TradingIQ - Nova IQIntroducing "Nova IQ" by TradingIQ
Nova IQ is an exclusive Trading IQ algorithm designed for extended price move scalping. It spots overextended micro price moves and bets against them. In this way, Nova IQ functions similarly to a reversion strategy.
Nova IQ analyzes historical and real-time price data to construct a dynamic trading system adaptable to various asset and timeframe combinations.
Philosophy of Nova IQ
Nova IQ integrates AI with the concept of central-value reversion scalping. On lower timeframes, prices may overextend for small periods of time - which Nova IQ looks to bet against. In this sense, Nova IQ scalps against small, extended price moves on lower timeframes.
Nova IQ is designed to work straight out of the box. In fact, its simplicity requires just one user setting, making it incredibly straightforward to manage.
Use HTF (used to apply a higher timeframe trade filter) is the only setting that controls how Nova IQ works.
Traders don’t have to spend hours adjusting settings and trying to find what works best - Nova IQ handles this on its own.
Key Features of Nova IQ
Self-Learning Market Scalping
Employs AI and IQ Technology to scalp micro price overextensions.
AI-Generated Trading Signals
Provides scalping signals derived from self-learning algorithms.
Comprehensive Trading System
Offers clear entry and exit labels.
Performance Tracking
Records and presents trading performance data, easily accessible for user analysis.
Higher Timeframe Filter
Allows users to implement a higher timeframe trading filter.
Long and Short Trading Capabilities
Supports both long and short positions to trade various market conditions.
Nova Oscillator (NOSC)
The Nova IQ Oscillator (NOSC) is an exclusive self-learning oscillator developed by Trading IQ. Using IQ Technology, the NOSC functions as an all-in-one oscillator for evaluating price overextensions.
Nova Bands (NBANDS)
The Nova Bands (NBANDS) are based on a proprietary calculation and serve as a custom two-layer smoothing filter that uses exponential decay. These bands adaptively smooth prices to identify potential trend retracement opportunities.
How It Works
Nova IQ operates on a simple heuristic: scalp long during micro downside overextensions and short during micro upside overextensions.
What constitutes an "overextension" is defined by IQ Technology, TradingIQ's proprietary AI algorithm. For Nova IQ, this algorithm evaluates the typical extent of micro overextensions before a reversal occurs. By learning from these patterns, Nova IQ adapts to identify and trade future overextensions in a consistent manner.
In essence, Nova IQ learns from price movements within scalping timeframes to pinpoint price areas for capitalizing on the reversal of an overextension.
As a trading system, Nova IQ enters all positions using market orders at the bar’s close. Each trade is exited with a profit-taking limit order and a stop-loss order. Thanks to its self-learning capability, Nova IQ determines the most suitable profit target and stop-loss levels, eliminating the need for the user to adjust any settings.
What classifies as a tradable overextension?
For Nova IQ, tradable overextensions are not manually set but are learned by the system. Nova IQ utilizes NOSC to identify and classify micro overextensions. By analyzing multiple variations of NOSC, along with its consistency in signaling overextensions and its tendency to remain in extreme zones, Nova IQ dynamically adjusts NOSC to determine what constitutes overextension territory for the indicator.
When NOSC reaches the downside overextension zone, long trades become eligible for entry. Conversely, when NOSC reaches the upside overextension zone, short trades become eligible for entry.
The image above illustrates NOSC and explains the corresponding overextension zones
The blue lower line represents the Downside Overextension Zone.
The red upper line represents the Upside Overextension Zone.
Any area between the two deviation points is not considered a tradable price overextension.
When either of the overextension zones are breached, Nova IQ will get to work at determining a trade opportunity.
The image above shows a long position being entered after the Downside Overextension Zone was reached.
The blue line on the price scale shows the AI-calculated profit target for the scalp position. The redline shows the AI-calculated stop loss for the scalp position.
Blue arrows indicate that the strategy entered a long position at the highlighted price level.
Yellow arrows indicate a position was closed.
You can also hover over the trade labels to get more information about the trade—such as the entry price and exit price.
The image above depicts a short position being entered after the Upside Overextension Zone was breached.
The blue line on the price scale shows the AI-calculated profit target for the scalp position. The redline shows the AI-calculated stop loss for the scalp position.
Red arrows indicate that the strategy entered a short position at the highlighted price level.
Yellow arrows indicate that NOVA IQ exited a position.
Long Entry: Blue Arrow
Short Entry: Red Arrow
Closed Trade: Yellow Arrow
Nova Bands
The Nova Bands (NBANDS) are based on a proprietary calculation and serve as a custom two-layer smoothing filter that uses exponential decay and cosine factors.
These bands adaptively smooth the price to identify potential trend retracement opportunities.
The image above illustrates how to interpret NBANDS. While NOSC focuses on identifying micro overextensions, NBANDS is designed to capture larger price overextensions. As a result, the two indicators complement each other well and can be effectively used together to identify a broader range of price overextensions in the market.
While the Nova Bands are not part of the core heuristic and do not use IQ technology, they provide valuable insights for discretionary traders looking to refine their strategies.
Use HTF (Use Higher Timeframe) Setting
Nova IQ has only one setting that controls its functionality.
“Use HTF” controls whether the AI uses a higher timeframe trading filter. This setting can be true or false. If true, the trader must select the higher timeframe to implement.
No Higher TF Filter
Nova IQ operates with standard aggression when the higher timeframe setting is turned off. In this mode, it exclusively learns from the price data of the current chart, allowing it to trade more aggressively without the influence of a higher timeframe filter.
Higher TF Filter
Nova IQ demonstrates reduced aggression when the "Use HTF" (Higher Timeframe) setting is enabled. In this mode, Nova IQ learns from both the current chart's data and the selected higher timeframe data, factoring in the higher timeframe trend when seeking scalping opportunities. As a result, trading opportunities only arise when both the higher timeframe and the chart's timeframe simultaneously display overextensions, making this mode more selective in its entries.
In this mode, Nova IQ calculates NOSC on the higher timeframe, learns from the corresponding price data, and applies the same rules to NOSC as it does for the current chart's timeframe. This ensures that Nova IQ consistently evaluates overextensions across both timeframes, maintaining its trading logic while incorporating higher timeframe insights.
AI Direction
The AI Direction setting controls the trade direction Nova IQ is allowed to take.
“Trade Longs” allows for long trades.
“Trade Shorts” allows for short trades.
Verifying Nova IQ’s Effectiveness
Nova IQ automatically tracks its performance and displays the profit factor for the long strategy and the short strategy it uses. This information can be found in a table located in the top-right corner of your chart showing the long strategy profit factor and the short strategy profit factor.
