Multi-Timeframe Options Strategy with Dynamic Scoring System

## Multi-Timeframe Options Strategy with Dynamic Scoring System

### Overview
This indicator combines 12 technical analysis tools using a proprietary 30-point scoring system to generate options trading signals (CALL/PUT). It's designed for traders seeking confluence-based entries with multiple confirmation layers.

### How the Scoring System Works

The indicator evaluates market conditions across three categories:

**Trend Analysis (9 points maximum):**
- EMA Alignment (9, 21, 50, 200): Checks if moving averages are properly stacked (3 points)
- ADX Trend Strength: Confirms trend momentum above 25 threshold (3 points)
- Higher Timeframe Confirmation: Validates signals against larger timeframe trend (3 points)

**Momentum Indicators (7 points maximum):**
- RSI Position & Direction: Optimal zones 40-65 for buys, 35-60 for sells (2 points)
- MACD Signal Line Cross: Momentum confirmation (2 points)
- Stochastic Oscillator: Overbought/oversold conditions (2 points)
- Bollinger Band Position: Price relative to middle band (1 point)

**Market Quality Filters (4 points maximum):**
- Volume Confirmation: 1.5x average volume requirement (2 points)
- VWAP Position: Trend alignment check (1 point)
- ATR Volatility: Ensures adequate price movement (1 point)

### Key Features

**1. Fair Value Gaps (FVG)**
- Identifies price inefficiencies between candles
- Bullish FVG: Current low > high[2] (potential support)
- Bearish FVG: Current high < low[2] (potential resistance)
- Visual representation with colored boxes on chart

**2. Three Operating Modes**
- Normal Mode: Minimum 10 points - balanced signal frequency
- High Mode: Minimum 15 points - fewer but stronger signals
- Ultra Mode: Minimum 20 points - only highest quality setups

**3. Protection Mechanisms**
- Bollinger Band squeeze detection avoids ranging markets
- Prevents conflicting signals (no simultaneous CALL/PUT)
- 5-bar minimum cooldown between signals
- Filters extreme RSI readings (>75 or <25)

**4. Risk Management**
- Three profit targets: 0.5%, 1%, 1.5%
- Stop loss: 0.5% or ATR-based
- Visual target lines with entry/exit levels

### How Components Work Together

The indicator creates a comprehensive market analysis by combining:
- **EMAs** provide the trend structure framework
- **Oscillators** (RSI, Stochastic) identify optimal entry timing
- **ADX** confirms trend strength to filter weak signals
- **Volume** validates institutional participation
- **Higher timeframe** acts as a directional filter

Each component contributes points to either bullish or bearish scoring. Signals only generate when one direction significantly outweighs the other and meets minimum thresholds.

### Usage Instructions

1. **Select Mode**: Choose Normal/High/Ultra based on your trading style
2. **Monitor Dashboard**: Check real-time scoring and market conditions
3. **Wait for Signals**: Main BUY/SELL labels appear when criteria met
4. **Follow Targets**: Use automated TP and SL levels for risk management
5. **Candle Labels**: Optional CALL/PUT labels show building momentum

### Dashboard Information

The dashboard displays:
- Current trend direction and HTF confirmation
- ADX strength and direction
- RSI status with divergence detection
- MACD momentum state
- Volume multiplier
- Market condition (trending/ranging)
- Live scoring for both directions

### Important Notes

- This is a technical analysis tool, not financial advice
- Past performance does not guarantee future results
- Always use proper risk management
- Test thoroughly on demo before live trading

### Originality

This indicator's unique value comes from:
1. The 30-point weighted scoring system that prioritizes different factors
2. Integration of Fair Value Gaps with traditional indicators
3. Multi-mode operation allowing traders to adjust signal frequency
4. Higher timeframe validation system
5. Comprehensive filtering to reduce false signals

The combination creates a systematic approach to options trading that goes beyond simple indicator mashups by providing clear, scored reasoning for each signal.

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### Updates and Support

For questions or suggestions, please comment below. The indicator will be updated based on community feedback while maintaining compliance with all platform rules.