Power Trend [MacAlgo]Description:
The Power Trend Indicator is a sophisticated technical analysis tool that overlays on your trading charts to identify prevailing market trends. It utilizes a combination of ATR-based trend calculations, moving averages, volume analysis, and momentum indicators to generate reliable buy and sell signals. Additionally, it offers customizable settings to adapt to various trading styles and timeframes.
Key Features:
Adaptive ATR Calculation: Automatically adjusts the ATR (Average True Range) period and multiplier based on the selected timeframe for more accurate trend detection.
Dynamic Trend Lines: Plots continuous trend lines with color-coded bars to visually represent bullish and bearish trends.
Buy/Sell Signals: Generates standard and power buy/sell signals to help you make informed trading decisions.
Volume Analysis: Incorporates average buy and sell volumes to identify strong market movements.
Multiple Timeframe Support: Automatically adjusts the indicator's timeframe or allows for manual selection to suit your trading preferences.
Highlighting: Highlights trending bars for easy visualization of market conditions.
Alerts: Customizable alert conditions to notify you of potential trading opportunities in real-time.
How it Works:
1. ATR-Based Trend Calculation:
ATR Period & Multiplier: Calculates ATR based on user-defined periods and multipliers, dynamically adjusting according to the chart's timeframe.
Trend Determination: Identifies trends as bullish (1) or bearish (-1) based on price movements relative to ATR-based upper (up) and lower (dn) trend lines.
2. Moving Averages:
EMA & SMA: Calculates exponential and simple moving averages to smooth price data and identify underlying trends.
AlphaTrend Line: Combines a 50-period EMA and a 30-period SMA on a 4-hour timeframe to create the AlphaTrend line, providing a robust trend reference.
3. Volume Analysis:
Buy/Sell Volume: Differentiates between buy and sell volumes to gauge market strength.
Average Volume: Compares current volume against average buy/sell volumes to detect significant market movements.
4. Momentum Indicators:
RSI, MACD, OBV: Incorporates Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD), and On-Balance Volume (OBV) to assess momentum and confirm trend strength.
5. Signal Generation:
Standard Signals: Basic buy and sell signals based on trend crossovers.
Power Signals: Enhanced signals requiring multiple conditions (e.g., increased volume, momentum confirmation) for higher confidence trades.
Customization Options:
Tailor the Power Trend Indicator to your specific trading needs with the following settings:
ATR Period: Set the period for ATR calculation (default: 8).
ATR Multiplier: Adjust the ATR multiplier to fine-tune trend sensitivity (default: 3.0).
Source: Choose the price source (e.g., HL2, Close) for calculations.
Change ATR Calculation Method: Toggle between different ATR calculation methods.
Show Buy/Sell Signals: Enable or disable the display of buy and sell signals on the chart.
Highlighting: Turn on or off the bar highlighting feature.
Timeframe Adjustment: Choose between automatic timeframe adjustment or manually set
the indicator's timeframe.
Manual Indicator Timeframe: If manual adjustment is selected, specify the desired timeframe (default: 60 minutes).
Visual Components:
Trend Lines: Continuous lines representing the current trend, color-coded for easy identification (green for bullish, red for bearish, orange for neutral).
Bar Coloring: Bars are colored based on the current trend and its relationship to the AlphaTrend line.
Buy/Sell Triangles: Triangular markers appear on the chart to indicate buy and sell signals.
Power Signals: Larger triangles highlight strong buy and sell opportunities based on multiple confirming factors.
Highlighting: Transparent overlays highlight trending areas to enhance visual clarity.
Alerts:
Stay informed with customizable alerts that notify you of important market movements:
SuperTrend Buy/Sell: Alerts when standard buy or sell signals are generated.
Power Buy/Sell Alerts: Notifications for strong buy or sell signals based on comprehensive conditions.
Trend Direction Change: Alerts when the trend changes from bullish to bearish or vice versa.
How to Use:
Add to Chart: Apply the Power Trend Indicator to your preferred trading chart on TradingView.
Configure Settings: Adjust the input parameters to match your trading style and the timeframe you are analyzing.
Analyze Trends: Observe the trend lines, bar colors, and AlphaTrend line to understand the current market trend.
Follow Signals: Look for buy and sell signals or power signals to identify potential entry and exit points.
Set Alerts: Enable alerts to receive real-time notifications of significant trading opportunities.
Adjust as Needed: Fine-tune the settings based on market conditions and your trading experience.
Important Notes:
Backtesting: While the Power Trend Indicator is built using robust technical analysis principles, it's essential to backtest and validate its performance within your trading strategy.
Market Conditions: The indicator performs best in trending markets. In sideways or highly volatile markets, signal reliability may vary.
Risk Management: Always employ proper risk management techniques when trading based on indicator signals to protect your capital.
Disclaimer:
This indicator is intended for educational purposes only and does not provide financial advice or guarantee future performance. Trading involves risk, and past results are not indicative of future outcomes. Always conduct your own analysis and risk management.
Swingtrading
Supertrend + Moving AverageSupertrend indicator with a Moving Average (MA) to provide trading signals and trend analysis. Below is a detailed description of the script:
Indicator Overview
Name: Supertrend + Moving Average
Purpose: This indicator overlays the Supertrend and Moving Average on the price chart to help identify trends, potential buy/sell signals, and trend direction changes.