The image above shows the long strategy profit factor and the short strategy profit factor for Nova IQ.
A profit factor greater than 1 indicates a strategy profitably traded historical price data.
A profit factor less than 1 indicates a strategy unprofitably traded historical price data.
A profit factor equal to 1 indicates a strategy did not lose or gain money when trading historical price data.
Using Nova IQ
While Nova IQ is a full-fledged trading system with entries and exits - it was designed for the manual trader to take its trading signals and analysis indications to greater heights, offering numerous applications beyond its built-in trading system.
The hallmark feature of Nova IQ is its to ignore noise and only generate signals during tradable overextensions.
The best way to identify overextensions with Nova IQ is with NOSC.
NOSC is naturally adept at identifying micro overextensions. While it can be interpreted in a manner similar to traditional oscillators like RSI or Stochastic, NOSC’s underlying calculation and self-learning capabilities make it significantly more advanced and useful than conventional oscillators.
Additionally, manual traders can benefit from using NBANDS. Although NBANDS aren't a core component of Nova IQ's guiding heuristic, they can be valuable for manual trading. Prices rarely extend beyond these bands, and it's uncommon for prices to consistently trade outside of them.
NBANDS do not incorporate IQ Technology; however, when combined with NOSC, traders can identify strong double-confluence opportunities.
Volatility
Relative Measured Volatility (RMV) – Spot Tight Entry ZonesTitle: Relative Measured Volatility (RMV) – Spot Tight Entry Zones
Introduction
The Relative Measured Volatility (RMV) indicator is designed to highlight tight price consolidation zones , making it an ideal tool for traders seeking optimal entry points before potential breakouts. By focusing on tightness rather than general volatility, RMV offers traders a practical way to detect consolidation phases that often precede significant market moves.
How RMV Works
The RMV calculates short-term tightness by averaging three ATR (Average True Range) values over different lookback periods and then normalizing them within a specified lookback window. The result is a percentage-based scale from 0 to 100, indicating how tight the current price range is compared to recent history.
Here’s the breakdown:
Three ATR values are computed using user-defined short lookback periods to represent short-term price movements. An average of the ATRs provides a smoothed measure of current tightness. The RMV normalizes this average against the highest and lowest values over the defined lookback period, scaling it from 0 to 100.
This approach helps traders identify consolidation zones that are more likely to lead to breakouts.
Key Features of RMV
Multi-Period ATR Calculation : Uses three ATR values to effectively capture market tightness over the short term. Normalization : Converts the tightness measure to a 0-100 scale for easy interpretation. Dynamic Histogram and Background Colors : The RMV indicator uses a color-coded system for clarity.
How to Use the RMV Indicator
Identify Tight Consolidation Zones:
a - RMV values between 0-10 indicate very tight price ranges, making this the most optimal zone for potential entries before breakouts.
b - RMV values between 11-20 suggest moderate tightness, still favorable for entries.
Monitor Potential Breakout Areas:
As RMV moves from 21-30 , tightness reduces, signaling expanding volatility that may require wider stops or more flexible entry strategies.
Adjust Trading Strategies:
Use RMV values to identify tight zones for entering trades, especially in trending markets or at key support/resistance levels.
Customize the Indicator:
a - Adjust the short-term ATR lookback periods to control sensitivity.
b - Modify the lookback period to match your trading horizon, whether short-term or long-term.
Color-Coding Guide for RMV
ibb.co
How to Add RMV to Your Chart
Open your chart on TradingView.
Go to the “Indicators” section.
Search for "Relative Measured Volatility (RMV)" in the Community Scripts section.
Click on the indicator to add it to your chart.
Customize the input parameters to fit your trading strategy.
Input Parameters
Lookback Period : Defines the period over which tightness is measured and normalized.
Short-term ATR Lookbacks (1, 2, 3) : Control sensitivity to short-term tightness.
Histogram Threshold : Sets the threshold for differentiating between bright (tight) and dim (less tight) histogram colors.
Conclusion
The Relative Measured Volatility (RMV) is a versatile tool designed to help traders identify tight entry zones by focusing on market consolidation. By highlighting narrow price ranges, the RMV guides traders toward potential breakout setups while providing clear visual cues for better decision-making. Add RMV to your trading toolkit today and enhance your ability to identify optimal entry points!
India market cap and smart dataThis indicator displays important financial and technical data, such as Market Cap, P/E Ratio, ADR %, etc.
It is specially designed for swing traders.
Key Features and Highlights
- Market Cap Alert: If the Market Cap of a stock is below 1000 crore , it is displayed in red to indicate a potential liquidity issue.
- P/E Ratio for Loss-Making Companies : For companies with net losses, the P/E ratio is shown as 0 and displayed in red , alerting you to the unprofitable status of the company.
- ADR Alert: When the ADR is below 4% , it is highlighted in red . Swing traders typically look for stocks with high ADR.
- 52-Week High Proximity: If a stock is more than 20% below its 52-week high , this data is shown in red .
- 52-Week Low Performance: If a stock is up by more than 70% from its 52-week low , the data is displayed in green , indicating strong performance.
Additional Features
- Toggle data points on or off as desired.
- Supports both dark and light modes.
- Position the table wherever preferred on the chart.
- Customize the ADR % calculation based on the desired number of days (default is 20 days).
Note: The calculation for the percentage away from the 52-week high is based on the closing price of the 52-week high candle, not the high price.
EMA and ATR Indicator BY DemirkanEMA 10 and ATR Indicator BY Demirkan
The EMA 10 and ATR Indicator combines two powerful technical indicators used to analyze trends and identify potential trading opportunities.
Indicator Components:
Exponential Moving Average (EMA):
EMA 10: Calculates the weighted average of the last 10 closing prices. This indicator is effective in tracking short-term price movements. When the price is above the EMA, it is considered that the trend is upward; when it is below, it is assessed as a downward trend.
Average True Range (ATR):
ATR: A measure of market volatility. When the ATR value falls within a specified range (between 10 and 14 in this indicator), the price movement is considered significant. This helps you base your trading decisions on more solid grounds.
Usage Recommendations:
Buy Signal: When the price is above the EMA and the ATR is within the specified range, this can be interpreted as a potential buy signal.
Sell Signal: When the price is below the EMA, this can be interpreted as a potential sell signal.
Chart Displays:
EMA Line: Displayed as a blue line, allowing you to see how the EMA relates to current price levels.
Price Status: Circles are used to indicate whether the price is above or below the EMA. A green circle indicates the price is above the EMA, while a red circle indicates it is below.
Background Colors: The chart background changes to green or red to highlight buy and sell conditions.
