OPEN-SOURCE SCRIPT
Candlestick Pattern Identifier
Updated
My script builds upon another user-submitted script by rebuilding the logic used to identify candlestick patterns. The logic in my script is a mix of strict and lax guidelines to mitigate false flags and present valid buy and sell signals.
-To use this indicator, simply add it to any chart. It will identify trends on any time frame although the lower you go, the more signals you'll see and the higher probability of those signals being false flags. You can also disable any candlestick patterns that you feel are not as useful.
- This indicator works best with Stocks and also with Forex markets to a lesser extent.
- This indicator works the best on the Daily chart and also works (with varying degrees of success) on any timeframe at or above 1 hour. I've found that this indicator works the best when used in tandem with the Daily and Hourly charts with the Hourly chart being used to determine an entry point while the Daily chart is used for long term trend analysis.
-To use this indicator, simply add it to any chart. It will identify trends on any time frame although the lower you go, the more signals you'll see and the higher probability of those signals being false flags. You can also disable any candlestick patterns that you feel are not as useful.
- This indicator works best with Stocks and also with Forex markets to a lesser extent.
- This indicator works the best on the Daily chart and also works (with varying degrees of success) on any timeframe at or above 1 hour. I've found that this indicator works the best when used in tandem with the Daily and Hourly charts with the Hourly chart being used to determine an entry point while the Daily chart is used for long term trend analysis.
Release Notes
- Included code for Bullish and Bearish Maribozu Release Notes
- Fixed code for Deliberation candlestick pattern. Release Notes
Removed unused variables for Open, Close, High, Low, Red Candles, and Green Candles Release Notes
18 new patterns have been added due to their high probability of success (66% or higher) - Separating Lines (Bullish and Bearish)
- Three Line Strike (Bullish and Bearish)
- Belt Hold (Bullish and Bearish)
- Abandoned Baby (Bullish and Bearish)
- Rising and Falling Window
- Three Outside Up and Down
- Morning and Evening Doji Star
- Above the Stomach
- Takuri Line
- Two Black Gapping
- Identical Three Black Crows
Release Notes
7 patterns have been removed due to ease of identification or low probability of success: - Bullish and Bearish Maribozu
- Tweezer Top and Bottom
- Hammer
- Hanging Man
- Shooting Star
In total, there are now 25 candlestick patterns that I believe present the most reliable signals for Bull and Bear markets.
Release Notes
Updated formulas for: Rising Window, Falling Window, Three Line Strike Bullish, Three Line Strike Bearish, Bullish Belt Hold, and Bearish Belt Hold. Release Notes
Updated code for Separating Lines Bullish, Separating Lines Bearish, Three Outside Up, and Three Outside Down Temporarily removed Takuri Line and Inverted Hammer for further review.
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.