Volatility Breakout StrategyThis is a strategy used by Larry R. Williams called Volatility Breakout.
By identifying a strong uptrend that exceeds 'a certain level' on a daily basis as a breakout signal, enter long position, take advantage of long at the the next day's open.
'a certain level (Entry Price)' is calculated by { close + 'k' * high -low }, and applied logarithmic calculation.
Stop loss level is calculated by half of the previous day's Low and Entry Price.
Strategy exit always at UTC+0.
And expressed day session with the background color.
Thanks and hope this helps you.
(kor)
이건 Larry R. Williams가 사용하는 변동성 돌파 전략입니다.
특정 수준을 넘는 강한 상승세를 돌파 신호로 파악하여 매수하고, 장시간이 종료될때에 빠르게 수익을 실현하는 전략입니다.
"특정 레벨(진입가)"은 close + 'k' * high -low 로 계산되며 로그 계산을 적용했습니다.
손절 레벨은 전일 저가 및 진입 가격의 절반으로 계산됩니다.
전략은 항상 UTC+0에서 종료합니다. ( 한국 기준 오전 9시 )
그리고 배경색으로 일일세션을 표현했습니다.
트뷰에 오픈소스의 래리윌리엄스 변동성전략이 없는것 같아 간단하게나마 만들어 보았습니다. 도움이 되었으면 좋겟워요..
Breakout
Consolidation Zone Hunter NPR BasedThis script will search for zones where the range between the high and low is lower than avg % nearest rank of last X bars.
After X(=30) bars of consolidating range it will signal that the market is in a range and draw the top, bottom and middle of that range.
When price breaks the consolidating range the range is cleared, this is where you long/short the breakout. After this it will look for the next range and do the same.
Visual Explanation
MACD Objective Breakouts + AlertsFinds the most recent support and resistance level as confirmed by the MACD . These level are detected dynamically and the lines will be updated as new levels form.
Alerts can be toggled on or off in the settings but will not work if the alert is not added to your chart. Alerts can be added by selecting the "Alert" button on TradingView then selecting "MOB Alerts" as the condition
Alerts will trigger when price closes above or below the indicated levels.
Please let me know if you find any bugs!
NEXT Trend Delta Moving AverageOverview:
Trend Delta Moving Average (TDMA) is a composite moving average, driven by an algorithm that tracks real-time trends in price, volume, and various changes (delta) between the two. TDMA is low lagging but filtered (smoothed) MA type, with a sometimes predictive slope (via price divergence). This indicator allows you to plot one or two TDMA lines, as well as their crossovers, expressed in the form of long/short signals.
NASDAQ 100 Futures ( CME_MINI:NQ1! ) 1-minute
This Nasdaq futures example shows both TDMA lines and their crossover signals.
Tesla ( NASDAQ:TSLA ) 1-minute
If you trade price / MA crossovers or use moving averages as part of a broader trading system, you have the option of displaying a single TDMA line without any crossover signals (arrows) by ticking Plot TDMA1 Only checkbox and unticking Plot TDMA Crossovers . Great for breakout stocks like TSLA.
TDMA vs Other Moving Averages
We spent a good amount of effort developing and differentiating Trend Delta Moving Average (TDMA) from other moving averages. We wanted a responsive MA algo that considered price and action, and that incoporated user-controlled lagless filtering (smoothing). Below is a comparison between TDMA (purple) and several popular MA types, including Exponential (blue), Simple (red), and Hull (teal). All MA lengths set to 50.
Lagless Smoothing
You may use the Trendiness input parameter to control the amount of smoothing applied to individual or both TDMA lines. Lower values (emphasis on more recent trends) produce vertically tighter slopes, with TDMA following price action more closely, while higher values (emphasis on more longer term trends) relax the slope, without introducing horizontal (time) lag.