Aesthetic Presentation:
Using the "Flag" and "Below" parameters for the Price vs EMA indicator provides an aesthetically pleasing appearance on the chart. This type of visual presentation helps users quickly and easily grasp trading signals. Additionally, this aesthetic touch makes investors' charts look more professional and appealing.
This indicator is a useful tool for traders looking to develop short-term trading strategies. However, it should always be used in conjunction with additional analysis and other indicators.
Note: This indicator is for educational purposes only and should not be taken as investment advice.
Normalized ATRWhat is Normalized ATR?
Normalized ATR (Average True Range) is an indicator used to assess the volatility of a financial asset in a more understandable way. Normalized ATR normalizes the Average True Range (ATR) over a specific period relative to the current price level, providing a more comparable measure of volatility. It gives appropriate volatility across all timeframes.
What is ATR (Average True Range)?
ATR is a technical indicator used to measure the volatility of an asset's price. ATR is calculated by taking the highest value from the following three values:
Daily High - Daily Low: The difference between the highest and lowest prices within the day.
Daily High - Previous Day's Close: The difference between today's highest price and the previous day's closing price.
Daily Low - Previous Day's Close: The difference between today's lowest price and the previous day's closing price.
The largest value among these three is then averaged over a specified period (usually 14 days) to calculate the ATR.
Why Use Normalized ATR?
Normalized ATR provides a way to compare the ATR relative to the current price level. This is particularly useful when comparing assets with different price levels. For example, two assets may have the same ATR value, but due to differing price levels, the perception of volatility could vary. Normalization helps eliminate these discrepancies, enabling more consistent analysis. It gives appropriate volatility across all timeframes.
Normalized ATR Calculation
Normalized ATR is calculated by dividing the ATR value by the current price level:
Normalized ATR
=
(
ATR
Current Price
)
×
Normalization Factor
Normalized ATR=(
Current Price
ATR
)×Normalization Factor
Here, the "Normalization Factor" is typically a multiplier (e.g., 100) to convert the result into a more readable format.
Example Usage
Investors can use the Normalized ATR value to determine the volatility of an asset and formulate risk management strategies. A high Normalized ATR indicates that the asset has high volatility, while a low value suggests lower volatility.
This indicator helps investors better understand market conditions and make informed trading decisions.
30D Vs 90D Historical VolatilityVolatility equals risk for an underlying asset's price meaning bullish volatility is bearish for prices while bearish volatility is bullish. This compares 30-Day Historical Volatility to 90-Day Historical Volatility.
When the 30-Day crosses under the 90-day, this is typically when asset prices enter a bullish trend.
Conversely, When the 30-Day crosses above the 90-Day, this is when asset prices enter a bearish trend.
Peaks in volatility are bullish divergences while troughs are bearish divergences.
70% rule strength/trend/reversalThis indicator tells you which candle closed strong for the day by identifying if the price closed above 70% of the candle's total height. this can help you identify reversals/new trends/ renewed strength in the current trend.
The indicator colors such candle green and if the candle closes with increase in price by 5% or higher then marks an asterisk under the candle.
HOPE THIS HELPS
Indicator SELL UBScript Name: UB Sell Indicator based on 10Y Volume and Trend
Description: This indicator uses the 10-year interest rate (10Y1!) volume and price data to generate sell signals on the UB contract. When the 10Y1! volume exceeds a fixed threshold and the 10Y1! price is rising, a sell signal is issued to help traders anticipate bearish moves on the UB.
Features:
10Y1! Volume: Identifies periods of high volume.
10Y1! Price: Detects bullish trends in the 10Y1!.
Sell Signals: Displays red arrows to indicate selling opportunities on UB when conditions are met.
Visual Indicators: Colors and arrows for easy signal interpretation.
Parameters:
Fixed Volume Threshold: 114 (modifiable as needed).
Moving Average Period: 10 (to calculate the 10Y1! price trend).
Usage:
Watch for red arrows to identify selling opportunities on UB.
Combine with other analyses and indicators for a complete trading strategy.
Author: Jm Smeers
Publication Date: 26/10/2024
Delta Candle ColorsThe Delta Divergences indicator provides a visual representation of volume delta, which measures the difference between buying pressure and selling pressure within a candle. This is achieved by using intrabar (lower timeframe) volume and price fluctuations to estimate the delta between buying and selling pressure within each bar.
By color-coding candles based on this volume delta, traders can gain insight into the strength behind price movements and spot potential divergences. When a candle closes positively (higher than the previous close) but the volume delta is negative (more selling than buying), or when a candle closes negatively with a positive delta (more buying than selling), it indicates a divergence. These divergences can signal potential trend exhaustion or possible reversals.
The indicator includes custom alerts that notify the trader when these divergences occur:
Positive close with negative delta: Signals that the price is rising, but selling pressure is higher.
Negative close with positive delta: Signals that the price is falling, but buying pressure is higher.
In addition to color-coding candles based on delta, the indicator provides an option to display delta labels directly on the chart for each candle.
Finally, the option to only show divergences can be turned on. When enabled, non-divergent candles are colored normally, while only candles with delta divergences are highlighted, allowing traders to focus on the most relevant market information.
Supertrend with EMASupertrend + EMA Indicator
This custom indicator combines the popular Supertrend and Exponential Moving Average (EMA) indicators to enhance trend analysis and signal accuracy. The Supertrend tracks price volatility to identify potential trend directions, while the EMA provides a smooth moving average to help refine entries and exits based on trend momentum.
Features:
Supertrend: Detects trend reversals by using price action and volatility, making it effective in trending markets.
Exponential Moving Average (EMA): Smoothens price fluctuations, helping you gauge the trend’s strength and filter out false signals.
Versatile for multiple timeframes and asset classes.
Ideal for traders looking to catch sustained trends and avoid false breakouts, this indicator offers an improved way to follow market momentum and confirm trend strength. Customize the Supertrend ATR multiplier and EMA length to suit your trading style and timeframe.
INDIA/NIFTY DOWN DAY MARKERINDIA/NIFTY DOWN DAY MARKER is indicator designed for Indian investors that provides visual cues on whole universe of stock charts marking volatile days based on the performance of selected Indian market indices. This indicator helps traders and investors assess the relative strength of individual stocks during extreme market movements
Key Features:
1) Index Selection: Users can choose from four major Indian indices: Nifty 50, Nifty Midcap 100, Nifty Smallcap 100, and Nifty MIDSMALLCAP 400. This flexibility allows for tailored analysis based on market focus.
2) Customizable Thresholds: Users can set their desired percentage thresholds for both rise and fall days, with default values of 2%. This customization enables users to adapt the indicator to their trading strategies.
