Keltner Channels Bands (RMA)Keltner Channel Bands
These normally consist of:
Keltner Channel Upper Band = EMA + Multiplier ∗ ATR
Keltner Channel Lower Band = EMA − Multiplier ∗ ATR
However instead of using ATR we are using RMA
This gives us a much smoother take of the KCB
We are also using 2 sets of bands built on 1 Moving average, this is a common set up for mean reversion strategies.
This can often be paired with RSI for lower timeframe divergences
Divergence
This is using the RSI to calculate when price sets new lows/highs whilst the RSI movement is in the opposite direction.
The way this is calculated is slightly different to traditional divergence scripts. instead of looking for pivot highs/lows in the RSI we are logging the RSI value when price makes it pivot highs/lows.
Gradient Bands
The Gradient Colouring on the bands is measuring how long price has been either side of the MA.
As Keltner bands are commonly used as a mean reversion strategy, I thought it would be useful to see how long price has been trending in a certain direction, the stronger the colours get,
the longer price has been trending that direction which could suggest we are looking for a retrace soon.
Alerts
Alerts included let you choose whether you want to receive an alert for the inside, outside or both band touches.
To set up these alerts, simply toggle them on in the settings, then click on the 3 dots next to the indicators name, from there you click 'Add Alert'.
From there you can customise the alert settings but make sure to leave the 2 top boxes which control the alert conditions. They will be default selected onto your correct settings, the rest you may want to change.
Once you create the alert, it will then trigger as soon as price touches your chosen inside/outside band.
Suggestions
Please feel free to offer any suggestions which you think could improve the script
Disclaimer
The default settings/parameters were shared by Jimtalbott, feel free to play about with the and use this code to make your own strategies.
Cari dalam skrip untuk "Divergence"
NSDT Double MA ShadingThis script is an interesting take on Convergence and Divergence of Moving Averages. With the built-in MACD Indicator, you cannot make these adjustments to the settings.
DESCRIPTION
The top Moving Average is calculated on the High of the candle.
The bottom Move Average is calculated on the Low of the candle.
If the two are moving apart (Divergence), the shaded area between them turns Green.
If the two are moving together (Convergence), the shaded area between them turns Red.
This may help identify when a trend is becoming stronger or weaker, based on the shaded area and Moving Average direction.
POSSIBLE USAGE
For example:
If the MA's are pointing downward and the shaded area is Green - it means that average distance between the candle High and Low is getting wider, which may indicate a stronger downward movement. Then, when the shaded area turns Red, signaling the average distance between the candle High and Low are getting narrower, this may indicate that the downward movement is weakening, and may be the end of that downward trend.
SETTINGS
You can choose from EMA, SMA, WMA, RMA, HMA, TMA, and VWMA.
Although you can choose the MA Source, it is highly recommended to keep one source on the High of the candle and the other on the Low of the candle, for measure Convergence and Divergence.
All indicator settings are editable.
It can be used on Multi Timeframes (MTF).
This script is free and open source.
Fast EMA above Slow EMA with MACD (by Coinrule)An exponential moving average ( EMA ) is a type of moving average (MA) that places a greater weight and significance on the most recent data points. The exponential moving average is also referred to as the exponentially weighted moving average . An exponentially weighted moving average reacts more significantly to recent price changes than a simple moving average simple moving average ( SMA ), which applies an equal weight to all observations in the period.
Moving average convergence divergence ( MACD ) is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price. The MACD is calculated by subtracting the 26-period exponential moving average ( EMA ) from the 12-period EMA .
The result of that calculation is the MACD line. A nine-day EMA of the MACD called the "signal line," is then plotted on top of the MACD line, which can function as a trigger for buy and sell signals. Traders may buy the coin when the MACD crosses above its signal line and sell—or short—the security when the MACD crosses below the signal line. Moving average convergence divergence ( MACD ) indicators can be interpreted in several ways, but the more common methods are crossovers, divergences, and rapid rises/falls.
The Strategy enters and closes the trade when the following conditions are met:
LONG
The MACD histogram turns bullish
EMA8 is greater than EMA26
EXIT
Price increases 3% trailing
Price decreases 1% trailing
This strategy is back-tested from 1 January 2022 to simulate how the strategy would work in a bear market and provides good returns.
Pairs that produce very strong results include AXSUSDT on the 5-minute timeframe. This short timeframe means that this strategy opens and closes trades regularly.
Additionally, the trailing stop loss and take profit conditions can also be changed to match your needs.
The strategy assumes each order is using 30% of the available coins to make the results more realistic and to simulate you only ran this strategy on 30% of your holdings. A trading fee of 0.1% is also taken into account and is aligned to the base fee applied on Binance.
EMA and MACD with Trailing Stop Loss (by Coinrule)An exponential moving average ( EMA ) is a type of moving average (MA) that places a greater weight and significance on the most recent data points. The exponential moving average is also referred to as the exponentially weighted moving average. An exponentially weighted moving average reacts more significantly to recent price changes than a simple moving average simple moving average ( SMA ), which applies an equal weight to all observations in the period.
Moving average convergence divergence ( MACD ) is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price. The MACD is calculated by subtracting the 26-period exponential moving average ( EMA ) from the 12-period EMA.
The result of that calculation is the MACD line. A nine-day EMA of the MACD called the "signal line," is then plotted on top of the MACD line, which can function as a trigger for buy and sell signals. Traders may buy the security when the MACD crosses above its signal line and sell—or short—the security when the MACD crosses below the signal line. Moving average convergence divergence ( MACD ) indicators can be interpreted in several ways, but the more common methods are crossovers, divergences, and rapid rises/falls.
The Strategy enters and closes the trade when the following conditions are met:
LONG
The MACD histogram turns bearish
EMA7 is greater than EMA14
EXIT
Price increases 3% trailing
Price decreases 1% trailing
This strategy is back-tested from 1 January 2022 to simulate how the strategy would work in a bear market and provides good returns.
Pairs that produce very strong results include XRPUSDT on the 1-minute timeframe. This short timeframe means that this strategy opens and closes trades regularly
In order to further improve the strategy, the EMA can be changed from 7 and 14 to, say, EMA20 and EMA50. Furthermore, the trailing stop loss can also be changed to ideally suit the user to match their needs.
The strategy assumes each order is using 30% of the available coins to make the results more realistic and to simulate you only ran this strategy on 30% of your holdings. A trading fee of 0.1% is also taken into account and is aligned to the base fee applied on Binance.
