Quantum Ribbon Lite📊 WHAT IS IT?
Quantum Ribbon Lite is a trend trading indicator built on a 5-layer exponential moving average ribbon system. It analyzes price momentum, volume, and ribbon alignment to generate entry signals with pre-calculated stop loss and take profit levels.
The indicator is designed for traders who want a straightforward approach to trend trading without managing complex configurations.
🔧 HOW IT WORKS
The Ribbon System
The indicator uses 5 pairs of EMAs (10 moving averages total) that create colored "clouds" on your chart:
Blue/Teal ribbons indicate bullish alignment
Red/Pink ribbons indicate bearish alignment
Mixed colors indicate neutral or transitional periods
The ribbon spacing automatically adjusts from a fast EMA (21) to a slow EMA (60), creating layers that show trend strength and direction.
Signal Generation
Signals appear when multiple conditions align:
For LONG signals:
Fast EMAs are above slow EMAs
Price momentum is positive and strong (> 0.5 ATR)
Volume is above average (> 1.1x average)
Ribbon confirms bullish state
Minimum confidence threshold met (filters weak setups)
For SHORT signals:
Fast EMAs are below slow EMAs
Price momentum is negative and strong
Volume is above average
Ribbon confirms bearish state
Minimum confidence threshold met
📈 VISUAL COMPONENTS
Entry Signals
Green "BUY" label = Long entry signal at candle close
Red "SELL" label = Short entry signal at candle close
Signals only trigger on confirmed candle closes (no repainting).
Risk Management Lines
Three lines appear when you have an active position:
White dotted line = Entry price
Red dotted line = Stop loss level
Green dotted line = Take profit target
Performance Dashboard
The stats table shows:
Current position status (In Long/Short or Waiting for signal)
Entry, stop, and target prices when in a trade
Win/loss record
Win rate percentage with color coding
⚙️ SETTINGS
1. Signal Sensitivity (1-10)
Controls the minimum time between signals (cooldown period):
1 = 2 bars between signals (most frequent)
5 = 10 bars between signals (balanced)
10 = 20 bars between signals (most selective)
Lower values generate more signals, higher values filter for better setups.
2. Stop Loss Distance
Determines how stops are calculated using ATR (Average True Range):
Tight = 1.5x ATR from entry
Normal = 2.0x ATR from entry
Wide = 2.5x ATR from entry
ATR adapts to market volatility, so stops are tighter in calm markets and wider in volatile markets.
3. Take Profit Target
Sets your risk-to-reward ratio:
1.5R = Target is 1.5 times your risk
2R = Target is 2 times your risk
3R = Target is 3 times your risk
Example: With a $100 stop distance and 2R setting, your take profit will be $200 away from entry.
4. Show Stats Table
Toggle to show/hide the performance dashboard in the top-right corner.
5. Show Risk Lines
Toggle to show/hide the entry/stop/target lines on the chart.
📋 HOW TO USE
Step 1: Apply to Chart
Add the indicator to your preferred instrument and timeframe (daily recommended).
Step 2: Wait for Signal
A BUY or SELL label will appear on the chart when conditions align.
Step 3: Enter Position
Enter at the close of the signal candle in the indicated direction.
Step 4: Set Risk Parameters Use the displayed lines:
Red line = Your stop loss
Green line = Your take profit
Step 5: Hold Position
Wait for the position to hit either the stop or target. No new signals will appear while you're in a position.
Step 6: Review Results
Check the stats table to track your win rate and adjust settings if needed.
🎯 RISK MANAGEMENT
Stop Loss Calculation
Stops are based on ATR (Average True Range) which measures recent price volatility:
In quiet markets: Stops are placed closer to entry
In volatile markets: Stops are placed further away
This adaptive approach helps prevent stop-hunting while maintaining appropriate risk levels.
Take Profit Calculation
Targets are calculated as a multiple of your stop distance:
If stop is 50 points away and you use 2R, target is 100 points away
Maintains consistent risk-reward ratios across all trades
Required Win Rates To break even after fees:
1.5R requires ~40% win rate
2R requires ~34% win rate
3R requires ~25% win rate
📊 RECOMMENDED USAGE
Timeframes:
Daily charts show strongest performance in testing
4H and 1H timeframes work but may have lower win rates
Lower timeframes generate more signals but reduced quality
Markets:
Works on all instruments: Stocks, Forex, Crypto, Futures, Indices
Best suited for trending markets
May generate false signals in tight ranges or choppy conditions
Recherche dans les scripts pour "crypto"
Correlation Scanner📊 CORRELATION SCANNER - Financial Instruments Correlation Analyzer
🎯 ORIGINALITY AND PURPOSE
Correlation Scanner is a professional tool for analyzing correlation relationships between different financial instruments. Unlike standard correlation indicators that show the relationship between only two instruments, this script allows you to simultaneously track the correlation of up to 10 customizable instruments with a selected base asset.
The indicator is designed for traders working with cross-market analysis, portfolio diversification, and searching for related assets for arbitrage strategies.
🔧 HOW IT WORKS
The indicator uses the built-in ta.correlation() function to calculate the Pearson correlation coefficient between instrument closing prices over a specified period. Mathematical foundation:
1. Correlation Calculation: for each instrument, the correlation coefficient with the base asset is calculated over N bars (default 60)
2. Results Sorting: instruments are automatically ranked by absolute correlation value (from strongest to weakest)
3. Visualization: results are displayed in a table with color coding:
- Green: positive correlation (instruments move in the same direction)
- Red: negative correlation (instruments move in opposite directions)
- Color intensity depends on correlation strength
4. Correlation Strength Classification:
- Very Strong (💪💪💪): |r| > 0.8 — very strong relationship
- Strong (💪💪): |r| > 0.6 — strong relationship
- Medium (💪): |r| > 0.4 — medium relationship
- Weak: |r| > 0.2 — weak relationship
- Very Weak: |r| ≤ 0.2 — very weak relationship
📋 SETTINGS AND USAGE
MAIN PARAMETERS:
• Main Instrument — base instrument for comparison (default TVC:DXY - US Dollar Index)
• Correlation Period — calculation period in bars (10-500, default 60)
• Number of Instruments to Display — number of instruments to show (1-10)
• Table Position — table location on the chart
INSTRUMENT CONFIGURATION:
The indicator allows configuring up to 10 instruments for analysis. For each, you can specify:
• Instrument — instrument ticker (e.g., FX_IDC:EURUSD)
• Name — display name (emojis supported)
VISUAL SETTINGS:
• Show Chart Label with Correlation — display current chart's correlation with base instrument
• Table Header Color — table header color
• Table Row Background — table row background color
💡 USAGE EXAMPLES
1. DOLLAR IMPACT ANALYSIS: set DXY as the base instrument and track how dollar index changes affect currency pairs, gold, and cryptocurrencies
2. HEDGING ASSETS SEARCH: find instruments with strong negative correlation for risk diversification
3. PAIRS TRADING: identify assets with high positive correlation to find divergences and arbitrage opportunities
4. CROSS-MARKET ANALYSIS: track relationships between stocks, bonds, commodities, and currencies
5. SYSTEMIC RISK ASSESSMENT: identify periods of increased correlation between assets, which may indicate systemic risks
⚠️ IMPORTANT NOTES
• Correlation does NOT imply causation
• Correlation can change over time — regularly review the analysis period
• High past correlation doesn't guarantee the relationship will persist in the future
• Recommended to use the indicator in combination with fundamental analysis
🔔 ALERTS
The indicator includes a built-in alert condition: triggers when strong correlation (|r| > 0.8) is detected between the current chart and the base instrument.
VMDM - Volume, Momentum & Divergence Master [BullByte]VMDM - Volume, Momentum and Divergence Master
Educational Multi-Layer Market Structure Analysis System
Multi-factor divergence engine that scores RSI momentum, volume pressure, and institutional footprints into one non-repainting confluence rating (0-100).
WHAT THIS INDICATOR IS
VMDM is an educational indicator designed to teach traders how to recognize high-probability reversal and continuation patterns by analyzing four independent market dimensions simultaneously. Instead of relying on a single indicator that may produce frequent false signals, VMDM creates a confluence-based scoring system that weights multiple confirmation factors, helping you understand which setups have stronger technical backing and which are lower quality.
This is NOT a trading system or signal generator. It is a learning tool that visualizes complex market structure concepts in an accessible format for both coders and non-coders.
THE PROBLEM IT SOLVES
Most traders face these common challenges:
Challenge 1 - Indicator Overload: Running RSI, volume analysis, and divergence detection separately creates chart clutter and conflicting signals. You waste time cross-referencing multiple windows trying to determine if all factors align.
Challenge 2 - False Divergences: Standard divergence indicators trigger on every minor pivot, creating noise. Many divergences fail because they lack supporting evidence from volume or market structure.
Challenge 3 - Missed Context: A bullish RSI divergence means nothing if it occurs during weak volume or in the middle of strong distribution. Context determines quality.
Challenge 4 - Repainting Confusion: Many divergence scripts repaint, showing perfect historical signals that never actually triggered in real-time, leading to false confidence.
Challenge 5 - Institutional Pattern Recognition: Absorption zones, stop hunts, and exhaustion patterns are taught in trading education but difficult to identify systematically without manual analysis.
VMDM addresses all five challenges by combining complementary analytical layers into one transparent, non-repainting, confluence-weighted system with visual clarity.
WHY THIS SPECIFIC COMBINATION - MASHUP JUSTIFICATION
This indicator is NOT a random mashup of popular indicators. Each of the four layers serves a specific analytical purpose and together they create a complete market structure assessment framework.