3) Visual Indicators:
Rise Days: When the selected index rises by the specified percentage, the chart background turns green, indicating a bullish trend.
Fall Days: Conversely, if the index falls by the defined percentage, the background changes to red, signaling a bearish trend.
Range Tightening Indicator (RTI)The Range Tightening Indicator (RTI) quantifies price volatility relative to recent price action, helping traders identify low-volatility consolidations that often precede breakouts.
Range Tightening is calculated by measuring the range between each bar’s high and low prices over a chosen lookback period.
A 5-bar period is recommended for shorter-term momentum setups and a 15-bar period is recommended for swing trading. An option for a custom period is available to suit specific strategies. The default look back for custom is 50, ideal for longer term traders.
Other Key Features:
Dynamic Color Coding: The RTI line turns green when volatility doubles after a drop to or below 20, flagging significant volatility shifts commonly seen before breakouts.
Low-Volatility Dots: Orange dots appear on the RTI line when two or more consecutive bars show RTI values below 20, visually marking extended low-volatility periods.
Volatility Zones: Shaded zones provide quick context:
Zone 1 (0-5): Extremely tight volatility, shown in red.
Zone 2 (5-10): Low volatility, shown in light green.
Zone 3 (10-15): Moderate low volatility, shown in green.
The RTI indicator is ideal for traders looking to anticipate breakout conditions, with features that highlight consolidation phases, support momentum strategies, and help improve entry timing by focusing on shifts in volatility.
This indicator was inspired after Deepvue's RMV Indicator, but uses a different calculation. Results may vary.
ATR fluctuation abnormal warning RTA77 1.0"coming? "
A classic technical term for impending volatility. But "coming" generally means that the question of whether volatility or a trend is coming is asked only after volatility has been observed.
By combining short-term volatility, long-term volatility, and abnormal changes in relative cycles, this indicator identifies potential changes in upcoming volatility (volatility changes) at an earlier stage, allowing the market to be asked the question "Is it coming?
Since volatility itself has a lag, and the longer the period, the more lagged the detection of abnormal volatility will be, so this indicator is only suitable for short-term, small period (15M - 1H) best. Because volatility is passed from small to large, there is a chance to detect large volatility quotes by catching potential volatility abnormal changes in small cycles.
The "volatility warning" of this indicator all refers to the plate is in abnormal volatility, or is about to occur volatility anomaly, can be used as a precursor warning of the emergence of volatility anomaly in the later market. When a golden cross between short-term volatility and long-term volatility is observed, it means that in a short period of time, or in the future, a high volatility market will be profitable in contrast to the previous low volatility market.
(Alert triggering is not only limited to a single time, if it is confirmed several times in a short period of time, if volatility has not yet occurred, the probability of volatility in the future market increases in the short term)
This indicator of "shock warning" all refers to the plate may have been from the previous state of high volatility, into a low volatility of the shock state, orderly or disorderly, suggesting that volatility in the short term appeared to reduce the higher the volatility of the previous section of the market, when the shock warning signal, the probability of starting to enter the shock adjustment market.
The ATR of two different cycles can be changed as needed, but must maintain the relationship between short-term and long-term correspondence, each subject has a different cycle, you need to judge and find the optimal parameters
Continuously updated.
Atr Target TP & Protecion Zone [Pinescriptlabs]This indicator provides an adaptive trailing stop system with dynamic price targets and protection zones, ideal for position management.
Main Features:
🚦 ADAPTIVE TRAILING STOP:
Automatically adjusts based on volatility (ATR) and volume
Two modes: "Modified" and "UnModified" for true range calculation
Displayed as a line with colored background (green for longs, red for shorts)
🎯 TARGET ZONES (T1 & T2):
Calculates two target zones (T1 and T2) based on:
Market strength (combination of RSI, volume, MFI, ADX, MACD)
Current volatility (ATR)
Distance from current price
Visualized with blue boxes (T1) and purple boxes (T2)
🛡️ PROTECTION ZONE:
Automatically activates in sideways markets
Provides an additional buffer to the trailing stop
Helps avoid premature exits in volatile markets
📊 INFORMATION PANELS:
Top Right Panel displays:
Current trend direction
Target status (T1 & T2)
Market strength
Current ATR
RSI level
Bottom Right Panel displays:
Trailing status (WIDE/NORMAL)
Volume impact
Directional strength
Protection zone status
Español:
Este indicador proporciona un sistema de trailing stop adaptativo con objetivos de precio dinámicos y zonas de protección, ideal para la gestión de posiciones.
**Características Principales**:
🚦 **TRAILING STOP ADAPTATIVO**:
- Se ajusta automáticamente según la volatilidad (ATR) y el volumen
- Dos modos: "Modified" y "UnModified" para el cálculo del rango verdadero
- Se visualiza como una línea con fondo coloreado (verde para largos, rojo para cortos)
🎯 **ZONAS OBJETIVO (T1 y T2)**:
- Calcula dos zonas objetivo (T1 y T2) basadas en:
- Fuerza del mercado (combinación de RSI, volumen, MFI, ADX, MACD)
- Volatilidad actual (ATR)
- Distancia al precio actual
- Visualización mediante cajas azules (T1) y moradas (T2)
🛡️ **ZONA DE PROTECCIÓN**:
- Se activa automáticamente en mercados laterales
- Proporciona un buffer adicional al trailing stop
- Ayuda a evitar salidas prematuras en mercados volátiles
📊 **PANELES INFORMATIVOS**:
*Panel Superior Derecho* muestra:
- Dirección de la tendencia actual
- Estado de los objetivos (T1 y T2)
- Fuerza del mercado
- ATR actual
- Nivel de RSI
*Panel Inferior Derecho* muestra:
- Estado del trailing (WIDE/NORMAL)
- Impacto del volumen
- Fuerza direccional
- Estado de la zona de protección
GG-ShotOverview:
The GG-Shot indicator is built on analyzing key price levels to identify breakouts in both directions of the market. It tracks range boundaries to identify entry points for long and short positions. This indicator includes additional filters to eliminate false signals and increase accuracy in low-volatility conditions. The primary goal of the indicator is to identify levels whose breakout may signal the start of a new trend.
═════════════════════════════════════════════════
🔹 Key Features:
167 Trading Strategies: GG-Shot is equipped with 167 unique strategies, including two universal strategies suitable for most crypto assets. These strategies are adaptable to various market conditions and are beneficial for traders dealing with a wide range of assets.
Take-Profit Levels (TP1-TP4): The indicator provides four static take-profit levels, calculated based on market volatility and strategy configuration. Additionally, two dynamic take-profit levels are adjusted in real-time.
