The script above is a trading strategy with rules based on the Engulfing candlestick pattern within the context of the trend. Some key elements of this script include:
1. ATR (Average True Range) settings to measure market volatility. 2. Supertrend settings to identify the market trend. 3. Conditions for determining uptrend and downtrend. 4. Determination of Bullish (Engulfing pattern during uptrend) and Bearish (Engulfing pattern during downtrend). 5. Calculation of Stop Loss (SL) and Take Profit (TP) levels based on the Engulfing pattern. 6. Entry conditions based on the Engulfing pattern and the corresponding trend. 7. Exit conditions based on price crossovers with SL and TP levels. 8. Plotting of the Engulfing patterns on the chart.
This strategy is used to identify trading opportunities based on Engulfing candlestick patterns that align with the direction of the market trend. Additionally, stop loss and take profit levels are calculated based on the Engulfing pattern, and trading signals are displayed on the chart.
It's important to note that this script can be customized according to your trading preferences and strategy.