[blackcat] L3 RMI Trading StrategyLevel 3
Background
My view of correct usage of RSI and the relationship between RMI and RSI. A proposed RMI indicator with features is introduced
Descriptions
The Relative Strength Index (RSI) is a technical indicator that many people use. Its focus indicates the strength or weakness of a stock. In the traditional usage of this point, when the RSI is above 50, it is strong, otherwise it is weak. Above 80 is overbought, below 20 is oversold. This is what the textbook says. However, if you follow the principles in this textbook and enter the actual trading, you would lose a lot and win a little! What is the reason for this? When the RSI is greater than 50, that is, a stock enters the strong zone. At this time, the emotions of market may just be brewing, and as a result, you run away and watch others win profit. On the contrary, when RSI<20, that is, a stock enters the weak zone, you buy it. At this time, the effect of losing money is spreading. You just took over the chips that were dumped by the whales. Later, you thought that you had bought at the bottom, but found that you were in half mountainside. According to this cycle, there is a high probability that a phenomenon will occur: if you sell, price will rise, and if you buy, price will fall, who have similar experiences should quickly recall whether their RSI is used in this way. Technical indicators are weapons. It can be either a tool of bull or a sharp blade of bear. Don't learn from dogma and give it away. Trading is a game of people. There is an old saying called “people’s hearts are unpredictable”. Do you really think that there is a tool that can detect the true intentions of people’s hearts 100% of the time?
For the above problems, I suggest that improvements can be made in two aspects (in other words, once the strategy is widely spread, it is only a matter of time before it fails. The market is an adaptive and complex system, as long as it can be fully utilized under the conditions that can be used, it is not easy to use. throw or evolve):
1. RSI usage is the opposite. When a stock has undergone a deep adjustment from a high level, and the RSI has fallen from a high of more than 80 to below 50, it has turned from strong to weak, and cannot be bought in the short term. But when the RSI first moved from a low to a high of 80, it just proved that the stock was in a strong zone. There are funds in the activity, put into the stock pool.
Just wait for RSI to intervene in time when it shrinks and pulls back (before it rises when the main force washes the market). It is emphasized here that the use of RSI should be combined with trading volume, rising volume, and falling volume are all healthy performances. A callback that does not break an important moving average is a confirmed buying point or a second step back on an important moving average is a more certain buying point.
2. The RSI is changed to a more stable and adjustable RMI (Relative Momentum Indicator), which is characterized by an additional momentum parameter, which can not only be very close to the RSI performance, but also adjust the momentum parameter m when the market environment changes to ensure more A good fit for a changing market.
The Relative Momentum Index (RMI) was developed by Roger Altman and described its principles in his article in the February 1993 issue of the journal Technical Analysis of Stocks and Commodities. He developed RMI based on the RSI principle. For example, RSI is calculated from the close to yesterday's close in a period of time compared to the ups and downs, while the RMI is compared from the close to the close of m days ago. Therefore, in principle, when m=1, RSI should be equal to RMI. But it is precisely because of the addition of this m parameter that the RMI result may be smoother than the RSI.
Not much more to say, the below picture: when m=1, RMI and RSI overlap, and the result is the same.
The Shanghai 50 Index is from TradingView (m=1)
The Shanghai 50 Index is from TradingView (m=3)
The Shanghai 50 Index is from TradingView (m=5)
For this indicator function, I also make a brief introduction:
1. 50 is the strength line (white), do not operate offline, pay attention online. 80 is the warning line (yellow), indicating that the stock has entered a strong area; 90 is the lightening line (orange), once it is greater than 90 and a sell K-line pattern appears, the position will be lightened; the 95 clearing line (red) means that selling is at a climax. This is seen from the daily and weekly cycles, and small cycles may not be suitable.
2. The purple band indicates that the momentum is sufficient to hold a position, and the green band indicates that the momentum is insufficient and the position is short.
3. Divide the RMI into 7, 14, and 21 cycles. When the golden fork appears in the two resonances, a golden fork will appear to prompt you to buy, and when the two periods of resonance have a dead fork, a purple fork will appear to prompt you to sell.
4. Add top-bottom divergence judgment algorithm. Top_Div red label indicates top divergence; Bot_Div green label indicates bottom divergence. These signals are only for auxiliary judgment and are not 100% accurate.
5. This indicator needs to be combined with VOL energy, K-line shape and moving average for comprehensive judgment. It is still in its infancy, and open source is published in the TradingView community. A more complete advanced version is also considered for subsequent release (because the K-line pattern recognition algorithm is still being perfected).
Remarks
Feedbacks are appreciated.
Nyquist Moving Average (NMA) MACD [Loxx]Nyquist Moving Average (NMA) MACD is a MACD indicator using Nyquist Moving Average for its calculation.
What is the Nyquist Moving Average?
A moving average outlined originally developed by Dr . Manfred G. Dürschner in his paper "Gleitende Durchschnitte 3.0".
In signal processing theory, the application of a MA to itself can be seen as a Sampling procedure. The sampled signal is the MA (referred to as MA.) and the sampling signal is the MA as well (referred to as MA). If additional periodic cycles which are not included in the price series are to be avoided sampling must obey the Nyquist Criterion.
It can be concluded that the Moving Averages 3.0 on the basis of the Nyquist Criterion bring about a significant improvement compared with the Moving Averages 2.0 and 1.0. Additionally, the efficiency of the Moving Averages 3.0 can be proven in the result of a trading system with NWMA as basis.
What is the MACD?
Moving average convergence divergence (MACD) is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price. The MACD is calculated by subtracting the 26-period exponential moving average (EMA) from the 12-period EMA.
The result of that calculation is the MACD line. A nine-day EMA of the MACD called the "signal line," is then plotted on top of the MACD line, which can function as a trigger for buy and sell signals. Traders may buy the security when the MACD crosses above its signal line and sell—or short—the security when the MACD crosses below the signal line. Moving average convergence divergence (MACD) indicators can be interpreted in several ways, but the more common methods are crossovers, divergences, and rapid rises/falls.
Included
Bar coloring
2 types of signal output options
Alerts
Loxx's Expanded Source Types
Adaptive Jurik Filter MACD [Loxx]Adaptive Jurik Filter MACD uses Jurik Volty and Adaptive Double Jurik Filter Moving Average (AJFMA) to derive Jurik Filter smoothed volatility.
What is MACD?
Moving average convergence divergence (MACD) is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price. The MACD is calculated by subtracting the 26-period exponential moving average (EMA) from the 12-period EMA.
The result of that calculation is the MACD line. A nine-day EMA of the MACD called the "signal line," is then plotted on top of the MACD line, which can function as a trigger for buy and sell signals. Traders may buy the security when the MACD crosses above its signal line and sell—or short—the security when the MACD crosses below the signal line. Moving average convergence divergence (MACD) indicators can be interpreted in several ways, but the more common methods are crossovers, divergences, and rapid rises/falls.
What is Jurik Volty?
One of the lesser known qualities of Juirk smoothing is that the Jurik smoothing process is adaptive. "Jurik Volty" (a sort of market volatility ) is what makes Jurik smoothing adaptive. The Jurik Volty calculation can be used as both a standalone indicator and to smooth other indicators that you wish to make adaptive.
What is the Jurik Moving Average?
Have you noticed how moving averages add some lag (delay) to your signals? ... especially when price gaps up or down in a big move, and you are waiting for your moving average to catch up? Wait no more! JMA eliminates this problem forever and gives you the best of both worlds: low lag and smooth lines.
