Indecisive CandlesAn Indecisive Candle, often referred to as a Base Candle, is a pivotal element in technical analysis, particularly for identifying institutional supply and demand zones. These candles are characterized by their small bodies and long wicks, reflecting a balance between buyers and sellers, indicating a potential pause or consolidation in the market.
To calculate whether a candle qualifies as an indecisive candle based on the criterion that its body (the absolute difference between its open and close prices) is less than or equal to 50% of the total range of the candle (the difference between its high and low prices).
Key Features:
Small Real Body: Signifies minimal movement from open to close, indicating market indecision.
Long Upper and Lower Wicks: Show that both bulls and bears attempted to control the price, but neither succeeded, leading to a standoff.
Formation Context: Typically found at the end of a strong trend or within a consolidation phase, hinting at a potential reversal or continuation pattern.
Usage in Identifying Institutional Supply and Demand:
Supply Zones: When an Indecisive Candle forms after a rally, it can mark the onset of an institutional supply zone, suggesting that large entities are starting to sell, leading to potential downward pressure.
Demand Zones: Conversely, when this candle appears after a downtrend, it often signals the emergence of a demand zone, where institutions begin to accumulate, anticipating a price increase.
Trading Strategies:
Zone Identification: Use Indecisive Candles to pinpoint key supply and demand zones on your chart, enhancing the accuracy of your support and resistance levels.
Confirmation: Look for confirmation from subsequent price action or volume spikes to validate the presence of institutional activity before making trading decisions.
Risk Management: Place stop-loss orders beyond the wicks of these candles to protect against false breakouts or continued indecision.
Conclusion:
Indecisive Candles are essential tools for traders looking to understand market sentiment and institutional behavior. By mastering their identification and interpretation, you can enhance your ability to spot high-probability trading opportunities and manage risks effectively.
BASE
Identify Rally, Base & Drop CandleThis Pine Script indicator identifies and labels rally, base, and drop candles on your chart, aiding traders in recognizing key price action phases. Rally candles represent periods of upward price momentum, typically characterized by strong bullish movement. Base candles indicate consolidation or sideways movement, suggesting a temporary pause in the trend. Drop candles signify downward price momentum, often accompanied by strong bearish movement. By identifying these distinct candle types, traders can gain insights into the market's current phase and potential future price movements.
Key Features:
Identifies rally, base, and drop candles based on customizable criteria such as body percentage.
Labels each candle type for easy visualization and interpretation.
Helps traders identify trend continuation or potential reversal points.
Compatible with various timeframes and trading instruments.
Customizable parameters allow traders to adjust the sensitivity of the identification process to suit their trading strategies.
Usage Instructions:
Apply the indicator to your chart.
Configure the settings according to your preferences
Observe the labeled candles on the chart to identify rally, base, and drop phases.
Consider additional analysis and risk management strategies to confirm trading decisions and manage risk effectively.
Disclaimer: This indicator is provided for informational and educational purposes only. It is not intended as financial advice or trading recommendations. Trading involves risks, and it's essential to conduct thorough research and practice proper risk management techniques.
Daily - Smart Money Demand & Supply Zones - RBR RBD DBD DBR Are you looking to level up your trading game and spot potential turning points in the stock market? Introducing the Smart Money Demand and Supply Zones indicator, a powerful tool designed to identify opportunities created by the Smart money.
The Smart Money Demand and Supply Zones indicator is built upon the principles of Rally Base Rally (RBR), Rally Base Drop (RBD), Drop Base Rally (DBR), Drop Base Drop (DBD).
🔍 Key Details 🔍
The "Smart Money" concept refers to large institutional investors and professional traders who possess significant financial resources and expertise. The importance of smart money lies in their influence on market trends and price movements. Their actions and positions often serve as signals for retail traders and investors to make informed decisions.
Formation of Smart Money: Smart money is attracted to areas in the market where they can find favourable risk-to-reward opportunities.
1. Rally Base Rally (RBR) Zones: These zones occur after a rally (upward price movement), followed by a period of consolidation (base formation), and then another rally. Smart money often forms positions here as it suggests a strong uptrend continuation.
2. Rally Base Drop (RBD) Zones: In this case, there is a rally, followed by a base formation, but instead of another rally, the price drops. Smart money may position themselves here in anticipation of a potential trend reversal.
3. Drop Base Rally (DBR) Zones: These zones form when there is a drop in price, followed by a base formation, and then a rally. Smart money may take positions here, expecting a trend reversal to the upside.
4. Drop Base Drop (DBD) Zones: In this scenario, the price drops, then forms a base, but subsequently continues to drop. Smart money might take bearish positions here, anticipating further downward movement.
🚀 Pending Orders from Smart Money Zones: 🚀
When the price approaches these smart money zones, institutional investors often place remaining pending orders to enter the market.
By identifying RBR/DBR zones as potential buying opportunities and RBD/DBD zones as potential selling opportunities on price charts, retail traders can align their trades with smart money activities. Implementing proper risk management and confirming signals enhances the likelihood of successful trades by following the footsteps of institutional investors.
💡 Key Features of the Indicator 💡
This indicator includes the following features:
Customizable Zone Length: Adjust the number of base candles in a zone to suit your preferences and strategy.
Candle Body Size Customization: Personalize the body size of candles for fine-tuning visual representation.
Base Candle Selection: Choose between the body of the candle or narrow range candles as the base candle for zone plotting.
Colour Customization For Candles: Customize Drop, Base, Rally, and Zone colours to match your visual preferences.
