP3
◾ HistoryMax: the number of units taken into account to set the PowerZONES and the past M & W patterns
◾ PatternFactor: defines a key percentage of the M & W patterns
◾ MovingAverageFilter:
◽ untick (by default) : the filter is OFF
◽ ticked : the filter is ON
◾ MovingAveragePeriod: choose the speed of the average
◾ MovingAverageType: choose among all the types of averages available
◾ Applied to: define on which available moment of the Price the average is applied (close, open, highest...)
🛠️ Calculation & Precisions
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🔹 TP1/TP2/TP3
the 3 risk/reward ratios: 1 / 1.5 / 2 are multiples of the height of the grey zone = distance between your StopLoss and the entry line;
🔹 %WIN
Note that the % of success (%WIN) must be entered correctly;
Your risk/reward ratio is key and more important than the % success of the signal; you can have a % success of 30% (%WIN) which creates more points earned than a % success of 60% depending on your risk/reward ratio = the position of your TPs;
🔹 Calculation of points/pips
These are full points and we don't calculate partial outputs.
So if you have a tp1 at 20 and a tp2 at 100, if you get to tp2 you get 100 and not 20+100.
Stoplosses are of course calculated in negative.
🔹 PowerZONES
The originality of our concept is to test how many times a zone has been touched
The more the market has touched this zone the more probable it becomes a strategic zone where the liquidity will accumulate and thus will be chased!
NGL - Bar PatternsThe NGL - Bar Patterns Indicator is a user-friendly and intuitive tool designed for traders of all experience levels. It brings to the fore a unique approach to visualizing the price trends and identifying potential market zones.
This indicator paints the bars on your chart in a variety of colors, representing different price zones.
The changing colors offer an easy-to-understand visual representation of where the price is situated within a range derived from historical highs and lows.
This can help to quickly identify market conditions and potential trading opportunities.
Here's a quick rundown on how to interpret the colors:
Lime: Represents the price zones with the highest bullish momentum. A lime-colored bar indicates that the closing price is well above the historical range. It might be interpreted as a strong bullish momentum.
Green: Slightly less bullish than lime, but still signifies an upward momentum in the price.
Black: Indicates that the price is trending towards the middle of the historical range, possibly indicating a neutral market condition.
Navy: The price is below the middle but not exceedingly bearish.
Red: This color represents an area where the price is starting to show bearish momentum.
Orange: Indicates a stronger bearish momentum than red.
Purple: Represents the area where the price has strong bearish momentum.
Lime (at the bottom): This is the area with the most bearish momentum.
Please note, this indicator should not be used as a standalone decision-making tool, but in combination with other technical analysis methods or indicators. Always consider your risk tolerance and financial situation before entering trades.
Disclaimer: Past performance does not guarantee future results. The information provided by this indicator is for educational purposes only and should not be considered as financial advice. Always do your own research before making investment decisions.
Autocorrelation - The Quant ScienceAutocorrelation - The Quant Science it is an indicator developed to quickly calculate the autocorrelation of a historical series. The objective of this indicator is to plot the autocorrelation values and highlight market moments where the value is positive and exceeds the attention threshold.
This indicator can be used for manual analysis when a trader needs to search for new price patterns within the historical series or to create complex formulas in estimating future prices.
What is autocorrelation?
Autocorrelation in trading is a statistical measure used to determine the presence of a relationship or pattern of dependence between values in a financial time series over time. It represents the correlation of past values in a series with its future values. In other words, autocorrelation in trading aims to identify if there are systematic relationships between the past prices or returns of a security or market and its future prices or returns. This analysis can be helpful in identifying patterns or trends that can be leveraged for informed trading decisions. The presence of autocorrelation may suggest that market prices or returns follow a certain pattern or trend over time.
Limitations of the model
It is important to note that autocorrelation does not necessarily imply a causal relationship between past and future values. Other variables or market factors may influence the dynamics of prices or returns, and therefore autocorrelation could be merely a random coincidence. Therefore, it is essential to carefully evaluate the results of autocorrelation analysis along with other information and trading strategies to make informed decisions.
How to use
The usage is very simple, you just need to add it to the current chart to activate the indicator.
From the user interface, you can manage two important features:
1. Lenght: the delay period applied to the historical series during the autocorrelation calculation can be managed from the user interface. By default, it is set to 20, which means that the autocorrelation ratio within the historical series is calculated with a delay of 20 bars.