Overlay: The indicator is plotted directly on the price chart (overlay = true).
Inputs
Supertrend Inputs:
ATR Period: The period for calculating the Average True Range (ATR). Default is 10.
Source: The price source for Supertrend calculations. Default is hl2 (the average of high and low prices).
ATR Multiplier: A multiplier applied to the ATR to determine the Supertrend bands. Default is 3.0.
Change ATR Calculation Method: A toggle to switch between using ta.atr() or ta.sma(ta.tr) for ATR calculation. Default is true (uses ta.atr()).
Show Buy/Sell Signals: A toggle to display buy/sell signals on the chart. Default is true.
Highlighter On/Off: A toggle to enable/disable highlighting of the uptrend and downtrend areas. Default is true.
Moving Average Inputs:
MA Period: The period for the Moving Average. Default is 50.
MA Type: The type of Moving Average to use. Options are SMA (Simple Moving Average) or EMA (Exponential Moving Average). Default is SMA.
Calculations
Supertrend Calculation:
The ATR is calculated using either ta.atr() or ta.sma(ta.tr) based on the Change ATR Calculation Method input.
Upper (up) and lower (dn) bands are calculated using the formula:
up = src - Multiplier * atr
dn = src + Multiplier * atr
The trend direction is determined based on the price crossing the upper or lower bands:
trend = 1 for an uptrend.
trend = -1 for a downtrend.
Moving Average Calculation:
The Moving Average is calculated based on the selected type (SMA or EMA) and period.
Plotting
Supertrend:
The upper band (up) is plotted as a green line during an uptrend.
The lower band (dn) is plotted as a red line during a downtrend.
Buy signals are displayed as green labels or circles when the trend changes from downtrend to uptrend.
Sell signals are displayed as red labels or circles when the trend changes from uptrend to downtrend.
The background is highlighted in green during an uptrend and red during a downtrend (if highlighting is enabled).
Moving Average:
The Moving Average is plotted as a blue line on the chart.
Alert Conditions
Buy Signal: Triggers when the Supertrend changes from a downtrend to an uptrend.
Sell Signal: Triggers when the Supertrend changes from an uptrend to a downtrend.
Trend Direction Change: Triggers when the Supertrend direction changes (from uptrend to downtrend or vice versa).
Key Features
Combines Supertrend and Moving Average for enhanced trend analysis.
Customizable inputs for ATR period, multiplier, and Moving Average type/period.
Visual buy/sell signals and trend highlighting.
Alert conditions for real-time notifications.
This script is useful for traders who want to identify trends, confirm signals with a Moving Average, and receive alerts for potential trading opportunities.
EMA and Ichimoku Baseline StrategyBest for swing trading. this strategy is made up by Baseline of ichimoku indicator and moving averages of 5ema and 34ema. It is a crossover strategy.
RSI & DPO support/resistanceThis indicator combines the Relative Strength Index (RSI) to identify overbought and oversold conditions with the Detrended Price Oscillator (DPO) to highlight support and resistance levels.
Unlike traditional indicators that display these metrics in a separate window, this tool integrates them directly onto the main price chart.
This allows for a more cohesive analysis, enabling traders to easily visualize the relationship between price movements and momentum indicators in one unified view.
How to Use It:
Identify Overbought and Oversold Conditions:
Look for RSI values above 70 to identify overbought conditions, suggesting a potential price reversal or pullback. Conversely, RSI values below 30 indicate oversold conditions, which may signal a potential price bounce or upward movement.
Analyze Support and Resistance Levels:
Observe the DPO lines on the main chart to identify key support and resistance levels. When the price approaches these levels, it can provide insights into potential price reversals or breakouts.
Combine Signals for Trading Decisions:
Use the RSI and DPO signals together to make informed trading decisions. For example, if the RSI indicates an overbought condition while the price is near a resistance level identified by the DPO, it may be a good opportunity to consider selling or taking profits.
Monitor Divergences:
Watch for divergences between the RSI and price movements. If the price is making new highs while the RSI is not, it could indicate weakening momentum and a potential reversal.
Set Alerts:
Consider setting alerts for when the RSI crosses above or below the overbought or oversold thresholds, or when the price approaches significant support or resistance levels indicated by the DPO.
Practice Risk Management:
Always use proper risk management techniques, such as setting stop-loss orders and position sizing, to protect your capital while trading based on these indicators.
By following these steps, traders can effectively utilize this indicator to enhance their market analysis and improve their trading strategies.
Choppiness IndexThis Pine Script v6 indicator calculates the Choppiness Index over a user-defined length and segments it based on user-defined thresholds for choppy and trending market conditions. The indicator allows users to toggle the visibility of choppy, trending, and neutral segments using checkboxes.
Here's how it works:
Inputs: Users can set the length for the Choppiness Index calculation and thresholds for choppy and trending conditions. They can also choose which segments to display.
Choppiness Index Calculation: The script calculates the Choppiness Index using the ATR and the highest-high and lowest-low over the specified length.
Segment Determination: The script determines which segment the current Choppiness Index value falls into based on the thresholds. The color changes exactly at the threshold values.