Ideally, you would like a filtered signal to be both smooth and lag-free. Lag causes delays in your trades, and increasing lag in your indicators typically result in lower profits. In other words, late comers get what's left on the table after the feast has already begun.
That's why investors, banks and institutions worldwide ask for the Jurik Research Moving Average ( JMA ). You may apply it just as you would any other popular moving average. However, JMA's improved timing and smoothness will astound you.
What is adaptive Jurik volatility?
One of the lesser known qualities of Juirk smoothing is that the Jurik smoothing process is adaptive. "Jurik Volty" (a sort of market volatility ) is what makes Jurik smoothing adaptive. The Jurik Volty calculation can be used as both a standalone indicator and to smooth other indicators that you wish to make adaptive.
What is an adaptive cycle, and what is Ehlers Autocorrelation Periodogram Algorithm?
From his Ehlers' book Cycle Analytics for Traders Advanced Technical Trading Concepts by John F. Ehlers , 2013, page 135:
"Adaptive filters can have several different meanings. For example, Perry Kaufman’s adaptive moving average ( KAMA ) and Tushar Chande’s variable index dynamic average ( VIDYA ) adapt to changes in volatility . By definition, these filters are reactive to price changes, and therefore they close the barn door after the horse is gone.The adaptive filters discussed in this chapter are the familiar Stochastic , relative strength index ( RSI ), commodity channel index ( CCI ), and band-pass filter.The key parameter in each case is the look-back period used to calculate the indicator. This look-back period is commonly a fixed value. However, since the measured cycle period is changing, it makes sense to adapt these indicators to the measured cycle period. When tradable market cycles are observed, they tend to persist for a short while.Therefore, by tuning the indicators to the measure cycle period they are optimized for current conditions and can even have predictive characteristics.
The dominant cycle period is measured using the Autocorrelation Periodogram Algorithm. That dominant cycle dynamically sets the look-back period for the indicators. I employ my own streamlined computation for the indicators that provide smoother and easier to interpret outputs than traditional methods. Further, the indicator codes have been modified to remove the effects of spectral dilation.This basically creates a whole new set of indicators for your trading arsenal."
Included
- Change colors of oscillators and bars
CVD - Cumulative Volume Delta Candles█ OVERVIEW
This indicator displays cumulative volume delta in candle form. It uses intrabar information to obtain more precise volume delta information than methods using only the chart's timeframe.
█ CONCEPTS
Bar polarity
By bar polarity , we mean the direction of a bar, which is determined by looking at the bar's close vs its open .
Intrabars
Intrabars are chart bars at a lower timeframe than the chart's. Each 1H chart bar of a 24x7 market will, for example, usually contain 60 bars at the lower timeframe of 1min, provided there was market activity during each minute of the hour. Mining information from intrabars can be useful in that it offers traders visibility on the activity inside a chart bar.
Lower timeframes (LTFs)
A lower timeframe is a timeframe that is smaller than the chart's timeframe. This script uses a LTF to access intrabars. The lower the LTF, the more intrabars are analyzed, but the less chart bars can display CVD information because there is a limit to the total number of intrabars that can be analyzed.
Volume delta
The volume delta concept divides a bar's volume in "up" and "down" volumes. The delta is calculated by subtracting down volume from up volume. Many calculation techniques exist to isolate up and down volume within a bar. The simplest techniques use the polarity of interbar price changes to assign their volume to up or down slots, e.g., On Balance Volume or the Klinger Oscillator . Others such as Chaikin Money Flow use assumptions based on a bar's OHLC values. The most precise calculation method uses tick data and assigns the volume of each tick to the up or down slot depending on whether the transaction occurs at the bid or ask price. While this technique is ideal, it requires huge amounts of data on historical bars, which usually limits the historical depth of charts and the number of symbols for which tick data is available.
This indicator uses intrabar analysis to achieve a compromise between the simplest and most precise methods of calculating volume delta. In the context where historical tick data is not yet available on TradingView, intrabar analysis is the most precise technique to calculate volume delta on historical bars on our charts. Our Volume Profile indicators use it. Other volume delta indicators in our Community Scripts such as the Realtime 5D Profile use realtime chart updates to achieve more precise volume delta calculations, but that method cannot be used on historical bars, so those indicators only work in real time.
This is the logic we use to assign intrabar volume to up or down slots:
• If the intrabar's open and close values are different, their relative position is used.
• If the intrabar's open and close values are the same, the difference between the intrabar's close and the previous intrabar's close is used.
• As a last resort, when there is no movement during an intrabar and it closes at the same price as the previous intrabar, the last known polarity is used.
Once all intrabars making up a chart bar have been analyzed and the up or down property of each intrabar's volume determined, the up volumes are added and the down volumes subtracted. The resulting value is volume delta for that chart bar.
█ FEATURES
CVD Candles
Cumulative Volume Delta Candles present volume delta information as it evolves during a period of time.
This is how each candle's levels are calculated:
• open : Each candle's' open level is the cumulative volume delta for the current period at the start of the bar.
This value becomes zero on the first candle following a CVD reset.
The candles after the first one always open where the previous candle closed.
The candle's high, low and close levels are then calculated by adding or subtracting a volume value to the open.
• high : The highest volume delta value found in intrabars. If it is not higher than the volume delta for the bar, then that candle will have no upper wick.
• low : The lowest volume delta value found in intrabars. If it is not lower than the volume delta for the bar, then that candle will have no lower wick.
• close : The aggregated volume delta for all intrabars. If volume delta is positive for the chart bar, then the candle's close will be higher than its open, and vice versa.
The candles are plotted in one of two configurable colors, depending on the polarity of volume delta for the bar.
CVD resets
The "cumulative" part of the indicator's name stems from the fact that calculations accumulate during a period of time. This allows you to analyze the progression of volume delta across manageable chunks, which is often more useful than looking at volume delta cumulated from the beginning of a chart's history.
You can configure the reset period using the "CVD Resets" input, which offers the following selections:
• None : Calculations do not reset.
• On a fixed higher timeframe : Calculations reset on the higher timeframe you select in the "Fixed higher timeframe" field.
• At a fixed time that you specify.
• At the beginning of the regular session .
• On a stepped higher timeframe : Calculations reset on a higher timeframe automatically stepped using the chart's timeframe and following these rules:
Chart TF HTF
< 1min 1H
< 3H 1D
<= 12H 1W
< 1W 1M
>= 1W 1Y
The indicator's background shows where resets occur.
Intrabar precision
The precision of calculations increases with the number of intrabars analyzed for each chart bar. It is controlled through the script's "Intrabar precision" input, which offers the following selections:
• Least precise, covering many chart bars
• Less precise, covering some chart bars
• More precise, covering less chart bars
• Most precise, 1min intrabars
As there is a limit to the number of intrabars that can be analyzed by a script, a tradeoff occurs between the number of intrabars analyzed per chart bar and the chart bars for which calculations are possible.