Long and Short Signals: The indicator generates clear long and short signals, helping traders stay prepared for upcoming market moves.
Advanced, Standard, Classic and Channel Modes:
- Advanced Mode: Adds extra trend lines that act as support and resistance levels, useful for entering, increasing, or closing positions. You can also trade between these levels using price movements within the range.
- Standard Mode: Uses pre-set limit-based take-profit levels specifically tailored for each strategy, ensuring a structured approach to trade exits.
- Classic Mode: In this mode, limit-based take-profit levels are not displayed. Profit is instead taken based on dynamic take-profit levels or support/resistance levels.
- Channel Mode: Transforms indicator into a channel trading mode, generating signals when the price touches the upper or lower boundaries of the channel, good for range-bound markets.
Oscillator Mode:
- Enable: Generates signals in both directions, independent of the primary trend.
- By Trend: Filters signals to only work in the direction of the current trend based on the primary indicator signal.
Filtering: The indicator includes two filtering methods:
- Volume Filter: Automatically adjusts the threshold for volume based on the specific asset, helping to filter out signals in low-volume conditions and ensuring higher-quality trades.
- Flat Market Filter: Reduces the number of signals in low-volatility or flat market conditions, improving overall accuracy during periods of market inactivity.
Support and Resistance Zones: Highlights key support and resistance levels on the chart to help traders identify important entry and exit points.
Real-Time Back-Test Panel: Available in both mobile and desktop versions, with only design differences. Both versions provide real-time performance data such as win rates, profit factor, and success rates for each take-profit level (TP1-TP4), along with detailed accuracy statistics for long and short trades.
🔹 How to Trade with GG-Shot:
When you receive a Long/Short signal from indicator, you have two primary options for entering a position:
Instant Entry: Enter immediately with a single entry if the following conditions are met:
- You observe that the trend is strong.
- There is no divergence on the rebound.
- Indicator signals are consistently pointing in one direction (with priority given to these signals).
- The Risk-to-Reward ratio is normal.
Split Entry or Pullback Entry: Enter in parts or wait for a pullback if the following conditions apply:
- The trend is flat or there is low market volatility.
- There are divergences on the rebound.
- The Risk-to-Reward ratio is negative or the signal appears abnormal.
Once you have entered the position, follow these guidelines for Take Profit and Stop Loss management:
Place limit Take Profit orders as follows:
50% of the position at the 1st take profit level (TP1).
25% at the 2nd take profit level (TP2).
15% at the 3rd take profit level (TP3).
10% at the 4th take profit level (TP4).
After reaching the first Take Profit (TP1), move the Stop Loss on the remaining position to breakeven to protect your capital.
Additional Trade Management with Oscillator Signals:
When TP1 is reached, and a green\red cross (oscillator function) appears against the trend direction, it is recommended to fully close the position. This signal indicates a potential reversal or a significant pause in the trend.
In certain cases, you can also open a small position in the opposite direction. Place your Stop Loss behind the nearest support or resistance level (using the Support and Resistance Zones or the Advanced Mode of GG-Shot). You can start taking profits at the nearest support or resistance levels or trend lines, while leaving part of the position open for further movement if a reversal signal appears. in most cases, price will bounce when there’s a combination of dynamic TP levels and the oscillator cross near important levels.
Re-entry Strategies:
If you see a cross from the trend line in the direction of the signal, you can re-enter the position with a more favorable Risk-to-Reward ratio. Use the nearest support or resistance level or a reverse signal as an entry point. After the price bounces off the Trend Line, move the Stop Loss to breakeven. Often, when the trend line follows the price, the price continues to track the line. This strategy can also be applied in combination with RSI , especially when there are divergences near the trend line.
Key Observations for Signal Strength:
In most cases, the trend line gives an early indication of future price movement. For example, if you receive a short signal , but the Trend Line is going up, the price is likely to touch the trend line before continuing downtrend. In such cases, it’s better to skip the signal or look for an entry from the Trend Line , especially when there are divergences supporting the direction of the signal.
Alternatively, when a short signal is accompanied by a falling trend line, the more it falls, the more significant the potential dump.
═════════════════════════════════════════════════
🔹 How to Use:
Step 1: Add GG-Shot to your TradingView chart.
Step 2: Choose one of the modes:
Advanced, Standard, or Channel, and select a strategy from the 167 available options.
Step 3: Check Long/Short signals for entering positions, using the provided take-profit and stop-loss levels.
Step 4: Use the Back-Test Panel to assess the performance of the chosen strategy and adjust your approach based on real-time data.
Note: All trading involves risk, and past performance is not indicative of future results.
Trend Magic Enhanced [AlgoAlpha]🔥✨ Trend Magic Enhanced - Boost Your Trend Analysis! 🚀📈
Introducing the Trend Magic Enhanced indicator by AlgoAlpha, a powerful tool designed to help you identify market trends with greater accuracy. This advanced indicator combines the Commodity Channel Index (CCI) and Average True Range (ATR) to calculate dynamic support and resistance levels, known as the Trend Magic. By smoothing the Trend Magic with various moving average types, this indicator provides clearer trend signals and helps you make more informed trading decisions.
Key Features :
🎯 Unique Trend Identification : Combines CCI and ATR to detect market trends and potential reversals.
🔄 Customizable Smoothing : Choose from SMA, EMA, SMMA, WMA, or VWMA to smooth the Magic Trend for clearer signals.
🎨 Flexible Appearance Settings : Customize colors for bullish and bearish trends to suit your charting preferences.
⚙️ Adjustable Parameters : Modify CCI period, ATR period, ATR multiplier, and smoothing length to align with your trading strategy.
🔔 Alert Notifications : Set alerts for trend shifts to stay ahead of market movements.
📈 Visual Signals : Displays trend direction changes directly on the chart with up and down arrows.
Quick Guide to Using the Trend Magic Enhanced Indicator
🛠 Add the Indicator : Add the indicator to your chart by pressing the star icon to add it to favorites. Customize settings such as CCI period, ATR multiplier, ATR period, smoothing options, and colors to match your trading style.
📊 Analyze the Chart : Observe the Trend Magic line and the color-coded trend signals. When the Trend Magic line turns bullish (e.g., green), it indicates an upward trend, and when it turns bearish (e.g., red), it indicates a downward trend. Use the visual arrows to spot trend direction changes.
🔔 Set Alerts : Enable alerts to receive notifications when a trend shift is detected, so you can act promptly on trading opportunities without constantly monitoring the chart.
