Smart Disparity IndexThe Smart Disparity Index (SDI) is an optimized version of the Disparity Index indicator invented by Steve Nison (book "Beyond Candlesticks").
According to Steve Nison, "The disparity index (or disparity ratio), compares, as a percentage, the latest close to a chosen moving average", which means that the indicator gives the difference in % between the closing price and a simple moving average.
The calculation formula is therefore as follows:
Disparity Index = 100 x (closing_price - simple_moving_average) / simple_moving_average
In order to optimize the calculation, I replaced the closing price with the 6-period exponential moving average (EMA6) which, according to many years of experience, allows prices to be smoothed by eliminating excesses.
Formula for calculating the Smart Disparity Index:
SDI = 100 x (EMA6 - simple_moving_average) / simple_moving_average
The provided script displays the SDI for the 20, 50, 100 and 200 periods.
From my point of view, I recommend using the SDI50 as a priority:
SDI50 = 100 x (EMA6 - SMA50) / SMA50
In the chart, we can see the SDI50 (in purple) is on a long-term support (in green), this indicates a probability of a Bitcoin rise in the coming months.
The SDI can also be used as a momentum type indicator.
中心震荡指标
Ichimoku Cloud with MACD and Trailing Stop Loss (by Coinrule)The Ichimoku Cloud is a collection of technical indicators that show support and resistance levels, as well as momentum and trend direction. It does this by taking multiple averages and plotting them on a chart. It also uses these figures to compute a “cloud” that attempts to forecast where the price may find support or resistance in the future.
The Ichimoku Cloud was developed by Goichi Hosoda, a Japanese journalist, and published in the late 1960s. It provides more data points than the standard candlestick chart. While it seems complicated at first glance, those familiar with how to read the charts often find it easy to understand with well-defined trading signals.
The Ichimoku Cloud is composed of five lines or calculations, two of which comprise a cloud where the difference between the two lines is shaded in.
The lines include a nine-period average, a 26-period average, an average of those two averages, a 52-period average, and a lagging closing price line.
The cloud is a key part of the indicator. When the price is below the cloud, the trend is down. When the price is above the cloud, the trend is up.
The above trend signals are strengthened if the cloud is moving in the same direction as the price. For example, during an uptrend, the top of the cloud is moving up, or during a downtrend, the bottom of the cloud is moving down.
The MACD is a trend following momentum indicator and provides identification of short-term trend direction. In this variation it utilises the 12-period as the fast and 26-period as the slow length EMAs, with signal smoothing set at 9.
This strategy combines the Ichimoku Cloud with the MACD indicator to better enter trades.
Long/Exit orders are placed when three basic signals are triggered.
Long Position:
Tenkan-Sen is above the Kijun-Sen
Chikou-Span is above the close of 26 bars ago
Close is above the Kumo Cloud
MACD line crosses over the signal line
Exit Position:
Price increases 3% trailing
Price decreases 3% trailing
The script is backtested from 1 June 2022 and provides good returns.
The strategy assumes each order is using 30% of the available coins to make the results more realistic and to simulate you only ran this strategy on 30% of your holdings. A trading fee of 0.1% is also taken into account and is aligned to the base fee applied on Binance.
BTC Indicator By Megalodon TradingThis indicator is designed help you see the potential reversal zones and it helps you accumulate for the long run.
This combines price data on any chart. The chart isolates between 0 and -100. Below -80 is a buy, above -20 is a sell location.
In these locations, try to Slowly Buy and Slowly Sell (accumulate...)
Story Of This Indicator
~I was always obsessed with Fibonacci and used Fibonacci all the time. Thus, i wanted to make a tool to see buying locations and selling locations.
Instead of drawing fibonacci's and manually interpreting buy/sell locations, i wanted algorithms to do the job for me. So, i created this algorithm and many more like it.
If you think i did a good job and want to do further work with me, feel free to contact.
I have a ton of other tools that can change everything for your trading/investing.
Best wishes
~Megalodon
RSI Objective LinesThe RSI is a contrarian indicator bounded between 0 and 100 where values close to the area of 30 represent an oversold condition and values close to the area of 70 represent an overbought condition.