Dynamic Plotting: The Choppiness Index is plotted with a color that changes based on the segment. The plot is only visible if the segment is "turned on" by the user.
Threshold Lines: Dashed horizontal lines are plotted at the choppy and trending thresholds for reference.
This indicator helps traders visualize market conditions and identify potential transitions between choppy and trending phases, with precise color changes at the threshold values.
Monthly DividerThis Trading View indicator visually marks the beginning of each month starting from January 2024. It draws vertical lines on the chart at the start of each month and labels them with the corresponding month abbreviation (e.g., "Jan", "Feb"). Users can customize the color and thickness of the lines through the indicator settings, allowing for personalized chart aesthetics. This tool is ideal for traders and analysts who want to easily identify month transitions and enhance their technical analysis.
Bearish Wick Reversal█ STRATEGY OVERVIEW
The "Bearish Wick Reversal Strategy" identifies potential bullish reversals following significant bearish price rejection (long lower wicks). This counter-trend approach enters long positions when bearish candles show exaggerated downside wicks relative to closing prices, then exits on bullish confirmation signals. Includes optional EMA trend filtering for improved reliability.
█ What is a Bearish Wick?
A price rejection pattern where:
Bearish candle (close < open) forms with extended lower wick
Wick represents failed selloff: Low drops significantly below close
Measured as: (Low - Close)/Close × 100 (Negative percentage indicates downward extension)
█ SIGNAL GENERATION
1. LONG ENTRY CONDITION
Bearish candle forms with close < open
Lower wick exceeds user-defined threshold (Default: -1% of close price)
The signal occurs within the specified time window
If enabled, the close price must also be above the 200-period EMA (Exponential Moving Average)
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the highest high of the previous seven bars (`close > _highest `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ PERFORMANCE OVERVIEW
Ideal Market: Volatile instruments with frequent price rejections
Key Risk: False signals in sustained bearish trends
Optimization Tip: Test various thresholds
Filter Impact: EMA reduces trades but improves win rate and reduces drawdown
Gap Down Reversal Strategy█ STRATEGY OVERVIEW
The "Gap Down Reversal Strategy" capitalizes on price recovery patterns following bearish gap-down openings. This mean-reversion approach enters long positions on confirmed intraday recoveries and exits when prices breach previous session highs. This strategy is NOT optimized.
█ What is a Gap Down Reversal?
A gap down reversal occurs when:
An instrument opens significantly below its prior session's low (price gap)
Selling pressure exhausts itself during the session
Buyers regain control, pushing price back above the opening level
Creates a candlestick with:
• Open < Prior Session Low (true gap)
• Close > Open (bullish reversal candle)
█ SIGNAL GENERATION
1. LONG ENTRY CONDITION
Previous candle closes BELOW its opening price (bearish candle)
Current session opens BELOW prior candle's low (gap down)
Current candle closes ABOVE its opening price (bullish reversal)
Executes market order at session close
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the highest high of the previous seven bars (`close > _highest `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ PERFORMANCE OVERVIEW
Ideal Market: High volatility instruments with frequent gaps
Key Risk: False reversals in sustained downtrends
Optimization Tip: Test varying gap thresholds (1-3% ranges)
SPY/TLT Strategy█ STRATEGY OVERVIEW
The "SPY/TLT Strategy" is a trend-following crossover strategy designed to trade the relationship between TLT and its Simple Moving Average (SMA). The default configuration uses TLT (iShares 20+ Year Treasury Bond ETF) with a 20-period SMA, entering long positions on bullish crossovers and exiting on bearish crossunders. **This strategy is NOT optimized and performs best in trending markets.**
█ KEY FEATURES
SMA Crossover System: Uses price/SMA relationship for signal generation (Default: 20-period)
Dynamic Time Window: Configurable backtesting period (Default: 2014-2099)
Equity-Based Position Sizing: Default 100% equity allocation per trade
Real-Time Visual Feedback: Price/SMA plot with trend-state background coloring
Event-Driven Execution: Processes orders at bar close for accurate backtesting
█ SIGNAL GENERATION
1. LONG ENTRY CONDITION
TLT closing price crosses ABOVE SMA
Occurs within specified time window
Generates market order at next bar open
2. EXIT CONDITION
TLT closing price crosses BELOW SMA
Closes all open positions immediately
█ ADDITIONAL SETTINGS
SMA Period: Simple Moving Average length (Default: 20)
Start Time and End Time: The time window for trade execution (Default: 1 Jan 2014 - 1 Jan 2099)
Security Symbol: Ticker for analysis (Default: TLT)
█ PERFORMANCE OVERVIEW
Ideal Market Conditions: Strong trending environments
Potential Drawbacks: Whipsaws in range-bound markets
Backtesting results should be analyzed to optimize the MA Period and EMA Filter settings for specific instruments
3 Down, 3 Up Strategy█ STRATEGY DESCRIPTION
The "3 Down, 3 Up Strategy" is a mean-reversion strategy designed to capitalize on short-term price reversals. It enters a long position after consecutive bearish closes and exits after consecutive bullish closes. This strategy is NOT optimized and can be used on any timeframes.
█ WHAT ARE CONSECUTIVE DOWN/UP CLOSES?
- Consecutive Down Closes: A sequence of trading bars where each close is lower than the previous close.