Number of Zones: This feature is flexible, allowing you to customize the quantity of zones displayed on the chart for improved visibility.
Zone Colours: You have the option to personalize the colours for both fresh and tested zones based on your preferences.
Zone Strength Customization: Adjust candle sensitivity for better control.
Swing High and Swing Low: Enable or disable support and demand lines based on Swing High and Swing Low.
Wick of Candle: Customize zone plotting using the body or wicks of candles for flexible analysis.
Previous Zones: You can choose to display or disable previous zones on the chart that have been deleted and utilized before. This option helps you maintain a clutter-free chart while retaining valuable historical information.
Moving Averages: Utilize four (4) customizable Moving Averages to enhance analysis from any time frame.
💎 Employing a Top-Down Approach and Multiple Time Frame Analysis: 💎
Let's delve into the concept of adopting a top-down approach combined with multiple time frame analysis in trading scenarios. It is consistently recommended to trade with the trend because, as the saying goes, "the trend is your friend." If you identify a demand zone on the chart but the overall trend is downward, it's crucial to confirm the stock's trend in higher timeframes. Avoid purchasing from the demand zone in such a scenario as you would be going against the trend. To consider buying from the demand zone, ensure that the overall trend is upward by checking the higher timeframe.
Similarly, if the higher timeframe trend is upward but the price is approaching a higher timeframe supply zone, refrain from buying in the lower timeframe. If the price reaches a higher timeframe supply zone, there is a likelihood that the price will face rejection from this zone.
If the price is significantly extended from the EMA 20 on a higher timeframe, for instance, if you plan to trade on a 30-minute timeframe and the price is considerably extended from the daily EMA 20, consider trading from zones that are closer to the daily EMA 20. When the price is extended from the higher timeframe EMA 20, it implies that the price is expensive, and there may be a tendency for it to return to the EMA 20. Therefore, it is advisable to trade from zones that are closer to the higher timeframe EMA 20 and avoid zones that are extended from the higher timeframe EMA 20.
For instance, imagine you're considering purchasing a stock that has reached a demand zone known as Rally Base Rally (RBR). If you identify a corresponding demand zone in a higher time frame located at the same position, and concurrently observe that the intermediate time frame indicates an upward trend, your potential for a successful trade is enhanced.
Conversely, if you spot a buying zone in a lower time frame, but notice a supply zone in the higher time frame at that exact position, the likelihood of a profitable trade decreases significantly. In such cases, it's prudent to steer clear of the lower time frame zone. This emphasizes the critical significance of employing a top-down approach or conducting a multiple time frame analysis.
Note: By Doing top down approach you can easily follow the footprints of smart money in the stock market or any other market by using this indicator and make well-informed trading decisions.
Remember, don't make decisions based only on one time frame. Check the overall trend of the stock and look at buying and selling points on bigger time scales. If you only use one time scale, your chances of making successful trades will be lower.
💎 To execute these comprehensive analyses and optimize your trading outcomes, you can make use of my indicator called "Demand & Supply Zone Scoring: Rally Base & Drop Concept."💎
This indicator is thoughtfully crafted to assess the strength of trade setups based on demand and supply zones through a scoring mechanism. It serves as your guide for correct top-down and multiple time frame analysis, eliminating the possibility of overlooking any strategic parameters. To gain deeper insights, you can learn more about how to use this indicator in its description.
Lastly, Thank you for your support, your likes & comments." Feel free to ask if you have questions.
Let's conquer the markets together! 🚀
Smart Money Demand & Supply Zones - RBR RBD DBD DBR by AfnanAre you looking to level up your trading game and spot potential turning points in the stock market? Introducing the Smart Money Demand and Supply Zones indicator, a powerful tool designed to identify opportunities created by the Smart money.
The Smart Money Demand and Supply Zones indicator is built upon the principles of Rally Base Rally (RBR), Rally Base Drop (RBD), Drop Base Rally (DBR), Drop Base Drop (DBD).
🔍 Key Details 🔍
The "Smart Money" concept refers to large institutional investors and professional traders who possess significant financial resources and expertise. The importance of smart money lies in their influence on market trends and price movements. Their actions and positions often serve as signals for retail traders and investors to make informed decisions.
Formation of Smart Money: Smart money is attracted to areas in the market where they can find favourable risk-to-reward opportunities.
1. Rally Base Rally (RBR) Zones: These zones occur after a rally (upward price movement), followed by a period of consolidation (base formation), and then another rally. Smart money often forms positions here as it suggests a strong uptrend continuation.
2. Rally Base Drop (RBD) Zones: In this case, there is a rally, followed by a base formation, but instead of another rally, the price drops. Smart money may position themselves here in anticipation of a potential trend reversal.
3. Drop Base Rally (DBR) Zones: These zones form when there is a drop in price, followed by a base formation, and then a rally. Smart money may take positions here, expecting a trend reversal to the upside.
4. Drop Base Drop (DBD) Zones: In this scenario, the price drops, then forms a base, but subsequently continues to drop. Smart money might take bearish positions here, anticipating further downward movement.
🚀 Pending Orders from Smart Money Zones: 🚀
When the price approaches these smart money zones, institutional investors often place remaining pending orders to enter the market.
By identifying RBR/DBR zones as potential buying opportunities and RBD/DBD zones as potential selling opportunities on price charts, retail traders can align their trades with smart money activities. Implementing proper risk management and confirming signals enhances the likelihood of successful trades by following the footsteps of institutional investors.
