You should also after trying the indicator for a bit. Make a proper SL/TP strategy for it.
By default the indicator will only load with charts up to 30 minute frame. If you want to load on higher timeframe charts you have to increase the Timeframe to Lookback and the Timeframe options in it's settings.
I really recommend lower timeframes though, the default settings with 5 minute chart is most likely the best.
Each of the lines you see are pretty strong and . So if you've taken an entry for a quick scalp you should most likely start partially closing the position on each line.
I wouldn't really recommend a tight stop as we're most likely entering at or near the bottom and the price really can't stay that overextended unless it's a major/flash dump, at that point no indicator is safe anyways. So finding the sweet spot is up to you.
If more lines are on top of each other, be careful of that spot too as it's a great confluence of . For example if the top line is near the upper purple 4.236 line. That is a major resistance and if price is above it, it will almost certainly test it back or fall back inside the channel.
Another strategy is to not use the buy/sell signals but use the channel/lines yourself on higher timeframe for swing trading or just putting orders at the other extreme ends/lines in the channel to catch a nice entry in flash/major dumps/pumps.
Price will most likely retrace to the middle line after touching or overextending from the top and upper purple 4.236 line. Same also applies for the opposite side too. Any close above/below the might mean continuation but that's better seen and confirmed on much higher timeframes, not 5 minutes probably.
Special thanks to: https://www.tradingview.com/u/RafaelZion... i got inspired from some of his indicators and even used some snippets of code which he allowed me to do.
In the near future i'm thinking of implementing new logic with Weis Waves and few other indicators to increase the signal count as i think it's currently very low. But overtrading might be bad anyways.
I suggest you use spot exchange charts like Bitstamp/Coinbase etc.
If not for leveraged exchange charts: BitMEX > Bybit > Binance.
Default settings might be a bit choppy, need more testing and feedback whether to keep using it on 5 minute chart or try 15 minute chart with various different "Timeframe to Lookback" setting.