Generally, we use the area of 70/75 and the area of 30/25 as extremes that signal a market reversal or a correction. But what if we calculate a simple way to make these levels more dynamic?
The main idea from these objective support and resistance levels is that market regime and dynamics move and as such fixed levels are unlikely to always provide value which means that we can try creating variable levels. The objective support and resistance levels are created following these steps:
* Calculate a 14-period RSI on the close price, let's call this RSI_Close.
* Calculate a 14-period RSI on the high price, let's call this RSI_High.
* Calculate a 14-period RSI on the low price, let's call this RSI_Low.
* Calculate the maximum range which is the highest value of RSI_High in the last 200 periods minus the lowest value of RSI_Low in the last 200 periods. Let's call this Max_Range
* Define the range width. By default, it is set to 5%. Let's call this Threshold.
* The objective support is calculated as the sum of the RSI_Low + (Max_Range * Threshold).
* The objective resistance is calculated as the sum of the RSI_High - (Max_Range * Threshold).
The levels are used in the same way as the oversold and overbought levels. They are more dynamic as they take into account the fluctuations of the RSI so you might see at some point in time a support at 20 and at another at 35.
Adaptive Fisherized CMOIntroduction
Heyo, here is another no-repaint adaptive fisherized indicator.
I added Inverse Fisher Transform, Ehlers dominant cycle analysis and smoothing to the Chande Momentum Oscillator (CMO).
Usage
The CMO is a momentum oscillator which shows the usual movement of an asset.
I recommend to use it from a lower timeframe with a higher timeframe set.
Signals
(Signal mode will come soon.)
Zero Line
CMO crosses above zero line => enter long
CMO cross below zero line => ente short
Overbought/Oversold
CMO crosses above bottom band => enter long
CMO crosses under top band => enter short
MA (Maybe this signals will vary. Then, check update notes.)
CMO crosses above MA => enter long
CMO crosses below MA => enter short
Enjoy and share your experience with it!
More to read: CMO Explanationsp
Rob Booker Reversal Tabs StrategyRob Booker Reversal Tabs Strategy is an updated version of Rob Bookers Reversal Tab study: Rob Booker Reversal Tabs
While the original is a Pinescript study, this version can be switched between strategy and indicator mode.
Rob Bookers script generates reversal signal based on MACD and Stochastics, it is not a true reversal system, default pyramiding value is set to 5.
Inputs determine MACD and Stochastics settings. The only additional input is the "Strategy Mode" checkbox.
This script works well on its own for some tickers, but like any reversal pattern generating scripts, traders will profit from looking at overall price action and trend strength before making a trade.
From the original:
A simple reversal pattern indicator that uses MACD and Stochastics.
Created by Rob Booker and programmed by Andrew Palladino.
Please note that I only updated the original to V5 and edited it to be a strategy, which was a grand total of 5 minutes of work. I updated it because I wanted to see how the script performs as a strategy and I'm publishing it in case others would like to use it. I take no credit whatsoever for the original and WILL take this version down if Rob Booker or his Team ask me to or decide to release their own strategy version of the original.
Check out Rob Bookers scripts and ideas on his Tradingview account: robbooker
Adaptive Fisherized KSTIntroduction
Heyo guys, here is a new adaptive fisherized indicator of me.
I applied Inverse Fisher Transform, Ehlers dominant cycle analysis,
smoothing and divergence analysis on the Know Sure Thing (KST) indicator.
Moreover, the indicator doesn't repaint.
Usage
I didn't backtest the indicator, but I recommend the 5–15 min timeframe.
It can be also used on other timeframs, but I have no experience with that.
The indicator has no special filter system, so you need to find an own combo in order to build a trading system.
A trend filter like KAMA or my Adaptive Fisherized Trend Intensity Index could fit well.
If you find a good combo, let me know it in the comments pls.
Signals
Zero Line
KST crossover 0 => Enter Long
KST crossunder 0 => Enter Short
Cross
KST crossover KST MA => Enter Long
KST crossunder KST MA => Enter Short
Cross Filtered
KST crossover KST MA and KST above 0 => Enter Long
KST crossunder KST MA and KST under 0 => Enter Short
KST crossunder 0 => Exit Long
KST crossover 0 => Exit Short
More to read: KST Explanation
Enjoy and let me know your opinion!