💡 Key Features of the Indicator 💡
This indicator includes the following features:
Customizable Zone Length: Adjust the number of base candles in a zone to suit your preferences and strategy.
Candle Body Size Customization: Personalize the body size of candles for fine-tuning visual representation.
Alert Feature: The alert feature can notify you when the price reaches a demand or supply zone, with the ability to customize the risk-to-reward parameters.
Base Candle Selection: Choose between the body of the candle or narrow range candles as the base candle for zone plotting.
Colour Customization For Candles: Customize Drop, Base, Rally, and Zone colours to match your visual preferences.
Number of Zones: This feature is flexible, allowing you to customize the quantity of zones displayed on the chart for improved visibility.
Zone Colours: You have the option to personalize the colours for both fresh and tested zones based on your preferences.
Zone Strength Customization: Adjust candle sensitivity for better control.
Swing High and Swing Low: Enable or disable support and demand lines based on Swing High and Swing Low.
Wick of Candle: Customize zone plotting using the body or wicks of candles for flexible analysis.
Previous Zones: You can choose to display or disable previous zones on the chart that have been deleted and utilized before. This option helps you maintain a clutter-free chart while retaining valuable historical information.
Moving Averages: Utilize four (4) customizable Moving Averages to enhance analysis from any time frame.
💎 Employing a Top-Down Approach and Multiple Time Frame Analysis: 💎
Let's delve into the concept of adopting a top-down approach combined with multiple time frame analysis in trading scenarios. It is consistently recommended to trade with the trend because, as the saying goes, "the trend is your friend." If you identify a demand zone on the chart but the overall trend is downward, it's crucial to confirm the stock's trend in higher timeframes. Avoid purchasing from the demand zone in such a scenario as you would be going against the trend. To consider buying from the demand zone, ensure that the overall trend is upward by checking the higher timeframe.
Similarly, if the higher timeframe trend is upward but the price is approaching a higher timeframe supply zone, refrain from buying in the lower timeframe. If the price reaches a higher timeframe supply zone, there is a likelihood that the price will face rejection from this zone.
If the price is significantly extended from the EMA 20 on a higher timeframe, for instance, if you plan to trade on a 30-minute timeframe and the price is considerably extended from the daily EMA 20, consider trading from zones that are closer to the daily EMA 20. When the price is extended from the higher timeframe EMA 20, it implies that the price is expensive, and there may be a tendency for it to return to the EMA 20. Therefore, it is advisable to trade from zones that are closer to the higher timeframe EMA 20 and avoid zones that are extended from the higher timeframe EMA 20.
For instance, imagine you're considering purchasing a stock that has reached a demand zone known as Rally Base Rally (RBR). If you identify a corresponding demand zone in a higher time frame located at the same position, and concurrently observe that the intermediate time frame indicates an upward trend, your potential for a successful trade is enhanced.
Conversely, if you spot a buying zone in a lower time frame, but notice a supply zone in the higher time frame at that exact position, the likelihood of a profitable trade decreases significantly. In such cases, it's prudent to steer clear of the lower time frame zone. This emphasizes the critical significance of employing a top-down approach or conducting a multiple time frame analysis.
Note: By Doing top down approach you can easily follow the footprints of smart money in the stock market or any other market by using this indicator and make well-informed trading decisions.
Remember, don't make decisions based only on one time frame. Check the overall trend of the stock and look at buying and selling points on bigger time scales. If you only use one time scale, your chances of making successful trades will be lower.
💎 To execute these comprehensive analyses and optimize your trading outcomes, you can make use of my indicator called "Demand & Supply Zone Scoring: Rally Base & Drop Concept."💎
This indicator is thoughtfully crafted to assess the strength of trade setups based on demand and supply zones through a scoring mechanism. It serves as your guide for correct top-down and multiple time frame analysis, eliminating the possibility of overlooking any strategic parameters. To gain deeper insights, you can learn more about how to use this indicator in its description.
Lastly, Thank you for your support, your likes & comments." Feel free to ask if you have questions.
Let's conquer the markets together! 🚀
[TTI] IBD Base Analysis (WEEKLY)📜 ––––HISTORY & CREDITS––––
This indicator, titled " IBD Base Analysis (WEEKLY)," is an original creation by TinTinTrading. It synthesises multiple metrics and visual cues to provide a comprehensive overview of market bases on a weekly timeframe. It is based on the teachings of Investors Business Daily (IBD) and William O'Neil. Mainly from attending all IBD Seminars, Courses and part of man IBD MeetUps. I have compiled most criteria and made it into indicator.
🦄 –––UNIQUENESS–––
What sets this indicator apart is its multi-faceted approach to base analysis. It doesn't just measure base depth or length, or plot a base structure with target (Cup with Handle, Double Bottoms, Flat Bases or other);
The IBD Base Analysis (WEEKLY) allows the user to pick the beginning and end of base and then runs through the criteria for a HEALTHY vs FAULTY Bases. The script is intended for a Weekly timeframe and is base agnostic - hence it can be used on any base pattern you want to analyse. By using the script you will be able to grab a quick visual if there are any faulty characteristics that you have be aware of. Furthermore, its user-friendly interface, complete with customisable color-coding and toggle-able advanced metrics, makes it a great tool for both novice and expert traders to incorporate into their trading.