Total volume candles
You can choose to display candles showing the total intrabar volume for the chart bar. This provides you with more context to evaluate a bar's volume delta by showing it relative to the sum of intrabar volume. Note that because of the reasons explained in the "NOTES" section further down, the total volume is the sum of all intrabar volume rather than the volume of the bar at the chart's timeframe.
Total volume candles can be configured with their own up and down colors. You can also control the opacity of their bodies to make them more or less prominent. This publication's chart shows the indicator with total volume candles. They are turned off by default, so you will need to choose to display them in the script's inputs for them to plot.
Divergences
Divergences occur when the polarity of volume delta does not match that of the chart bar. You can identify divergences by coloring the CVD candles differently for them, or by coloring the indicator's background.
Information box
An information box in the lower-left corner of the indicator displays the HTF used for resets, the LTF used for intrabars, and the average quantity of intrabars per chart bar. You can hide the box using the script's inputs.
█ INTERPRETATION
The first thing to look at when analyzing CVD candles is the side of the zero line they are on, as this tells you if CVD is generally bullish or bearish. Next, one should consider the relative position of successive candles, just as you would with a price chart. Are successive candles trending up, down, or stagnating? Keep in mind that whatever trend you identify must be considered in the context of where it appears with regards to the zero line; an uptrend in a negative CVD (below the zero line) may not be as powerful as one taking place in positive CVD values, but it may also predate a movement into positive CVD territory. The same goes with stagnation; a trader in a long position will find stagnation in positive CVD territory less worrisome than stagnation under the zero line.
After consideration of the bigger picture, one can drill down into the details. Exactly what you are looking for in markets will, of course, depend on your trading methodology, but you may find it useful to:
• Evaluate volume delta for the bar in relation to price movement for that bar.
• Evaluate the proportion that volume delta represents of total volume.
• Notice divergences and if the chart's candle shape confirms a hesitation point, as a Doji would.
• Evaluate if the progress of CVD candles correlates with that of chart bars.
• Analyze the wicks. As with price candles, long wicks tend to indicate weakness.
Always keep in mind that unless you have chosen not to reset it, your CVD resets for each period, whether it is fixed or automatically stepped. Consequently, any trend from the preceding period must re-establish itself in the next.
█ NOTES
Know your volume
Traders using volume information should understand the volume data they are using: where it originates and what transactions it includes, as this can vary with instruments, sectors, exchanges, timeframes, and between historical and realtime bars. The information used to build a chart's bars and display volume comes from data providers (exchanges, brokers, etc.) who often maintain distinct feeds for intraday and end-of-day (EOD) timeframes. How volume data is assembled for the two feeds depends on how instruments are traded in that sector and/or the volume reporting policy for each feed. Instruments from crypto and forex markets, for example, will often display similar volume on both feeds. Stocks will often display variations because block trades or other types of trades may not be included in their intraday volume data. Futures will also typically display variations.
Note that as intraday vs EOD variations exist for historical bars on some instruments, differences may also exist between the realtime feeds used on intraday vs 1D or greater timeframes for those same assets. Realtime reporting rules will often be different from historical feed reporting rules, so variations between realtime feeds will often be different from the variations between historical feeds for the same instrument. The Volume X-ray indicator can help you analyze differences between intraday and EOD volumes for the instruments you trade.
If every unit of volume is both bought by a buyer and sold by a seller, how can volume delta make sense?
Traders who do not understand the mechanics of matching engines (the exchange software that matches orders from buyers and sellers) sometimes argue that the concept of volume delta is flawed, as every unit of volume is both bought and sold. While they are rigorously correct in stating that every unit of volume is both bought and sold, they overlook the fact that information can be mined by analyzing variations in the price of successive ticks, or in our case, intrabars.
Our calculations model the situation where, in fully automated order handling, market orders are generally matched to limit orders sitting in the order book. Buy market orders are matched to quotes at the ask level and sell market orders are matched to quotes at the bid level. As explained earlier, we use the same logic when comparing intrabar prices. While using intrabar analysis does not produce results as precise as when individual transactions — or ticks — are analyzed, results are much more precise than those of methods using only chart prices.
Not only does the concept underlying volume delta make sense, it provides a window on an oft-overlooked variable which, with price and time, is the only basic information representing market activity. Furthermore, because the calculation of volume delta also uses price and time variations, one could conceivably surmise that it can provide a more complete model than ones using price and time only. Whether or not volume delta can be useful in your trading practice, as usual, is for you to decide, as each trader's methodology is different.
For Pine Script™ coders
As our latest Polarity Divergences publication, this script uses the recently released request.security_lower_tf() Pine Script™ function discussed in this blog post . It works differently from the usual request.security() in that it can only be used at LTFs, and it returns an array containing one value per intrabar. This makes it much easier for programmers to access intrabar information.
Look first. Then leap.
Heikin Ashi CountObjective:
This indicator aims to obtain an oscillator indicating the trend of a market by minimizing noise through the use of Heikin Ashi candles.
The idea is to make the oscillator tend towards 100 at each bullish Heikin Ashi candle, and inversely towards 0 when bearish.
The advantage is that this indicator has little noise compared to the RSI, but also little lag compared to the Schaff Trend Cycle, which are the two indicators that inspired me to create this one.
Usage:
As a general rule, below 15, HA Count indicates an oversell and above 85 an overbuy.
Setting the length for the candle count results in an indicator that is less sensitive when close to 1 and more sensitive when it is at 2 or higher.
Chosen as the default value, 1.15 seems to give the best indications, regardless of the market or time period.
Also it looks very similar to the values that the RSI could give set over 14 periods, so it can be used in the same way. Especially with regard to divergences.
---- FR ----
Objectif :
Cet indicateur vise à obtenir un oscillateur indicant la tendance d'un marché en minimisant le bruit grace à l'utilisation des bougies Heikin Ashi.
L'idée est de faire tendre l'oscillateur vers 100 à chaque bougie Heikin Ashi haussière, et inversement vers 0 lorsque baissière.
L'avantage est que cet indicateur a peu de bruit comparé au RSI, mais peu de lag aussi comparé au Schaff Trend Cycle, qui sont les deux indicateurs qui m'ont inspiré pour la création de celui-ci.
Utilisation :
En régle général, en dessous de 15 HA Count indique une sur-vente et au-dessus de 85 un sur-achat.
Le paramétrage de la longueur pour le comptage de bougie permet d'obtenir un indicateur moins sensible lorsque proche de 1 et plus sensible lorsqu'il est à 2 ou supérieur.
Choisie comme valeur par défaut, 1.15 semble donner les meilleures indications, peu importe le marché ou la période de temps.
En outre cela ressemble beaucoup aux valeurs que pourrait donner le RSI régler sur 14 périodes, ainsi il peut être utilisé de la même manière. Notamment pour ce qui est des divergences.
Trading Made Easy Pressure OscillatorAs always, this is not financial advice and use at your own risk. Trading is risky and can cost you significant sums of money if you are not careful. Make sure you always have a proper entry and exit plan that includes defining your risk before you enter a trade.