Input Parameters:
Length TDMA1 - length of the first Trend Delta Moving Average (TDMA)
Length TDMA2 - length of the second TDMA
Trendiness TDMA1 - the amount of trend weighting added to the first TDMA line (lower = more recent trend, higher = longer term trend)
Trendiness TDMA2 - the amount of trend weighting added to the second TDMA line (lower = more recent trend, higher = longer term trend)
Source - data used for calculating the MAs, typically Close, but can be used with other price formats and data sources as well.
Offset - shifting of the TDMA lines forward (+) or backward (-).
Plot TDMA1 Only - when checked, will only plot a single TDMA line (TDMA1)
Plot TDMA Crossovers - when checked, will plot an up arrow (long signal) when TDMA1 crosses over TDMA2, and a down arrow (short signal) when TDMA1 crosses under TDMA2.
Alerts
Here is how to set price crossing TDMA1 (or TDMA2) alerts: open a TradingView chart, attach NEXT Trend Delta Moving Average (TDMA), right-click on chart -> Add Alert. Condition: Symbol (e.g. NQ) >> Crossing >> NEXT Trend Delta Moving Average (TDMA) >> TDMA1 >> Once Per Bar Close.
Trendlines with Breaks [LuxAlgo]The trendlines with breaks indicator return pivot point based trendlines with highlighted breakouts. Users can control the steepness of the trendlines as well as their slope calculation method.
Trendline breakouts occur in real-time and are not subject to backpainting. Trendlines can however be subject to repainting unless turned off from the user settings.
The indicator includes integrated alerts for trendline breakouts.
🔶 USAGE
Any valid trendlines methodology can be used with the indicator, users can identify breakouts in order to infer future price movements.
The calculation method of the slope greatly affects the trendline's behaviors. By default, an average true range is used, returning a more constant slope amongst trendlines. Other methods might return trendlines with significantly different slopes.
Stdev makes use of the standard deviation for the slope calculation, while Linreg makes use of the slope of a linear regression.
The above chart shows the indicator using "Stdev" as a slope calculation method. The chart below makes use of the "Linreg" method.
By default trendlines are subject to backpainting, and as such are offset by length bars in the past. Disabling backpainting will not offset the trendlines.
🔶 SETTINGS
Length: Pivot points period
Slope: Slope steepness, values greater than 1 return a steeper slope. Using a slope of 0 would be equivalent to obtaining levels.
Slope Calculation Method: Determines how the slope is calculated.
Backpaint: Determine whether trendlines are backpainted, that is offset to past.
Nearest Percentile Moving Average BandsWhile coding some filters into another indicator for Long/Short I noticed that ta.nearest.percentile might be the most useful tool in pinescript I've ever encountered.
While percentile_nearest can be used for all kind of things I decided to code moving averages from it and made bands for bottom percentage and top percentage.
The indicator will calculate the top % price of the given bar length.
Example settings:
length: 150
percentile: 99
So when using 99% it will draw a green line when price is moving above the top 1% price of the last 150 candles. It then calculates if the price is below the bottom 1% of the last 150 candles.
Trading use:
Use this indicator to check if the market is leaving normal territory. This signals a breakout move for example the dogecoin pump or the top of the range. I use this indicator to catch bull/bear moves for botting purposes. An other use would be to countertrend trade after the move has ended. With price being in top 1% for a while it is very probable that we see a large correction.
Below example of dogecoin pumps:
Donchian Channel Strategy IdeaThis strategy idea is a variation of the "Donchian Channel" trading strategy. It is built with a highest-high band, a lowest-low band, and a baseline which is average the highest-high and the lowest-low bands. This strategy is very useful in trending instruments on 1W and 1D timeframes. This is the implementation used in the QuantCT app.
You can set the operation mode to be Long/Short or long-only.
You also can set a fixed stop-loss or ignore it so that the strategy acts solely based on entry and exit signals.
Trade Idea
When the close price breaks up the previous highest-high, it is a long signal, the market is considered rising (bullish), and the plotted indicator becomes green. Long positions are held until the close price crosses under the baseline.