🛠️ ––––WHAT IT DOES––––
👉 Analysis Table with customisable position. Each cell has additional information when you hover over it with a mouse to show what is required and what is faulty. The cells are color coordinated by user customisable color-coding. If the cell is green then it is bullish. If it is orange then it is soft violating condition and if it is red it is bearish.
Depth: First we look at the Depth of the base expressed in percent
Length: How many weeks long is the base
Number of Weeks under Accumulation (Acc Wks)
Number of Weeks under Distribution (Distrb Wks)
Number of Weeks showing Supporting action
Number of weeks which show wide and loose action (unfavorable), "10% WKs)
Number of weeks we close above the mid point
Grading of the close within the first 3 weeks after bottoming
Counting the Gap ups vs Gap down for the given period
👉 Base plots
+ plot under weeks where we have a tight action compared to previous week - this is considered favorable
▲ plot under down weeks where we show supporting action
⏺ appear under the 3 most important weeks in the base: The Week at the bottom, The week with the Largest Spread and the Week with the Largest Volume. Green means bullish action, Orange means soft violation. The tooltips on the circles show the Closing Range of the week.
- midpoint (in blue), this draws the midpoint within the base.
👉 18 month line - According to IBD the True Market Leaders Breakout and run for on average of 18 months before topping. For this reason I have included a customizable on/off line that plots 18 months back. What I want to see is if the stock has been in a strong uptrend (Stage 2 accumulation for those knowing the Stan Weinstein methodology) for the last18 months. If yes, you ought to consider the base higher risk than one that is just starting its move.
💡 ––––HOW TO USE IT––––
Add the indicator to your chart
Determine the beginning and the end of the base (use the settings in the indicator or drag the verical blue lines)
Read the price action based on the coloring and the criteria explained in the tooltips. Additionally familiarize yourself with the general tips for reading a base below.
💡 ––––GENERAL TIPS FOR READING THE ANALYSIS TABLE––––
Depth: IBD recommends bases to be under 30%. However, during a strong bear market some stocks can exhibit 1.5-2x the volatility. Yet, it is key within the IBD methodology to buy breakouts from proper Non-deep bases
Length: Many newer traders misinterpret small patterns for bases. This common misunderstanding is addressed by calculating the length of the base and determining if it is developed or immature.
Number of Weeks under Accumulation (Acc Wks): This is the first thing the late Market Wizard William O'neill looks into the base. How many weeks are showing signs of accumualtion and how many are showing signs of distribution (the cell below). Always look for Accumulation weeks to be more than distribution weeks.
Number of Weeks under Distribution (Dist Wks): See above
Number of Weeks showing Supporting action: New traders determine down week as bearish. However, within the methodology and extensive research IBD has given criteria of down weeks that are actually a bullish sign. Counting the number of weeks within the base that meet this criteria gives us this metric.
Number of weeks which show wide and loose action: If the base is not compact but it is wide and loose it is considered an unfavorable pattern. Generally, occurs within Stage 3 of a stock topping.
Wks > Mid: Utilizes a simple 'hack' of base reading. How many weeks have closed above the mid level of the base and how many have closed below the mid level of the base.
Grading of the close within the first 3 weeks of the bottom: The next cell looks at the price action subsequent of the 3 weeks after the bottom. These are very important as they show if accumulation is happening (strengthening the breakout hypothesis) or if it is not.
Counting the Gap ups vs Gap down for the given period: Lastly gaps are key footprint of institutional moves. We look for the number of DAILY gaps on the WEEKLY timeframe and compare the daily gap up vs the daily gap downs within the base.
REMEMBER, ALL TRADING INCLUDES RISK. NEVER RELY SOLELY ON A SINGLE INDICATOR. INCORPORATE IT INTO YOUR BROADER TRADING METHODOLOGY AS A COMPLEMENTING SOURCE OF INFORMATION.
Incomplete Session Candle - Incomplete Timeframe Candle Marker The "Incomplete Session Candle - Incomplete Timeframe Candle Marker" is an advanced tool tailored for technical analysts who understand the importance of accurate timeframes in their charting. While the indicator is not limited to the Indian market, its genesis is rooted in the nuances of trading sessions like those in India, which span 375 minutes from 9:15 AM to 3:30 PM.
Key Features:
Detects if the current timeframe is intraday (minutes or hours).
Calculates the expected duration of the candle for the chosen timeframe.
Highlights candles that don't achieve their expected session duration by placing a cross shape above the bar.
Compatible across various intraday timeframes, aiding traders in spotting discrepancies promptly.
Why We Made This: Not Just for India:
While we looked at the Indian market, this indicator works everywhere. Regular timeframes like 30 minutes, 1 hour, and 2 hours often end with incomplete candles, especially at the end of the trading day. For example:
A 30-minute timeframe makes 13 candles, but the last one is only 15 minutes long.
A 1-hour timeframe shows 7 candles, but the last one is just the last 15 minutes.
By switching to different timeframes like 25 minutes, 75 minutes, and 125 minutes, you get more complete information for better trading decisions. Learn more about this in our article: "Power of 25, 75, and 125-Minute Timeframes in the Indian Market", recognized by Trading View's Editors' Pick.
Benefits:
The indicator extends its benefits even to users without access to certain timeframes. It accommodates traders using a 1-hour timeframe (pertaining to Indian traders). By employing this indicator, traders consistently remain mindful of incomplete candles within their chosen timeframe
For those who utilize concepts like RBR, RBD, DBR, and DBD, this indicator is paramount. An incomplete candle can skew analysis, leading to potential misinterpretations of base or leg candles.