- Consecutive Up Closes: A sequence of trading bars where each close is higher than the previous close.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The price closes lower than the previous close for Consecutive Down Closes for Entry (default: 3) consecutive bars.
The signal occurs within the specified time window (between Start Time and End Time).
If enabled, the close price must also be above the 200-period EMA (Exponential Moving Average).
2. EXIT CONDITION
A Sell Signal is generated when the price closes higher than the previous close for Consecutive Up Closes for Exit (default: 3) consecutive bars.
█ ADDITIONAL SETTINGS
Consecutive Down Closes for Entry: Number of consecutive lower closes required to trigger a buy. Default = 3.
Consecutive Up Closes for Exit: Number of consecutive higher closes required to exit. Default = 3.
EMA Filter: Optional 200-period EMA filter to confirm long entries in bullish trends. Default = disabled.
Start Time and End Time: Restrict trading to specific dates (default: 2014-2099).
█ PERFORMANCE OVERVIEW
Designed for volatile markets with frequent short-term reversals.
Performs best when price oscillates between clear support/resistance levels.
The EMA filter improves reliability in trending markets but may reduce trade frequency.
Backtest to optimize consecutive close thresholds and EMA period for specific instruments.
RSI OB/OS Strategy Analyzer█ OVERVIEW
The RSI OB/OS Strategy Analyzer is a comprehensive trading tool designed to help traders identify and evaluate overbought/oversold reversal opportunities using the Relative Strength Index (RSI). It provides visual signals, performance metrics, and a detailed table to analyze the effectiveness of RSI-based strategies over a user-defined lookback period.
█ KEY FEATURES
RSI Calculation
Calculates RSI with customizable period (default 14)
Plots dynamic overbought (70) and oversold (30) levels
Adds background coloring for OB/OS regions
Reversal Signals
Identifies signals based on RSI crossing OB/OS levels
Two entry strategies available:
Revert Cross: Triggers when RSI exits OB/OS zone
Cross Threshold: Triggers when RSI enters OB/OS zone
Trade Direction
Users can select a trade bias:
Long: Focuses on oversold reversals (bullish signals)
Short: Focuses on overbought reversals (bearish signals)
Performance Metrics
Calculates three key statistics for each lookback period:
Win Rate: Percentage of profitable trades
Mean Return: Average return across all trades
Median Return: Median return across all trades
Metrics calculated as percentage changes from entry price
Visual Signals
Dual-layer signal display:
BUY: Green triangles + text labels below price
SELL: Red triangles + text labels above price
Semi-transparent background highlighting in OB/OS zones
Performance Table
Interactive table showing metrics for each lookback period
Color-coded visualization:
Win Rate: Gradient from red (low) to green (high)
Returns: Green for positive, red for negative
Time Filtering
Users can define a specific time window for the indicator to analyze trades, ensuring that performance metrics are calculated only for the desired period.
Customizable Display
Adjustable table font sizes: Auto/Small/Normal/Large
Toggle option for table visibility
█ PURPOSE
The RSI OB/OS Strategy Analyzer helps traders:
Identify mean-reversion opportunities through RSI extremes
Backtest entry strategy effectiveness across multiple time horizons
Optimize trade timing through visual historical performance data
Quickly assess strategy robustness with color-coded metrics
█ IDEAL USERS
Counter-Trend Traders: Looking to capitalize on RSI extremes
Systematic Traders: Needing quantitative strategy validation
Educational Users: Studying RSI behavior in different market conditions
Multi-Timeframe Analysts: Interested in forward returns analysis
Internal Bar Strength (IBS) Strategy█ STRATEGY DESCRIPTION
The "Internal Bar Strength (IBS) Strategy" is a mean-reversion strategy designed to identify trading opportunities based on the closing price's position within the daily price range. It enters a long position when the IBS indicates oversold conditions and exits when the IBS reaches overbought levels. This strategy was designed to be used on the daily timeframe.
█ WHAT IS INTERNAL BAR STRENGTH (IBS)?
Internal Bar Strength (IBS) measures where the closing price falls within the high-low range of a bar. It is calculated as:
IBS = (Close - Low) / (High - Low)
- **Low IBS (≤ 0.2)**: Indicates the close is near the bar's low, suggesting oversold conditions.
- **High IBS (≥ 0.8)**: Indicates the close is near the bar's high, suggesting overbought conditions.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The IBS value drops below the Lower Threshold (default: 0.2).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
2. EXIT CONDITION
A Sell Signal is generated when the IBS value rises to or above the Upper Threshold (default: 0.8). This prompts the strategy to exit the position.
█ ADDITIONAL SETTINGS
Upper Threshold: The IBS level at which the strategy exits trades. Default is 0.8.
Lower Threshold: The IBS level at which the strategy enters long positions. Default is 0.2.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for ranging markets and performs best when prices frequently revert to the mean.
It is sensitive to extreme IBS values, which help identify potential reversals.
Backtesting results should be analyzed to optimize the Upper/Lower Thresholds for specific instruments and market conditions.
Bollinger Bands Reversal Strategy Analyzer█ OVERVIEW
The Bollinger Bands Reversal Overlay is a versatile trading tool designed to help traders identify potential reversal opportunities using Bollinger Bands. It provides visual signals, performance metrics, and a detailed table to analyze the effectiveness of reversal-based strategies over a user-defined lookback period.