When the close price breaks down the previous lowest-low, it is a short signal, the market is considered falling (bearish), and the plotted indicator becomes red. Short positions are held until the close price crosses above the baseline.
Otherwise, if we have no position in the market, the market is considered ranging, and the plotted indicator becomes orange.
Entry/Exit rules
Enter LONG if the close price breaks up the previous highest-high (i.e. when the plotted indicator becomes green).
Exit LONG if the close price crosses under the baseline (i.e. when the plotted indicator becomes orange).
Enter SHORT if the close price breaks down the previous lowest-low (i.e. when the plotted indicator becomes red).
Exit SHORT if the close price crosses above the baseline (i.e. when the plotted indicator becomes orange).
CAUTION
It's just a bare trading idea - a profitable one. However, you can enhance this idea and turn it into a full trading strategy with enhanced risk/money management and optimizing it, and you ABSOLUTELY should do this!
DON'T insist on using Long/Short mode on all instruments! This strategy performs much better in Long-Only mode on many (NOT All) trending instruments (Like BTC, ETH, etc.).
Multi-Purpose All in One [SignalCave]Multi-Purpose All in One Indicator Functions
1) Technical Analysis, Technical Ratings
2) Pivots, Primary & Secondary Trends
3) Swings, Engulfs, Golden & Death Crosses, Price Squeezes, Pullbacks, Breakout & Breakdowns, Volume Rushes
4) Momentum Strength
1) Technical Analysis, Technical Ratings
Technical analysis display real-time ratings. It based on the most popular technical indicators such as RSI, Stochastic, CCI, ADX, AO, Momentum, MACD, Stochastic RSI, Williams %, Ichimoku Cloud, SMA, EMA, VWMA and HMA.
Technical analysis is a built-in function on TradingView. You can access any asset’s technical analysis page and see it’s performance in real time.
"Multi-Purpose All in One" indicator brings this function into your TradingView charting screen. Indicator allows you to see the same output without visiting any external web page in TradingView. Indicator also works on every timeframe and asset class.
Technical Ratings is a technical analysis tool that combines the ratings of several technical indicators to make it easier for traders and investors to find profitable trades.
Technical Ratings can be a valuable technical analysis tool for many analysts or traders. Many traders use a selection of complementary indicators to make better decisions. Technical Ratings simplifies this task by combining the most popular indicators and their signals.
2) Pivots, Primary & Secondary Trends
Helps you to identify primary and secondary trends and potential support/resistance zones.
Trend detection have three modes which are “Aggressive, Moderate and Conservative” . You can customize the mode on settings screen.
3) Swings, Engulfs, Golden & Death Crosses, Price Squeezes, Pullbacks, Breakout & Breakdowns, Volume Rushes
A swing low is when price makes a low and is immediately followed by consecutive higher lows. Likewise, a swing high is when price makes a high and is followed by consecutive lower highs.
Swing Failure Pattern (SFP) is a type of reversal pattern that can be used as buy or sell signals.
Engulfing candles tend to signal a reversal of the current trend in the market. This specific pattern involves two candles with the latter candle 'engulfing' the entire body of the candle before it.
On this indicator, bullish engulfs visible only on downtrend and oversold conditions. Bearish engulfs visible only on uptrend and overbought conditions.
The death cross and golden cross are technical analysis terms for when a moving average (MA) intersects with another from either above or below.
The cross, depending on which it is, can signal the start of a new trend or the end of one.
Squeeze signs signifies low volatility, market preparing itself for an explosive move up or down direction.
Bullish Pullbacks are widely seen as buying opportunities after an asset has experienced a large upward price movement. Most pullbacks involve an asset's price moving to an area of technical support , such as a moving average, before resuming their uptrend.
Bearish Pullbacks are widely seen as selling opportunities after an asset has experienced a large downward price movement. Most pullbacks involve an asset's price moving to an area of technical resistance , such as a moving average, before resuming their downtrend.