THE FOUR ANALYTICAL LAYERS
LAYER 1 - RSI MOMENTUM DIVERGENCE (Trend Exhaustion Detection)
Purpose: Identifies when price momentum is weakening before price itself reverses.
Why RSI: The Relative Strength Index measures momentum on a bounded 0-100 scale, making divergence detection mathematically consistent across all assets and timeframes. Unlike raw price oscillators, RSI normalizes momentum regardless of volatility regime.
How It Contributes: Divergence between price pivots and RSI pivots reveals early momentum exhaustion. A lower price low with a higher RSI low (bullish regular divergence) signals sellers are losing strength even as price makes new lows. This is the PRIMARY signal generator in VMDM.
Limitation If Used Alone: RSI divergence by itself produces many false signals because momentum can remain weak during continued trends. It needs confirmation from volume and structural evidence.
LAYER 2 - VOLUME PRESSURE ANALYSIS (Buying vs Selling Intensity)
Purpose: Quantifies whether the current bar's volume reflects buying pressure or selling pressure based on where price closed within the bar's range.
Methodology: Instead of just measuring volume size, VMDM calculates WHERE in the bar range the close occurred. A close near the high on high volume indicates strong buying absorption. A close near the low indicates selling pressure. The calculation accounts for wick size (wicks reduce pressure quality) and uses percentile ranking over a lookback period to normalize pressure strength on a 0-100 scale.
Formula Concept:
Buy Pressure = Volume × (Close - Low) / (High - Low) × Wick Quality Factor
Sell Pressure = Volume × (High - Close) / (High - Low) × Wick Quality Factor
Net Pressure = Buy Pressure - Sell Pressure
Pressure Strength = Percentile Rank of Net Pressure over lookback period
Why Percentile Ranking: Absolute volume varies by asset and session. Percentile ranking makes 85th percentile pressure on low-volume crypto comparable to 85th percentile pressure on high-volume forex.
How It Contributes: When a bullish divergence occurs at a pivot low AND pressure strength is above 60 (strong buying), this adds 25 confluence points. It confirms that the divergence is occurring during actual accumulation, not just weak selling.
Limitation If Used Alone: Pressure analysis shows current bar intensity but cannot identify trend exhaustion or reversal timing. High buying pressure can exist during a strong uptrend with no reversal imminent.
LAYER 3 - BEHAVIORAL FOOTPRINT PATTERNS (Volume Anomaly Detection)
CRITICAL DISCLAIMER: The terms "institutional footprint," "absorption," "stop hunt," and "exhaustion" used in this indicator are EDUCATIONAL LABELS for specific price and volume behavioral patterns. These patterns are detected through technical analysis of publicly available price, volume, and bar structure data. This indicator does NOT have access to actual institutional order flow, market maker data, broker stop-loss locations, or any non-public data source. These pattern names are used because they are common terminology in trading education to describe these technical behaviors. The analysis is interpretive and based on observable price action, not privileged information.
Purpose: Detect volume anomalies and price patterns that historically correlate with potential reversal zones or trend continuation failure.
Pattern Type 1 - Absorption (Labeled as "ACCUMULATION" or "DISTRIBUTION")
Detection Criteria: Volume is more than 2x the moving average AND bar range is less than 50 percent of the average bar range.
Interpretation: High volume compressed into a tight range suggests large participants are absorbing supply (accumulation) or distribution (distribution) without allowing price to move significantly. This often precedes directional moves once absorption completes.
Visual: Colored box zone highlighting the absorption area.
Pattern Type 2 - Stop Hunt (Labeled as "BULL HUNT" or "BEAR HUNT")
Detection Criteria: Price penetrates a recent 10-bar high or low by a small margin (0.2 percent), then closes back inside the range on above-average volume (1.5x+).
Interpretation: Price briefly spikes beyond recent structure (likely triggering stop losses placed just beyond obvious levels) then reverses. This is a classic false breakout pattern often seen before reversals.
Visual: Label at the wick extreme showing hunt direction.
Pattern Type 3 - Exhaustion (Labeled as "SELL EXHAUST" or "BUY EXHAUST")
Detection Criteria: Lower wick is more than 2.5x the body size with volume above 1.8x average and RSI below 35 (sell exhaustion), OR upper wick more than 2.5x body size with volume above 1.8x average and RSI above 65 (buy exhaustion).
Interpretation: Large wicks with high volume and extreme RSI suggest aggressive buying or selling was met with equally aggressive rejection. This exhaustion often marks short-term extremes.
Visual: Label showing exhaustion type.
How These Contribute: When a divergence forms at a pivot AND one of these behavioral patterns is active, the confluence score increases by 20 points. This confirms the divergence is occurring during structural anomaly activity, not just normal price flow.
Limitation If Used Alone: These patterns can occur mid-trend and do not indicate direction without momentum context. Absorption in a strong uptrend may just be continuation accumulation.
LAYER 4 - CONFLUENCE SCORING MATRIX (Quality Weighting System)
Purpose: Translate all detected conditions into a single 0-100 quality score so you can objectively compare setups.
Scoring Breakdown:
Divergence Present: +30 points (primary signal)
Pressure Confirmation: +25 points (volume supports direction)
Behavioral Footprint Active: +20 points (structural anomaly present)
RSI Extreme: +15 points (RSI below 30 or above 70 at pivot)
Volume Spike: +10 points (current volume above 1.5x average)
Maximum Possible Score: 100 points
Why These Weights: The weights reflect reliability hierarchy based on backtesting observation. Divergence is the core signal (30 points), but without volume confirmation (25 points) many fail. Behavioral patterns add meaningful context (20 points). RSI extremes and volume spikes are secondary confirmations (15 and 10 points).
Quality Tiers:
90-100: TEXTBOOK (all factors aligned)
75-89: HIGH QUALITY (strong confluence)
60-74: VALID (meets minimum threshold)
Below 60: DEVELOPING (not displayed unless threshold lowered)
How It Contributes: The confluence score allows you to filter noise. You can set your minimum quality threshold in settings. Higher thresholds (75+) show fewer but higher-quality patterns. Lower thresholds (50-60) show more patterns but include lower-confidence setups. This teaches you to distinguish strong setups from weak ones.
Limitation: Confluence scoring is historical observation-based, not predictive guarantee. A 95-point setup can still fail. The score represents technical alignment, not future certainty.
WHY THIS COMBINATION WORKS TOGETHER
Each layer addresses a limitation in the others:
RSI Divergence identifies WHEN momentum is exhausting (timing)
Volume Pressure confirms WHETHER the exhaustion is accompanied by opposite-side accumulation (confirmation)
Behavioral Footprint shows IF structural anomalies support the reversal hypothesis (context)
Confluence Scoring weights ALL factors into an objective quality metric (filtering)
Using only RSI divergence gives you timing without confirmation. Using only volume pressure gives you intensity without directional context. Using only pattern detection gives you anomalies without trend exhaustion context. Using all four together creates a complete analytical framework where each layer compensates for the others' weaknesses.
This is not a mashup for the sake of combining indicators. It is a structured analytical system where each component has a defined role in a multi-dimensional market assessment process.
HOW TO READ THE INDICATOR - VISUAL ELEMENTS GUIDE
VMDM displays up to five visual layer types. You can enable or disable each layer independently in settings under "Visual Layers."
VISUAL LAYER 1 - MARKET STRUCTURE (Pivot Points and Lines)
What You See:
Small labels at swing highs and lows marked "PH" (Pivot High) and "PL" (Pivot Low) with horizontal dashed lines extending right from each pivot.
What It Means:
These are CONFIRMED pivots, not real-time. A pivot low appears AFTER the required right-side confirmation bars pass (default 3 bars). This creates a delay but prevents repainting. The pivot only appears once it is mathematically confirmed.
The horizontal lines represent support (from pivot lows) and resistance (from pivot highs) levels where price previously found significant rejection.
Color Coding:
Green label and line: Pivot Low (potential support)
Red label and line: Pivot High (potential resistance)
How To Use:
These pivots are the foundation for divergence detection. Divergence is only calculated between confirmed pivots, ensuring all signals are non-repainting. The lines help you see historical structure levels.
VISUAL LAYER 2 - PRESSURE ZONES (Background Color)
What You See:
Subtle background color shading on bars - light green or light red tint.
What It Means:
This visualizes volume pressure strength in real-time.
Color Coding:
Light Green Background: Pressure Strength above 70 (strong buying pressure - price closing near highs on volume)
Light Red Background: Pressure Strength below 30 (strong selling pressure - price closing near lows on volume)
No Color: Neutral pressure (pressure between 30-70)
How To Use:
When a bullish divergence pattern appears during green pressure zones, it suggests the divergence is forming during accumulation. When a bearish divergence appears during red zones, distribution is occurring. Pressure zones help you filter divergences - those forming in supportive pressure environments have higher probability.
VISUAL LAYER 3 - DIVERGENCE LINES (Dotted Connectors)
What You See:
Dotted lines connecting two pivot points (either two pivot lows or two pivot highs).
What It Means:
A divergence has been detected between those two pivots. The line connects the price pivots where RSI showed opposite behavior.