█ KEY FEATURES
Bollinger Bands Calculation
The indicator calculates the standard Bollinger Bands, consisting of:
A middle band (basis) as the Simple Moving Average (SMA) of the closing price.
An upper band as the basis plus a multiple of the standard deviation.
A lower band as the basis minus a multiple of the standard deviation.
Users can customize the length of the Bollinger Bands and the multiplier for the standard deviation.
Reversal Signals
The indicator identifies potential reversal signals based on the interaction between the price and the Bollinger Bands.
Two entry strategies are available:
Revert Cross: Waits for the price to close back above the lower band (for longs) or below the upper band (for shorts) after crossing it.
Cross Threshold: Triggers a signal as soon as the price crosses the lower band (for longs) or the upper band (for shorts).
Trade Direction
Users can select a trade bias:
Long: Focuses on bullish reversal signals.
Short: Focuses on bearish reversal signals.
Performance Metrics
The indicator calculates and displays the performance of trades over a user-defined lookback period ( barLookback ).
Metrics include:
Win Rate: The percentage of trades that were profitable.
Mean Return: The average return across all trades.
Median Return: The median return across all trades.
These metrics are calculated for each bar in the lookback period, providing insights into the strategy's performance over time.
Visual Signals
The indicator plots buy and sell signals on the chart:
Buy Signals: Displayed as green triangles below the price bars.
Sell Signals: Displayed as red triangles above the price bars.
Performance Table
A customizable table is displayed on the chart, showing the performance metrics for each bar in the lookback period.
The table includes:
Win Rate: Highlighted with gradient colors (green for high win rates, red for low win rates).
Mean Return: Colored based on profitability (green for positive returns, red for negative returns).
Median Return: Colored similarly to the mean return.
Time Filtering
Users can define a specific time window for the indicator to analyze trades, ensuring that performance metrics are calculated only for the desired period.
Customizable Display
The table's font size can be adjusted to suit the user's preference, with options for "Auto," "Small," "Normal," and "Large."
█ PURPOSE
The Bollinger Bands Reversal Overlay is designed to:
Help traders identify high-probability reversal opportunities using Bollinger Bands.
Provide actionable insights into the performance of reversal-based strategies.
Enable users to backtest and optimize their trading strategies by analyzing historical performance metrics.
█ IDEAL USERS
Swing Traders: Looking for reversal opportunities within a trend.
Mean Reversion Traders: Interested in trading price reversals to the mean.
Strategy Developers: Seeking to backtest and refine Bollinger Bands-based strategies.
Performance Analysts: Wanting to evaluate the effectiveness of reversal signals over time.
Buy on 5 day low Strategy█ STRATEGY DESCRIPTION
The "Buy on 5 Day Low Strategy" is a mean-reversion strategy designed to identify potential buying opportunities when the price drops below the lowest low of the previous five days. It enters a long position when specific conditions are met and exits when the price exceeds the high of the previous day. This strategy is optimized for use on daily or higher timeframes.
█ WHAT IS THE 5-DAY LOW?
The 5-Day Low is the lowest price observed over the last five days. This level is used as a reference to identify potential oversold conditions and reversal points.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The close price is below the lowest low of the previous five days (`close < _lowest `).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the high of the previous day (`close > high `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ ADDITIONAL SETTINGS
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for mean-reverting markets and performs best when the price frequently oscillates around key support levels.
It is sensitive to oversold conditions, as indicated by the 5-Day Low, and overbought conditions, as indicated by the previous day's high.
Backtesting results should be analyzed to optimize the strategy for specific instruments and market conditions.
3-Bar Low Strategy█ STRATEGY DESCRIPTION
The "3-Bar Low Strategy" is a mean-reversion strategy designed to identify potential buying opportunities when the price drops below the lowest low of the previous three bars. It enters a long position when specific conditions are met and exits when the price exceeds the highest high of the previous seven bars. This strategy is suitable for use on various timeframes.
█ WHAT IS THE 3-BAR LOW?
The 3-Bar Low is the lowest price observed over the last three bars. This level is used as a reference to identify potential oversold conditions and reversal points.
█ WHAT IS THE 7-BAR HIGH?
The 7-Bar High is the highest price observed over the last seven bars. This level is used as a reference to identify potential overbought conditions and exit points.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The close price is below the lowest low of the previous three bars (`close < _lowest `).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
If the EMA Filter is enabled, the close price must also be above the 200-period Exponential Moving Average (EMA).
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the highest high of the previous seven bars (`close > _highest `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ ADDITIONAL SETTINGS
MA Period: The lookback period for the 200-period EMA used in the EMA Filter. Default is 200.
Use EMA Filter: Enables or disables the EMA Filter for long entries. Default is disabled.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for mean-reverting markets and performs best when the price frequently oscillates around key support and resistance levels.
It is sensitive to oversold conditions, as indicated by the 3-Bar Low, and overbought conditions, as indicated by the 7-Bar High.
Backtesting results should be analyzed to optimize the MA Period and EMA Filter settings for specific instruments.