2. Threshold: the threshold value that the autocorrelation level must meet can be managed from the user interface. By default, it is set to 0.50, which means that the autocorrelation value must be higher than this threshold to be considered valid and displayed on the chart.
3. Bar color: the color used to display the autocorrelation data and highlight the bars when autocorrelation is valid can be managed from the user interface.
To set up the chart
We recommend disabling the 'wick' and 'border' of the candlesticks from the chart settings for a high-quality user experience.
[TTI] Zanger Volume Ratio - Intraday––––HISTORY & CREDITS 🏦
The Zanger Volume Ratio - Intraday indicator is inspired by the work of Dan Zanger, a renowned trader and creator of the Zanger Volume Ratio tool. This specific adaptation of the ratio is designed for the TradingView platform and focuses on intraday trading. Dan Zanger used this same method of reading the chart to establish a world record in turning HKEX:10 ,775 into HKEX:18 ,000,000 in under 2 years.
––––WHAT IT DOES 💡
The Zanger Volume Ratio - Intraday indicator measures the estimated end-of-day volume percentage based on intraday (depending on the timeframe of your chart) comparisons for the last X days (input in the settings). It provides insights into the stock's trading volume in real-time throughout the trading day, giving traders an idea of the stock's relative volume compared to its recent trading history. For instance if you add it to a 5min chart the ratio represents the estimated end of day volume percent based on the last 3 days, the indicator will compare the cumulative volume of the current day to the X days back cumulative average up to that same point in time and tell you how it is around the thresholds.
The indicator categorizes the volume into five levels: Extreme, High, Average, Light, and Dry Up, each represented by different colors on the chart. It also displays a pace indicator, which shows whether the volume is increasing or decreasing during the trading session.
There is also a label that shows the current reading and its pace. The pace is the indication wether the volume ratio pace is increasing and picking up or it is slowing down.
Thesholds
👉EXTREME (red): >200, means "Volume is 200% of average daily volume
👉HIGH (magenta): 110
👉AVERAGE (peach): 85
👉LIGHT (orange): 60
👉DRY (gray): <60
––––HOW TO USE IT 🔧
To use the Zanger Volume Ratio - Intraday indicator effectively, follow these steps:
1️⃣ Apply the indicator to your TradingView chart with an intraday timeframe (>=1min and less than 1 day).
2️⃣Observe the real-time volume levels and their corresponding categories (Extreme, High, Average, Light, and Dry Up) to understand the current volume dynamics.
3️⃣Keep an eye on the pace indicator (arrows) to see if the volume is increasing or decreasing during the session.
4️⃣Use the information provided by the indicator to confirm trade setups, identify potential breakouts, or detect possible reversals. For example, a stock breaking out of a key area with high or extreme volume and an increasing pace arrow may indicate a strong upward move. Conversely, a stock pulling back on light or dry up volume could signal a continuation of the trend once the volume picks up again.
Remember to combine the Zanger Volume Ratio - Intraday indicator with other technical analysis tools and your own trading strategy to make informed decisions.
APIBridge Candlestick Reversal SystemStrategy Premise
This strategy uses the Wick Reversal System introduced in Pivot Boss and generates signals based on Candlestick Patterns.
– Wick Reversal System
– Extreme Reversal System
– Outside Reversal System
– Doji Reversal System
Wick Reversal System:
1. For a Bullish reversal wick to exist, the close of the bar should fall within the top 35% of the overall range of the candle.
2. For a bearish reversal wick to exist, the close of the bar should fall within the bottom 35% of the overall range of the candle.
Extreme Reversal System:
1. The first bar of the pattern is about two times larger than the average size of the candles in the look-back period.
2. The body of the first bar of the pattern should encompass more than 50% of the bar’s total range, but usually not more than 85%.
3. The second bar of the pattern opposes the first. If the first bar of the pattern is bullish (C > 0), then the second bar must be bearish (C < 0). If the first bar is bearish (C < 0), then the second bar must be bullish (C > 0).
Outside Reversal System:
1. The Engulfing bar of a bullish outside reversal setup has a low that is below the prior bar’s low (L < L) and a close that is above the prior bar’s high (C > H).
2. The Engulfing bar of a bearish outside reversal setup has a high that is above the prior bar’s high (H > H) and a close that is below the prior bar’s low (C < L).