Color Coding:
Bright Green Line: Bullish divergence (regular or hidden)
Bright Red Line: Bearish divergence (regular or hidden)
How To Use:
The divergence line appears ONLY after the second pivot is confirmed (delayed by right-side confirmation bars). This is intentional to prevent repainting. When you see the line appear, it means:
For Bullish Regular Divergence:
Price made a lower low (second pivot lower than first)
RSI made a higher low (RSI at second pivot higher than first)
Interpretation: Downtrend losing momentum
For Bullish Hidden Divergence:
Price made a higher low (second pivot higher than first)
RSI made a lower low (RSI at second pivot lower than first)
Interpretation: Uptrend continuation likely (pullback within uptrend)
For Bearish Regular Divergence:
Price made a higher high (second pivot higher than first)
RSI made a lower high (RSI at second pivot lower than first)
Interpretation: Uptrend losing momentum
For Bearish Hidden Divergence:
Price made a lower high (second pivot lower than first)
RSI made a higher high (RSI at second pivot higher than first)
Interpretation: Downtrend continuation likely (bounce within downtrend)
If "Show Consolidated Analysis Label" is disabled, a small label will appear on the divergence line showing the divergence type abbreviation.
VISUAL LAYER 4 - BEHAVIORAL FOOTPRINT MARKERS
What You See:
Boxes, labels, and markers at specific bars showing pattern detection.
ABSORPTION ZONES (Boxes):
Colored rectangular boxes spanning one or more bars.
Purple Box: Accumulation absorption zone (high volume, tight range, bullish close)
Red Box: Distribution absorption zone (high volume, tight range, bearish close)
If absorption continues for multiple consecutive bars, the box extends and a counter appears in the label showing how many bars the absorption lasted.
What It Means: Large volume is being absorbed without significant price movement. This often precedes directional breakouts once the absorption phase completes.
STOP HUNT MARKERS (Labels):
Small labels below or above wicks labeled "BULL HUNT" or "BEAR HUNT" (may show bar count if consecutive).
What It Means:
BULL HUNT : Price spiked below recent lows then reversed back up on volume - likely triggered sell stops before reversing
BEAR HUNT : Price spiked above recent highs then reversed back down on volume - likely triggered buy stops before reversing
EXHAUSTION MARKERS (Labels):
Labels showing "SELL EXHAUST" or "BUY EXHAUST."
What It Means:
SELL EXHAUST : Large lower wick with high volume and low RSI - aggressive selling met with strong rejection
BUY EXHAUST : Large upper wick with high volume and high RSI - aggressive buying met with strong rejection
How To Use:
These markers help you identify WHERE structural anomalies occurred. When a divergence signal appears AT THE SAME TIME as one of these patterns, the confluence score increases. You are looking for alignment - divergence + behavioral pattern + pressure confirmation = high-quality setup.
VISUAL LAYER 5 - CONSOLIDATED ANALYSIS LABEL (Main Pattern Signal)
What You See:
A large label appearing at pivot points (or in real-time mode, at current bar) containing full pattern analysis.
Label Appearance:
Depending on your "Use Compact Label Format" setting:
COMPACT MODE (Single Line):
Example: "BULLISH REGULAR | Q:HIGH QUALITY C:82"
Breakdown:
BULLISH REGULAR: Divergence type detected
Q:HIGH QUALITY: Pattern quality tier
C:82: Confluence score (82 out of 100)
FULL MODE (Multi-Line Detailed):
Example:
PATTERN DETECTED
-------------------
BULLISH REGULAR
Quality: HIGH QUALITY
Price: Lower Low
Momentum: Higher Low
Signal: Weakening Downtrend
CONFLUENCE: 82/100
-------------------
Divergence: 30
Pressure: 25
Institutional: 20
RSI Extreme: 0
Volume: 10
Breakdown:
Top section: Pattern type and quality
Middle section: Divergence explanation (what price did vs what RSI did)
Bottom section: Confluence score with itemized breakdown showing which factors contributed
Label Position:
In Confirmed modes: Label appears AT the pivot point (delayed by confirmation bars)
In Real-time mode: Label appears at current bar as conditions develop
Label Color:
Gold: Textbook quality (90+ confluence)
Green: High quality (75-89 confluence)
Blue: Valid quality (60-74 confluence)
How To Use:
This is your primary decision-making label. When it appears:
Check the divergence type (regular divergences are reversal signals, hidden divergences are continuation signals)
Review the quality tier (textbook and high quality have better historical win rates)
Examine the confluence breakdown to see which factors are present and which are missing
Look at the chart context (trend, support/resistance, timeframe)
Use this information to assess whether the setup aligns with your strategy
The label does NOT tell you to buy or sell. It tells you a technical pattern has formed and provides the quality assessment. Your trading decision must incorporate risk management, market context, and your strategy rules.
UNDERSTANDING THE THREE DETECTION MODES
VMDM offers three signal detection modes in settings to accommodate different trading styles and learning objectives.
MODE 1: "Confluence Only (Real-Time)"
How It Works: Displays signals AS THEY DEVELOP on the current bar without waiting for pivot confirmation. The system calculates confluence score from pressure, volume, RSI extremes, and behavioral patterns. Divergence signals are NOT required in this mode.
Delay: ZERO - signals appear immediately.
Use Case: Real-time scanning for high-confluence zones without divergence requirement. Useful for intraday traders who want immediate alerts when multiple factors align.
Tradeoff: More frequent signals but includes setups without confirmed divergence. Higher false signal rate. Signals can change as the bar develops (not repainting in historical bars, but current bar updates).
Visual Behavior: Labels appear at the current bar. No divergence lines unless divergence happens to be present.
MODE 2: "Divergence + Confluence (Confirmed)" - DEFAULT RECOMMENDED
How It Works: Full system engagement. Signals appear ONLY when:
A pivot is confirmed (requires right-side confirmation bars to pass)
Divergence is detected between current pivot and previous pivot
Total confluence score meets or exceeds your minimum threshold
Delay: Equal to your "Pivot Right Bars" setting (default 3 bars). This means signals appear 3 bars AFTER the actual pivot formed.
Use Case: Highest-quality, non-repainting signals for swing traders and learners who want to study confirmed pattern completion.
Tradeoff: Delayed signals. You will not receive the signal until confirmation occurs. In fast-moving markets, price may have already moved significantly by the time the signal appears.
Visual Behavior: Labels appear at the historical pivot location (in the past). Divergence lines connect the two pivots. This is the most educational mode because it shows completed, confirmed patterns.
Non-Repainting Guarantee: Yes. Once a signal appears, it never disappears or changes.
MODE 3: "Divergence + Confluence (Relaxed)"
How It Works: Same as Confirmed mode but with adaptive thresholds. If confluence is very high (10 points above threshold), the signal may appear even if some factors are weak. If divergence is present but confluence is slightly below threshold (within 10 points), it may still appear.
Delay: Same as Confirmed mode (right-side confirmation bars).
Use Case: Slightly more signals than Confirmed mode for traders willing to accept near-threshold setups.
Tradeoff: More signals but lower average quality than Confirmed mode.
Visual Behavior: Same as Confirmed mode.
DASHBOARD GUIDE - READING THE METRICS
The dashboard appears in the corner of your chart (position selectable in settings) and provides real-time market state analysis.
You can choose between four dashboard detail levels in settings: Off, Compact, Optimized (default), Full.
DASHBOARD ROW EXPLANATIONS
ROW 1 - Header Information
Left: Current symbol and timeframe
Center: "VMDM "
Right: Version number
ROW 2 - Mode and Delay
Shows which detection mode you are using and the signal delay.
Example: "CONFIRMED | Delay: 3 bars"
This reminds you that signals in confirmed mode appear 3 bars after the pivot forms.
ROW 3 - Market Regime
Format: "TREND UP HV" or "RANGING NV"
First Part - Trend State:
TREND UP: 20 EMA above 50 EMA with strong separation
TREND DOWN: 20 EMA below 50 EMA with strong separation
RANGING: EMAs close together, low trend strength
TRANSITION: Between trending and ranging states
Second Part - Volatility State:
HV: High Volatility (current ATR more than 1.3x the 50-bar average ATR)
NV: Normal Volatility (current ATR between 0.7x and 1.3x average)
LV: Low Volatility (current ATR less than 0.7x average)
Third Column: Volatility ratio (example: "1.45x" means current ATR is 1.45 times normal)
How To Use: Regime context helps you interpret signals. Reversal divergences are more reliable in ranging or transitional regimes. Continuation divergences (hidden) are more reliable in trending regimes. High volatility means wider stops may be needed.
ROW 4 - Pressure
Shows current volume pressure state.
Format: "BUYING | ██████████░░░░░░░░░"
States:
BUYING : Pressure strength above 60 (closes near highs)
SELLING : Pressure strength below 40 (closes near lows)
NEUTRAL : Pressure strength between 40-60
Bar Visualization: Each block represents 10 percentile points. A full bar (10 filled blocks) = 100th percentile pressure.
Color: Green for buying, red for selling, gray for neutral.
How To Use: When pressure aligns with divergence direction (bullish divergence during buying pressure), confluence is stronger.
ROW 5 - Volume and RSI
Format: "1.8x | RSI 68 | OB"
First Value: Current volume ratio (1.8x = volume is 1.8 times the moving average)
Second Value: Current RSI reading
Third Value: RSI state
OB: Overbought (RSI above 70)
OS: Oversold (RSI below 30)
Blank: Neutral RSI
How To Use: Volume spikes (above 1.5x) during divergence formation add confluence. RSI extremes at pivots add confluence.
ROW 6 - Behavioral Footprint
Format: "BULL HUNT | 2 bars"
Shows the most recent behavioral pattern detected and how long ago.