Bollinger Bands Reversal + IBS Strategy█ STRATEGY DESCRIPTION
The "Bollinger Bands Reversal Strategy" is a mean-reversion strategy designed to identify potential buying opportunities when the price deviates below the lower Bollinger Band and the Internal Bar Strength (IBS) indicates oversold conditions. It enters a long position when specific conditions are met and exits when the IBS indicates overbought conditions. This strategy is suitable for use on various timeframes.
█ WHAT ARE BOLLINGER BANDS?
Bollinger Bands consist of three lines:
- **Basis**: A Simple Moving Average (SMA) of the price over a specified period.
- **Upper Band**: The basis plus a multiple of the standard deviation of the price.
- **Lower Band**: The basis minus a multiple of the standard deviation of the price.
Bollinger Bands help identify periods of high volatility and potential reversal points.
█ WHAT IS INTERNAL BAR STRENGTH (IBS)?
Internal Bar Strength (IBS) is a measure of where the closing price is relative to the high and low of the bar. It is calculated as:
IBS = (Close - Low) / (High - Low)
A low IBS value (e.g., below 0.2) indicates that the close is near the low of the bar, suggesting oversold conditions. A high IBS value (e.g., above 0.8) indicates that the close is near the high of the bar, suggesting overbought conditions.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The IBS value is below 0.2, indicating oversold conditions.
The close price is below the lower Bollinger Band.
The signal occurs within the specified time window (between `Start Time` and `End Time`).
2. EXIT CONDITION
A Sell Signal is generated when the IBS value exceeds 0.8, indicating overbought conditions. This prompts the strategy to exit the position.
█ ADDITIONAL SETTINGS
Length: The lookback period for calculating the Bollinger Bands. Default is 20.
Multiplier: The number of standard deviations used to calculate the upper and lower Bollinger Bands. Default is 2.0.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for mean-reverting markets and performs best when the price frequently deviates from the Bollinger Bands.
It is sensitive to oversold and overbought conditions, as indicated by the IBS, which helps to identify potential reversals.
Backtesting results should be analyzed to optimize the Length and Multiplier parameters for specific instruments.
Average High-Low Range + IBS Reversal Strategy█ STRATEGY DESCRIPTION
The "Average High-Low Range + IBS Reversal Strategy" is a mean-reversion strategy designed to identify potential buying opportunities when the price deviates significantly from its average high-low range and the Internal Bar Strength (IBS) indicates oversold conditions. It enters a long position when specific conditions are met and exits when the price shows strength by exceeding the previous bar's high. This strategy is suitable for use on various timeframes.
█ WHAT IS THE AVERAGE HIGH-LOW RANGE?
The Average High-Low Range is calculated as the Simple Moving Average (SMA) of the difference between the high and low prices over a specified period. It helps identify periods of increased volatility and potential reversal points.
█ WHAT IS INTERNAL BAR STRENGTH (IBS)?
Internal Bar Strength (IBS) is a measure of where the closing price is relative to the high and low of the bar. It is calculated as:
IBS = (Close - Low) / (High - Low)
A low IBS value (e.g., below 0.2) indicates that the close is near the low of the bar, suggesting oversold conditions.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The close price has been below the buy threshold (calculated as `upper - (2.5 * hl_avg)`) for a specified number of consecutive bars (`bars_below_threshold`).
The IBS value is below the specified buy threshold (`ibs_buy_treshold`).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the high of the previous bar (`close > high `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ ADDITIONAL SETTINGS
Length: The lookback period for calculating the average high-low range. Default is 20.
Bars Below Threshold: The number of consecutive bars the price must remain below the buy threshold to trigger a Buy Signal. Default is 2.
IBS Buy Threshold: The IBS value below which a Buy Signal is triggered. Default is 0.2.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for mean-reverting markets and performs best when the price frequently deviates from its average high-low range.
It is sensitive to oversold conditions, as indicated by the IBS, which helps to identify potential reversals.
Backtesting results should be analyzed to optimize the Length, Bars Below Threshold, and IBS Buy Threshold parameters for specific instruments.
Turn of the Month Strategy on Steroids█ STRATEGY DESCRIPTION
The "Turn of the Month Strategy on Steroids" is a seasonal mean-reversion strategy designed to capitalize on price movements around the end of the month. It enters a long position when specific conditions are met and exits when the Relative Strength Index (RSI) indicates overbought conditions. This strategy is optimized for use on daily or higher timeframes.
█ WHAT IS THE TURN OF THE MONTH EFFECT?
The Turn of the Month effect refers to the observed tendency of stock prices to rise around the end of the month. This strategy leverages this phenomenon by entering long positions when the price shows signs of a reversal during this period.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The current day of the month is greater than or equal to the specified `dayOfMonth` threshold (default is 25).
The close price is lower than the previous day's close (`close < close `).
The previous day's close is also lower than the close two days ago (`close < close `).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
There is no existing open position (`strategy.position_size == 0`).
2. EXIT CONDITION
A Sell Signal is generated when the 2-period RSI exceeds 65, indicating overbought conditions. This prompts the strategy to exit the position.
█ ADDITIONAL SETTINGS
Day of Month: The day of the month threshold for triggering a Buy Signal. Default is 25.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed to exploit seasonal price patterns around the end of the month.
It performs best in markets where the Turn of the Month effect is pronounced.