3. The Engulfing bar is usually 5 to 25 percent larger than the size of the average bar in the look-back period.
Doji Reversal System:
1. The open and close prices 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 (H SMA (10)).
4. For a Bearish Doji , one of the two bars following the Doji must close beneath the low of the Doji (C < L or C < L).
5. For a Bullish Doji setup, one of the two bars following the Doji must close above the high of the Doji (C > H) or C > H)
Strategy Logic
Long Entry:
When Low Pivot Point and Wick Reversal System and Bullish Wick Reversal Setup Pattern Send, LE
OR When Low Pivot Point and Extreme Reversal System and Bullish Extreme Reversal setup Send ,LE
OR When Low Pivot Point and Outside Reversal System and Bullish Outside Reversal Setup Send LE
OR When Low Pivot Point and Doji Reversal System and Bullish Doji Reversal Setup Send, LE
Long Exit:
Either when SL or Target is hit. If SL/ TGT is not hit and
When High Pivot Point and Wick Reversal System and Bearish Wick Reversal Setup Pattern Send LXSE
OR When High Pivot Point Extreme Reversal System and Bearish Extreme Reversal setup Send LXSE
OR When High Pivot Point Outside Reversal System and Bearish Outside Reversal Setup Send LXSE
OR When High Pivot Point Doji Reversal System and Bearish Doji Reversal Setup Send, LXSE
Short Entry:
When High Pivot Point and Wick Reversal System and Bearish Wick Reversal Setup Pattern Send SE
OR When High Pivot Point Extreme Reversal System and Bearish Extreme Reversal setup Send SE
OR When High Pivot Point Outside Reversal System and Bearish Outside Reversal Setup Send SE
OR When High Pivot Point Doji Reversal System and Bearish Doji Reversal Setup Send, SE
Short Exit:
Either when SL or Target is hit. If SL/ TGT is not hit and
When Low Pivot Point and Wick Reversal System and Bullish Wick Reversal Setup Pattern Send, SXLE
OR When Low Pivot Point and Extreme Reversal System and Bullish Extreme Reversal setup Send ,SXLE
OR When Low Pivot Point and Outside Reversal System and Bullish Outside Reversal Setup Send SXLE
OR When Low Pivot Point and Doji Reversal System and Bullish Doji Reversal Setup Send, SXLE
Candlestick Reversal System Algo Strategy Parameters for TradingView Charts
1.Length: This is number of bars used to calculated Ex: 14 à previous 14 candles are used
2.Backtesting : Use this to backtest the strategy between Starting and Ending Date and time , it can also be used to set trades in future time
3.Alert_Message : Need to copy while creating alert into Message Box
4.Trade Setup : Intraday / Positional (Selecct accordingly)
5.Start Time Stop Time (Session 1) : Intraday / Positional start time and end time of trade for session 1
6.End Session 1 : Define time to exit any existing position taken in session 1 so that exchange charges will not apply
7.Use Second Session : Check this to use second intraday session
8.Start Time Stop Time (Session 2) : Intraday / Positional start time and end time of trade for session 2
9.End Session 1 : Define time to exit any existing position taken in session 2 so that exchange charges will not apply
10.Use Target : check if you want to set required target if not cheque will not applicable
11.Use StopLoss : Cheque if you want to set stop loss if not cheque will not applicable
12.Trailling Stoploss : Cheque if you want to set trailing stop loss if not cheque will not applicable
13.Point Or Percentage For TG SL : Use Points or Percentage as per your choice
14.Target : Set as per the selection of (Point Or Percentage For TG SL)
15.Stop Loss : Set as per the selection of (Point Or Percentage For TG SL)
16.TSL_Type : Select as per your logic in %/ATR/Points
17.TSL_Input : Set in case you select %/Points in TSL_Type
18.ATR Length : Set as per your logic if you select ATR in the field of TSL_Type
19.ATR_Mult : Set as per your logic if you select ATR in the field of TSL_Type
20.Segment : Select segment of your logic EQ/FUTIDX/FUTSTK/OPTIDX/OPTSTK/FUTCUR/FUTCUM (Used in case of option / Futures )
21.Select Expiry Date : Select the expiry date of your trade as per the segment you selected (Used in case of option / Futures )
22.Select Expiry Month : Select the expiry Month of your trade as per the segment you selected (Used in case of option / Futures )
23.Year : Select the expiry Year of your trade as per the segment you selected (Used in case of option / Futures )
24.Quantity : Enter the quantity in which you want to trade (Used in case of option / Futures )
25.Product Type : Select MIS/Normal/ CNC as per your logic (Used in case of option / Futures )
26.Order Type : Select Market/Limit as per your logic (Used in case of option / Futures )
27.Strategy Tag : Enter the value in case you are using webhook / advance template in APIBridgeTM
28.Lotsize : Enter the lotsize as per your lotic and quentity selection (Used in case of option / Futures )
29.STEP (OTM/ATM/ ITM ) : Select OTM(+1)/ATM(0)/ ITM (-1) as per your logic works in case of options only
30.DIFFERENCE_BETWEEN 2 STRIKE : Select difference of 2 strikes you have used in APIBridge symbol setting list, like for Nifty 50 BankNifty 100
31.APIB Port : Set as per provided to you by Algoji in case of webhook / advance templet
The Segment full form is given below
EQ Equity
FUTIDX Future Index
FUTSTK Future Stock
OPTIDX Index Option
OPTSTK Stock Option
FUTCUR Futcur Currency
FUTCUM Future Commodity
Candlestick Patterns indicator V1 This indicator detects 4 candlestick patterns on the chart with confluences of EMA and market trend.