--
Credits to
- @tista
- @blackcat1402
- @DasanC
- @cheatcountry
Wavetrend in Dynamic Zones with Kumo Implied VolatilityI was asked to do one of those, so here we go...
As always free and open source as it should be. Do not pay for such indicators!
A WaveTrend Indicator or also widely known as "Market Cipher" is an Indicator that is based on Moving Averages, therefore its an "lagging indicator". Lagging indicators are best used in combination with leading indicators. In this script the "leading indicator" component are Daily, Weekly or Monthly Pivots . These Pivots can be used as dynamic Support and Resistance , Stoploss, Take Profit etc.
This indicator combination is best used in larger timeframes. For lower timeframes you might need to change settings to your liking.
The general Wavetrend settings are the same that are used in Market Cipher, Market Liberator and such popular indicators.
What are these circles?
-These are the WaveTrend Divergences. Red for Regular-Bearish. Orange for Hidden-Bearish. Green for Regular-Bullish. Aqua for Hidden-Bullish.
What are these white, orange and aqua triangles?
-These are the WaveTrend Pivots. A Pivot counter was added. Every time a pivot is lower than the previous one, an orange triangle is printed, every time a pivot is higher than the previous one an aqua triangle is printed. That mimics a very common way Wavetrend is being used for trading when using those other paid Wavetrend indicators.
What are these Orange and Aqua Zones?
-These are Dynamic Zones based on the indicator itself, they offer more information than static zones. Of course static lines are also included and can be adjusted.
What are the lines between the waves?
-This is a Kumo Cloud Implied Volatility indicator. It is color coded and can be used to indicate if a major market move/bottom/top happened.
What are those numbers on the right?
-The first number is a Bollinger Band indicator that shows if said Bollinger Band is in a state of Oversold/Overbought, the second number is the actual Bollinger Band Width that indicates if the Bollinger Band squeezes, normally that happens right before the market makes an explosive move.
Please keep in mind that this indicator is a tool and not a strategy, do not blindly trade signals, do your own research first! Use this indicator in conjunction with other indicators to get multiple confirmations.
TRIX With Moving Average - Didi's Needles setupTrix with Moving Average ( SMA or EMA ) and Fill Color. Pre-set for the Didi's Needles setup
Length: Trix Length
Use Ema: True will use an EMA , False will use an SMA .
Moving Average: Moving average used in the TRIX value.
Fill: True will fill the interior between the Trix and the MA with the color of the line above it.
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Trix com Média Movel ( MMS e MME) pré configurado para o setup de Agulhadas do Didi
Length: Comprimento do Trix
Use Ema: Verdadeiro usará uma MME , Falso usará uma MMS .
Moving Average: Média móvel utilizada no valor TRIX .
Fill: Verdadeiro irá preencher o interior entre o Trix e a MA com a cor da linha que está em por cima
Fusion Oscillator (COMBINED RSI+MFI+MACD+CCI+TSI+RVI)The Fusion Oscillator aggregates several extremely-similar directional oscillators (RSI, MFI, MACD, CCI, TSI, RVI) into one average to visualize indicator agreement. To do this, I normalized several oscillators between to ensure equal weight.
The white line is the directional oscillator . The yellow line (turned off) is the nondirectional oscillator - namely, the ADX and ATR - this determines the buy/sell signals in conjunction with overbought/oversold levels for the directional oscillator.
The overall length is the sensitivity of the oscillator, not the lookback period. The maximum that works on the default settings is 3. Higher means less sensitive and more accurate.
I hope you all find this useful!
VFIBs AgreementVFIBs Agreement is a custom oscillator, using Volume Weighted Fibonacci Bands (VFIBs).
The two values in yellow and teal relate to the price action and where they fall in the Fibonacci Bands for the 50 and 200 VWMAs, respectively. These values are scaled logarithmically, making it so that the 7 period moving averages of the values tend to 'stick' to the top (just above 20) or bottom (just below -20). When the background color is deep red, this indicates that there is bullish momentum and likely a bull market. The inverse, in green, represents bearish momentum or a bear market. These colors correspond to the 200 period VFIB.