States:
ACCUMULATION / DISTRIBUTION: Absorption detected
BULL HUNT / BEAR HUNT: Stop hunt detected
SELL EXHAUST / BUY EXHAUST: Exhaustion detected
SCANNING: No recent pattern
NOW: Pattern is active on current bar
How To Use: When footprint activity is recent (within 50 bars) or active now, it adds context to divergence signals forming in that area.
ROW 7 - Current Pattern
Shows the divergence type currently detected (if any).
Examples: "BULLISH REGULAR", "BEARISH HIDDEN", "Scanning..."
Quality: Shows pattern quality (TEXTBOOK, HIGH QUALITY, VALID)
How To Use: This tells you what type of signal is active. Regular divergences are reversal setups. Hidden divergences are continuation setups.
ROW 8 - Session Summary
Format: "14 events | A3 H8 E3"
First Value: Total institutional events this session
Breakdown:
A: Absorption events
H: Stop hunt events
E: Exhaustion events
How To Use: High event counts suggest an active, volatile session with frequent structural anomalies. Low counts suggest quiet, orderly price action.
ROW 9 - Confluence Score (Optimized/Full mode only)
Format: "78/100 | ████████░░"
Shows current real-time confluence score even if no pattern is confirmed yet.
How To Use: Watch this in real-time to see how close you are to pattern formation. When it exceeds your threshold and divergence forms, a signal will appear (after confirmation delay).
ROW 10 - Patterns Studied (Optimized/Full mode only)
Format: "47 patterns | 12 bars ago"
First Value: Total confirmed patterns detected since chart loaded
Second Value: How many bars since the last confirmed pattern appeared
How To Use: Helps you understand pattern frequency on your selected symbol and timeframe. If many bars have passed since last pattern, market may be trending without reversal opportunities.
ROW 11 - Bull/Bear Ratio (Optimized/Full mode only)
Format: "28:19 | BULL"
Shows count of bullish vs bearish patterns detected.
Balance:
BULL: More bullish patterns detected (suggests market has had more bullish reversals/continuations)
BEAR: More bearish patterns detected
BAL: Equal counts
How To Use: Extreme imbalances can indicate directional bias in the studied period. A heavily bullish ratio in a downtrend might suggest frequent failed rallies (bearish continuation). Context matters.
ROW 12 - Volume Ratio Detail (Optimized/Full mode only)
Shows current volume vs average volume in absolute terms.
Example: "1.4x | 45230 / 32300"
How To Use: Confirms whether current activity is above or below normal.
ROW 13 - Last Institutional Event (Full mode only)
Shows the most recent institutional pattern type and how many bars ago it occurred.
Example: "DISTRIBUTION | 23 bars"
How To Use: Tracks recency of last anomaly for context.
SETTINGS GUIDE - EVERY PARAMETER EXPLAINED
PERFORMANCE SECTION
Enable All Visuals (Master Toggle)
Default: ON
What It Does: Master kill switch for ALL visual elements (labels, lines, boxes, background colors, dashboard). When OFF, only plot outputs remain (invisible unless you open data window).
When To Change: Turn OFF on mobile devices, 1-second charts, or slow computers to improve performance. You can still receive alerts even with visuals disabled.
Impact: Dramatic performance improvement when OFF, but you lose all visual feedback.
Maximum Object History
Default: 50 | Range: 10-100
What It Does: Limits how many of each object type (labels, lines, boxes) are kept in memory. Older objects beyond this limit are deleted.
When To Change: Lower to 20-30 on fast timeframes (1-minute charts) to prevent slowdown. Increase to 100 on daily charts if you want more historical pattern visibility.
Impact: Lower values = better performance but less historical visibility. Higher values = more history visible but potential slowdown on fast timeframes.
Alert Cooldown (Bars)
Default: 5 | Range: 1-50
What It Does: Minimum number of bars that must pass before another alert of the same type can fire. Prevents alert spam when multiple patterns form in quick succession.
When To Change: Increase to 20+ on 1-minute charts to reduce noise. Decrease to 1-2 on daily charts if you want every pattern alerted.
Impact: Higher cooldown = fewer alerts. Lower cooldown = more alerts.
USER EXPERIENCE SECTION
Show Enhanced Tooltips
Default: ON
What It Does: Enables detailed hover-over tooltips on labels and visual elements.
When To Change: Turn OFF if you encounter Pine Script compilation errors related to tooltip arguments (rare, platform-specific issue).
Impact: Minimal. Just adds helpful hover text.
MARKET STRUCTURE DETECTION SECTION
Pivot Left Bars
Default: 3 | Range: 2-10
What It Does: Number of bars to the LEFT of the center bar that must be higher (for pivot low) or lower (for pivot high) than the center bar for a pivot to be valid.
Example: With value 3, a pivot low requires the center bar's low to be lower than the 3 bars to its left.
When To Change:
Increase to 5-7 on noisy timeframes (1-minute charts) to filter insignificant pivots
Decrease to 2 on slow timeframes (daily charts) to catch more pivots
Impact: Higher values = fewer, more significant pivots = fewer signals. Lower values = more frequent pivots = more signals but more noise.
Pivot Right Bars
Default: 3 | Range: 2-10
What It Does: Number of bars to the RIGHT of the center bar that must pass for confirmation. This creates the non-repainting delay.
Example: With value 3, a pivot is confirmed 3 bars AFTER it forms.
When To Change:
Increase to 5-7 for slower, more confirmed signals (better for swing trading)
Decrease to 2 for faster signals (better for intraday, but still non-repainting)
Impact: Higher values = longer delay but more reliable confirmation. Lower values = faster signals but less confirmation. This setting directly controls your signal delay in Confirmed and Relaxed modes.
Minimum Confluence Score
Default: 60 | Range: 40-95
What It Does: The threshold score required for a pattern to be displayed. Patterns with confluence scores below this threshold are not shown.
When To Change:
Increase to 75+ if you only want high-quality textbook setups (fewer signals)
Decrease to 50-55 if you want to see more developing patterns (more signals, lower average quality)
Impact: This is your primary signal filter. Higher threshold = fewer, higher-quality signals. Lower threshold = more signals but includes weaker setups. Recommended starting point is 60-65.
TECHNICAL PERIODS SECTION
RSI Period
Default: 14 | Range: 5-50
What It Does: Lookback period for RSI calculation.
When To Change:
Decrease to 9-10 for faster, more sensitive RSI that detects shorter-term momentum changes
Increase to 21-28 for slower, smoother RSI that filters noise
Impact: Lower values make RSI more volatile (more frequent extremes and divergences). Higher values make RSI smoother (fewer but more significant divergences). 14 is industry standard.
Volume Moving Average Period
Default: 20 | Range: 10-200
What It Does: Lookback period for calculating average volume. Current volume is compared to this average to determine volume ratio.
When To Change:
Decrease to 10-14 for shorter-term volume comparison (more sensitive to recent volume changes)
Increase to 50-100 for longer-term volume comparison (smoother, less sensitive)
Impact: Lower values make volume ratio more volatile. Higher values make it more stable. 20 is standard.
ATR Period
Default: 14 | Range: 5-100
What It Does: Lookback period for Average True Range calculation used for volatility measurement and label positioning.
When To Change: Rarely needs adjustment. Use 7-10 for faster volatility response, 21-28 for slower.
Impact: Affects volatility ratio calculation and visual label spacing. Minimal impact on signals.
Pressure Percentile Lookback
Default: 50 | Range: 10-300
What It Does: Lookback period for calculating volume pressure percentile ranking. Your current pressure is ranked against the pressure of the last X bars.
When To Change:
Decrease to 20-30 for shorter-term pressure context (more responsive to recent changes)
Increase to 100-200 for longer-term pressure context (smoother rankings)
Impact: Lower values make pressure strength more sensitive to recent bars. Higher values provide more stable, long-term pressure assessment. Capped at 300 for performance reasons.
SIGNAL DETECTION SECTION
Signal Detection Mode
Default: "Divergence + Confluence (Confirmed)"
Options:
Confluence Only (Real-time)
Divergence + Confluence (Confirmed)
Divergence + Confluence (Relaxed)
What It Does: Selects which detection logic mode to use (see "Understanding The Three Detection Modes" section above).
When To Change: Use Confirmed for learning and non-repainting signals. Use Real-time for live scanning without divergence requirement. Use Relaxed for slightly more signals than Confirmed.
Impact: Fundamentally changes when and how signals appear.
VISUAL LAYERS SECTION
All toggles default to ON. Each controls visibility of one visual layer:
Show Market Structure: Pivot markers and support/resistance lines
Show Pressure Zones: Background color shading
Show Divergence Lines: Dotted lines connecting pivots
Show Institutional Footprint Markers: Absorption boxes, hunt labels, exhaustion labels
Show Consolidated Analysis Label: Main pattern detection label
Use Compact Label Format
Default: OFF
What It Does: Switches consolidated label between single-line compact format and multi-line detailed format.
When To Change: Turn ON if you find full labels too large or distracting.
Impact: Visual clarity vs. information density tradeoff.
DASHBOARD SECTION
Dashboard Mode
Default: "Optimized"
Options: Off, Compact, Optimized, Full
What It Does: Controls how much information the dashboard displays.
Off: No dashboard
Compact: 8 rows (essential metrics only)
Optimized: 12 rows (recommended balance)
Full: 13 rows (every available metric)
Dashboard Position
Default: "Top Right"
Options: Top Right, Top Left, Bottom Right, Bottom Left
What It Does: Screen corner where dashboard appears.