The indicator first considers the body percentages for candles and then checks the conditions for the formation of candlestick patterns.
This indicator detects the following patterns.
Pinbar
Morning & Evening Doji star
Engulfing Pattern
Tweezer Pattern
Let's talk about how the indicator detects these patterns.
Pinbar:
For Pinbar, the indicator takes the following inputs for body analysis.
Body above or below %: Using this parameter, the indicator looks for pin bar formation in which the candle's body is at specifying distance form the high or low of the candles.
Body Upper Limit: This specifies the maximum size for the body of pinbar relative to its total range.
Body Lower Limit: This specifies the minimum size for the body of pinbar relative to its total range.
Engulfing Candle:
For Engulfing Candle, the indicator takes the following inputs for body analysis.
Body Percentage of Big Candle: This specifies the size of the body of a bigger candle or the latest candle
Body Percentage of Small Candle: This specifies the size of the body for small candle that is being engulfed.
Tweezer Candle:
For Tweezer Candle, the indicator takes the following inputs for body analysis.
At what percentage should the second candle close: This specifies the close of the latest candle relative to the first candle
Body Percentage of First Candle: This specifies the size of the body of first or former candle
Body Percentage of Second Candle: This specifies the size of the body for the second or latest candle
Doji Star Candle:
For Doji Star Candle, the indicator takes the following inputs for body analysis.
Body Percentage of First Candle: This specifies the size of the body of the first candle
Body Percentage of Second Candle: This specifies the size of the body of the Second or middle candle
Body Percentage of Third Candle: This specifies the size of the body for the Third or latest candle
At what percentage should the last candle close: This specifies the close of the latest candle relative to the first candle
Also, for each candlestick, there is an option to show or hide the label and change the colour of the labels
Elliott Wave Theory [Alerts]This indicator may be one of the first to provide signals & alerts for the Elliott Wave Theory Pattern. Unfortunately, there are few, if any, indicators that are public which allow the Elliott Wave Theory to be plotted+with alerts.
Because this is experimental, I'm going to offer access to it free of charge. Send me a direct message requesting access.
Elliott Wave Theory is a complex chart pattern to learn, and even harder to master. It requires being able to identify the wave lengths of price history and using various tools to plot and assess the price structure in order to find the wave counts. Whilst there are many ways to compute the waves apart of the pattern, there is no universal method that everyone would agree upon. For this indicator, I am using the traditional method.
The different colors represent different cycle types. Using it on a higher timeframe is strongly encouraged for best results.
This version currently provides alerts for the final wave, wave 5. I WILL BE ADDING MORE TO THIS INDICATOR SHORTLY, SEE BELOW:
-Will be adding the other counts to display all the waves
-Will be adding 'correction wave' alerts
-Will be adding 'inverse' pattern alerts
-Will be improving the the labels to include their cycle type
This is not a buy & sell indicator.. This is a TOOL to help analyze the market using Elliott Wave Theory.
The indicator should be used for the following:
-Aiding with EWT analysis
-Helping find potential exit points
-Assist with learning EWT by using this as a template
-Timing trades and improving risk management
-Plotting the overall market