The bands of the VFIBs are broken down by fibonacci values as different channels, moving alongside the mid-line above and below. The price action will go between these values, showing where it is in the extremes. This is what VFIBs agreement represents.
In order for an uptrend to begin, the two VFIBs must 'agree'. With the 50 period VFIB trending up, it doesn't matter if it keeps getting rejected by the 200 period, as we can see with Bitcoin. When the 50 period VFIB starts to pull the 200 period up or down, it could indicate an imminent reversal.
This indicator works well with any market that you would use the VFIBs in. Mid and large cap stocks, top cryptocurrencies, and indices are my top choices.
TASC 2022.12 Short-Term Continuation And Reversal Signals█ OVERVIEW
TASC's December 2022 edition Traders' Tips includes an article by Barbara Star titled "Short-Term Continuation And Reversal Signals". This is the code that implements the concepts presented in this publication.
█ CONCEPTS
The article takes two classic indicators, the Commodity Channel Index (CCI) and the Directional Movement Indicator (DMI), makes changes to the traditional ways of visualizing their readings, and uses them together to generate potential signals. The author first discusses the benefits of converting the DMI indicator to an oscillator format by subtracting the −DI from the +DI, which is then displayed as a histogram. Next, the author shows how the use of an on-chart visual framework (i.e., choosing the line style and color, coloring price bars, etc.) can help traders interpret the signals produced the considered pair of indicators.
█ CALCULATIONS
The article offers the following signals based on the readings of the DMI and CCI pair, suitable for several types of trades:
• Short-term trend change signals:
A DMI oscillator above zero indicates that prices are in an uptrend. A DMI oscillator below the zero line and falling means that selling pressure is dominating and price is trending down. The sign of the DMI oscillator is indicated by the color of the price bars (which correlates with the color of the DMI histogram). Namely, green, red and grey price bars correspond to the DMI oscillator above, below and equal to zero . Colored price bars and the DMI oscillator make it easy for trend traders to recognize changes in short-term trends.
• Trend continuation signals:
Blue circles appear near the bottom of the oscillator chart border when the DMI is above the zero line and the price is above its simple moving average in an uptrend . Dark red circles appear near the top of the chart in a downtrend when the DMI oscillator is below its zero line and below the 18-period moving average. Trend continuation signals are useful for those looking to add to existing positions, as well as for traders waiting for a pullback after a trend has started.
• Reversal signals:
The CCI signals a reversal to the downside when it breaks out of its +100 and then returns at some point, crossing below the +100 level. This is indicated by a magenta-colored diamond shape near the top the chart. The CCI signals a reversal to the upside when it moves below its −100 level and then at some point comes back to cross above the −100 level. This is indicated by a yellow diamond near the bottom of the chart. Reversal signals offer short-term rallies for countertrend traders as well as for swing traders looking for longer-term moves using the interplay between continuation and reversal signals.
FFT Strategy Bi-Directional Stop/Profit/Trailing + VMA + AroonThis strategy uses the Fast Fourier Transform inspired from the source code of @tbiktag for the Fast Fourier Transform & @lazybear for the VMA filter.
If you are not familiar with the Fast Fourier transform it is a variation of the Discrete Fourier Transform. Veritasium on youtube has a great video on it with a follow up recommendation from 3brown1blue. In short it will extract all the frequencies from a set of data. @tbiktag laid the groundwork for creating the indicator which will allow you to isolate only those signals which are the most relevant and remove the noise. I recommend having @tbiktag's FFT Transform indicator side by side with this to understand what my variation is doing by setting similar settings .
Using this idea, you can then optimize a strategy to the frequencies that are best. The main entry signal is when the FFT Signal crosses above or below the 0 line .
Included with this strategy is the ability to optionally bi-directionally set:
Stop Loss
Trailing Stop Loss
Take Profit
Trailing Take Profit
Entries are optionally further filtered by use of the VMA using the algorithm from LazyBear which allows you to adjust a variable moving average with 3 market trend detections. Green represents upwards momentum; Blue sideways trading and Red downwards momentum. The idea being to filter out buy or sell entries unless the market is moving in that direction, and this makes a big difference as you can see for yourself when you turn it off or on. Turning it off will change the color of the FFT signal to orange instead of the green, blue, red colors .
