BE-Fib Channel 2 Sided Trading

█ Overview:

"BE-Fib Channel 2 Sided Trading" indicator is built with the thought of 2 profound setups named "Cup & Handle (C&H)" and "Fibonacci Channel Trading (FCT)" with the context of "day trading" or with a minimum holding period.

█ Similarities, Day Trading Context & Error Patterns:

While the known fact is that both C&H and FCT provide setups with lesser risk with bigger returns, they both share the similar "Base Pattern".



Note: Inverse of the above Image shall switch the setups between long vs short.

Since the indicator is designed for smaller time-frame candles, there may be instances where the "base pattern" does not visually resemble a Cup & Handle (C&H) pattern. However, patterns are validated using pivot points. The points labeled "A" and "C" can be equal or slightly slanted. Settings of the Indicator allows traders a flexibility to control the angle of these points to spot the strategies according to set conditions. Therefore, understanding the nuances of these patterns is crucial for effective decision-making.

█ 2 Sided Edge: FCT suggests to take trade closer to the yellow line to get better RR ratio. this leaves a small chance of doubt as to; what if price is intended to break the Yellow line thereby activating the C&H.

Wait for the confirmation is a Big FOMO with a compromised RR.

Hence, This indicator is designed to handle both the patterns based on the strength, FIFO and pattern occurring delay.

█ How to Use this Indicator:
Step 1: Enable the Show Sample Sensitivity option to understand the angle of yellow line shown in the sample image. By enabling this option, On the last bar you shall see 4 lines being plotted depicting the max angle which is acceptable for both long and short trades.



Note: Angle can be controlled via setting "Sensitivity".
Higher Sensitivity --> Higher Setup identification --> can lead to failed setups due to 2 sided trading.
Lower Sensitivity --> Lower Setup identification --> can increase the changes of being right.

Step 2: Adjust the look back & look forward periods which shall be used for identifying patterns.

Note: Smaller values can lead to more setups being identified but can hamper the performance of the indicator while increasing the chances of failures. larger values identifies more significant setup but leads to more waiting period thereby compromising on the RR.

Step 3: Adjust the Base Range.

Note: Smaller values can lead to more setups being identified but can hamper the performance of the indicator while increasing the chances of failures. larger values identifies more significant setup but leads to more Risk on play.

Step 4: set the Entry level for FCT & Set the SL for Both FCT & C&H and Target Reward ratio for C&H.

█ Features of Indicator & How it works:
1. Patterns are being identified using Pivot Points method.
2. Tracks & validates both the setups simultaneously on every candle and traded one at a time based on FIFO, New setups found in-between, Defined Entry Levels while on wait for the other pattern to get activated.
3. Alerts added for trade events.
4. FCT setups are generally traded with trailed SL level and increasing Target level on every completed bar. while C&H has the standard SL & TP level with no Trail SL option.

DISCLAIMER: No sharing, copying, reselling, modifying, or any other forms of use are authorized for our documents, script / strategy, and the information published with them. This informational planning script / strategy is strictly for individual use and educational purposes only. This is not financial or investment advice. Investments are always made at your own risk and are based on your personal judgement. I am not responsible for any losses you may incur. Please invest wisely.

Happy to receive suggestions and feedback in order to improve the performance of the indicator better.