This indicator finds candlesticks which are confined within the range of a previous candlestick. This indicates volatility contraction which often leads to volatility expansion, i.e. large price movements.
While every confined range will contain at least 1 inside bar, this indicator differs from the Inside Bar Finder which only finds consecutive inside bars.
This indicator includes options such as: - The minimum number of candlesticks confined within the range of a previous candlestick to trigger the indicator - Labels to indicate the number of confined candles - Signal lines to indicate the high and low of the containing candlestick
Try out this indicator with different options on different timeframes to see if confined ranges increase the probability of identifying the direction of price movements. Breaks or closes outside signal lines can be used to trigger trade signals.
Merci pour ce script... est-il possible d'ajouter une option permettant de n'afficher que la dernière plage (c'est-à-dire de supprimer les anciennes plages) ? Merci de votre compréhension.
Food_Plus
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@Food_Plus, Thank you for this script... is it possible to add an option to display only the last range (i.e. delete the old ranges)? Thanks
MojePieniadze
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Hey ... really like the script but i am not sure about one thing ... when i set the 'minimum # of contained candles' to 2 ... then it plots the high/low lines to the left of the 'mother' bar ... is it a bug?
SkyHighTA
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@MojePieniadze, I have not seen that in my testing. Can you please tell me the ticker, exchange, timeframe, and date where I can see the issue? Thank you.
pankul55555
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Simple & effective .If you add inside bar finder to same with # of candle for inside bar < # of bars of Confirmed range finder ,breakout of inside bar can give direction where range could be breaking as well ..Let me know what you think..
SkyHighTA
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@pankul55555, While it makes for later signals, I find closes above/below the outermost candle are more reliable than breaks of the innermost inside bar. But if there is a series of inside bars nested within the confined range, I can see how that might tip the odds in favor of a break one way or the other. It's a good thought.