Backtesting results should be analyzed to optimize the `dayOfMonth` threshold and RSI parameters for specific instruments.
Consecutive Bars Above/Below EMA Buy the Dip Strategy█ STRATEGY DESCRIPTION
The "Consecutive Bars Above/Below EMA Buy the Dip Strategy" is a mean-reversion strategy designed to identify potential buying opportunities when the price dips below a moving average for a specified number of consecutive bars. It enters a long position when the dip condition is met and exits when the price shows strength by exceeding the previous bar's high. This strategy is suitable for use on various timeframes.
█ WHAT IS THE MOVING AVERAGE?
The strategy uses either a Simple Moving Average (SMA) or an Exponential Moving Average (EMA) as a reference for identifying dips. The type and length of the moving average can be customized in the settings.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The close price is below the selected moving average for a specified number of consecutive bars (`consecutiveBarsTreshold`).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the high of the previous bar (`close > high `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ ADDITIONAL SETTINGS
Consecutive Bars Threshold: The number of consecutive bars the price must remain below the moving average to trigger a Buy Signal. Default is 3.
MA Type: The type of moving average used (SMA or EMA). Default is SMA.
MA Length: The length of the moving average. Default is 5.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for mean-reverting markets and performs best when the price frequently oscillates around the moving average.
It is sensitive to the number of consecutive bars below the moving average, which helps to identify potential dips.
Backtesting results should be analysed to optimize the Consecutive Bars Threshold, MA Type, and MA Length for specific instruments.
Turn around Tuesday on Steroids Strategy█ STRATEGY DESCRIPTION
The "Turn around Tuesday on Steroids Strategy" is a mean-reversion strategy designed to identify potential price reversals at the start of the trading week. It enters a long position when specific conditions are met and exits when the price shows strength by exceeding the previous bar's high. This strategy is optimized for ETFs, stocks, and other instruments on the daily timeframe.
█ WHAT IS THE STARTING DAY?
The Starting Day determines the first day of the trading week for the strategy. It can be set to either Sunday or Monday, depending on the instrument being traded. For ETFs and stocks, Monday is recommended. For other instruments, Sunday is recommended.
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The current day is the first day of the trading week (either Sunday or Monday, depending on the Starting Day setting).
The close price is lower than the previous day's close (`close < close `).
The previous day's close is also lower than the close two days ago (`close < close `).
The signal occurs within the specified time window (between `Start Time` and `End Time`).
If the MA Filter is enabled, the close price must also be above the 200-period Simple Moving Average (SMA).
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the high of the previous bar (`close > high `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ ADDITIONAL SETTINGS
Starting Day: Determines the first day of the trading week. Options are Sunday or Monday. Default is Sunday.
Use MA Filter: Enables or disables the 200-period SMA filter for long entries. Default is disabled.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for markets with frequent weekly reversals.
It performs best in volatile conditions where price movements are significant at the start of the trading week.
Backtesting results should be analysed to optimize the Starting Day and MA Filter settings for specific instruments.
4 Bar Momentum Reversal strategy█ STRATEGY DESCRIPTION
The "4 Bar Momentum Reversal Strategy" is a mean-reversion strategy designed to identify price reversals following a sustained downward move. It enters a long position when a reversal condition is met and exits when the price shows strength by exceeding the previous bar's high. This strategy is optimized for indices and stocks on the daily timeframe.
█ WHAT IS THE REFERENCE CLOSE?
The Reference Close is the closing price from X bars ago, where X is determined by the Lookback period. Think of it as a moving benchmark that helps the strategy assess whether prices are trending upwards or downwards relative to past performance. For example, if the Lookback is set to 4, the Reference Close is the closing price 4 bars ago (`close `).
█ SIGNAL GENERATION
1. LONG ENTRY
A Buy Signal is triggered when:
The close price has been lower than the Reference Close for at least `Buy Threshold` consecutive bars. This indicates a sustained downward move, suggesting a potential reversal.
The signal occurs within the specified time window (between `Start Time` and `End Time`).
2. EXIT CONDITION
A Sell Signal is generated when the current closing price exceeds the high of the previous bar (`close > high `). This indicates that the price has shown strength, potentially confirming the reversal and prompting the strategy to exit the position.
█ ADDITIONAL SETTINGS
Buy Threshold: The number of consecutive bearish bars needed to trigger a Buy Signal. Default is 4.
Lookback: The number of bars ago used to calculate the Reference Close. Default is 4.
Start Time and End Time: The time window during which the strategy is allowed to execute trades.
█ PERFORMANCE OVERVIEW
This strategy is designed for trending markets with frequent reversals.
It performs best in volatile conditions where price movements are significant.
Backtesting results should be analysed to optimize the Buy Threshold and Lookback parameters for specific instruments.
simple swing indicator-KTRNSE:NIFTY
1. Pivot High/Low as Lines:
Purpose: Identifies local peaks (pivot highs) and troughs (pivot lows) in price and draws horizontal lines at these levels.
How it Works:
A pivot high occurs when the price is higher than the surrounding bars (based on the pivotLength parameter).
A pivot low occurs when the price is lower than the surrounding bars.
These pivots are drawn as horizontal lines at the price level of the pivot.