A breakout refers to when the price of an asset moves above a resistance area, breakdown refers to when the price of an asset moves below a support area.
Breakouts/breakdowns indicate the potential for the price to start trending in the breakout direction.
For example, a breakout to the upside from a chart pattern could indicate the price will start trending higher.
Volume rush signs appears when the trading volume increases more then a usual period. It can be useful with combining breakout signals as a confirmation.
4) Momentum Strength
Momentum Indicator helps you to identify potential reversal areas .
Calculation done with using Relative Strength Index (RSI), Money Flow Index (MFI) and Average Directional Movement Index (ADX) indicators.
On full strength bearish movement bars paints as light red , full strength bullish movement bars paints as light green color.
They indicates that trend can be change to opposite direction in a short period of time.
Momentum Strength have three modes which are "Aggressive, Moderate and Conservative" . You can customize the mode on settings screen.
Boom Hunter XLBoom Hunter XL is a professional trading tool designed to expose perfect entries and incredible exits. This complete ground up rebuild of Boom Hunter Pro is an absolute essential for any professional trader or anyone serious about trading. Boom Hunter XL includes many upgrades to the Pro version such as volume pressure analysis, improved pressure dots, two new support and resistance lines and volume breakout detection. It also has options to display current volume and average volume it the top right corner.
A new and improved Volume Pressure Analysis exclusive to Boom Hunter XL can be turned on or off in the settings. This provides relative volume information highlighting anomalies and key movements. It also shows volume pressure. Sometimes when crossing a support or resistance line it takes a lot of volume to move price just a little. When price action crosses or bounces off a SR line it requires very little volume to move the price a lot. What this means is traders can visually see price action getting pulled in or pushed away from a SR line. The current bar shows live directional pressure. Volume pressure is used to confirm entries and continuations.
Red wave is the main support resistance line dictating short term trend direction. Enter trades after the oscillator crosses through or even better with pressure dots or volume pressure. If the oscillator is above the red wave it is an up trend and if it is below its a down trend.
The gray wave shows medium term support/resistance and general trend. This line is much harder to cross. Price action can easily bounce within this wave or get rejected.
The strongest SR lines are the top and bottom gray lines. The resistance line will bottom out under pressure and expose a low point. Likewise the support line will roof and expose a high point.
When there is extreme pressure the gray line will drag. This signal suggests that price action will will pullback and retest and push again. Avoid entering trades in these moments as the true bottom/top has not been exposed. Following price action along longer timeframe charts will help find the true low/high.
Tracking traditional patterns makes it easy to find the next breakout and direction.
Bear patterns
Bull patterns
Volume breakouts
Drawing support and resistance lines
Example of some of the signals:
Pivot Point BreakoutThis is a strategy taken from Perry Kaufman's book, Trading Systems and Methods.
Just like the title says, it's a breakout strategy. It works by buying when the current high is higher than the last pivot high, and selling when the low is lower than the last pivot low.
It does not have a good success probability, and relies on the good reward to risk ratio. Definitely not recommended for someone with weak hands.
Volatility Funnel v2Using the contracting phase of what are basically bollinger bands and some fancy coloring, this indicator draws funnels to which show tightening ranges and doesn't take up too much screen space unless you want it to.
There is a smoothing option if you're into that.
Enjoy!!!
EMA MTF PlusI like trading the 1 minute and 3 minutes time-frames. I'm what is commonly called a "scalper". Long term investments yes, I have some, but for trading, I don't have neither the time,
nor the patience to wait hours or days for my trade to be complete.
This doesn't mean I discount the higher time-frames, no, I actually rely heavily on them. I found that EMAs do a decent job as support/resistance, sometimes to a tick level of precision. And this is important for a 1 minute trader.
As such, I made this script that tracks the higher time-frames EMAs and displays the last value as a line.
I do not need the whole EMA, I'm not interested in crossovers or crossunders, these are anyway late signals for me.