HOW TO USE VMDM - PRACTICAL WORKFLOW
STEP 1 - INITIAL SETUP
Add VMDM to your chart
Select your detection mode (Confirmed recommended for learning)
Set your minimum confluence score (start with 60-65)
Adjust pivot parameters if needed (default 3/3 is good for most timeframes)
Enable the visual layers you want to see
STEP 2 - CHART ANALYSIS
Let the indicator load and analyze historical data
Review the patterns that appear historically
Examine the confluence scores - notice which patterns had higher scores
Observe which patterns occurred during supportive pressure zones
Notice the divergence line connections - understand what price vs RSI did
STEP 3 - PATTERN RECOGNITION LEARNING
When a consolidated analysis label appears:
Read the divergence type (regular or hidden, bullish or bearish)
Check the quality tier (textbook, high quality, or valid)
Review the confluence breakdown - which factors contributed
Look at the chart context - where is price relative to structure, trend, etc.
Observe the behavioral footprint markers nearby - do they support the pattern
STEP 4 - REAL-TIME MONITORING
Watch the dashboard for real-time regime and pressure state
Monitor the current confluence score in the dashboard
When it approaches your threshold, be alert for potential pattern formation
When a new pattern appears (after confirmation delay), evaluate it using the workflow above
Use your trading strategy rules to decide if the setup aligns with your criteria
STEP 5 - POST-PATTERN OBSERVATION
After a pattern appears:
Mark the level on your chart
Observe what price does after the pattern completes
Did price respect the reversal/continuation signal
What was the confluence score of patterns that worked vs. those that failed
Learn which quality tiers and confluence levels produce better results on your specific symbol and timeframe
RECOMMENDED TIMEFRAMES AND ASSET CLASSES
VMDM is timeframe-agnostic and works on any asset with volume data. However, optimal performance varies:
BEST TIMEFRAMES
15-Minute to 1-Hour: Ideal balance of signal frequency and reliability. Pivot confirmation delay is acceptable. Sufficient volume data for pressure analysis.
4-Hour to Daily: Excellent for swing trading. Very high-quality signals. Lower frequency but higher significance. Recommended for learning because patterns are clearer.
1-Minute to 5-Minute: Works but requires adjustment. Increase pivot bars to 5-7 for filtering. Decrease max object history to 30 for performance. Expect more noise.
Weekly/Monthly: Works but very infrequent signals. Increase confluence threshold to 70+ to ensure only major patterns appear.
BEST ASSET CLASSES
Forex Majors: Excellent volume data and clear trends. Pressure analysis works well.
Crypto (Major Pairs): Good volume data. High volatility makes divergences more pronounced. Works very well.
Stock Indices (SPY, QQQ, etc.): Excellent. Clean price action and reliable volume.
Individual Stocks: Works well on high-volume stocks. Low-volume stocks may produce unreliable pressure readings.
Commodities (Gold, Oil, etc.): Works well. Clear trends and reactions.
WHAT THIS INDICATOR CANNOT DO - LIMITATIONS
LIMITATION 1 - It Does Not Predict The Future
VMDM identifies when technical conditions align historically associated with potential reversals or continuations. It does not predict what will happen next. A textbook 95-confluence pattern can still fail if fundamental events, news, or larger timeframe structure override the setup.
LIMITATION 2 - Confirmation Delay Means You Miss Early Entry
In Confirmed and Relaxed modes, the non-repainting design means you receive signals AFTER the pivot is confirmed. Price may have already moved significantly by the time you receive the signal. This is the tradeoff for non-repainting reliability. You can use Real-time mode for faster signals but sacrifice divergence confirmation.
LIMITATION 3 - It Does Not Tell You Position Sizing or Risk Management
VMDM provides technical pattern analysis. It does not calculate stop loss levels, take profit targets, or position sizing. You must apply your own risk management rules. Never risk more than you can afford to lose based on a technical signal.
LIMITATION 4 - Volume Pressure Analysis Requires Reliable Volume Data
On assets with thin volume or unreliable volume reporting, pressure analysis may be inaccurate. Stick to major liquid assets with consistent volume data.
LIMITATION 5 - It Cannot Detect Fundamental Events
VMDM is purely technical. It cannot predict earnings reports, central bank decisions, geopolitical events, or other fundamental catalysts that can override technical patterns.
LIMITATION 6 - Divergence Requires Two Pivots
The indicator cannot detect divergence until at least two pivots of the same type have formed. In strong trends without pullbacks, you may go long periods without signals.
LIMITATION 7 - Institutional Pattern Names Are Interpretive
The behavioral footprint patterns are named using common trading education terminology, but they are detected through technical analysis, not actual institutional data access. The patterns are interpretations based on price and volume behavior.
CONCEPT FOUNDATION - WHY THIS APPROACH WORKS
MARKET PRINCIPLE 1 - Momentum Divergence Precedes Price Reversal
Price is the final output of market forces, but momentum (the rate of change in those forces) shifts first. When price makes a new low but the momentum behind that move is weaker (higher RSI low), it signals that sellers are losing strength even though they temporarily pushed price lower. This precedes reversal. This is a fundamental principle in technical analysis taught by Charles Dow, widely observed in market behavior.
MARKET PRINCIPLE 2 - Volume Reveals Conviction
Price can move on low volume (low conviction) or high volume (high conviction). When price makes a new low on declining volume while RSI shows improving momentum, it suggests the new low is not confirmed by participant conviction. Adding volume pressure analysis to momentum divergence adds a confirmation layer that filters false divergences.
MARKET PRINCIPLE 3 - Anomalies Mark Structural Extremes
When volume spikes significantly but range contracts (absorption), or when price spikes beyond structure then reverses (stop hunt), or when aggressive moves are met with large-wick rejection (exhaustion), these anomalies often mark short-term extremes. Combining these structural observations with momentum analysis creates context.
MARKET PRINCIPLE 4 - Confluence Improves Probability
No single technical factor is reliable in isolation. RSI divergence alone fails frequently. Volume analysis alone cannot time entries. Combining multiple independent factors into a weighted system increases the probability that observed patterns have structural significance rather than random noise.
THE EDUCATIONAL VALUE
By visualizing all four layers simultaneously and breaking down the confluence scoring transparently, VMDM teaches you to think in terms of multi-dimensional analysis rather than single-indicator reliance. Over time, you will learn to recognize these patterns manually and understand which combinations produce better results on your traded assets.
INSTITUTIONAL TERMINOLOGY - IMPORTANT CLARIFICATION
This indicator uses the following terms that are common in trading education:
Institutional Footprint
Absorption (Accumulation / Distribution)
Stop Hunt
Exhaustion
CRITICAL DISCLAIMER:
These terms are EDUCATIONAL LABELS for specific price action and volume behavior patterns detected through technical analysis of publicly available chart data (open, high, low, close, volume). This indicator does NOT have access to:
Actual institutional order flow or order book data
Market maker positions or intentions
Broker stop-loss databases
Non-public trading data
Proprietary institutional information
The patterns labeled as "institutional footprint" are interpretations based on observable price and volume behavior that educational trading literature often associates with potential large-participant activity. The detection is algorithmic pattern recognition, not privileged data access.
When this indicator identifies "absorption," it means it detected high volume within a small range - a condition that MAY indicate large orders being filled but is not confirmation of actual institutional participation.
When it identifies a "stop hunt," it means price briefly penetrated a structural level then reversed - a pattern that MAY have triggered stop losses but is not confirmation that stops were specifically targeted.
When it identifies "exhaustion," it means high volume with large rejection wicks - a pattern that MAY indicate aggressive participation meeting strong opposition but is not confirmation of institutional involvement.
These are technical analysis interpretations, not factual statements about market participant identity or intent.
DISCLAIMER AND RISK WARNING
EDUCATIONAL PURPOSE ONLY
This indicator is designed as an educational tool to help traders learn to recognize technical patterns, understand multi-factor analysis, and practice systematic market observation. It is NOT a trading system, signal service, or financial advice.
NO PERFORMANCE GUARANTEE
Past pattern behavior does not guarantee future results. A pattern that historically preceded price movement in one direction may fail in the future due to changing market conditions, fundamental events, or random variance. Confluence scores reflect historical technical alignment, not future certainty.
TRADING INVOLVES SUBSTANTIAL RISK
Trading financial instruments involves substantial risk of loss. You can lose more than your initial investment. Never trade with money you cannot afford to lose. Always use proper risk management including stop losses, position sizing, and portfolio diversification.
NO PREDICTIVE CLAIMS
This indicator does NOT predict future price movement. It identifies when technical conditions align in patterns that historically have been associated with potential reversals or continuations. Market behavior is probabilistic, not deterministic.
BACKTESTING LIMITATIONS
If you backtest trading strategies using this indicator, ensure you account for:
Realistic commission costs
Realistic slippage (difference between signal price and actual fill price)
Sufficient sample size (minimum 100 trades for statistical relevance)
Reasonable position sizing (risking no more than 1-2 percent of account per trade)
The confirmation delay inherent in the indicator (you cannot enter at the exact pivot in Confirmed mode)
Backtests that do not account for these factors will produce unrealistic results.
AUTHOR LIABILITY
The author (BullByte) is not responsible for any trading losses incurred using this indicator. By using this indicator, you acknowledge that all trading decisions are your sole responsibility and that you understand the risks involved.
NOT FINANCIAL ADVICE
Nothing in this indicator, its code, its description, or its visual outputs constitutes financial, investment, or trading advice. Consult a licensed financial advisor before making investment decisions.
