Reversal rehersal v1

1 Feb

This indicator was designed to identify potential market reversal zones using a combination of RSI thresholds (shooting range/falling range), candlestick patterns, and Fair Value Gaps (FVGs). By combining all these elements into one indicator, it allow for outputting high probability buy/sell signals for use by scalpers on low timeframes like 1-15 mins, for quick but small profits.

Note: that this has been mainly tested on DE40 index on the 1 min timeframe, and need to be adjusted to whichever timeframe and symbol you intend to use. Refer to the backtester feature for checking if this indicator may work for you.

The indicator use RSI ranges from two timeframes to highlight where momentum is building up. During these areas, it will look for certain candlestick patterns (Sweeps as the primary one) and check for existance of fair value gaps to further enhance the hitrate of the signal.

The logic for FVG detection was based on ©pmk07's work with MTF FVG tiny indicator. Several major changes was implemented though and incorporated into this indicator. Among these are:
Automatically adjustments of FVG boxes when mitigated partially and options to extend/cull boxes for performance and clarity.

Backtesting Table (Experimental):
This indicator also features an optional simplified table to review historical theoretical performance of signals, including win rate, profit/loss, and trade statistics. This does not take commision or slippage into consideration.

Usage Notes:
Setup:
1. Add the indicator to your chart.
2. Decide if you want to use Long or Short (or both).
3. If you're scalping on ie. 1 min time frame, make sure to set FVG's to higher timeframes (ie. 5, 15, 60).
4. Enable the 'Show backtest results' and adjust the 'Signals' og 'Take profit' and 'Stop loss' values until you are satisfied with the results.

Use:
1. Setup an alert based on either of the 'BullishShooting range' or 'BearishFalling range' alerts. This will draw your attention to watch for the possible setups.
2. Verify if there's a significant imbalance prior to the signal before taking the trade. Otherwise this may invalidate the setup.
3. Once a signal is shown on the graph (either Green arrow up for buys/Red arrow down for sells) - you should enter a trade with the given 'Take profit' and 'Stop loss' values.
4. (optional) Setup an alert for either the Strong/Weak signals. Which corresponds to when one of the arrows are printed.

Important: This is the way I use it myself, but use at own risk and remember to combine with other indicators for further confluence. Remember this is no crystal ball and I do not guarantee profitable results. The indicator merely show signals with high probability setups for scalping.

1 Feb

Nota Keluaran

Simplified settings a bit.

1 Feb

Nota Keluaran

Updated default settings.

2 Feb

Nota Keluaran

Will default wait for candle confirmation before triggering signals. This can be changed in settings.
Improved/simplified signal logic. Should now generate even better signals.

4 Feb

Nota Keluaran

• Fixed a bug with BullishShooting/BearishFalling range alerts, that would fire once per bar. This will now only be fired 1st time.
  
• Added three "no-trade zones". They can be used for suppressing signals during market open/close where high volatility may cause bad signals to trigger. Or it can be used for limiting signals triggering when you can't really act on them. ie. during normal working hours.
  Timezones can be either GMT, UTC or IANA time zone format.
  
• Added Min/Max profit to the backtrader table.
  

4 Feb

Nota Keluaran

Added: Quality of life options to control color of signal arrows and the backtest table.

20 Feb

Nota Keluaran

Version 1.1
Often times we see price retrace to a fib level when an imbalance is significant enough. Based on this theory, I've added a simple imbalance detection logic, based on the most recent high/low swingpoint.
With this update, the signals produced will allow for trading with higher 'Take profit' values than the fixed scalp-value.

Also worth noting, is that during significant trending marketconditions, this indicator will produce signals that often times hit SL, because of the aligned RSI. This is not because the indicator is behaving wrong, but often times because we need additional confirmation before taking a trade.

How to use:
1. Add the indicator to your chart as normal
2. Change 'Takeprofit method' to one of the fib-levels
3. Optionally: adjust 'Fixed take profit' and 'Stop Loss' values
4. Optionally: adjust 'Imbalance threshold' to ie. 0.1 or some other small percentage to filter out some of the smaller imbalances.
Each time you change something. Watch the results in the backtrader table and keep adjusting until you're satisfied with the results.

Changelog:
Cosmetic Change: Default colors changed to purple/green.
Added: Logic for detecting imbalances by looking for last swing point. Use the setting 'Imbalance threshold' to filter out some of the lower probability setups. You can also enable 'Show imbalance' to show the imbalance in numbers.
- I've seen improved results by setting this to '0.1' - make sure to experiment with this setting yourself to see what gives the best results.
Added: Positioning setting for Backtester table. It can now be positioned bottom-left, bottom-right or bottom-center.
Added: Simple Average TP column to backtester to see what TP values give best value.
The original usecase for this indicator was to use a fixed 'Take profit' of for example 10 points (on DAX). As mentioned I've added a new setting 'Take profit method', which now
allows for setting common fib-levels as calculated TP from the most recent swing high or low.
Added: Fib Levels to 'take profit' in backtester to support swing-like trades.
- The fixed 'Take profit' value is now used in two ways.
1) When 'Take profit method' is set to 'Fixed', it will use the fixed 'Take profit'
2) When 'Take profit method' is set to one of the fib-levels, it will use the fixed 'Take profit' as the minimum take profit to use.
Which means that if the indicator calculate a smaller take profit value compared to the fixed 'Take profit', from a fib-level, it will default to the fixed 'Take profit' value.
Set fixed 'Take profit' to 0.0 if you don't want this behavior.
Added: Options for drawing guidelines for 'Take profit' and 'Stop loss'. This is intended to aid traders when they enter prices into their respective tradingplatform. Note that 'Take profit' guidelines will be drawn in solid if they're either using a Fixed Take profit value or the calculated Fib-level Take profit is above the Fixed Take profit. Enable this by setting the 'Trade guidelines length' = 4 or some great than zero number. Also enable the 'Show take profit values' and 'Show take profit deltas' if you want it to show the excact values.
Added: Seperate symbols for historic signals depending on win/loss when backtester is enabled.
Fixed: Bug in FVG mitigation logic, where candles would take out a FVG on the wrong side.
Fixed: Bug in total Pct. Now calculating correctly based on total wins / total trades

Limitations worth mentioning about this indicators experimental backtester, is:

1. Since this backtester only runs a limited number of candles back (depends on your Tradingview plan). ie. for me on a Premium plan, it's 25.000 candles.
   
2. Checks for TP will be done before SL, which effectively means that if a candle hits both within same candle, it will always count as a win.
   
3. It currently runs with no upper limit for pyramiding, which in theory does not limit number of concurrent open trades.
   
4. TP and SL values will always be filled at excactly the amount defined. This rarely happens in real life (if ever).
   
5. No commision, spread or slippage is taken into account.
   

With these limitations in mind, remember to do your own backtests. Never trust one single indicator blindly.

7 hari lalu

Nota Keluaran

Minor Fix: Improved Sweep detection logic.