What's with the triangles? These are local tops/bottoms , candles that have a have decent size of the wick. These tops and bottoms are by no means "final", they are merely a rejection at certain levels of price. Due to markets complexities (and human erratic behaviors hehe) these levels could be breached at the very next candle. For a more "final" version (nothing is really final but..) I added Schaff Trend Cycle as filter, so a triangle will pop only when a trend is mature enough ( STC with a value near 0 or near 100).
Colored bars. When the body of the candle is big, it shows strength. Strong bars tend to have follow through, especially when breaking key levels. The script looks at the body of the candle and compares it with ATR (Average True Range), if it's at least 0.8 of ATR it changes the bar color to yellow (bull candles) or fuchsia(bear candles).
Range identifier. This code is copied from Lazy Bear (if there are any issues please let me know), it's very useful in conjunction with colored bars.
I look for breakout candles that go outside of the range as a signal for a trade.
There are many ways in which this script can be useful, like trading mean reversions or momentum trades (breakouts) or simply trend following trades.
I hope you guys find it useful, you can play with default values and change them as you like, these are what I found to be working best for me and my trading universe (mostly crypto).
Special thanks for the original work of:
LazyBear
everget
Jim8080
Stochastic ChannelsDonchain trend following system with overbought/ oversold areas inspired by stochastic. Multiplier to get non repainting HTF capability. features a smoothed price as well as moving average of the smoothed price, also inspired by the stochastic indicators %K and %D. This and slow stochastics compliment each other nicely.
%D line colored by direction.
Filled color areas represent overbought/oversold.
Shows breakouts as well as giving targets and entries in rangebound markets.
SMART4TRADER - BREAKOUTThis indicator shows the breakthrough of extremes for the selected period. The default period is set = 3
The indicator checks on the current bar whether the maximum or minimum prices for the selected period are broken
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Данный индикатор показывает прорыв экстремумов за выбранный период. По-умолчанию выставлен период = 3
Индикатор проверяет на текущем баре пробиты ли максимальные или минимальные значения цен за выбранный период
Volume Bar Breakout and Breakdown IndicatorVolume shows strength of a movement and highest volume shows the region that pushed price to certain extent with full strength. Breakout or Breakout of the highest volume bar range shows continuity further push by sellers or buyers indicating a trend continuation for a small period if not for long duration. Entries can be taken once signal is generated with stoploss as recommended.
Guidelines:
Don't trade if range is too large
Don't trade if Breakdown or Breakdown candle body / range is too large or if there is high volatility
Use additional indicator to get the idea of overall trend analysis
Super Breakout day trading This is an intraday indicator which uses Bollinger band and volume flow and MA to alert buy and sell signal.
A user can use this indicator to help make entry and exits. This indicator wont show entry and exist of larger time frames like Day week month.
This indicator uses Bollinger bands but try to minimize it shortcoming where it will buy and keep holding and eventually sell at a loss.
By adding addition parameters around volume it check if the price has reached its peak
Classic Long Term Trend Following SystemThis is a classic long term trend following system.
The breakout period is 50 days instead of 20 and the moving average crossover are 40 and 120.
The moving averages are also exponential instead of simple.
The stoploss is 4 ATRs away from the price.
Recommendations:
Donchian Channels settings > 50 days
Moving Averages > 40 and 120, 80 and 140
Important to note:
My first strategy, DC Breakout System | This is simplicity at its finest, is best used on the crypto market and this one for stocks, commodities, currencies, etc. Those markets tend to trend a lot longer than crypto do.
Trend Following with Donchian Channels and MACDThis is a trend following system based on the Donchian Channels. Instead of using a simple moving average crossover, this system uses the MACD as the trendfilter:
Long positions:
* Price makes a new 50 day high,
* The MACD-line crosses above or is above the Signal-line.
* Both the MACD and the Signal-lines are above the zero-line.
Short positions:
* Price makes a new 50 day low,
* The MACD-line crosses below or is below the Signal-line.
