OPEN-SOURCE SCRIPT
Buy on Volume
This script has several weaknesses:
1. **Overly Simplistic Logic** – The buy signal is based on just two conditions (DEMA crossing above a Lorentzian Line and a volume spike), which may not be robust enough for real trading conditions.
2. **Lack of Sell Signals** – The script only focuses on buy signals without any exit strategy, making it incomplete for practical trading.
3. **Volume Confirmation May Be Unreliable** – The threshold for volume confirmation (50% above average) is arbitrary and may produce frequent false positives or fail in low-liquidity conditions.
4. **No Risk Management** – There is no stop-loss, take-profit, or risk-adjustment mechanism, making it unsuitable for serious trading.
5. **Potential for Late Entries** – The reliance on moving averages (DEMA) can introduce lag, causing buy signals to appear late after a price move has already occurred.
6. **Limited Adaptability** – The fixed parameter settings (e.g., DEMA period of 6, Lorentzian length of 21) may not work across different market conditions or assets.
7. **No Consideration for Market Trends** – The script does not account for broader market trends, which could lead to poor entries in bearish conditions.
8. **Visual Clutter** – The plotted signals and indicators might create unnecessary chart noise, making it difficult to analyze price action effectively.
9. **Alert Spam Potential** – Without additional filtering conditions, the script may trigger frequent buy alerts, leading to signal fatigue.
1. **Overly Simplistic Logic** – The buy signal is based on just two conditions (DEMA crossing above a Lorentzian Line and a volume spike), which may not be robust enough for real trading conditions.
2. **Lack of Sell Signals** – The script only focuses on buy signals without any exit strategy, making it incomplete for practical trading.
3. **Volume Confirmation May Be Unreliable** – The threshold for volume confirmation (50% above average) is arbitrary and may produce frequent false positives or fail in low-liquidity conditions.
4. **No Risk Management** – There is no stop-loss, take-profit, or risk-adjustment mechanism, making it unsuitable for serious trading.
5. **Potential for Late Entries** – The reliance on moving averages (DEMA) can introduce lag, causing buy signals to appear late after a price move has already occurred.
6. **Limited Adaptability** – The fixed parameter settings (e.g., DEMA period of 6, Lorentzian length of 21) may not work across different market conditions or assets.
7. **No Consideration for Market Trends** – The script does not account for broader market trends, which could lead to poor entries in bearish conditions.
8. **Visual Clutter** – The plotted signals and indicators might create unnecessary chart noise, making it difficult to analyze price action effectively.
9. **Alert Spam Potential** – Without additional filtering conditions, the script may trigger frequent buy alerts, leading to signal fatigue.
Skrip sumber terbuka
Dalam semangat TradingView sebenar, pencipta skrip ini telah menjadikannya sumber terbuka, jadi pedagang boleh menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupuan anda boleh menggunakan secara percuma, ingat bahawa penerbitan semula kod ini tertakluk kepada Peraturan Dalaman.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.
Skrip sumber terbuka
Dalam semangat TradingView sebenar, pencipta skrip ini telah menjadikannya sumber terbuka, jadi pedagang boleh menilai dan mengesahkan kefungsiannya. Terima kasih kepada penulis! Walaupuan anda boleh menggunakan secara percuma, ingat bahawa penerbitan semula kod ini tertakluk kepada Peraturan Dalaman.
Penafian
Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.