Squeeze Momentum Indicator with Entry Tactics

19 Feb

### **Squeeze Momentum Indicator with Stacked EMAs**

#### **Description:**
This indicator is an enhanced version of the **Squeeze Momentum Indicator** (originally by John Carter and later modified by LazyBear). It identifies **periods of consolidation (squeeze)** and signals potential **explosive price moves** when momentum shifts. The added **stacked EMA concept** further refines entry signals by confirming trend strength. This is also an update to version 6 of PineScript

#### **How to Use:**
The indicator provides **three different entry tactics**, allowing traders to choose signals based on their strategy:

1. **Inside Day Pattern** – Detects inside candles, which indicate potential breakouts when volatility contracts.
2. **Consecutive Black Crosses (Squeeze Signal)** – A certain number of black crosses (low volatility periods) suggests a strong move is coming.
3. **Stacked EMA Concept** – When the **8 EMA > 21 EMA > 34 EMA**, combined with a momentum shift from negative to positive, it signals a **high-probability bullish entry**.

#### **Visual Cues:**
- **Histogram Bars**: Show momentum (green for increasing bullish, red for increasing bearish).
- **Black & Gray Dots**: Represent different squeeze states (low volatility vs. breakout conditions).
- **🔥 Bullish Label**: Appears when the stacked EMAs align and momentum shifts from negative to positive.

#### **Best Practices:**
- Look for **momentum shifts during a squeeze** for high-probability trades.
- Use **stacked EMAs as trend confirmation** before entering.
- Combine with **price action and volume analysis** for additional confluence.

This indicator helps traders **anticipate major price moves** rather than react, making it a powerful tool for trend-following and breakout strategies. 🚀

5 Mac

Nota Keluaran

This adds a new label on the top right side to give you the highest and lowest value of the momentum value in the past 3 years.

How to use this new label:
This can be used to identify turning points in the momentum based on historical data. For example, you are long a momentum stock and it is nearing a momentum value high seen in the last 3 years. This can be an early sign of hitting over bought and good place to trim.

It also be used in the opposite direction to find bottoms. Once selling is exhausted, value might be hitting a low on a 3 year basis and can help scale into a stocking turning the corner.