Visualization:
Pivot High: A red horizontal line is drawn at the price level of the pivot high.
Pivot Low: A green horizontal line is drawn at the price level of the pivot low.
Example:
Imagine the price is trending up, and at some point, it forms a peak. The script identifies this peak as a pivot high and draws a red line at the price of that peak. Similarly, if the price forms a trough, the script will draw a green line at the low point.
2. Moving Averages (20-day and 50-day):
Purpose: Plots the 20-day and 50-day simple moving averages (SMA) on the chart.
How it Works:
The 20-day SMA smooths the closing price over the last 20 days.
The 50-day SMA smooths the closing price over the last 50 days.
These lines provide an overview of short-term and long-term price trends.
Visualization:
20-day SMA: A blue line showing the 20-day moving average.
50-day SMA: An orange line showing the 50-day moving average.
Example:
When the price is above both moving averages, it indicates an uptrend. If the price crosses below these averages, it might signal a downtrend.
3. Supertrend:
Purpose: The Supertrend is an indicator based on the Average True Range (ATR) and is used to track the market trend.
How it Works:
When the market is in an uptrend, the Supertrend line will be green.
When the market is in a downtrend, the Supertrend line will be red.
Visualization:
Uptrend: The Supertrend line will be plotted in green.
Downtrend: The Supertrend line will be plotted in red.
Example:
If the price is above the Supertrend, the market is considered to be in an uptrend, and if the price is below the Supertrend, the market is in a downtrend.
4. Momentum (Rate of Change):
Purpose: Measures the rate at which the price changes over a set period, showing if the momentum is positive or negative.
How it Works:
The Rate of Change (ROC) measures how much the price has changed over a certain number of periods (e.g., 14).
Positive ROC indicates upward momentum, and negative ROC indicates downward momentum.
Visualization:
Positive ROC: A purple line is plotted above the zero line.
Negative ROC: A purple line is plotted below the zero line.
Example:
If the ROC line is above zero, it means the price is increasing, suggesting bullish momentum. If the ROC is below zero, it indicates bearish momentum.
5. Volume:
Purpose: Displays the volume of traded assets, giving insight into the strength of price movements.
How it Works:
The script will color the volume bars based on whether the price closed higher or lower than the previous bar.
Green bars indicate bullish volume (closing price higher than the previous bar), and red bars indicate bearish volume (closing price lower than the previous bar).
Visualization:
Bullish Volume: Green volume bars when the price closes higher.
Bearish Volume: Red volume bars when the price closes lower.
Example:
If you see a green volume bar, it suggests that the market is participating in an uptrend, and the price has closed higher than the previous period. Red bars indicate a downtrend or selling pressure.
6. MACD (Moving Average Convergence Divergence):
Purpose: The MACD is a trend-following momentum indicator that shows the relationship between two moving averages of the price.
How it Works:
The MACD Line is the difference between the 12-period EMA (Exponential Moving Average) and the 26-period EMA.
The Signal Line is the 9-period EMA of the MACD Line.
The MACD Histogram shows the difference between the MACD line and the Signal line.
Visualization:
MACD Line: A blue line representing the difference between the 12-period and 26-period EMAs.
Signal Line: An orange line representing the 9-period EMA of the MACD line.
MACD Histogram: A red or green histogram that shows the difference between the MACD line and the Signal line.
Example:
When the MACD line crosses above the Signal line, it’s considered a bullish signal. When the MACD line crosses below the Signal line, it’s considered a bearish signal.
Full Chart Example:
Imagine you're looking at a price chart with all the indicators:
Pivot High/Low Lines are drawn as red and green horizontal lines.
20-day and 50-day SMAs are plotted as blue and orange lines, respectively.
Supertrend shows a green or red line indicating the trend.
Momentum (ROC) is shown as a purple line oscillating around zero.
Volume bars are green or red based on whether the close is higher or lower.
MACD appears as a blue line and orange line, with a red or green histogram showing the MACD vs. Signal line difference.
How the Indicators Work Together:
Trend Confirmation: If the price is above the Supertrend line and both SMAs are trending up, it indicates a strong bullish trend.
Momentum: If the ROC is positive and the MACD line is above the Signal line, it further confirms bullish momentum.
Volume: Increasing volume, especially with green bars, suggests that the trend is being supported by active participation.
By using these combined indicators, you can get a comprehensive view of the market's trend, momentum, and potential reversal points (via pivot highs and lows).
Pivotal Point Detection
The indicator highlights price gaps (overnight gaps) with significantly increased volume in the daily chart only. These price jumps can occur after earnings reports or other significant news and often point to an important event (e.g., a new product or business model). According to Jesse Livermore, these are called Pivotal Points.
The price jumps displayed by the indicator are not a guarantee that they represent a true Pivotal Point, but they provide a hint of a significant business development - especially when they occur repeatedly alongside revenue growth. This can help identify potentially strong growth stocks and high-performing investments. However, the underlying events and connections must be investigated through additional research.
make posible to find stocks like:
NYSE:PLTR NASDAQ:ROOT NASDAQ:NVDA NYSE:CVNA NYSE:LRN
A "pivotal price line" is drawn at the opening price of the Pivotal Point. This line is considered a support level. If the price falls below this line, the Pivotal Point loses its validity.