* Both the MACD and the Signal-lines are below the zero-line.
Stoploss:
The initial and the trailing stoploss are 4 ATRs away from the price.
TradeChartist Mean Momentum Drift Bands (MMDB)™TradeChartist Mean Momentum Drift Bands (MMDB) is a Momentum indicator that plots a Mean Momentum line (calculated automatically from sample means of many lookback periods decided by the script logic) and Upper/Lower Drift Bands (calculated using standard deviation). The script helps spot price volatility, Oversold/Overbought zones and also generates high probability breakout signals without any user input.
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Features of ™TradeChartist MMDB
==============================
Momentum Mean and 4 upper/lower Drift bands.
No User input required.
3 Visual colour schemes - Chilli, Flame and Custom.
MMDB table that shows asset's price, RSI and values of Mean & Upper/Lower Drift bands
Breakout Signals (Bull and Bear arrows) based on price closing above or below the 1st Drift Band.
Overbought and Oversold zones.
Colour Bars based on Momentum strength.
Alerts for Bull and Bear Breakouts ( Once per bar close to be used).
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Example Charts
1. MMDB used along with ™TradeChartist MMDO (Mean Momentum Drift Oscillator) on 4hr chart of BINANCE:BTCUSDT
2. MMDB on 4hr chart of OANDA:XAUUSD
3. MMDB on 1hr chat of OANDA:SPX500USD
4. MMDB connected to ™TradeChartist Plug and Trade on BINANCE:LINKUSDTPERP
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Note: The script doesn't repaint, so the alerts can be used with confidence. To check this, users can do bar replay to confirm if the plots and markers stay in the same place.
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Best Practice: Test with different settings first using Paper Trades before trading with real money
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[WinWay] Pivot Breakout Strategy (backtest)This is the Winway's Pivot breaktout,
Using the Pivot point , we made a new volatility breakout strategy.
It's the strategy for ETH / BTC.
Please choose 1H time frame.
No repaint.
"As a long-only day trend strategy, we pursue profits in the downward / transverse / rising market."
- It will be exited based on the closing price of the day as a strategy to take only the day trend.
- It's a long-only strategy without short trade.
- It has high market adaptability in response to market volatility .
"The efficiency has been increased by delicate control of entry volume ."
- Control losses by managing funds in line with market changes.
- Calculate the leverage on the real time automatically.
- It goes in more when it's advantageous and less when it's disadvantageous
- It's a welfare strategy that works against assets
"We further lowered the risk by cutting off in installments."
- If you judge that the trend has declined on the day, you will break off and respond to a sharp drop by using the real time trailing stop.
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윈웨이의 피봇돌파입니다.
피봇 포인트를 이용한 새로운 변동성 돌파 전략입니다.
이더리움과 비트코인을 위한 전략이며
1H 타임프레임으로 선택해주세요
리페인트는 발생하지 않습니다.
롱 온리 당일 추세 전략으로 하락/횡보/상승 장에서 수익을 추구합니다.
- 당일 추세만 취하는 전략으로 일봉 종가 기준 청산됩니다.
- 숏은 없는 롱 온리 전략입니다.
- 시장 변동성에 따라 대응하여 시장 적응력이 높습니다.섬세한 진입 물량 제어로 효율을 높였습니다.
- 시장 변화에 맞춰 자금관리를 하여 손실을 제어합니다.
- 당일 레버리지를 실시간으로 자동 계산합니다.
- 유리할때 더 들어가고, 불리할때 적게 들어갑니다.
- 자산대비로 작동하는 복리 전략입니다.
손절로 리스크를 더욱 낮췄습니다.
- 당일 추세가 꺾였다고 판단하면 손절하여, 실시간 트레일링 스탑을 이용하여 급락에 대응합니다.
Open Range Breakout With Take Profit Zones
Open Range Breakout With Take Profit Zones prints the open range and profitable zones based on the high and low during the opening hours.