Those who have looked at my other indicators know that I am a big fan of Dr. Alexander Elder and John Carter. This is relevant to my trading style and to this indicator in general. While I understand it goes against TradingView rules generally to display other indicators while describing a new one, I need the Bollinger Bands, Bollinger Bands Width, and a secondary directional indicator to explain the full power of this indicator. In short, if this is strongly against the rules, I will edit the post as needed.
Those of you who are aware of John Carter are going to know this already, but for those who don’t, an explanation is necessary. John Carter is a relatively famous retail-turned-institutional (sort of) trader. He is the founder of TradetheMarkets, that later turned into SimplerTrading. Him and his company have a series of YouTube videos, he has made appearances on the MoneyShow, TastyTrade, and has authored a couple of books about trading. However, he is probably most famous for his “Squeeze” indicator that was originally launched on Thinkorswim and through his website but has now been incorporated into several trading platforms and even has a few open-source versions available here. In short, the Squeeze indicator looks to identify periods of consolidation and marry that with a momentum oscillator so you can position yourself in a quiet period before a large move. This in my opinion, is one of the best indicators an option trader can have, since options are priced both on time and volatility. To do this, the Squeeze identifies when the Bollinger Bands, a measure of price standard deviation, have contracted inside the Keltner Channels (a measure of the average range of a stock). This highlights something known as “the Squeeze”, when the 2x standard deviations (95% of all likely price movement using data from the past 20 periods) is less than the 1.5x average true range (ATR) of the stock over the same number of periods. These periods are when a stock is resting and in a period of consolidation and is generally followed by another large move once it has rested long enough. The momentum oscillator is used to determine the direction of this next move.
While I think this is one of the best indicators ever made, it is not without its pitfalls. I find that the “Squeeze” periods sometimes take too long to setup (something that was addressed by John and released in a new indicator, the Squeeze Pro, but even that is still slowish) and that the momentum oscillator was also a bit slow. They used a linear regression formula to track momentum, which can lag considerably at times. Collectively, this meant that getting into moves a few candles late was not uncommon or someone solely trading squeeze setups could have missed very good trade opportunities.
To improve on this, I present, the Trading Made Easy Pressure Oscillator. This more accurately identifies when volatility is reducing and the trading range is likely to contract, increasing the “pressure” on the price. This is often marked several candles before a “Squeeze” has started. To identify these ranges, I applied a 21-period exponential moving average to the Bollinger Bands Width indicator (BBW). As mentioned above, the Bollinger Bands measure the 2x standard deviation of price, typically based on a 20-period SMA. When the BBs expand, it marks periods of high volatility, when they contract, conversely, periods of low volatility. Therefore, applying an EMA to the BBW indicator allows us to confidently mark when volatility has slowed down earlier than traditional methods. The second improvement I made was using the Absolute Price oscillator instead of a linear regression-style oscillator. The APO is very similar to a MACD, it measures the difference between two exponential moving averages, here the 8 and 21 (Fibonacci EMAs). However, I find the APO to be smoother than the MACD, yet more reactive than the linear regression-style oscillators to get you into moves earlier.
Uses:
1) Buying before a bigger than expected move. This is especially relevant for options traders since theta decay will often eat away much of our profits while we wait for a large enough price move to offset the time decay. Here, we buy a call option/shares when the momentum oscillator matches the longer-term trend (i.e. the APO crosses over the zero line when price is above the 200-day EMA, and vice versa for puts/shorting the stock). This coincides with Dr. Elder’s Triple Screen Trading System, that we are aligning ourselves with the path of least resistance. We want to do this when price is currently in an increasing pressure situation (i.e. volatility is contracting) to make sure we are buying an option when premium and Implied Volatility is low so we can get a better price and have a better risk to reward ratio. Low volatility is denoted by a purple dot, high volatility a blue dot along the midline of the indicator. A scalper or short-term swing trader may look to exit when the blue dots turn purple signalling a likely end to a move. A longer-term trend trader can look to other exit scenarios, such as a cross of the oscillator below the zero line, signalling to go short, or using a moving average as a trailing stop.
2) Sell premium after a larger than expected move has finished. After a larger than expected move has completed (a series of blue dots is followed by a purple dot), use this time to sell theta-driven options strategies such as straddles, strangles, iron condors, calendar spreads, or iron butterflies, anything that benefits from contracting volatility and stagnating prices. This is useful here since reducing volatility typically means a contraction of prices and the reduced likelihood of a move outside of the normal range.
3) Divergences. This indicator is sensitive enough to highlight divergences. I personally don’t use it as such as I prefer to trend trade vs. reversion trade. Use at your own risk, but they are there.
In summary, this indicator improves upon the famous Squeeze indicator by increasing the speed at which periods of consolidation are marked and trend identification. I hope you enjoy it.
Combo 2/20 EMA & Absolute Price Oscillator (APO) This is combo strategies for get a cumulative signal.
First strategy
This indicator plots 2/20 exponential moving average. For the Mov
Avg X 2/20 Indicator, the EMA bar will be painted when the Alert criteria is met.
Second strategy
The Absolute Price Oscillator displays the difference between two exponential
moving averages of a security's price and is expressed as an absolute value.
How this indicator works
APO crossing above zero is considered bullish, while crossing below zero is bearish.
A positive indicator value indicates an upward movement, while negative readings
signal a downward trend.
Divergences form when a new high or low in price is not confirmed by the Absolute Price
Oscillator (APO). A bullish divergence forms when price make a lower low, but the APO
forms a higher low. This indicates less downward momentum that could foreshadow a bullish
reversal. A bearish divergence forms when price makes a higher high, but the APO forms a
lower high. This shows less upward momentum that could foreshadow a bearish reversal.
WARNING:
- For purpose educate only
- This script to change bars colors.
Relative Volume Strength Index (MZ RVSI)INTRODUCTION
Volume always plays a role of key indication for price movements and momentum and I always found the same problem with all available volume oscillators and indicators which is that their data is always in compounded form that can’t be easily used in raw form as a parameter in many strategies.
This indicator uses raw volume data from one of following oscillators:
TFS Volume Oscillator
On Balance Volume
Klinger Volume Oscillator
Cumulative Volume Oscillator
Volume Zone Oscillator
Then this data goes through the following process of noise filtration:
Hull Moving Average of input data to reduce noise
Relative Strength Index of HMA
Hull Moving Average of RSI to reduce noise for finalized RVSI
ADDITIONAL FEATURES
Heiken-Ashi: Heiken-Ashi values are optional to use in calculations and I’ve set them to default as I found good results with them.
Slope for Trend Detection: Slope of finalized RVSI is calculated in order to check volume trend direction. Another additional feature of Volume breakouts is also added which is used in dynamic coloring of RVSI. Dynamic color indications are as follows.
Green Color:
Strong Volume Uptrend above volume breakout point
Fuchsia Color:
Weak Volume Uptrend below volume breakout point but slope supported
Red Color:
Strong Volume Downtrend below volume breakout point
Gray Color:
Weak Volume Downtrend above volume breakout point but slope supported
Yellow Color:
Possible trend reversal as slope is flat.
