OPEN-SOURCE SCRIPT
Pattern + Supertrend + Stoch RSI Signals

**Strategy Description: Pattern + Supertrend + Stochastic RSI Filter**
This trading strategy combines three robust technical analysis methods to generate high-quality trade signals:
### 1. **Candlestick Patterns**
The script detects classic reversal patterns including:
* **Hammer** (bullish reversal)
* **Shooting Star** (bearish reversal)
* **Bullish Engulfing**
* **Bearish Engulfing**
* **Morning Star** (bullish reversal)
* **Evening Star** (bearish reversal)
These patterns are only valid when they occur in the direction of the prevailing trend confirmed by Supertrend.
### 2. **Supertrend Filter**
Supertrend acts as a trend filter:
* Only **long trades** are taken when Supertrend is **bullish**.
* Only **short trades** are taken when Supertrend is **bearish**.
This ensures that trades are not taken against the major market direction.
### 3. **Stochastic RSI Confirmation**
To refine entries, the strategy adds an oscillator-based filter:
* **Overbought (>80)** and **Oversold (<20)** zones must be met.
* A **Stochastic RSI crossover** is required:
* %K crossing above %D when oversold (for longs)
* %K crossing below %D when overbought (for shorts)
This helps in capturing entries only when momentum is likely to reverse, avoiding low-quality signals in flat markets.
### Trade Signals:
A trade signal is generated only when all three conditions are met:
1. A recognized candlestick pattern appears.
2. The Supertrend confirms the trade direction.
3. The Stochastic RSI confirms a crossover in overbought or oversold conditions.
This layered filtering system reduces false signals and focuses on higher-probability trade setups that align with trend and momentum.
**Use case:** Best suited for swing trading or intraday setups where market context and timing are crucial.
**Timeframes:** Works on multiple timeframes but performs better on 15m, 1H, or 4H for more reliable patterns and trend behavior.
This trading strategy combines three robust technical analysis methods to generate high-quality trade signals:
### 1. **Candlestick Patterns**
The script detects classic reversal patterns including:
* **Hammer** (bullish reversal)
* **Shooting Star** (bearish reversal)
* **Bullish Engulfing**
* **Bearish Engulfing**
* **Morning Star** (bullish reversal)
* **Evening Star** (bearish reversal)
These patterns are only valid when they occur in the direction of the prevailing trend confirmed by Supertrend.
### 2. **Supertrend Filter**
Supertrend acts as a trend filter:
* Only **long trades** are taken when Supertrend is **bullish**.
* Only **short trades** are taken when Supertrend is **bearish**.
This ensures that trades are not taken against the major market direction.
### 3. **Stochastic RSI Confirmation**
To refine entries, the strategy adds an oscillator-based filter:
* **Overbought (>80)** and **Oversold (<20)** zones must be met.
* A **Stochastic RSI crossover** is required:
* %K crossing above %D when oversold (for longs)
* %K crossing below %D when overbought (for shorts)
This helps in capturing entries only when momentum is likely to reverse, avoiding low-quality signals in flat markets.
### Trade Signals:
A trade signal is generated only when all three conditions are met:
1. A recognized candlestick pattern appears.
2. The Supertrend confirms the trade direction.
3. The Stochastic RSI confirms a crossover in overbought or oversold conditions.
This layered filtering system reduces false signals and focuses on higher-probability trade setups that align with trend and momentum.
**Use case:** Best suited for swing trading or intraday setups where market context and timing are crucial.
**Timeframes:** Works on multiple timeframes but performs better on 15m, 1H, or 4H for more reliable patterns and trend behavior.
Skrip sumber terbuka
Dalam semangat sebenar TradingView, pencipta skrip ini telah menjadikannya sumber terbuka supaya pedagang dapat menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupun anda boleh menggunakannya secara percuma, ingat bahawa menerbitkan semula kod ini adalah tertakluk kepada Peraturan Dalaman kami.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Skrip sumber terbuka
Dalam semangat sebenar TradingView, pencipta skrip ini telah menjadikannya sumber terbuka supaya pedagang dapat menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupun anda boleh menggunakannya secara percuma, ingat bahawa menerbitkan semula kod ini adalah tertakluk kepada Peraturan Dalaman kami.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.