How It Works:
The Trend Magic Enhanced indicator integrates the Commodity Channel Index (CCI) and Average True Range (ATR) to calculate a dynamic Trend Magic line. By adjusting price levels based on CCI values—upward when CCI is positive and downward when negative—and factoring in ATR for market volatility, it creates adaptive support and resistance levels. Optionally smoothed with various moving averages to reduce noise, the indicator changes line color based on trend direction, highlights trend changes with arrows, and provides alerts for significant shifts, aiding traders in identifying potential entry and exit points.
Enhancements Over the Original Trend Magic Indicator
The Trend Magic Enhanced indicator significantly refines the trend identification method of the original Trend Magic script by introducing customizable smoothing options and additional analytical features. While the original indicator determines trend direction solely based on the Commodity Channel Index (CCI) crossing above or below zero and adjusts the Magic Trend line using the Average True Range (ATR), the enhanced version allows users to smooth the Magic Trend line with various moving average types (SMA, EMA, SMMA, WMA, VWMA). This smoothing reduces market noise and provides clearer trend signals. Additionally, the enhanced indicator incorporates price action analysis by detecting crossovers and crossunders of price with the Magic Trend line, and it visually marks trend changes with up and down arrows on the chart. These improvements offer a more responsive and accurate trend detection compared to the original method, enabling traders to identify potential entry and exit points more effectively.
Enhance your trading strategy with the Trend Magic Enhanced indicator by AlgoAlpha and gain a clearer perspective on market trends! 🌟📈
ATR PercentageThe ATR is a great indicator, but for me, it does not define the volatility of an asset I am looking at well enough. So I've adjusted it to be displayed as the usual ATR and a percentage of the closing prince (which to me tells a better story). I find this useful if I am looking through many assets and have to create a quick picture of volatility.
Indicator Definition: The script starts by defining an indicator named "ATR Percentage" that will be displayed in a separate pane (not overlayed on the price chart).
Input for ATR Period: The user can set the period for calculating the ATR through an input field.
ATR Calculation: The ta.atr function calculates the Average True Range based on the specified period.
ATR Percentage Calculation: The ATR value is converted to a percentage of the current closing price using (atrValue / close) * 100.
Plotting:
The script plots both the ATR value and its percentage on the chart.
A horizontal line at zero is added for reference.
Label Display: An optional label displays the current ATR percentage at every 10th bar to avoid cluttering the chart.
Background Color: A light blue background is added to visually separate the ATR indicator from other indicators.
Multi Fibonacci Supertrend with Signals【FIbonacciFlux】Multi Fibonacci Supertrend with Signals (MFSS)
Overview
The Multi Fibonacci Supertrend with Signals (MFSS) is an advanced technical analysis tool that combines multiple Supertrend indicators using Fibonacci ratios to identify trend directions and potential trading opportunities.
Key Features
1. Fibonacci-Based Supertrend Levels
* Factor 1 (Weak) : 0.618 - The golden ratio
* Factor 2 (Medium) : 1.618 - The Fibonacci ratio
* Factor 3 (Strong) : 2.618 - The extension ratio
2. Visual Components
* Multi-layered Trend Lines
* Different line weights for easy identification
* Progressive transparency from Factor 1 to Factor 3
* Color-coded trend directions (Green for bullish, Red for bearish)
* Dynamic Fill Areas
* Gradient fills between price and trend lines
* Visual representation of trend strength
* Automatic color adjustment based on trend direction
* Signal Indicators
* Clear BUY/SELL labels on chart
* Position-adaptive signal placement
* High-visibility color scheme
3. Signal Generation Logic
The system generates signals based on two key conditions:
* Primary Condition :
* BUY : Price crossunder Supertrend2 (Factor 1.618)
* SELL : Price crossover Supertrend2 (Factor 1.618)
* Confirmation Filter :
* Signals only trigger when Supertrend3 confirms the trend direction
* Reduces false signals in volatile markets
Technical Details
Input Parameters
* ATR Period : 10 (default)
* Customizable for different market conditions
* Affects sensitivity of all Supertrend levels
* Factor Settings :
* All factors are customizable
* Default values based on Fibonacci sequence
* Minimum value: 0.01
* Step size: 0.01
Alert System
* Built-in alert conditions
* Customizable alert messages
* Real-time notification support
Use Cases
* Trend Trading
* Identify strong trend directions
* Filter out weak signals
* Confirm trend continuations
* Risk Management
* Multiple trend levels for stop-loss placement
* Clear entry and exit signals
* Trend strength visualization
* Market Analysis
* Multi-timeframe analysis capability
* Trend strength assessment
* Market structure identification
Benefits
* Reliability
* Based on proven Supertrend algorithm
* Enhanced with Fibonacci mathematics
* Multiple confirmation levels
* Clarity
* Clear visual signals
* Easy-to-interpret interface
* Reduced noise in signal generation
* Flexibility
* Customizable parameters
* Adaptable to different markets
* Suitable for various trading styles
Performance Considerations
* Optimized code structure
* Efficient calculation methods
* Minimal resource usage
Installation and Usage
Setup
* Add indicator to chart
* Adjust parameters if needed
* Enable alerts as required
Best Practices
* Use with other confirmation tools
* Adjust factors based on market volatility
* Consider timeframe appropriateness
Backtesting Results and Strategy Performance
This indicator is specifically designed for pullback trading with optimized risk-reward ratios in trend-following strategies. Below are the detailed backtesting results from our proprietary strategy implementation:
BTCUSDT Performance (Binance)
* Test Period: Approximately 7 years
* Risk-Reward Ratio: 2:1
* Take Profit: 8%
* Stop Loss: 4%
Key Metrics (BTCUSDT):
* Net Profit: +2,579%
* Total Trades: 551
* Win Rate: 44.8%
* Profit Factor: 1.278
* Maximum Drawdown: 42.86%
ETHUSD Performance (Binance)
* Risk-Reward Ratio: 4.33:1
* Take Profit: 13%
* Stop Loss: 3%
Key Metrics (ETHUSD):
* Net Profit: +8,563%
* Total Trades: 581
* Win Rate: 32%
* Profit Factor: 1.32
* Maximum Drawdown: 55%
Strategy Highlights:
* Optimized for pullback trading in strong trends
* Focus on high risk-reward ratios
* Proven effectiveness in major cryptocurrency pairs
* Consistent performance across different market conditions
* Robust profit factor despite moderate win rates
Note: These results are from our proprietary strategy implementation and should be used as reference only. Individual results may vary based on market conditions and implementation.