Final thoughts:
In markets like the Indian stock market, adopting such a tool is not just beneficial, but necessary. Whether you have access to unconventional timeframes or are using traditional ones, recognizing and accounting for the limitations of incomplete candles is critical & it's important to know if your candles fit the timeframe properly. This indicator gives you a better view of the market, which helps you make smarter trades.
Lastly, Thank you for your support! Your likes & comments. If you want to give any feedback then you can give in comment section.
Let's conquer the markets together!
Offset ProjectIntended for use with CPI symbols like:
CPIAUCNS (all items)
CPILFENS (core)
Shows the CPI values from a year ago, next to the current values. This makes it easier to visualize the base effects .
Has a ' max inflation rate ' parameter. This is shown as a red line. So for example, if it's set to 3, then CPI must stay below the red line in in order for the inflation rate to stay below 3.
TTP QFL OptimiserThis tool is designed to help finding the best take profit and stop loss levels when trading with QFL bases (Quick Fingers Luc).
You can use it to see the average drawdown among all historic bases broken for an asset and then find the drawdowns that are more frequent using the percentile parameters provided.
For example, by knowing that 98% of the bases got broken with a drawdown of up to 5% can become extremely useful for deciding where to place your take profit or stop loss levels.
It supports QFL 1H, 2H and 4H but make sure to set the chart timeframe to a lower timeframe than QFL to obtain valid results.
Two percentiles are provided to be able to evaluate potential TP and SL at the same time.
Steps:
- Load an asset in the 15min TF
- Select the QFL version: 1H more deals / lower quality vs 4H less deals/ better quality
- Find a percentile that triggers enough deals (example: 70) and then another percentile that doesn't get hit too much (example: 98)
- Confirm the values p1 and p2 provided in the table and the white and grey lines for the results of which drawdown percentages correspond to such selection of percentiles
Once having p1 and p2 use your backtesting and forward testing tools to confirm and adjust accordingly.
Demand & Supply Zone Scoring: Rally Base & Drop ConceptDemand & Supply Zone Scoring Indicator
The Demand & Supply Zone Scoring indicator is designed to calculate the Trade Strength Score based on the concepts of demand and supply zones, specifically RBR (Rally Base Rally), RBD (Rally Base Drop), DBD (Drop Base Drop), and DBR (Drop Base Rally).
The Demand & Supply Zone Scoring indicator is specifically designed to facilitate a top-down approach with multiple timeframe analysis. It considers the higher timeframe (HTF) for curve analysis, intermediate timeframes (ITF) for trend analysis, and lower timeframes (LTF) for zone-specific analysis.
The indicator provides a table displayed on the chart, offering valuable information for analysis. Let's go through each row of the table:
1. Location:
This row represents the analysis of the curve on the higher time frame (HTF) to identify key levels. It determines whether the price is in a retail area (high on the curve) or a wholesale area (low on the curve). Trading within the wholesale area is considered a strong sign.
2. Trend:
This row focuses on the intermediate time frame (ITF) trend. It indicates whether the trend is upward or downward. If the ITF trend is up and you intend to buy, it suggests a strong point.
3. Achievement:
This row analyzes the achievement of the zone on the lower time frame (LTF). It considers whether the leg-out candle or follow-through candles of the zone have broken any opposite side zone or pivot level. A breakout in the opposite direction is seen as an excellent point.
4. Strength:
This row assesses the strength of the zone on the lower time frame (LTF) where the trade is planned. It looks at the strength of the leg-out candle, such as whether it's a gap candle, an exciting candle, or a candle with follow-through. A strong leg-out candle indicates an excellent point.
5. Time:
This row evaluates the time spent by base candles inside the zone on the lower time frame (LTF). It considers the number of base candles and the duration spent in the zone. Typically, 1 to 3 base candles are seen as strong, while more than 6 base candles receive 0 points.
6. Reward-to-Risk Ratio (RR):
This row focuses on the Risk-to-Reward (RR) ratio of the zone on the lower time frame (LTF) where the trade is planned. It compares the potential reward to the risk. A higher RR ratio, such as 1:3 or greater, is considered excellent.
7. Freshness:
This row analyzes the freshness of the zone on the lower time frame (LTF). It indicates whether the zone is new or has been tested multiple times. A fresh zone or one that has been tested only once is preferable.
Furthermore, it's important to mention that you have the flexibility to customize the text for each parameter according to your specific requirements. The table is designed to be fully customizable, allowing you to adapt the wording to your preferences and trading strategy.
This customization feature ensures that the indicator aligns with your personal trading approach and makes it easier for you to interpret and analyze the information provided in the table.
Additionally, please note that only the total score is displayed in the table on the chart by default. This is to avoid any visibility issues caused by displaying all the parameters. However, if you wish to see all the parameters in the table on the chart, you can easily enable them through the settings.
By enabling the parameters, you will have a comprehensive view of each factor's contribution to the Trade Strength Score directly on the chart.
By utilizing this indicator, calculating the Trade Strength Score becomes easier, providing a comprehensive analysis of various factors that influence trading decisions.
This indicator is developed by Afnan Tajuddin to assist fellow traders in conducting a top-down approach in an effective and efficient manner.
For more educational articles and trade setup ideas, feel free to follow me on TradingView and join me on the journey towards financial freedom through trading.
Mean reversal QFL v3My aim is to make the bots trade as you would trading QFL manually and “by the book” or at least to my experience and understanding from the material out there of how you should plan a QFL trade.