FREQUENTLY ASKED QUESTIONS
Q: Why do signals appear in the past, not at the current bar
A: In Confirmed and Relaxed modes, signals appear at confirmed pivots, which requires waiting for right-side confirmation bars (default 3). This creates a delay but prevents repainting. Use Real-time mode if you want current-bar signals without pivot confirmation.
Q: Can I use this for automated trading
A: You can create alert-based automation, but understand that Confirmed mode signals appear AFTER the pivot with delay, so your entry will not be at the pivot price. Real-time mode signals can change as the current bar develops. Automation requires careful consideration of these factors.
Q: How do I know which confluence score to use
A: Start with 60. Observe which patterns work on your symbol/timeframe. If too many false signals, increase to 70-75. If too few signals, decrease to 55. Quality vs. quantity tradeoff.
Q: Do regular divergences mean I should enter a reversal trade immediately
A: No. Regular divergences indicate momentum exhaustion, which is a WARNING sign that trend may reverse, not a confirmation that it will. Use confluence score, market context, support/resistance, and your strategy rules to make entry decisions. Many divergences fail.
Q: What's the difference between regular and hidden divergence
A: Regular divergence = price and momentum move in opposite directions at extremes = potential reversal signal. Hidden divergence = price and momentum move in opposite directions during pullbacks = potential continuation signal. Hidden divergence suggests the pullback is just a correction within the larger trend.
Q: Why does the pressure zone color sometimes conflict with the divergence direction
A: Pressure is real-time current bar analysis. Divergence is confirmed pivot analysis from the past. They measure different things at different times. A bullish divergence confirmed 3 bars ago might appear during current selling pressure. This is normal.
Q: Can I use this on stocks without volume data
A: No. Volume is required for pressure analysis and behavioral pattern detection. Use only on assets with reliable volume reporting.
Q: How often should I expect signals
A: Depends on timeframe and settings. Daily charts might produce 5-10 signals per month. 1-hour charts might produce 20-30. 15-minute charts might produce 50-100. Adjust confluence threshold to control frequency.
Q: Can I modify the code
A: Yes, this is open source. You can modify for personal use. If you publish a modified version, please credit the original and ensure your publication meets TradingView guidelines.
Q: What if I disagree with a pattern's confluence score
A: The scoring weights are based on general observations and may not suit your specific strategy or asset. You can modify the code to adjust weights if you have data-driven reasons to do so.
Final Notes
VMDM - Volume, Momentum and Divergence Master is an educational multi-layer market analysis system designed to teach systematic pattern recognition through transparent, confluence-weighted signal detection. By combining RSI momentum divergence, volume pressure quantification, behavioral footprint pattern recognition, and quality scoring into a unified framework, it provides a comprehensive learning environment for understanding market structure.
Use this tool to develop your analytical skills, understand how multiple technical factors interact, and learn to distinguish high-quality setups from noise. Remember that technical analysis is probabilistic, not predictive. No indicator replaces proper education, risk management, and trading discipline.
Trade responsibly. Learn continuously. Risk only what you can afford to lose.
-BullByte
Auto 5-Wave Fixed Channel + Wave 5 Top / Wave 2-ABC BottomAuto 5-Wave Fixed Channel + Wave 5 Top / Wave 2-ABC Bottom
by Ron999
1. What this indicator does
This tool automatically hunts for bullish 5-wave impulse structures and then:
Labels the waves: W1, W2, W3, W4, W5
Draws a fixed “acceleration” channel based on the wave structure
Projects a Wave-5 target zone using a 1.618 extension
Marks the Wave-2 level as an ABC correction target
Triggers optional alerts when:
A new Wave-5 top completes
An ABC bottom forms back near the Wave-2 low
It’s designed as a mechanical, rule-based approximation of Elliott 5-wave impulses – built for traders who like the idea of wave structure but want something objective and programmable.
2. How the wave logic works
The script continuously scans for pivot highs and lows using a user-defined Pivot Length.
It only keeps the last 5 alternating pivots (high → low → high → low → high).
When those last 5 pivots form this pattern:
Pivot 1 → High (W1)
Pivot 2 → Low (W2)
Pivot 3 → High (W3)
Pivot 4 → Low (W4)
Pivot 5 → High (W5)
…the indicator treats this as a bullish 5-wave impulse.
When such a structure is detected, it “locks in” the wave prices and bars and draws the channels and labels.
Note: Pivots are only confirmed after Pivot Length bars, so swings are slightly delayed by design (standard pivot logic).
3. Channels & levels
Once a valid bullish 5-wave structure is found, the script builds three key pieces:
a) Base Acceleration Channel (Blue)
Anchored from Wave-2 low toward Wave-3 high.
This forms a rising acceleration channel that represents the impulse leg.
The channel extends to the right, so you can see how price interacts with it after W3–W5.
b) Wave-5 Target Line (Red, dashed)
Uses the height from Wave-2 low to Wave-3 high.
Projects a 1.618 extension of that height above Wave-3.
This line acts as a potential Wave-5 exhaustion zone (take-profit / reversal watch area).
c) Wave-2 / ABC Bottom Level (Green, dotted)
Horizontal line drawn at the Wave-2 low.
This acts as a retest / corrective target for the ABC correction after the impulse completes.
When price later revisits this area (within a tolerance), the script can mark it as a potential ABC bottom.
4. Labels & signals
If labels are enabled:
W1, W2, W3, W4, W5 are plotted directly on their corresponding pivot bars.
When an ABC-style retest is detected near the Wave-2 level, an “ABC” label is printed at that low.
Wave-5 Top Event
Triggered when a new valid bullish 5-wave structure is completed.
The last pivot high in the pattern is flagged as Wave-5.
ABC Bottom Event
After a Wave-5 impulse, the script watches for new low pivots.
If a new low forms within ABC Bottom Proximity (%) of the Wave-2 price, it is treated as an ABC bottom near Wave-2 and marked on the chart.
5. Inputs & customization
Show Fixed Channels
Toggle all channel drawing on/off.
Label Waves
Toggle plotting of W1–W5 and ABC labels.
Alerts: Wave-5 Top & ABC Bottom
Master switch for enabling the script’s alert conditions.
Pivot Length
Controls how “swingy” the detection is.
Smaller values → more frequent, smaller waves
Larger values → fewer, larger structural waves
ABC Bottom Proximity (%)
Allowed percentage distance between the ABC low and the Wave-2 price.
Example: 5% means any ABC low within ±5% of Wave-2 is considered valid.
6. Alerts (how to use them)
The script exposes two alertcondition() events:
Wave-5 Top (Bullish Impulse)
Fires when a new 5-wave bullish structure completes.
Use this to watch for potential exhaustion tops or to tighten stops.
ABC Bottom near Wave-2 Low
Fires when an ABC-style correction prints a low near the Wave-2 level.
Use this to stalk potential end-of-correction entries in the direction of the original impulse.
On TradingView, add an alert to the script and choose the desired condition from the dropdown.
7. How to use it in your trading
This tool is best used as a structural context layer, not a standalone system:
Identify bullish impulsive trends when a Wave-5 structure completes.
Use the Wave-5 target line as a potential area for:
Scaling out
Watching for exhaustion / divergences / reversal patterns
Use the Wave-2/ABC level and ABC Bottom signal:
To look for end of correction entries back in the trend direction
To align with your own confluence (support/resistance, volume, RSI, etc.)
It works well on crypto, FX, indices, and stocks, especially on higher timeframes where structure is cleaner.
8. Limitations & notes
This is a mechanical approximation of Elliott 5-wave theory — it will not match every analyst’s discretionary count.
Pivots are confirmed after Pivot Length bars, so signals are not instant; they’re based on completed swings.
The indicator currently focuses on bullish impulses (upward 5-wave structures).
As always, this is not financial advice. Combine it with your own strategy, risk management, and confirmation tools.
Created & coded by: Ron999
Built for traders who want wave structure + fixed channels, without the subjective Elliott argument on every chart. files.catbox.moe
Oleg_Aryukov_StrategyTrader Oleg Aryukov's strategy, based on a variety of oscillators, allows him to try to catch reversals in cryptocurrencies.
Historical Volatility EstimatorsHistorical volatility is a statistical measure of the dispersion of returns for a given security or market index over a given period. This indicator provides different historical volatility model estimators with percentile gradient coloring and volatility stats panel.
█ OVERVIEW There are multiple ways to estimate historical volatility. Other than the traditional close-to-close estimator. This indicator provides different range-based volatility estimators that take high low open into account for volatility calculation and volatility estimators that use other statistics measurements instead of standard deviation. The gradient coloring and stats panel provides an overview of how high or low the current volatility is compared to its historical values.
█ CONCEPTS We have mentioned the concepts of historical volatility in our previous indicators, Historical Volatility, Historical Volatility Rank, and Historical Volatility Percentile. You can check the definition of these scripts. The basic calculation is just the sample standard deviation of log return scaled with the square root of time. The main focus of this script is the difference between volatility models.
Close-to-Close HV Estimator: Close-to-Close is the traditional historical volatility calculation. It uses sample standard deviation. Note: the TradingView build in historical volatility value is a bit off because it uses population standard deviation instead of sample deviation. N – 1 should be used here to get rid of the sampling bias.
Pros:
• Close-to-Close HV estimators are the most commonly used estimators in finance. The calculation is straightforward and easy to understand. When people reference historical volatility, most of the time they are talking about the close to close estimator.
Cons:
• The Close-to-close estimator only calculates volatility based on the closing price. It does not take account into intraday volatility drift such as high, low. It also does not take account into the jump when open and close prices are not the same.