Important Considerations:
* The strategy demonstrates strong profitability despite lower win rates, emphasizing the importance of proper risk-reward ratios
* Higher drawdowns are compensated by significant overall returns
* The system shows adaptability across different cryptocurrencies with consistent profit factors
* Results suggest optimal performance in volatile crypto markets
Real Trading Examples
BTCUSDT 4-Hour Chart Analysis
Example of pullback strategy implementation on Bitcoin, showing clear trend definition and entry points
ETHUSDT 4-Hour Chart Analysis
Ethereum chart demonstrating effective signal generation during strong trends
BTCUSDT Detailed Signal Example (15-Minute Scalping)
Close-up view of signal generation and trend confirmation process on 15-minute timeframe, demonstrating the indicator's effectiveness for scalping operations
Chart Analysis Notes:
* Green and red zones clearly indicate trend direction
* Multiple timeframe confirmation visible through different Supertrend levels
* Clear entry signals during pullbacks in established trends
* Precise stop-loss placement opportunities below support levels
Implementation Guidelines:
* Wait for main trend confirmation from Factor 3 (2.618)
* Enter trades on pullbacks to Factor 2 (1.618)
* Use Factor 1 (0.618) for fine-tuning entry points
* Place stops below the relevant Supertrend level
Footnotes:
* Charts provided are from Binance exchange, using both 4-hour and 15-minute timeframes
* Trading view screenshots captured during actual market conditions
* Indicators shown: Multi Fibonacci Supertrend with all three factors
* Time period: Recent market activity showing various market conditions
Important Notice:
These charts are for educational purposes only. Past performance does not guarantee future results. Always conduct your own analysis and risk management.
Disclaimer
This indicator is for informational purposes only. Past performance is not indicative of future results. Always conduct proper risk management and due diligence.
License
Open source under MIT License
Author's Note
Contributions and suggestions for improvement are welcome. Please feel free to fork and enhance.
KaracaticaKaracatica Indicator - Dynamic Trend Following.
The Karacatica Indicator is designed for traders looking for a comprehensive approach to trend trading by combining directional movements and Average True Range (ATR).
Key Features: ATR-Based Trend Detection: The indicator uses Average True Range (ATR) to measure market volatility and integrates with price action to capture strong trend movements.
Directional Indicators (DI's): Calculates DI's (Positive Directional Index Di+ and Negative Directional Index Di-) to compare buying and selling pressure. This allows for more accurate trend identification, highlighting when buyers or sellers dominate.
Signal Generation: Buy Signal: Generated when price action is bullish (close is above the previous period's close) and DI+ exceeds DI-, indicating that buyers are in control.
Sell Signal: Triggered when price action is bearish (close is below the previous period’s close) and DI- exceeds DI+, showing that sellers dominate the market.
Visual Signals: Green triangle (▲) indicating a buy opportunity, plotted below the bar.
Fuchsia triangle (▼) signaling a sell opportunity, plotted above the bar.
Customizable Inputs: The indicator allows users to adjust the ATR period, DI length, and ADX smoothing parameters, giving it the flexibility to suit different trading styles and timeframes.
Why should you use it?
This indicator simplifies the process of analyzing the combination market direction and trend strength. It is especially useful for traders who like strong directional movements and want clear, visually represented entry signals. The Karacatica Indicator can generate good buy or sell signals in trading and can be used on multiple assets and timeframes, making it adaptable to different market conditions.
Settings Overview: ATR Period: Sets the period for calculating ATR, used to determine market volatility.
DI Length: The length of the lookback period for DI+ and DI- calculations.
ADX Smoothing: Smooths the ADX (Average Directional Index) to reduce noise.
Feel free to experiment with this indicator, share feedback, and adapt it to your trading strategy. Good trading!
REBUX - 1m NY Opening Session Stock Trader w/alerts & SignalsREBUX - 1m NY Opening Session Stock Trader w/alerts & Signals
This closed-source indicator is designed to trade the volatile New York opening session on a 1-minute chart, offering traders a unique approach to scalping high-probability opportunities. What sets this script apart is its ability to dynamically detect key price ranges in real-time, then apply a percentage-based offset for precise trade entries, along with an automatic take-profit calculation based on the session’s volatility.
How It Works: The script monitors the first few minutes of the New York session to define a price range based on the session high and low. It then calculates entry levels using customizable percentage offsets. When the price crosses above or below these levels, the script triggers alerts for potential buy (LONG) or sell (SHORT) entries. Additionally, the script implements a take-profit level based on a percentage of the detected price range, automatically adjusting as volatility changes.
Key features include:
Customizable timing: Traders can configure the number of minutes after the session open to define the price range and when to stop trading for the day.
Dynamic price offsets: Entry points are calculated based on percentage offsets from the session’s range, ensuring flexibility in volatile markets.
Visual aids and alerts: The script plots visual labels on the chart for LONG and SHORT signals, and provides take-profit exit points, helping traders make informed decisions.
Originality and Usefulness: Unlike many open-source scalping scripts that rely on static strategies or traditional indicators, this script uses a session-specific approach, adapting to real-time price action and volatility. Its focus on the high-impact New York open and integration of automatic TP calculations make it an effective and unique tool for day traders who need to react quickly to market movements.
This script is particularly useful for traders who want to capitalize on the sharp price movements that occur at the NY session open, providing actionable alerts and visual signals to streamline the trading process.
Highest Single-Day Percentage Change (Close to Close)This Pine Script is designed to calculate and display the largest percentage change in stock price between consecutive days' closing prices. Here's a high-level breakdown of what the script does:
Daily Percentage Change Calculation:
It calculates how much the stock price changed from the previous day's close to the current day's close. The change is expressed as a percentage of the previous day's closing price.
Tracking the Highest Change:
The script keeps track of the largest percentage increase or decrease it has encountered in the dataset (from previous close to current close). It updates the value if a new day exceeds the current largest recorded percentage change.
Visual Representation:
The daily percentage changes are plotted as a line graph, allowing you to see how the stock's price fluctuates from one day to the next.
A separate line is drawn to represent the highest percentage change detected so far.
If a day's price change matches the highest recorded change, a label appears on the chart to highlight that specific point.
Dynamic Updates:
The script is dynamic, meaning it continually updates as new data comes in. So, as new days are added to the chart, the script checks if the percentage change exceeds the previously highest recorded value.
Why This Is Useful:
For traders and investors: It provides a quick way to identify which day saw the most significant price movement, helping to spot major market events or volatility.
For historical analysis: You can quickly find the most extreme single-day price swings in a stock's historical data, which might be useful for understanding past market behavior or making predictions about future moves.
Relative VolatilityRelative Volatility is a technical indicator designed to assess changes in market volatility by comparing fast and slow Average True Range (ATR) values. It operates by subtracting a slower ATR (e.g., 50-period ATR) from a faster ATR (e.g., 20-period ATR) and visualizing the result as a histogram. This enables traders to determine whether volatility is increasing or decreasing over time.