Im absolutely not a pro trader, I have made my share of costly mistakes trying to be clever or Beeing impatient resulting in painful losses. QFL is we’re I’ve had consistently good results tough.
Is this where I have to say I’m not a financial advisor and all that? Well I’m not. As always Do your own research and backtest, backtest, backtest.
First: I believe no bot strategy are set and forget, while they can run unattended 80-90% of the time you're always going to find yourself in a situation where you will have to manually handle a bad deal. It would also make sense to be somewhat involved in the really good trades making the most out of them. That’s why understanding the strategy the bot Is using is really important, hence why I prefer QFL. It's an easy concept to understand, and proved to be a safe way of making steady profit in pretty much all market conditions if done right.
Some changes in how aggressive you are might be needed if you are the impatient kind of trader who needs to see a lot of deals happening. But it is an added risk. In those cases Luc would advise to start “nibbling” but that would be hard to implement in a bot but I will see if that’s something I can implement.
Same goes for going the more conservative route when market conditions calls for it.
QFL stands for Quickfingersluc, and sometimes it is referred to as the Base Strategy or Mean Reversals. Its main idea is about identifying the moment of panic selling and buying below the base level and utilizing Safety orders.
Base level or Support Level refers to the lowest price level that was reached before the moment the price started increasing again. At that level, you can notice that buyers of some cryptocurrencies make a strong reaction.
As a bit of a learning material i want to make a few points on important factors in trading using the QFL strategy:
• Identify strong bases
• Read the history of the chart
• No emotions
Trading QFL using a bot has it’s limitations:
· Some of the bases are questionable but im constantly trying to improve this
· The strategy don’t take into consideration chart history(success rate)*
· You need to follow a predefined (by you) buying ladder, hence not considering a particular coin's average price movement, which may vary quite a lot. This why I for now has limited the strategy to SIMPLE bots. So that unique alerts can be created for each pair.
· A set Take profit %, possibly making you miss out on higher profits(This is easy to change during a trade though), and no chance of selling in layers(This is coming soon).
1. Some of the bases are questionable
The strategy will start trades of bases that you wouldn’t consider being a strong base(or a base at all) when looking at the chart.
For those not as familiar with QFL. What is a base, and what qualifies as a strong base?
• A base is also called the Support Level, which is the lowest price level that was reached before the price started turning and increasing again.
• A strong base is recognized by a steep fall in price after breaking the base(Panic), followed by a big reaction pump.
• The reaction pump is the most important factor to say that it is a strong base.
• And also the last base, the one you are trading of is the one that counts
Tip: Look for V shapes on the chart, easy to spot when zoomed out.
2. The integrated signals don’t take into consideration chart history(success rate)*
How can you assess the success rate by looking at the chart?
After finding the bases based on the criterias from the 1st point. Looking at the, how many times did it respect the base after breaking it? 7/10, 8/10, 9/10 times? Great! Chances of the next trade also respecting the base is big, and I would consider raising the TP on that deal. Any lower than that I would keep a really close eye on the deal, or even consider closing the deal. And again remember the last base is the one that counts. If all the others are nice strong bases but that last one you are about to take a trade off is no good the base is invalidated so be cautious.
3. You need to follow a predefined (by you) buying ladder
Crypto is volatile, and there is a huge variation in price movements on all the coins.
Trading manually, looking at the chart gives you a good idea on how much a coin on avg. drops below base, and how big the following reaction is. This gives you an indication on how deep you need to set your layers, and where you can take profit.
Using the strategy you have the backtester to see how much max deviation has been in the past so that you can figure out what the optimal max deviation is.
4. A set Take profit %, possibly making you miss out on higher profits(This is easy to change during a trade though), and no chance of selling in layers.
Not going to say to much about this other than what I often do is:
When a bot has started a trade I usually take a look at the chart. If I like what I see, nice chart history, success rate and trading of a strong previous base etc, with the current base break resulting in a panic drop I will consider increasing the TP so that it will make more profit. This can be a bit risky but also very rewarding. Imagine filling all safeties and then selling just below base! Massive profits!! (Gotta be honest though, almost never stretch it that far with a bot though, but it is a possibility) .
If you have studied the chart and concluded that this particular trade has a 90% chance of success, there isn’t really any reason not to place TP just below base. This is where I would like to have the option of layering my sell orders as well so its something im working on implementing.
Trailing is an option in 3commas, but it’s slow to place orders making you miss a selling opportunity when the coin makes a sudden spike up.
ABOUT THIS STRATEGY
In this strategy we can also reverse the strategy and go short. But i must warn you that that is alot riskier.
QFL is meant to be used on higher TF's like 1hr, 2hr and 4hr. But this strategy also work well on lower Timeframes.
The script also simulates DCA strategy with parameters used in 3commas DCA bots for futures trading.
Experiment with parameters to find your trading setup.
Beware how large your total leveraged position is and how far can market go before you get liquidated!
Do that with the help of futures liquidation calculators you can find online!
Included:
An internal average price and profit calculating, instead of TV`s native one, which is subject to severe slippage.
A graphic interface, so levels are clearly visible and back-test analyzing made easier.
Long & Short direction of the strategy.
Table display a summary of past trades
Vertical colored lines appear when the new maximum deviation from the original price has
been reached
All the trading happens with total account capital, and all order sizes inputs are expressed in percent.
How to use:
- Add the script to the current chart
- Open the strategy settings
-Tweak the settings to to your liking.