• Close-to-Close weights past volatility equally during the lookback period, while there are other ways to weight the historical data.
• Close-to-Close is calculated based on standard deviation so it is vulnerable to returns that are not normally distributed and have fat tails. Mean and Median absolute deviation makes the historical volatility more stable with extreme values.
Parkinson Hv Estimator:
• Parkinson was one of the first to come up with improvements to historical volatility calculation. • Parkinson suggests using the High and Low of each bar can represent volatility better as it takes into account intraday volatility. So Parkinson HV is also known as Parkinson High Low HV. • It is about 5.2 times more efficient than Close-to-Close estimator. But it does not take account into jumps and drift. Therefore, it underestimates volatility. Note: By Dividing the Parkinson Volatility by Close-to-Close volatility you can get a similar result to Variance Ratio Test. It is called the Parkinson number. It can be used to test if the market follows a random walk. (It is mentioned in Nassim Taleb's Dynamic Hedging book but it seems like he made a mistake and wrote the ratio wrongly.)
Garman-Klass Estimator:
• Garman Klass expanded on Parkinson’s Estimator. Instead of Parkinson’s estimator using high and low, Garman Klass’s method uses open, close, high, and low to find the minimum variance method.
• The estimator is about 7.4 more efficient than the traditional estimator. But like Parkinson HV, it ignores jumps and drifts. Therefore, it underestimates volatility.
Rogers-Satchell Estimator:
• Rogers and Satchell found some drawbacks in Garman-Klass’s estimator. The Garman-Klass assumes price as Brownian motion with zero drift.
• The Rogers Satchell Estimator calculates based on open, close, high, and low. And it can also handle drift in the financial series.
• Rogers-Satchell HV is more efficient than Garman-Klass HV when there’s drift in the data. However, it is a little bit less efficient when drift is zero. The estimator doesn’t handle jumps, therefore it still underestimates volatility.
Garman-Klass Yang-Zhang extension:
• Yang Zhang expanded Garman Klass HV so that it can handle jumps. However, unlike the Rogers-Satchell estimator, this estimator cannot handle drift. It is about 8 times more efficient than the traditional estimator.
• The Garman-Klass Yang-Zhang extension HV has the same value as Garman-Klass when there’s no gap in the data such as in cryptocurrencies.
Yang-Zhang Estimator:
• The Yang Zhang Estimator combines Garman-Klass and Rogers-Satchell Estimator so that it is based on Open, close, high, and low and it can also handle non-zero drift. It also expands the calculation so that the estimator can also handle overnight jumps in the data.
• This estimator is the most powerful estimator among the range-based estimators. It has the minimum variance error among them, and it is 14 times more efficient than the close-to-close estimator. When the overnight and daily volatility are correlated, it might underestimate volatility a little.
• 1.34 is the optimal value for alpha according to their paper. The alpha constant in the calculation can be adjusted in the settings. Note: There are already some volatility estimators coded on TradingView. Some of them are right, some of them are wrong. But for Yang Zhang Estimator I have not seen a correct version on TV.
EWMA Estimator:
• EWMA stands for Exponentially Weighted Moving Average. The Close-to-Close and all other estimators here are all equally weighted.
• EWMA weighs more recent volatility more and older volatility less. The benefit of this is that volatility is usually autocorrelated. The autocorrelation has close to exponential decay as you can see using an Autocorrelation Function indicator on absolute or squared returns. The autocorrelation causes volatility clustering which values the recent volatility more. Therefore, exponentially weighted volatility can suit the property of volatility well.
• RiskMetrics uses 0.94 for lambda which equals 30 lookback period. In this indicator Lambda is coded to adjust with the lookback. It's also easy for EWMA to forecast one period volatility ahead.
• However, EWMA volatility is not often used because there are better options to weight volatility such as ARCH and GARCH.
Adjusted Mean Absolute Deviation Estimator:
• This estimator does not use standard deviation to calculate volatility. It uses the distance log return is from its moving average as volatility.
• It’s a simple way to calculate volatility and it’s effective. The difference is the estimator does not have to square the log returns to get the volatility. The paper suggests this estimator has more predictive power.
• The mean absolute deviation here is adjusted to get rid of the bias. It scales the value so that it can be comparable to the other historical volatility estimators.
• In Nassim Taleb’s paper, he mentions people sometimes confuse MAD with standard deviation for volatility measurements. And he suggests people use mean absolute deviation instead of standard deviation when we talk about volatility.
Adjusted Median Absolute Deviation Estimator:
• This is another estimator that does not use standard deviation to measure volatility.
• Using the median gives a more robust estimator when there are extreme values in the returns. It works better in fat-tailed distribution.
• The median absolute deviation is adjusted by maximum likelihood estimation so that its value is scaled to be comparable to other volatility estimators.
█ FEATURES
• You can select the volatility estimator models in the Volatility Model input
• Historical Volatility is annualized. You can type in the numbers of trading days in a year in the Annual input based on the asset you are trading.
• Alpha is used to adjust the Yang Zhang volatility estimator value.
• Percentile Length is used to Adjust Percentile coloring lookbacks.
• The gradient coloring will be based on the percentile value (0- 100). The higher the percentile value, the warmer the color will be, which indicates high volatility. The lower the percentile value, the colder the color will be, which indicates low volatility.
• When percentile coloring is off, it won’t show the gradient color.
• You can also use invert color to make the high volatility a cold color and a low volatility high color. Volatility has some mean reversion properties. Therefore when volatility is very low, and color is close to aqua, you would expect it to expand soon. When volatility is very high, and close to red, you would it expect it to contract and cool down.
• When the background signal is on, it gives a signal when HVP is very low. Warning there might be a volatility expansion soon.
• You can choose the plot style, such as lines, columns, areas in the plotstyle input.
• When the show information panel is on, a small panel will display on the right.
• The information panel displays the historical volatility model name, the 50th percentile of HV, and HV percentile. 50 the percentile of HV also means the median of HV. You can compare the value with the current HV value to see how much it is above or below so that you can get an idea of how high or low HV is. HV Percentile value is from 0 to 100. It tells us the percentage of periods over the entire lookback that historical volatility traded below the current level. Higher HVP, higher HV compared to its historical data. The gradient color is also based on this value.
█ HOW TO USE If you haven’t used the hvp indicator, we suggest you use the HVP indicator first. This indicator is more like historical volatility with HVP coloring. So it displays HVP values in the color and panel, but it’s not range bound like the HVP and it displays HV values. The user can have a quick understanding of how high or low the current volatility is compared to its historical value based on the gradient color. They can also time the market better based on volatility mean reversion. High volatility means volatility contracts soon (Move about to End, Market will cooldown), low volatility means volatility expansion soon (Market About to Move).
█ FINAL THOUGHTS HV vs ATR The above volatility estimator concepts are a display of history in the quantitative finance realm of the research of historical volatility estimations. It's a timeline of range based from the Parkinson Volatility to Yang Zhang volatility. We hope these descriptions make more people know that even though ATR is the most popular volatility indicator in technical analysis, it's not the best estimator. Almost no one in quant finance uses ATR to measure volatility (otherwise these papers will be based on how to improve ATR measurements instead of HV). As you can see, there are much more advanced volatility estimators that also take account into open, close, high, and low. HV values are based on log returns with some calculation adjustment. It can also be scaled in terms of price just like ATR. And for profit-taking ranges, ATR is not based on probabilities. Historical volatility can be used in a probability distribution function to calculated the probability of the ranges such as the Expected Move indicator. Other Estimators There are also other more advanced historical volatility estimators. There are high frequency sampled HV that uses intraday data to calculate volatility. We will publish the high frequency volatility estimator in the future. There's also ARCH and GARCH models that takes volatility clustering into account. GARCH models require maximum likelihood estimation which needs a solver to find the best weights for each component. This is currently not possible on TV due to large computational power requirements. All the other indicators claims to be GARCH are all wrong.
DANCE WITH WOLVES VN ALL TO 1DANCE WITH WOLVES VN is a smart-money volume indicator designed for stocks and crypto.
Main features:
• logic to detect Distribution, No Demand, Absorption and Exhaustion.
• Automatically builds smart Support/Resistance zones from high-volume price leaders.
• Regression trend channel to see the short-term trend and trading range.
• Dashboard table that shows the top high/low price bars with buy/sell volume and group labels.
• Alert conditions for Breakout above resistance and At Support Area so you don’t need to watch the chart all the time.
You can use it on any symbol and timeframe. Just add the script to your chart and follow the zones (red = resistance, green = support) together with the P/L labels and the status line.
Smart Money Volume + Support/Resistance + Trend Channel.
Tự động vẽ vùng hỗ trợ/kháng cự theo volume mạnh/yếu, label (Distribution, No Demand, Absorption, Exhaustion) và kênh xu hướng.
Cách dùng:
Uptrend: ưu tiên mua ở gần cạnh dưới kênh hoặc vùng hỗ trợ.
Downtrend: ưu tiên bán/short ở gần cạnh trên kênh hoặc vùng kháng cự.
Sideway: đánh range – mua gần support, bán gần resistance, cẩn thận false break.
P… = vùng giá cao → nhìn kiếm setup chốt lời / short / tránh FOMO.
L… = vùng giá thấp → nhìn kiếm setup bắt nhịp hồi / entry buy an toàn hơn.
DANCE WITH WOLVES VN ALL TO 1DANCE WITH WOLVES VN is a smart-money volume indicator designed for stocks and crypto.