I have added 2 custom stop loss types as well for experimentation:
1. VMA Filter stop loss to exit the trade if the VMA detects a market trend direction change matching the rules you have set. I have set this to off by default, but it is there so you can see what affect it may have on other tickers. It can increase the profit factor but usually at a cost of net profit.
2. The Aroon Filter stop loss with different lengths for the short or long direction. For the Aroon strategy (which is a trend change detector) it is considered bullish if the upper line (green in my code) is above 70 and the lower line (red in my code) is below 30 and the opposite for the bearish case. With this in mind, I have set it to filter by default only the extreme ends (99 and 1) to increase profit factor and net profit but I encourage you to try different settings and see how it affects things. Turning this off yields much higher net profit but at the cost of the profit factor and drawdown . To disable this just uncheck the 'Use Aroon Filter Long' (or short) and it will also hide the aroon graphics and crosses on the plot.
I will be adding more features in an attempt to lower the drawdown on this strategy but I hope you enjoy what I have so far!
Adaptive Fisherized CMFIntroduction
Heyo, here I made a normalized Chaikin Money Flow (CMF) indicator with Inverse Fisher Transform (IFT) and some smoothing techniques.
I had to normalize the indicator in order to fit it to the IFT range (-1 -> 1).
Moreover, the good old adaptive mode is also included in this indicator. It uses Ehlers superb dominant cycle techniques.
It also has divergence detection, several options for individualisation and doesn't repaint.
Usage
www.investopedia.com
Signals
CMF above 0 => bullish market
CMF below 0 => bearish market
(You can also use the inner bands instead of the zero line, to make these signals more precise)
Bullish regular/hidden divergence => long
Bearish regular/hidden divergence => short
Enjoy guys!
PS: I really would like to hear some feedback of you.
Adaptive Fisherized ROCIntroduction
Hello community, here I applied the Inverse Fisher Transform, Ehlers dominant cycle determination and smoothing methods on a simple Rate of Change (ROC) indicator
You have a lot of options to adjust the indicator.
Usage
The rate of change is most often used to measure the change in a security's price over time.
That's why it is a momentum indicator.
When it is positive, prices are accelerating upward; when negative, downward.
It is useable on every timeframe and could be a potential filter for you your trading system.
IMO it could help you to confirm entries or find exits (e.g. you have a long open, roc goes negative, you exit).
If you use a trend-following strategy, you could maybe look out for red zones in an in uptrend or green zones in a downtrend to confirm your entry on a pullback.
Signals
ROC above 0 => confirms bullish trend
ROC below 0 => confirms bearish trend
ROC hovers near 0 => price is consolidating
Enjoy! 🚀
MTF Commodity Oddity Index (CCI+)MTF Commodity Oddity Index (CCI+)
This chart overlay indicator is based upon the Commodity Channel Index (CCI) and can signal multiple triple-timeframe CCI overbought and oversold confluences directly onto your chart, intended for use as a confluence either for reversal trade entries, or potential trade exits, indicating where price may be probable to reverse.
Features include:
- Primary set of fully configurable triple-timeframe overbought and oversold signals, indicating where 3 selected timeframes are all overbought or all oversold at the same time. Enabled by default.
- Secondary set of fully configurable triple-timeframe overbought and oversold signals, indicating where 3 selected timeframes are all overbought or all oversold at the same time. Enabled by default.
- Optional drawing of background colours and/or ribbon seen at bottom of the chart image.
- The default primary MTF #1 timeframes are set to 1 minute, 5 minute and 15 minute. These are highly suitable for low timeframe scalpers trading on < 5m charts, and can often pin point price reversals.
- The default Secondary MTF #2 timeframes are set to 15 minute, 30 minute and 120 minute. These are suitable for both low timeframe scalpers and considerably higher timeframe traders.
- Independent alerts for MTF #1 and MTF #2 triple-timeframe confluences, including options for alerting MTF overbought and MTF oversold individually, as well as an option for alerting either overbought or oversold in a single combined alert.
- Also includes standard configurable CCI options, including CC length and source type.
