OPEN-SOURCE SCRIPT
Price Action High 2 + Risk/Reward Visualizer
Introduction: Price Action High 2 (Bull Flag) Setup
This script identifies the High 2 (H2) setup, a staple price action pattern popularized by Al Brooks. The High 2 is a high-probability continuation pattern designed to catch the resumption of a bull trend after a two-legged pullback (a "complex" bull flag).
In a strong uptrend, the first attempt to end a pullback often fails (High 1). The High 2 represents the second, and usually more reliable, attempt by bulls to take control, often forming a "double bottom" structure within the flag.
How the Logic Works
The indicator follows a strict state-machine logic to ensure the pattern is valid:
Trend Confirmation: The script filters for an established uptrend where price is above a rising EMA (adjustable in settings).
Pullback Identification: It looks for a sequence of bars making lower highs.
High 1 (H1): The first bar in the correction that breaks above the high of the prior bar.
The Second Leg: The script then waits for the price to again fail to break a high, confirming a second leg of the pullback.
High 2 (H2): The signal is triggered when a bar breaks the high of the previous bar for the second time.
Key Features
Signal Bar Quality Filter: Not all High 2s are equal. This script includes a filter ensuring the signal bar closes in the upper portion of its range (bullish conviction) to avoid "weak" breakouts.
Automated Risk/Reward Visualizer: Upon a signal, the script automatically projects a Stop Loss (at the signal bar low) and a Take Profit level based on a customizable R:R ratio.
Clean Visuals: Labeled "H2" markers and dashed trend lines keep the chart uncluttered.
How to Trade It
Entry: Place a buy-stop order 1 tick above the High 2 signal bar.
Stop Loss: Traditionally placed below the low of the signal bar or the most recent swing low.
Target: Common targets include a 1:2 Risk/Reward ratio or the previous major swing high.
Settings Guide
EMA Length: Adjust this to match your timeframe (e.g., 20 for intraday, 50 for daily).
Min Close %: Set this to 50% or higher to ensure you only take trades where the bulls finished the bar strong.
Risk:Reward Ratio: Customize your profit targets to align with your personal trading plan.
This script identifies the High 2 (H2) setup, a staple price action pattern popularized by Al Brooks. The High 2 is a high-probability continuation pattern designed to catch the resumption of a bull trend after a two-legged pullback (a "complex" bull flag).
In a strong uptrend, the first attempt to end a pullback often fails (High 1). The High 2 represents the second, and usually more reliable, attempt by bulls to take control, often forming a "double bottom" structure within the flag.
How the Logic Works
The indicator follows a strict state-machine logic to ensure the pattern is valid:
Trend Confirmation: The script filters for an established uptrend where price is above a rising EMA (adjustable in settings).
Pullback Identification: It looks for a sequence of bars making lower highs.
High 1 (H1): The first bar in the correction that breaks above the high of the prior bar.
The Second Leg: The script then waits for the price to again fail to break a high, confirming a second leg of the pullback.
High 2 (H2): The signal is triggered when a bar breaks the high of the previous bar for the second time.
Key Features
Signal Bar Quality Filter: Not all High 2s are equal. This script includes a filter ensuring the signal bar closes in the upper portion of its range (bullish conviction) to avoid "weak" breakouts.
Automated Risk/Reward Visualizer: Upon a signal, the script automatically projects a Stop Loss (at the signal bar low) and a Take Profit level based on a customizable R:R ratio.
Clean Visuals: Labeled "H2" markers and dashed trend lines keep the chart uncluttered.
How to Trade It
Entry: Place a buy-stop order 1 tick above the High 2 signal bar.
Stop Loss: Traditionally placed below the low of the signal bar or the most recent swing low.
Target: Common targets include a 1:2 Risk/Reward ratio or the previous major swing high.
Settings Guide
EMA Length: Adjust this to match your timeframe (e.g., 20 for intraday, 50 for daily).
Min Close %: Set this to 50% or higher to ensure you only take trades where the bulls finished the bar strong.
Risk:Reward Ratio: Customize your profit targets to align with your personal trading plan.
نص برمجي مفتوح المصدر
بروح TradingView الحقيقية، قام مبتكر هذا النص البرمجي بجعله مفتوح المصدر، بحيث يمكن للمتداولين مراجعة وظائفه والتحقق منها. شكرا للمؤلف! بينما يمكنك استخدامه مجانًا، تذكر أن إعادة نشر الكود يخضع لقواعد الموقع الخاصة بنا.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.
نص برمجي مفتوح المصدر
بروح TradingView الحقيقية، قام مبتكر هذا النص البرمجي بجعله مفتوح المصدر، بحيث يمكن للمتداولين مراجعة وظائفه والتحقق منها. شكرا للمؤلف! بينما يمكنك استخدامه مجانًا، تذكر أن إعادة نشر الكود يخضع لقواعد الموقع الخاصة بنا.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.