DEFAULTS SETTINGS
Volume length is 30 (Better for timeframes higher than 1H)
Hull Moving Average and RSI length is set to 14
ADDITIONAL APPLICATIONS
This indicator can be used as divergence detection tool for volume same way as RSI is used for price divergence. I’ll soon add divergence signals inside the code and this code can be used in multiple ways as volume breakout indication in strategies for better results.
Williams Accumulation/DistributionThis is an indicator described by Larry Williams in one of his books. Larry won the 1987 World Cup Championship of Futures Trading, where he turned $10,000 to over $1,100,000 in a 12-month competition with real money.
Larry used this indicator to track divergences between price action and volume, which he called patterns of accumulation (bullish divergence) and distribution(bearish divergence). Its logic is similar to On Balance Volume(OBV), where it accumulates up and down volume in a single line, but also takes into account the size of the candle in its calculation, by taking the difference between the open and close, and the high and the low.
Enjoy!
Relative Momentum IndexThe RMI indicator is intended as a general upgrade to the RSI indicator based on logical improvements to the underlying mathematics of the RSI function.
The first change is that the RMI indicator uses the maximal change in price in both directions rather than simply the change in the closing price to better capture the relative momentum in each direction. The second change is that the the ratio between bullishness and bearishness is passed through a log function rather than the 1/(1+x) function to remove the processing artefacts caused by the EMAs and the compression within the restricted range. As a result, the RMI is an unbounded centred oscillator, although it is usually at a similar value to the RSI indicator doubled and centred at zero. The bands are intended to make differences between values more visible at a glance and for interface familiarity with the RSI indicator, though their levels are arbitrary and not intended as overbought/oversold signals.
The practical effect of these changes are that divergences are easier to see since the indicator is not compressed at extreme values and divergence strategies based on the RMI indicator are slightly more accurate. The list of occasions on the included DJI Weekly chart where the RMI divergence strategy correctly predicted a reversal while the RSI did not are as follows: July 1932, June 1962, May 1970, November 1987, May 2021
On Balance Volume FieldsThe On Balance Volume (OBV) indicator was developed by Joseph E. Granville and published first in his book "New key to stock market profits" in 1963. It uses volume to determine momentum of an asset. The base concept of OBV is - in simple terms - you take a running total of the volume and either add or subtract the current timeframe volume if the market goes up or down. The simplest use cases only use the line build that way to confirm direction of price, but the possibilities and applications of OBV go far beyond that and are (at least to my knowledge) not found in existing indicators available on this platform.
If you are interested to get a deeper understanding of OBV, I recommend the lecture of the above mentioned book by Granville. All the features described below are taken directly from the book or are inspired by it (deviations will be marked accordingly). If you have no prior experience with OBV, I recommend to start simple and read an easy introduction (e.g. On-Balance Volume (OBV) Definition from Investopedia) and start applying the basic concepts first before heading into the more advanced analysis of OBV fields and trends.
Markets and Timeframes
As the OBV is "just" a momentum indicator, it should be applicable to any market and timeframe.
As a long term investor, my experience is limited to the longer timeframes (primarily daily), which is also how Granville applies it. But that is most likely due to the time it was developed and the lack of lower timeframe data at that point in time. I don't see why it wouldn't be applicable to any timeframe, but cannot speak from experience here so do your own research and let me know. Likewise, I invest in the crypto markets almost exclusively and hence this is where my experience with this indicator comes from.
Feature List
As a general note before starting into the description of the individual features: I use the colors and values of the default settings of the indicator to describe it. The general look and feel obviously can be customized (and I highly recommend doing so, as this is a very visual representation of volume, and it should suit your way of looking at a chart) and I also tried to make the individual features as customizable as possible.
Also, all additions to the OBV itself can be turned off so that you're left with just the OBV line (although if that's what you want, I recommend a version of the indicator with less overhead).
Fields
Fields are defined as successive UPs or DOWNs on the OBV. An UP is any OBV reading above the last high pivot and subsequently a DOWN is any reading below the last low pivot. An UP-field is the time from the first UP after a DOWN-field to the first DOWN (not including). The same goes for a DOWN field but vice versa.
The field serves the same purpose as the OBV itself. To indicate momentum direction. I haven't found much use for the fields themselves other than serving as a more smoothed view on the current momentum. The real power of the fields emerges when starting to determine larger trends of off them (as you will see soon).
Therefor the fields are displayed on the indicator as background colors (UP = green, DOWN = red), but only very faint to not distract too much from the other parts of the indicator.
Major Volume Trend
The major volume trend - from which Granville says, it's the one that tends to precede price - is determined as the succession of the highest highs and lowest lows of UP and DOWN fields. It is represented by the colors of the numbers printed on the highs and lows of the fields.
The trend to be "Rising" is defined as the highest high of an UP field being higher than the highest high of the last UP field and the lowest low of the last DOWN field being higher than the lowest low of the prior DOWN field. And vice versa for a "Falling" trend. If the trend does not have a rising or falling pattern, it is said to be "Doubtful". The colors are indicated as follows:
Rising = green
Falling = red
Doubtful = blue
ZigZag Swing count
The swing count is determined by counting the number of swings within a trend (as described above) and is represented by the numbers above the highs and lows of the fields. It determines the length and thus strength of a trend.
In general there are two ways to determine the count. The first one is by counting the swings between pivots and the second one by counting the swings between highs and lows of fields. This indicator represents the SECOND one as it represents the longer term trend (which I'm more interested in as it denotes a longer term perspective).
However, the ZigZag count has three applications on the OBV. The "simple ZigZag" is a count of three swings which mainly tells you that the shorter term momentum of the market has changed and the current trend is weakening. This doesn't mean it will reverse. A count of three downs is still healthy if it occurs on a strong uptrend (and vice versa) and it should primarily serve as a sign of caution. If the count increases beyond three, the last trend is weakening considerably, and you should probably take action.
The second count to look out for is five swings - the "compound ZigZag". If this goes hand in hand with breaking a major support/resistance on the OBV it can offer a buying/selling opportunity in the direction of the trend. Otherwise, there's a good chance that this is a reversal signal.
The third count is nine. To quote Granville directly: "there is a very strong tendency FOR MAJOR REVERSAL OF REND AFTER THE NINTH SWING" (emphasis by the author). This is something I look out for and get cautious about, although I have found signal to be weak in an overextended market. I have observed counts of 10 and even 12 which did not result in a major reversal and the market trended further after a short period of time. This is still a major sign of caution and should not be taken lightly.
Moving average
Although Granville talks only briefly about averages and the only mention of a specific one is the 10MA, I found moving averages to be a very valuable addition to my analysis of the OBV movements.
The indicator uses three Exponential Moving Averages. A long term one to determine the general direction and two short term ones to determine the momentum of the trend. Especially for the latter two, keep in mind that those are very indirect as they are indicators of an indicator anyway and I they should not necessarily be used as support or resistance (although that might sometimes be helpful). I recommend paying most attention to the longterm average as I've found it to be very accurate when determining the longterm trend of a market (even better than the same indicator on the price).