This indicator can be used to prepare breakout trades following the OPR strategy. The time window for the open range as well as for the market hours can be configured. Also custom alerting templates allow to create alerts when a breakout out of the opening range occurs or when 50% take profit level is reached.
The background of pre and post market hours is coloured according to the configured time windows.
This indicator was written to support scalping and day trading. It does not calculate or display results on hourly, daily or weekly charts.
The open range and trading hours must be adjusted to the market time zone of your instrument. Also please take care that these settings are saved on the layout and not per instrument. Eventually create multiple layouts for instruments with different market time zones.
Fractal Breakout Strategy [KL]Fractal Breakout Strategy
This strategy will enter into a Long position when (a) bullish fractal is formed, combined with (b) ATR is relatively low. Trailing stop loss is set based on ATR.
Bullish fractal pattern :
A bullish fractal pattern looks like this:
It is formed when lower-low has reached a local minimum followed by higher-lows.
By default, this script plots the pivot point (the local minimum) using green crosses. This line will extend to the right until the next bullish fractal is formed. The local minimum pivot point is considered as key level of support. For long position entry, entry price must be higher or equal to it.
On the other hand, a bearish fractal pattern looks like the exact opposite. Reversing the logic, it is a local maximum indicated by higher-highs followed by lower-highs. This is shown by red crosses.
Why use ATR to confirm entry :
Two reasons to enter when ATR is low:
1) Since trailing stop loss is based on ATR, entering the market when ATR is low means risking less for potentially high reward.
2) Low ATR often signals price consolidation. There are two favorable scenarios, either: (i) period of accumulation, or (ii) bull flag, ideally followed by breakout.
Determining whether ATR is low :
Relative lows are quantified out by using the method in my other script: Modified ATR Indicator
The method involves applying two-tailed hypothesis testing to assess whether ATR (ie. by default lookback period of 5) has greatly deviated from a larger sample size (ie. lookback period of 50). Assuming ATR is normally distributed and variance is known, then test statistic (z) can be used to determine whether ATR5 is within the critical area under Null Hypothesis: ATR5 == ATR50. If z falls below/above the left/right critical values (ie. 1.645 for a 90% confidence interval), then ATR is determined to the relatively low/high respectively. For the purpose of assessing whether ATR is low, the left-tail is the main focus.
Profit taking :
Profits by default are taken over 3 levels based on risk to reward ratio (ie. 1R, 2R, 3R). When a target is met at each level, strategy will close out one third of current position size. Remainders (ie. already taken once at 1R, but not yet reaching 2R or 3R) will eventually be closed at the trailing stop loss price.
Bjorgum Key Levels
Key Levels Aims to capture 3 of the most significant points in price action
Breakouts
False Breakouts (Traps)
Back Checks
These 3 points alone, if properly identified, can be some of the most significant points of movement in the price history of an asset and bring significant gains to traders, if capitalized on. Here are a few examples of these setups
Breakouts
Breakouts can bring significant rallies as the market swings one sided after key levels are breached. This entry type can bring large trending runs to follow. Momentum is on your side, but the trade off is a higher entry.
False Breakouts
Also known as a bull trap or a bear trap, false breaks can lead to swift and significant reversals and potential for a large and sudden move to the opposite side. When a key level breakout fails to hold, parties entering to capitalize on the "epic breakout" can get left holding the bag forcing them to exit at a loss, which can double the force of pressure. Traps can bring swift gains from good entry prices. However, price is still in a larger trend against you so momentum is weak, so price action is susceptible to roll over.
Backchecks
Back checks are pull backs in trend that find middle ground to the 2 areas already described. Both momentum and entry price are decent, but risk is defined as a key level has flipped offering entry with stops below demand, or above supply.
Combining these 3 methods helps to diversify risk, understand trend development, and bring steady gains. This script helps to identify these points to traders with analysis of key levels, price structure, and trend direction, while providing visual signals and alerts for when they occur.
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