-Make a SIMPLE bot in 3commas and use the same settings as you did in tradingview if you only want the strategy to send signals to open a deal and let 3commas handle the rest.
If you check safety orders, Take profit deal stop and Stop loss. The strategy will send all the orders to 3 commas. If that’s what you want set TP in 3commas to 50% set number of safety orders to 0 and keep stop loss unchecked.
- Insert bot details using the deal start condition message found in your 3commas bot.
- When happy, right click on the "..." next to the strategy name, then "Add alert'".
- Under "Condition", on the second line, chose "Any alert () function call". Add the webhook from 3commas( 3commas.io ), give it a name, use {{strategy.order.alert_message}} as a placeholder message and "create".
In the future this signal might make it to the 3commas marketplace. You can then subscribe to that signal where I have cherrypicked coins based on thorough backtesting and optimization.
How to obtain access to the script: send me a private message in Tradingview
Flag DetectorThis script attempts to find consolidations or retracements within the context of a previous uptrend - basically looking for flag type patterns. It first measures an initial move (referred to as the flag pole in this script) and then looks for consolidation after that move within a certain range. If the consolidation is within the rage, it plots a dot under the candle to show you the consolidation areas. It's not fool proof, but seems to do a decent job of identifying pullbacks and sideways consolidations reasonably well.
Carrey's Structure Supply and DemandThis script uses basic Rally Base Rally, Rally Base Drop, Drop Base Drop, and Drop Base Rally concepts to draw supply and demand zones. While the script is designed to account for multiple (up to 5) candles in the "base" phase, the box it will draw will only be the high and low of the last candle before the final Rally/Drop candle.
TBT Base to Quote Currency ConverterKnowing how much volume is traded on a chart is essential, but only knowing the Base volume can be confusing- especially when it's for a token only worth 0.00000210 sats. Put away your calculators and use this indicator instead to instantly convert the Base traded volume to Quote.
For example, on the chart above for BTCUSDT:BINANCE, if you add the Volume indicator, it is showing volume traded in the Base currency, which is Bitcoin. But it's more important to know how much QUOTE currency has been traded, which would be USDT in this case.
This is particularly useful when trading low-volume charts for AB Trading, something we teach in several of our courses.
Lastly, we have included a 30-period SMA to show average trading volume over the last 30 periods. Keep in mind that this will be more helpful when used on the daily time frame to get a general idea of the average trading volume over time for a trading pair.
Base Candle NewBase / Imbalance Candle
It automatically highlights the candle color to yellow (default) where there is imbalance between buyers and sellers or in other words, a base or fight between buyers and sellers. When you identify this base candle, you can mark the demand and supply zones easily.
Adaptive Momentum BaseThe Adaptive Momentum Base, (AMB), is a momentum based indicator which measures the momentum change in the recent candles and changes the colour of bar which it occurred on.
Momentum is used as a confirmation to show that the market may move in favour of your direction if the momentum is present for that direction.
Trade Example:
If you have long/short positions open and the market is moving in your favour, the signal will indicate to hold on to the position for a while has the price action has not been completed.
Script Explained:
AMB works by using the velocity created by the bars during the period of the "lookback" which is then used to formulate the momentum. The momentum is then compared against the previous bars and if a spike in momentum occurs, the indicator will follow to give a signal.
(IK) Base Break BuyThis strategy first calculates areas of support (bases), and then enters trades if that support is broken. The idea is to profit off of retracement. Dollar-cost-averaging safety orders are key here. This strategy takes into account a .1% commission, and tests are done with an initial capital of 100.00 USD. This only goes long.
The strategy is highly customizable. I've set the default values to suit ETH/USD 15m. If you're trading this on another ticker or timeframe, make sure to play around with the settings. There is an explanation of each input in the script comments. I found this to be profitable across most 'common sense' values for settings, but tweaking led to some pretty promising results. I leaned more towards high risk/high trade volume.
Always remember though: historical performance is no guarantee of future behavior . Keep settings within your personal risk tolerance, even if it promises better profit. Anyone can write a 100% profitable script if they assume price always eventually goes up.
Check the script comments for more details, but, briefly, you can customize:
-How many bases to keep track of at once
-How those bases are calculated
-What defines a 'base break'
-Order amounts
-Safety order count
-Stop loss
Here's the basic algorithm:
-Identify support.
--Have previous candles found bottoms in the same area of the current candle bottom?
--Is this support unique enough from other areas of support?
-Determine if support is broken.
--Has the price crossed under support quickly and with certainty?
-Enter trade with a percentage of initial capital.
-Execute safety orders if price continues to drop.
-Exit trade at profit target or stop loss.
Take profit is dynamic and calculated on order entry. The bigger the 'break', the higher your take profit percentage. This target percentage is based on average position size, so as safety orders are filled, and average position size comes down, the target profit becomes easier to reach.
Stop loss can be calculated one of two ways, either a static level based on initial entry, or a dynamic level based on average position size. If you use the latter (default), be aware, your real losses will be greater than your stated stop loss percentage . For example:
-stop loss = 15%, capital = 100.00, safety order threshold = 10%
-you buy $50 worth of shares at $1 - price average is $1
-you safety $25 worth of shares at $0.9 - price average is $0.966
-you safety $25 worth of shares at $0.8. - price average is $0.925
-you get stopped out at 0.925 * (1-.15) = $0.78625, and you're left with $78.62.
This is a realized loss of ~21.4% with a stop loss set to 15%. The larger your safety order threshold, the larger your real loss in comparison to your stop loss percentage, and vice versa.