If the OBV is above the long term average, the space between OBV and average is filled green and filled red if below. The colors and defaults for the averages are:
long term, 144EMA, green
short term 1, 21EMA, blue
short term 2, 55EMA, red
Divergences
This is a very rudimentary adaption of the standard TradingView "Divergence Indicator". I find it helpful to have these on the radar, but do not actively use them (as in having a strategy based on OBV/price divergence). This is something that I would eventually pick up in a later version of the indicator if there is any demand for it, or I find the time to look into strategies based on this.
Comparison line
A small but very helpful addition to the indicator is a horizontal line that traces the current OBV value in real time, which makes it very easy to compare the current value of the OBV to historic values (which is a study I can highly recommend).
Combo Backtest 123 Reversal and Absolute Price Oscillator (APO) This is combo strategies for get
a cumulative signal. Result signal will return 1 if two strategies
is long, -1 if all strategies is short and 0 if signals of strategies is not equal.
First strategy
This System was created from the Book "How I Tripled My Money In The
Futures Market" by Ulf Jensen, Page 183. This is reverse type of strategies.
The strategy buys at market, if close price is higher than the previous close
during 2 days and the meaning of 9-days Stochastic Slow Oscillator is lower than 50.
The strategy sells at market, if close price is lower than the previous close price
during 2 days and the meaning of 9-days Stochastic Fast Oscillator is higher than 50.
Secon strategy
The Absolute Price Oscillator displays the difference between two exponential
moving averages of a security's price and is expressed as an absolute value.
How this indicator works
APO crossing above zero is considered bullish, while crossing below zero is bearish.
A positive indicator value indicates an upward movement, while negative readings
signal a downward trend.
Divergences form when a new high or low in price is not confirmed by the Absolute Price
Oscillator (APO). A bullish divergence forms when price make a lower low, but the APO
forms a higher low. This indicates less downward momentum that could foreshadow a bullish
reversal. A bearish divergence forms when price makes a higher high, but the APO forms a
lower high. This shows less upward momentum that could foreshadow a bearish reversal.
WARNING:
- For purpose educate only
- This script to change bars colors.
Combo Strategies 123 Reversal and Absolute Price Oscillator This is combo strategies for get
a cumulative signal. Result signal will return 1 if two strategies
is long, -1 if all strategies is short and 0 if signals of strategies is not equal.
First strategy
This System was created from the Book "How I Tripled My Money In The
Futures Market" by Ulf Jensen, Page 183. This is reverse type of strategies.
The strategy buys at market, if close price is higher than the previous close
during 2 days and the meaning of 9-days Stochastic Slow Oscillator is lower than 50.
The strategy sells at market, if close price is lower than the previous close price
during 2 days and the meaning of 9-days Stochastic Fast Oscillator is higher than 50.
Secon strategy
The Absolute Price Oscillator displays the difference between two exponential
moving averages of a security's price and is expressed as an absolute value.
How this indicator works
APO crossing above zero is considered bullish, while crossing below zero is bearish.
A positive indicator value indicates an upward movement, while negative readings
signal a downward trend.
Divergences form when a new high or low in price is not confirmed by the Absolute Price
Oscillator (APO). A bullish divergence forms when price make a lower low, but the APO
forms a higher low. This indicates less downward momentum that could foreshadow a bullish
reversal. A bearish divergence forms when price makes a higher high, but the APO forms a
lower high. This shows less upward momentum that could foreshadow a bearish reversal.
WARNING:
- This script to change bars colors.
Linear Momentum and Performance IndicatorsThis a porting to Trading View of the 12 new indicators introduced in IFTA Journal (January Edition) by Akram El Sherbini, MFTA, CFTe, CETA.
Indicators are available in "Linear Momentum and Performance Indicators" at page four.
IFTA Journal is available below:
ifta.org
Indicators implemented herein:
Linear Force Index: The linear force index LFI measures the force of buyers and sellers during rallies and declines, respectively. It combines two important pieces of market information—the price acceleration
and volumes.
Pressure Index: The pressure index PRI measures the buying and selling pressure over a certain range within a time interval by moving around its zero line. The index indicates a rise in buying pressure when it crosses above the zero line and a rise in selling pressure
when it crosses below the zero line level. The buying and selling force moves the last price during the session to form a range with low and high boundaries.
Strength Index Index: The strength index SI is a leading indicator to the pressure index. It measures the ability of buyers to resist sellers and vice versa. SI of today is the ratio of the latest pressure index value to the strain of today.
Power Index: It measures the buying and selling power within a time interval by moving around its zero line.
Intensity Index: The intensity index II measures the buying and selling intensity within a time interval by moving around its zero line.
Dynamic Strength Index: The sole purpose of the dynamic strength index DSI and the integral dynamic strength index IDSI is to lead their intensity indicator peers.
Integral Force Index
Integral Pressure Index
Integral Strength Index
Integral Power Index
Integral Intensity Index
Integral Dynamic Strength Index
The following example shows a trade following the signal while several indicators are crossing the zero line:
Integral performance indicators have a fewer number of trades than the performance indicators. This result is normal, as the integral indicators are less sensitive than their peers. Moreover, the power, intensity, and dynamic strength are less sensitive than the force, pressure, and strength indicators. The same applies for their integrals. Therefore, the integrals of power, intensity, and dynamic strength indicators are more inclined to be medium-term indicators.
As the paper is suggesting "the linear momentum and the new performance indicators should make a significant change in categorizing several indicators in technical analysis."
Technical indicators are using biased mathematical implementations. For example Momentum Index is in reality a velocity indicator, Force index a Momentum indicator and so on. From a Physical perspective correct momentum, force, velocity etc. needs to be corrected and re-categorized.
The author also gives important insights in how these indicators can be used "simultaneously to identify price turning points and filter irrelevant divergences."
"This paper will attempt to adjust the price momentum and force concepts introduced by Welles Wilder and Alexander Elder, respectively. By introducing the concept of linear momentum, new indicators will emerge to dissect the market performance into six main elements: market’s force, pressure, strength, power, intensity, and dynamic strength. This will lead to a deeper insight about market action. The leading performance indicators can be used simultaneously to identify price turning points and filter irrelevant divergences. The linear momentum and the new performance indicators should make a significant change in categorizing several indicators in technical analysis."
Suggestions and feedbacks are welcome
Hope you enjoy this,
CryptoStatistical
Linear Momentum and Performance Indicators (IFTA Jan 2019)This a porting to Trading View of the 12 new indicators introduced in IFTA Journal (January Edition) by Akram El Sherbini, MFTA, CFTe, CETA.
Indicators are available in "Linear Momentum and Performance Indicators" at page four.
IFTA Journal is available below:
ifta.org
Indicators implemented herein:
Linear Force Index: The linear force index LFI measures the force of buyers and sellers during rallies and declines, respectively. It combines two important pieces of market information—the price acceleration
and volumes.
