If you rescale a sine wave to the price you will need to correlate it with it in order to show good results, today i present a different method that does not involve correlation to "morph" a sine wave to the price in order to provide forecast's and highlight market periodic patterns.
Parameters
length control the period of the sine wave, power control the "morphing" amount, if you see for example that the results are going nuts try to increase power, if the results are just the price and the delayed price try to decrease power.
power = 1
power = 100
Those settings might be different depending on which market you are in.
Various Uses
You can do a lot of things with this indicator, use filters as source :
Use the indicator as source for oscillators in order to create cycles indicators :
And certainly many more things
Conclusion
I presented a way to morph a sine wave to the price i order to highlight cycles. You can use any function that return a value between -1 and 1 instead of sin, this can be a scaled rsi/stochastic or correlation coefficient, its up to you :)
If you need help don't hesitate to commend or pm me. I hope you will like the indicator and that it will inspire you to make great things.
Thanks for reading !
ملاحظات الأخبار
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Support for floats in the power parameter, use floats for BTCUSD
Cool! Alex I saw you use this indicator on very low timeframe; is that possible to use in higher timeframe and how the result will be?
alexgrover
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@ICEKI, You can use the indicator in higher time frames without problem but take into account that if the price of the instrument is high, power need to be low, so adjust power accordingly :) I will certainly find a way to remove power to make the indicator easier to use. Thanks for the support !
@ICEKI, any luck on better setting on higher timeframes preferably daily?
ICEKI
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@Callum1999, Thanks for asking. To be honest Callum; don't just rely on this; otherwise result is terrible. I personally use this as a supportive on Daily. For example if MACD. STOCH, EMA and Price Action in one direction bulish and the Sine Wave also tend to bullish I long the trade, hope my experiences can give you some tips; happy trading =D
@scamArtist, From now on any one of my script who is reposted with changes such as : color/plot changes or alerts will be considered a copy pasta, i don't recommend you doing that.
scamArtist
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wow @alexgrover, so much ego for nothing,do u think that those scripts are really "yours" as u pretend?! your sources u took your knowledge from belongs to the collective memory not to u, to share those ideas like u do is a great thing but those are not "yours", u can only own your choices not others free will, plus everyone has to start to learn from some point, not all are pro as u are, dont get me wrong u are great but this reply was such a dickhead statement no offence, thank you anyway, it seems that life it never stops surprising me :)