Note: The features listed above are accurate at the time of publishing but maybe updated or added to in future.
A similar MTF CCI indicator is also available as a panel indicator here .
This indicator is based upon the original MTF Fantastic Stochastic (FS+) available here .
What is the Commodity Channel Index (CCI)?
Investopedia has described the popular oscillator as follows:
“The Commodity Channel Index (CCI) is a momentum-based oscillator used to help determine when an investment vehicle is reaching a condition of being overbought or oversold.
Developed by Donald Lambert, this technical indicator assesses price trend direction and strength, allowing traders to determine if they want to enter or exit a trade, refrain from taking a trade, or add to an existing position. In this way, the indicator can be used to provide trade signals when it acts in a certain way.”
You can read more about the CCI , its use cases and calculations here .
How do traders use overbought and oversold levels in their trading?
The oversold level, that is traditionally when the CCI is above the 100 level is typically interpreted as being 'overbought', and below the -100 level is typically considered 'oversold'. Traders will often use the CCI at an overbought level as a confluence for entry into a short position, and the CCI at an oversold level as a confluence for an entry into a long position. These levels do not mean that price will necessarily reverse at those levels in a reliable way, however. This is why this version of the CCI employs the triple timeframe overbought and oversold confluence, in an attempt to add a more confluence and reliability to this usage of the CCI . While traditionally, the overbought and oversold levels are below -100 for oversold, and above 100 for overbought, the default threshold settings of this indicator have been increased to provide fewer, stronger signals, especially suited to the low timeframes and highly volatile assets.
MTF CCI + Realtime DivergencesMulti-timeframe Commodity Channel Index (CCI) + Realtime Divergences + Alerts
This version of the CCI includes the following features:
- Optional 2x sets of triple-timeframe overbought and oversold signals with fully configurable timeframes and overbought and oversold thresholds, can indicate where 3 selected timeframes are all overbought or all oversold at the same time, with alert option.
- Optional divergence lines drawn directly onto the oscillator in realtime, with alert options.
- Configurable pivot periods to fine tune the divergences drawn in order to suit different trading styles and timeframes, including the ability to enable automatic adjustment of pivot period per chart timeframe.
- Alternate timeframe feature allows you to configure the oscillator to use data from a different timeframe than the chart it is loaded on.
- 'Hide oscillator' feature allows traders to hide the oscillator itself, leaving only the background colours indicating the overbought and oversold periods and/or MTF overbought and oversold confluences, as seen in the chart image.
- Also includes standard configurable CCI options, including CCI length and source type. Defaults set to length 20, and hlc3 source type.
- Optional Flip oscillator feature, allows users to flip the oscillator upside down, for use with Tradingviews 'Flip chart' feature (Alt+i), for the purpose of manually spotting divergences, where the trader has a strong natural bias in one direction, so that they can flip both the chart and the oscillator.
- Optional 'Fade oscillator' feature, which will fade out all but the most recent period, reducing visual noise on the chart.
While this version of the CCI has the ability to draw divergences in realtime along with related alerts so you can be notified as divergences occur without spending all day watching the charts, the main purpose of this indicator was to provide the triple-timeframe overbought and oversold confluence signals, in an attempt to add more confluence, weight and reliability to the single timeframe overbought and oversold states, commonly used for trade entry confluence. It's primary purpose is intended for scalping reversal trades on lower timeframes, typically between 1-15 minutes, which can be used in conjunction with the regular divergences the indicator can highlight. The triple timeframe overbought can often indicate near term reversals to the downside, with the triple timeframe oversold often indicating neartime reversals to the upside. The default timeframes for this confluence are set to check the 1m, 5m and 15m timeframes together, ideal for scalping the < 15 minute charts. The default settings for the MTF #1 timeframes (1m, 5m and 15m) are best used on a <5 minute chart.
Its design and use case is based upon the original MTF Stoch RSI + Realtime Divergences found here .
Commodity Channel Index (CCI)
Investopedia has described the popular oscillator as follows:
“The Commodity Channel Index (CCI) is a momentum-based oscillator used to help determine when an investment vehicle is reaching a condition of being overbought or oversold.
