Mushir's Inside Candle Indicator

9 Mac

This indicator detects inside candle formations on the chart’s current timeframe. It highlights when a candle’s range is fully engulfed by the previous candle’s range, provided the previous candle meets specific criteria.
How It Works ?
It shows the formation of inside candle on the charts to help in find trades.[NFA]

Mother Candle Validation
The previous candle must be a “leg candle” with a strong body and minimal wicks relative to its body size, ensuring a robust structure.

Inside Candle Detection
The current candle qualifies as an inside candle if:

Its high is ≤ the previous candle’s high.
Its low is ≥ the previous candle’s low.

Why Use This Indicator?
Adapts to the chart’s current timeframe—no manual adjustments needed.
Easily gives you the identification of inside candles
Minimalistic Design
Better results in trending market

How to use it?
- when the inside candle is formed there are certain conditions:
1. if the next candle first crosses the high of inside candle, look for a potential buy trade with RR as 2:1 while stoploss being just below the low of inside candle.
2. if the next candle first crosses the low of inside candle, look for a potential sell trade with RR as 2:1 while stoploss being just above the high of inside candle.
3. if 2:1 is achieved, then increase the partial target to 3:1 while bringing the stoploss to the entry point.
4. if the high is crossed first and then the low is crossed or vice versa then the trade is invalidated.

Happy Trading!

[NFA]

11 Mac

Nota Keluaran

Now you can track every inside candle that is formed on the charts (no restrictions of candle body or wick)