Indicator plots show the calculated bases in white. The closest base below price is yellow. If that base is broken, it turns purple. Once a trade is entered, profit target is shown in silver and stop loss in red.
{INDYAN} Boring and Explosive Candle -Demand & SupplyREAD:-Blue candle as boring/base candle and Black candle as explosive candle
FInd two explosive candle (Black) where two base/boring (Blue) candles are in between.
It will be marked as demand and supply zone.
Those who leant demand and supply will find this indicator usefull for findin and marking zones.
#When yuy find a Explosive candle , it become a potential demand and supply zone. It depens on second candle thou.
Thanks
Love INDYAN
{INDYAN} GO WITH TREND V2This indicator has almost everything for intraday trading . There are two supertrends one with higher time frame and one at lower time frame, Due to which we can recognize reversal. If higher time frame supertrend is showing uptrend and minor is showing downtrend then better to avoid taking any trade in between. Both trend should be in same direction.
Tenkan and kijun is there to verify the trend authencity, check where the tenkan and kijun crossover is there or not at the time of reversal signal given by supertrends. It will boost trading chances.
Also VWAP is placed to know the current situation, If price is below VWAP go for sort if all other things match as above said.
HEMA LEMA is a EMA band and i found that it act as support and resistance, If price breaks channel with volume and sustain above/below for 2 candle close (TIMEFRAME AS SYMBOL).
Also placed FAST EMA to recognize the fast moving trend.
Pivot with CPR is there to trade on basis of CPR and Pivot.
For demand and supply traders, they can use blue and black candle for marking up zones. Blue is boring/base candle and Black is explosive candle.
I hope it will help my trader friends to recognize the trend and reversal.
Let me know if anything more we need to include or remove to make it better for everyone.
Happy Trading... Love INDYAN
#intraday
#hema-lema
#pivot
#cpr
#supertrend_reversal
#demandzone
#supplyzone
#tenkansen
#kijunsen
Uber Baseline [UTS]Uber Baseline is a highly customizable Baseline component for any trading system. Different strategies can be applied making it a powerful tool for every trader.
General Usage
The Baseline is used as an indication of the prevailing trend and helps keeping the trader out of bad trades.
Price above the Baseline only allows for LONG trades and below Baseline only allows for SHORT trades.
On price cross upwards from below Baseline and and candle close above Baseline the movement can be considered as bullish. Controversy if price crosses Baseline downwards from above and and candle closes below the baseline the movement can be considered as bearish.
Hence, ENTRY Signals for LONG or SHORT can be derived from those Baseline crosses.
Furthermore, any Baseline cross can also be treated as valid EXIT signal for an open position as the movement indicates a possible shift in trend.
Price that moves with unusual high volatility into one direction often tends to not trend but instead pulls back. Overshoot of the base line (default setting: 1x ATR) is recognized but does not produce an ENRTY signal, only an EXIT signal.
Advanced techniques can incorporate the one-candle-rule waiting for pullbacks after Baseline overshot following a possible ENTRY in direction of the new trend.
Trend traders can also look for Baseline bounces after an ENTRY signal for confirmation and better trade entries.
Moving Averages
16 different Moving Averages are available:
ALMA (Arnaud Legoux Moving Average)
DEMA (Double Exponential Moving Average)
EMA (Exponential Moving Average)
FRAMA (Fractal Adaptive Moving Average)
HMA (Hull Moving Average)
JURIK (Jurik Moving Average)
KAMA (Kaufman Adaptive Moving Average)
Kijun (Kijun-sen / Tenkan-sen of Ichimoku)
LSMA (Least Square Moving Average)
RMA (Running Moving Average)
SMA (Simple Moving Average)
SuperSmoothed (Super Smoothed Moving Average)
TEMA (Triple Exponential Moving Average)
VWMA (Volume Weighted Moving Average)
WMA (Weighted Moving Average)
ZLEMA (Zero Lag Moving Average)
A freely determinable length allows for sensitivity adjustments that fits your own requirements.
Trend Visualization
If the predominant trend direction is DOWN the moving average is painted red. If the trend direction is UP the moving average is painted in green.
If the movement is FLAT then the color is gray.
Alerts
Traders can utilize the following signals to trigger alerts from:
Bull Cross
Bear Cross
Overshoot Up
Overshoot Down
Those values are > zero if a condition is triggered.
Alert condition example: "Bear Cross" - "GreaterThan" - "0"
Pocket Pivot IndicatorFrom Gil Morales and Chris Kacher (O'Neil's disciples). Designed to find buy points in bases and continuation buy points in an uptrend. The volume today must be greater then the maximum down volume of the past 10 trading days. Recommended to use in conjunction with the 10 day and/or 50 day moving average.
Typical use :
Scan for pocket pivots.
Is stock strong fundamentally? i.e- leader in it's sector
Has the stock developed a base ?(see O'Neil's work for base discussion)
Is the stock breaking through or bouncing off the 10 period sma? (can use 50 sma too)
If so.. a possible buy.
Cheers
David
Support the Resistance BacktestHello Fellow Traders!
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This is the newest addition to Gnome Alerts PRO!
This Bot Script works on all Crypto, Leverage, Forex, & Traditional Exchanges.
Trade of Support & Resistance Levels in Realtime!
FEATURES
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*Autoview Ready*
- Easy to Use
- Backtesting Included
- Stop Loss
More info on how gain access in my profile!