Developed by Donald Lambert, this technical indicator assesses price trend direction and strength, allowing traders to determine if they want to enter or exit a trade, refrain from taking a trade, or add to an existing position. In this way, the indicator can be used to provide trade signals when it acts in a certain way.”
You can read more about the CCI, its use cases and calculations here .
How do traders use overbought and oversold levels in their trading?
The oversold level, that is traditionally when the CCI is above the 100 level is typically interpreted as being 'overbought', and below the -100 level is typically considered 'oversold'. Traders will often use the CCI at an overbought level as a confluence for entry into a short position, and the CCI at an oversold level as a confluence for an entry into a long position. These levels do not mean that price will necessarily reverse at those levels in a reliable way, however. This is why this version of the CCI employs the triple timeframe overbought and oversold confluence, in an attempt to add a more confluence and reliability to this usage of the CCI. While traditionally, the overbought and oversold levels are below -100 for oversold, and above 100 for overbought, he default threshold settings of this indicator have been increased to provide fewer, stronger signals, especially suited to the low timeframes and highly volatile assets.
What are divergences?
Divergence is when the price of an asset is moving in the opposite direction of a technical indicator, such as an oscillator, or is moving contrary to other data. Divergence warns that the current price trend may be weakening, and in some cases may lead to the price changing direction.
There are 4 main types of divergence, which are split into 2 categories;
regular divergences and hidden divergences. Regular divergences indicate possible trend reversals, and hidden divergences indicate possible trend continuation.
Regular bullish divergence: An indication of a potential trend reversal, from the current downtrend, to an uptrend.
Regular bearish divergence: An indication of a potential trend reversal, from the current uptrend, to a downtrend.
Hidden bullish divergence: An indication of a potential uptrend continuation.
Hidden bearish divergence: An indication of a potential downtrend continuation.
How do traders use divergences in their trading?
A divergence is considered a leading indicator in technical analysis , meaning it has the ability to indicate a potential price move in the short term future.
Hidden bullish and hidden bearish divergences, which indicate a potential continuation of the current trend are sometimes considered a good place for traders to begin, since trend continuation occurs more frequently than reversals, or trend changes.
When trading regular bullish divergences and regular bearish divergences, which are indications of a trend reversal, the probability of it doing so may increase when these occur at a strong support or resistance level . A common mistake new traders make is to get into a regular divergence trade too early, assuming it will immediately reverse, but these can continue to form for some time before the trend eventually changes, by using forms of support or resistance as an added confluence, such as when price reaches a moving average, the success rate when trading these patterns may increase.
Typically, traders will manually draw lines across the swing highs and swing lows of both the price chart and the oscillator to see whether they appear to present a divergence, this indicator will draw them for you, quickly and clearly, and can notify you when they occur.
Setting alerts.
With this indicator you can set alerts to notify you when any/all of the above types of divergences occur, on any chart timeframe you choose, and also when the triple timeframe overbought and oversold confluences occur.
Configurable pivot period.
You can adjust the default pivot period values to suit your prefered trading style and timeframe. If you like to trade a shorter time frame, lowering the default lookback values will make the divergences drawn more sensitive to short term price action. By default, this indicator has enabled the automatic adjustment of the pivot periods for 4 configurable timeframes, in a bid to optimise the divergences drawn when the indicator is loaded onto any of the 4 timeframes. These timeframes and the auto adjusted pivot periods on each of them can also be reconfigured within the settings menu.
Disclaimer: This script includes code adapted from the Divergence for Many Indicators v4 by LonesomeTheBlue . With special thanks.
Delta StochasticThis is the Stochastic Oscillator but now instead of reading it raw we sum the stochastic over a window and then take the cumulative sum of the difference. This allows us to have a much smoother representation of the stochastic while seeing the true momentum relative to it. I hope you can find this useful!
Refresher on Stochastic: Stochastics are range bound momentum oscillators. They calculate values between 0 and 1 which are usually plotted as 2 lines. These indicators are primarily used for identifying overbought and oversold conditions, line crossovers, divergences and increases in buying or selling pressure.
Stochastic Moving Average Convergence Divergence (SMACD)This is my attempt at making a Stochastic MACD indicator. To get this to work I have introduced a DC offset to the MACD histogram output. I figured that if theirs a Stochastic RSI their might as well be a Stochastic everything else! lmao enjoy. Honestly, from what I can tell it's even faster than Stochastic Smooth RSI.