Pressure Index: The pressure index PRI measures the buying and selling pressure over a certain range within a time interval by moving around its zero line. The index indicates a rise in buying pressure when it crosses above the zero line and a rise in selling pressure
when it crosses below the zero line level. The buying and selling force moves the last price during the session to form a range with low and high boundaries.
Strength Index Index : The strength index SI is a leading indicator to the pressure index. It measures the ability of buyers to resist sellers and vice versa. SI of today is the ratio of the latest pressure index value to the strain of today.
Power Index : It measures the buying and selling power within a time interval by moving around its zero line.
Intensity Index : The intensity index II measures the buying and selling intensity within a time interval by moving around its zero line.
Dynamic Strength Index : The sole purpose of the dynamic strength index DSI and the integral dynamic strength index IDSI is to lead their intensity indicator peers.
Integral Force Index
Integral Pressure Index
Integral Strength Index
Integral Power Index
Integral Intensity Index
Integral Dynamic Strength Index
The following example shows a trade following the signal while several indicators are crossing the zero line:
Integral performance indicators have a fewer number of trades than the performance indicators. This result is normal, as the integral indicators are less sensitive than their peers. Moreover, the power, intensity, and dynamic strength are less sensitive than the force, pressure, and strength indicators. The same applies for their integrals. Therefore, the integrals of power, intensity, and dynamic strength indicators are more inclined to be medium-term indicators.
As the paper is suggesting "the linear momentum and the new performance indicators should make a significant change in categorizing several indicators in technical analysis."
Technical indicators are using biased mathematical implementations. For example Momentum Index is in reality a velocity indicator, Force index a Momentum indicator and so on. From a Physical perspective correct momentum, force, velocity etc. needs to be corrected and re-categorized.
The author also gives important insights in how these indicators can be used "simultaneously to identify price turning points and filter irrelevant divergences."
"This paper will attempt to adjust the price momentum and force concepts introduced by Welles Wilder and Alexander Elder, respectively. By introducing the concept of linear momentum, new indicators will emerge to dissect the market performance into six main elements: market’s force, pressure, strength, power, intensity, and dynamic strength. This will lead to a deeper insight about market action. The leading performance indicators can be used simultaneously to identify price turning points and filter irrelevant divergences. The linear momentum and the new performance indicators should make a significant change in categorizing several indicators in technical analysis."
Suggestions and feedback are welcome
Hope you enjoy this,
CryptoStatistical
BossHouse - CCI ExtendedBossHouse - CCI Extended ( An Extended version of the Original CCI ).
The commodity channel index (CCI) is an oscillator originally introduced by Donald Lambert in 1980.
Guideline
________
Lambert's trading guidelines for the CCI focused on movements above +100 and below −100 to generate buy and sell signals. Because about 70 to 80 percent of the CCI values are between +100 and −100, a buy or sell signal will be in force only 20 to 30 percent of the time. When the CCI moves above +100, a security is considered to be entering into a strong uptrend and a buy signal is given. The position should be closed when the CCI moves back below +100. When the CCI moves below −100, the security is considered to be in a strong downtrend and a sell signal is given. The position should be closed when the CCI moves back above −100.
Since Lambert's original guidelines, traders have also found the CCI valuable for identifying reversals. The CCI is a versatile indicator capable of producing a wide array of buy and sell signals.
CCI can be used to identify overbought and oversold levels. A security would be deemed oversold when the CCI dips below −100 and overbought when it exceeds +100. From oversold levels, a buy signal might be given when the CCI moves back above −100. From overbought levels, a sell signal might be given when the CCI moved back below +100.
As with most oscillators, divergences can also be applied to increase the robustness of signals. A positive divergence below −100 would increase the robustness of a signal based on a move back above −100. A negative divergence above +100 would increase the robustness of a signal based on a move back below +100.
Trend line breaks can be used to generate signals. Trend lines can be drawn connecting the peaks and troughs. From oversold levels, an advance above −100 and trend line breakout could be considered bullish. From overbought levels, a decline below +100 and a trend line break could be considered bearish.
Settings
_______
Show 0 line
Lenght
Source
Any help and suggestions will be appreciated.
Marcos Issler @ Isslerman
marcos@bosshouse.com.br
Stochastic for Reversal Predict [yoxxx] Usable for all markets, all time frames. (The bull bear sup/res lines are specific for stocks, but differ just a little to other instruments.)
This script is more likely a method support than a study - and your exit from the default stochastic club:
Most people use Stoch for ins and outs by 20 rsp 80 (a default behavior MM know well to deal with). C.G. Lane, the inventor of this indicator,
however used it to find divergences with quote (price / close) to predict reversals. Constance Brown refined this method by laying
a fix time cycle underneath the chart that is in rhythm with specific highs or lows of a stock or an index.
The length of one cycle divided by 2 equals the proper value for %D specified for that stock /index. The script offers an input for this specific value.
C. Brown stresses that good signals are only given within the bull or bear ranges (20-65 for bear markets, 40-80 for bull markets).
For your convenience, I laid these areas underneath the graphs. You can automate the divergence research (relative to quote)
by using my script "Bull Bear Divergence Indicator". Feedback welcome. Have fun and success.
RSI with Visual Buy/Sell Setup | Corrective/Impulsive IndicatorRSI with Visual Buy/Sell Setup | 40-60 Support/Resistance | Corrective/Impulsive Indicator v2.15
|| RSI - The Complete Guide PDF ||
Modified Zones with Colors for easy recognition of Price Action.
Resistance @ downtrend = 60
Support @ uptrend = 40
Over 70 = Strong Bullish Impulse
Under 30 = Strong Bearish Impulse
Uptrend : 40-80
Downtrend: 60-20
--------------------
Higher Highs in price, Lower Highs in RSI = Bearish Divergence
Lower Lows in price, Higher Lows in RSI = Bullish Divergence
--------------------
Trendlines from Higher/Lower Peaks, breakout + retest for buy/sell setups.
###################
There are multiple ways for using RSI, not only divergences, but it confirms the trend, possible bounce for continuation and signals for possible trend reversal.
There's more advanced use of RSI inside the book RSI: The Complete Guide
Go with the force, and follow the trend.
"The Force is more your friend than the trend"
Absolute Price Oscillator (APO) Backtest 2.0 The Absolute Price Oscillator displays the difference between two exponential
moving averages of a security's price and is expressed as an absolute value.
How this indicator works
APO crossing above zero is considered bullish, while crossing below zero is bearish.
A positive indicator value indicates an upward movement, while negative readings
signal a downward trend.
Divergences form when a new high or low in price is not confirmed by the Absolute Price
Oscillator (APO). A bullish divergence forms when price make a lower low, but the APO
forms a higher low. This indicates less downward momentum that could foreshadow a bullish
reversal. A bearish divergence forms when price makes a higher high, but the APO forms a
lower high. This shows less upward momentum that could foreshadow a bearish reversal.
You can change long to short in the Input Settings
WARNING:
- For purpose educate only
- This script to change bars colors.