This indicator can help traders recognize volatility trends, which can inform decisions related to trade entries, exits, and risk management.
Interpreting Volatility Changes
Increasing Volatility: When the histogram is above zero, it indicates that the fast ATR is greater than the slow ATR, signifying an increase in short-term volatility compared to the long-term average. This may suggest heightened market activity and potential trading opportunities.
Decreasing Volatility: When the histogram is below zero, it shows that the fast ATR is less than the slow ATR, indicating a decrease in short-term volatility relative to the long-term average. This may suggest consolidating markets or reduced trading activity.
Relative Volatility assists traders in monitoring and analyzing changes in market volatility, providing insights that can enhance trading strategies and decision-making processes.
Savitzky-Golay Z-Score [BackQuant]Savitzky-Golay Z-Score
The Savitzky-Golay Z-Score is a powerful trading indicator that combines the precision of the Savitzky-Golay filter with the statistical strength of the Z-Score. This advanced indicator is designed to detect trend shifts, identify overbought or oversold conditions, and highlight potential divergences in the market, providing traders with a unique edge in detecting momentum changes and trend reversals.
Core Concept: Savitzky-Golay Filter
The Savitzky-Golay filter is a widely-used smoothing technique that preserves important signal features such as peak detection while filtering out noise. In this indicator, the filter is applied to price data (default set to HLC3) to smooth out volatility and produce a cleaner trend line. By specifying the window size and polynomial degree, traders can fine-tune the degree of smoothing to match their preferred trading style or market conditions.
Z-Score: Measuring Deviation
The Z-Score is a statistical measure that indicates how far the current price is from its mean in terms of standard deviations. In trading, the Z-Score can be used to identify extreme price moves that are likely to revert or continue trending. A positive Z-Score means the price is above the mean, while a negative Z-Score indicates the price is below the mean.
This script calculates the Z-Score based on the Savitzky-Golay filtered price, enabling traders to detect moments when the price is diverging from its typical range and may present an opportunity for a trade.
Long and Short Conditions
The Savitzky-Golay Z-Score generates clear long and short signals based on the Z-Score value:
Long Signals : When the Z-Score is positive, indicating the price is above its smoothed mean, a long signal is generated. The color of the bars turns green, signaling upward momentum.
Short Signals : When the Z-Score is negative, indicating the price is below its smoothed mean, a short signal is generated. The bars turn red, signaling downward momentum.
These signals allow traders to follow the prevailing trend with confidence, using statistical backing to avoid false signals from short-term volatility.
Standard Deviation Levels and Extreme Levels
This indicator includes several features to help visualize overbought and oversold conditions:
Standard Deviation Levels: The script plots horizontal lines at +1, +2, -1, and -2 standard deviations. These levels provide a reference for how far the current price is from the mean, allowing traders to quickly identify when the price is moving into extreme territory.
Extreme Levels: Additional extreme levels at +3 and +4 (and their negative counterparts) are plotted to highlight areas where the price is highly likely to revert. These extreme levels provide important insight into market conditions that are far outside the norm, signaling caution or potential reversal zones.
The indicator also adapts the color shading of these extreme zones based on the Z-Score’s strength. For example, the area between +3 and +4 is shaded with a stronger color when the Z-Score approaches these values, giving a visual representation of market pressure.
Divergences: Detecting Hidden and Regular Signals
A key feature of the Savitzky-Golay Z-Score is its ability to detect bullish and bearish divergences, both regular and hidden:
Regular Bullish Divergence: This occurs when the price makes a lower low while the Z-Score forms a higher low. It signals that bearish momentum is weakening, and a bullish reversal could be near.
Hidden Bullish Divergence: This divergence occurs when the price makes a higher low while the Z-Score forms a lower low. It signals that bullish momentum may continue after a temporary pullback.
Regular Bearish Divergence: This occurs when the price makes a higher high while the Z-Score forms a lower high, signaling that bullish momentum is weakening and a bearish reversal may be near.
Hidden Bearish Divergence: This divergence occurs when the price makes a lower high while the Z-Score forms a higher high, indicating that bearish momentum may continue after a temporary rally.
These divergences are plotted directly on the chart, making it easier for traders to spot when the price and momentum are out of sync and when a potential reversal may occur.
Customization and Visualization
The Savitzky-Golay Z-Score offers a range of customization options to fit different trading styles:
Window Size and Polynomial Degree: Adjust the window size and polynomial degree of the Savitzky-Golay filter to control how much smoothing is applied to the price data.
Z-Score Lookback Period: Set the lookback period for calculating the Z-Score, allowing traders to fine-tune the sensitivity to short-term or long-term price movements.
Display Options: Choose whether to display standard deviation levels, extreme levels, and divergence labels on the chart.
Bar Color: Color the price bars based on trend direction, with green for bullish trends and red for bearish trends, allowing traders to easily visualize the current momentum.
Divergences: Enable or disable divergence detection, and adjust the lookback periods for pivots used to detect regular and hidden divergences.
Alerts and Automation
To ensure you never miss an important signal, the indicator includes built-in alert conditions for the following events:
Positive Z-Score (Long Signal): Triggers an alert when the Z-Score crosses above zero, indicating a potential buying opportunity.
Negative Z-Score (Short Signal): Triggers an alert when the Z-Score crosses below zero, signaling a potential short opportunity.
Shifting Momentum: Alerts when the Z-Score is shifting up or down, providing early warning of changing market conditions.
These alerts can be configured to notify you via email, SMS, or app notification, allowing you to stay on top of the market without having to constantly monitor the chart.
Trading Applications
The Savitzky-Golay Z-Score is a versatile tool that can be applied across multiple trading strategies:
Trend Following: By smoothing the price and calculating the Z-Score, this indicator helps traders follow the prevailing trend while avoiding false signals from short-term volatility.
Mean Reversion: The Z-Score highlights moments when the price is far from its mean, helping traders identify overbought or oversold conditions and capitalize on potential reversals.
Divergence Trading: Regular and hidden divergences between the Z-Score and price provide early warning of trend reversals, allowing traders to enter trades at opportune moments.
Final Thoughts
The Savitzky-Golay Z-Score is an advanced statistical tool designed to provide a clearer view of market trends and momentum. By applying the Savitzky-Golay filter and Z-Score analysis, this indicator reduces noise and highlights key areas where the market may reverse or accelerate, giving traders a significant edge in understanding price behavior.
Whether you’re a trend follower or a reversal trader, this indicator offers the flexibility and insights you need to navigate complex markets with confidence.