The Stochastic Oscillator (STOCH) is a range bound momentum oscillator. The Stochastic indicator is designed to display the location of the close compared to the high/low range over a user defined number of periods. Typically, the Stochastic Oscillator is used for three things; Identifying overbought and oversold levels, spotting divergences and also identifying bull and bear set ups or signals
MACD is an extremely popular indicator used in technical analysis. MACD can be used to identify aspects of a security's overall trend. Most notably these aspects are momentum, as well as trend direction and duration. What makes MACD so informative is that it is actually the combination of two different types of indicators. First, MACD employs two Moving Averages of varying lengths (which are lagging indicators) to identify trend direction and duration. Then, MACD takes the difference in values between those two Moving Averages (MACD Line) and an EMA of those Moving Averages (Signal Line) and plots that difference between the two lines as a histogram which oscillates above and below a center Zero Line. The histogram is used as a good indication of a security's momentum
Volume FlagThis indicator shows the increased volume compared to the previous volume.
A flag is displayed when the trading volume increased by *n of the previous candle.
Receive a signal as an alert.
Thank you.
(Please comment and click on the rocket.)
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이 지표는 이전 캔들의 거래량 대비 증가된 거래량을 확인할 수 있습니다.
깃발을 사용하여 증가 감소를 확인할 수 있으며 n배 만큼의 증가 되었을때 표시됩니다.
그리고 깃발이 표시될 경우 알람을 받으실 수 있습니다.
감사합니다.
댓글과 로케트 클릭 부탁드립니다.
MTM - Momentum IndicatorMTM - Momentum
Description
The Momentum indicator is a speed of movement indicator that is designed to identify the speed (or strength) of price movement. This indicator compares the current close price to the close price N bars ago and also displays a moving average of this difference.
Category
Momentum Indicators
Parameters
N ( Default: 6 Min: 1 Max: 100 )
N1 ( Default: 6 Min: 1 Max: 100 )
Chart Script
MTM : CLOSE-REF(CLOSE,N);
MTMMA : MA(MTM,N1)
www.edgerater.com
MACD + EMA System with AlertsSo I created the MACD Cross Strategy but not working alone by itself. I added EMA (Exponential Moving Average) filter to improve its winning rate so the MACD Signal only appears when in the same trend direction as Moving Average.
The Main Rules for Long Signal are:
- MACD Main Line Crossover the MACD Signal Line.
- The crossover happens below the MACD center line (0) so the momentum is strong.
- Price above the EMA 200 so it means the market is in a strong uptrend.
The Main Rules for Short Signal are :
- MACD Main Line Crossunder the MACD Signal Line.
- The crossover happens above the MACD center line (0) so the momentum is strong.
- Price below the EMA 200 so it means the market is in a strong downtrend.
The signal crossover & signal alert only generate as per the following rules above.
TMO ScalperTMO - (T)rue (M)omentum (O)scillator) MTF Scalper Version
TMO Scalper is a special custom version of the popular TMO Oscillator. Scalper version was designed specifically for the lower time frames (1-5min intraday scalps). This version prints in the signals directly on top of the oscillator only when the higher aggregations are aligned with the current aggregation (the big wheels must be spinning in order for a small wheel to spin). The scalper consist of three MTF TMO oscillators. First one is the one that plot signals (should be the fastest aggregation), second serves as a short term trend gauge (good rule of thumb is to us 2-5x of the chart time frame or the first aggregation). The third one (optional) is shaded in the background & should only serve as a trend gauge for the day (usually higher time frames 30min+).
Time Frames Preffered by Traders:
1. 1m / 5m / 30m - This one is perfect for catching the fastest moves. However, during choppy days the 1min can produce more false signals..
2. 2m / 10m / 30m - Healthy middle, the 2min aggregation nicely smooths out the 1min mess. Short term gauge is turning slowly (10min for a signal to confirm).
3. 3m / 30m / 60m - This TF is awesome for day traders that prefer to take it slow. Obviously, this combination will produce far less signals during the day.
Hope it helps.