Main features:
• logic to detect Distribution, No Demand, Absorption and Exhaustion.
• Automatically builds smart Support/Resistance zones from high-volume price leaders.
• Regression trend channel to see the short-term trend and trading range.
• Dashboard table that shows the top high/low price bars with buy/sell volume and group labels.
• Alert conditions for Breakout above resistance and At Support Area so you don’t need to watch the chart all the time.
You can use it on any symbol and timeframe. Just add the script to your chart and follow the zones (red = resistance, green = support) together with the P/L labels and the status line.
Vietnamese note: Indicator dùng volume + để vẽ vùng hỗ trợ/kháng cự thông minh, label phân phối / hấp thụ / cạn lực bán và kênh xu hướng. Dùng được cho cả stock và crypto. tot nhat dung khung 5 den 15 phut
APEX TREND: Macro & Hard Stop SystemAPEX TREND: Macro & Hard Stop System
The APEX TREND System is a composite trend-following strategy engineered to solve the "Whipsaw" problem inherent in standard breakout systems. It orchestrates four distinct technical theories—Macro Trend Filtering, Volatility Squeeze, Momentum, and Volatility Stop-Loss—into a single, hierarchical decision-making engine.
This script is not merely a collection of indicators; it is a rules-based trading system designed for Swing Traders (Day/Week timeframes) who aim to capture major trend extensions while strictly managing downside risk through a "Hard Stop" mechanism.
🧠 Underlying Concepts & Originality
Many trend indicators fail because they treat all price movements equally. The APEX TREND differentiates itself by applying an "Institutional Filter" logic derived from classic Dow Theory and Modern Volatility Analysis.
1. The Macro Hard Stop (The 200 EMA Logic)
Origin: Based on the institutional mandate that “Nothing good happens below the 200-day moving average.”
Function: Unlike standard super trends that flip constantly in sideways markets, this system integrates a 200-period Exponential Moving Average (EMA) as a non-negotiable "Hard Stop."
Synergy: This acts as the primary gatekeeper. Even if the volatility engine signals a "Buy," the system suppresses the signal if the price is below the Macro Baseline, effectively filtering out counter-trend traps.
2. The Volatility Engine (Squeeze Theory)
Origin: Derived from John Carter’s TTM Squeeze concept.
Function: The script identifies periods where Bollinger Bands (Standard Deviation) contract inside Keltner Channels (ATR). This indicates a period of potential energy build-up.
Synergy: The system only triggers an entry when this energy is released (Breakout) AND coincides with Linear Regression Momentum, ensuring the breakout is genuine.
3. Anti-Chop Filter (ADX Integration)
Origin: J. Welles Wilder’s Directional Movement Theory.
Function: A common failure point for trend systems is low-volatility chop. This script utilizes the Average Directional Index (ADX).
Synergy: If the ADX is below the threshold (Default: 20), the market is deemed "Choppy." The script visually represents this by painting candles GRAY, signaling a "No-Trade Zone" regardless of price action.
4. The "Run Trend" Stop Loss (Factor 4.0 ATR)
Origin: Adapted from the Turtle Trading rules regarding volatility-based stops.
Function: Standard Trailing Stops (usually Factor 3.0) are too tight for crypto or volatile equities on daily timeframes.
Optimization: This system employs a wider ATR Multiplier of 4.0. This allows the asset to fluctuate naturally within a trend without triggering a premature exit, maximizing the "Run Trend" potential.
🛠 How It Works (The Algorithm)
The script processes data in a specific order to generate a signal:
Check Macro Trend: Is Price > EMA 200? (If No, Longs are disabled).
Check Volatility: Is ADX > 20? (If No, all signals are disabled).
Check Volume: Is Current Volume > 1.2x Average Volume? (Confirmation of institutional participation).
Trigger: Has a Volatility Breakout occurred in the direction of the Macro Trend?
Execution: If ALL above are true -> Generate Signal.
🎯 Strategy Guide
1. Long Setup (Bullish)
Signal: Look for the Green "APEX LONG" Label.
Condition: The price must be ABOVE the White Line (EMA 200).
Execution: Enter at the close of the signal candle.
Stop Loss: Initial stop at the Green Trailing Line.
2. Short Setup (Bearish)
Signal: Look for the Red "APEX SHORT" Label.
Condition: The price must be BELOW the White Line (EMA 200).
Execution: Enter at the close of the signal candle.
Stop Loss: Initial stop at the Red Trailing Line.
3. Exit Rules (Crucial)
This system employs a Dual-Exit Mechanism:
Soft Exit (Profit Taking): Close the position if the price crosses the Trailing Stop Line (Green/Red line). This locks in profits during a trend reversal.
Hard Exit (Emergency): Close the position IMMEDIATELY if the price crosses the White EMA 200 Line against your trade. This prevents holding a position during a major market regime change.
⚙️ Settings
Momentum Engine: Adjust Bollinger Band/Keltner Channel lengths to tune breakout sensitivity.
Apex Filters: Toggle the EMA 200 or ADX filters on/off to adapt to different asset classes.
Risk Management: The ATR Multiplier (Default 4.0) controls the width of the trailing stop. Lower values = Tighter stops (Scalping); Higher values = Looser stops (Swing).
Disclaimer: This script is designed for trend-following on higher timeframes (4H, 1D, 1W). Please backtest on your specific asset before live trading.
Multi EMA (up to 6) - JamilThis indicator plots six customizable Exponential Moving Averages (EMA 1 to EMA 6) designed to help traders quickly identify market direction, trend strength, and dynamic support/resistance levels.
🔹 Key Features
Plots six EMAs simultaneously for multi-timeframe trend clarity
Helps detect trend reversals, pullbacks, and continuation setups
Ideal for scalping, intraday, swing trading, and funded challenges
Works on all markets (Gold, Forex, Crypto, Indices)
Customizable lengths and colors
Clean and lightweight — doesn’t affect chart performance
🔹 How to Use
When all EMAs are aligned and fanning out → Strong Trend
EMA compression → Low volatility / possible breakout setup
Price above all EMAs → Bullish zone
Price below all EMAs → Bearish zone
Perfect for traders who want a simple yet powerful trend-reading tool.
Smart Adaptive Double Patterns [The_lurker]Smart Adaptive Double Patterns
This is an advanced technical indicator that combines two of the strongest and most renowned classical price reversal patterns:
✅ Double Bottom Pattern — a bullish reversal pattern that forms after a downtrend
✅ Double Top Pattern — a bearish reversal pattern that forms after an uptrend
The indicator does not merely detect patterns — it provides a fully integrated, intelligent system that includes:
✅ Precise quality scoring for each pattern using 5 technical criteria
✅ Automatic price target calculation at three levels (Conservative, Balanced, Aggressive)
✅ Multi-layer dynamic filtering to avoid false signals
✅ Live pattern tracking from formation to target achievement or failure
✅ Comprehensive alert system covering all possible trading scenarios
🎯 Why Is This Indicator Unique?
1️⃣ High Detection Accuracy
Unlike traditional indicators that rely on simple rules, this one applies 5 strict structural conditions to confirm pattern validity:
A clear trend must precede the pattern
High symmetry between the two bottoms or two tops
No break of critical price levels during formation
Logical spacing between key points
Technical confirmation from ADX, ATR, and Volume
2️⃣ Advanced Quality Scoring System
Each pattern is scored out of 100 based on 5 weighted criteria:
Symmetry (30%): How closely the two bottoms or tops match
Trend Strength (20%): Strength of the prior trend
Volume Behavior (20%): Trading activity at critical points
Pattern Depth (15%): Vertical distance between neckline and bottom/top
Structural Integrity (15%): Full compliance with structural rules
3️⃣ Smart Target Management
Separate targets for bullish (Double Bottom) and bearish (Double Top) patterns
Separate projections for success and failure cases
Multiple options: Conservative (0.618) / Balanced (1.0) / Aggressive (1.618)
Live tracking with dynamic moving lines
4️⃣ Professional Failure Handling
Failed patterns are not ignored — they are turned into counter-trend opportunities:
Failed Double Bottom → triggers a bearish signal with downside targets
Failed Double Top → triggers a bullish signal with upside targets
Automatic color change for clear visual distinction
5️⃣ Full Customization Flexibility
Enable/disable each pattern independently
22+ adjustable settings
Unique colors for each pattern and quality level
Full bilingual support (Arabic / English)
📐 Pattern Details
🟦 Double Bottom Pattern
Sequence of points:
🔹 Point 1: Peak marking the start of a strong downtrend
🔹 Point 2 (Bottom 1): First low — first key bounce
🔹 Point 3: Intermediate high — forms the neckline (resistance)
🔹 Point 4 (Bottom 2): Second low — should closely match Bottom 1
🔹 Point 5: Breakout point — pattern confirmation
Mandatory Conditions:
✅ Clear downtrend before Point 2
✅ Bottoms 2 & 4 nearly identical (≤1.5% difference by default)
✅ Point 3 higher than both bottoms
✅ Neither bottom is broken during formation
✅ Sufficient time between points (≥10 candles by default)
✅ Success Scenario
→ Price breaks above the neckline (Point 3)
→ Point 5 is plotted at breakout candle
→ Dashed vertical line drawn from Point 5 to target
→ Horizontal dashed line tracks price toward target
→ Dashboard shows: Pattern Type | Quality | Rating | Target | Status
→ When target hits: line turns green + ✅ appears
🎯 Target Calculation
Pattern Height = Point 3 − Point 4
• Conservative: Point 3 + (Height × 0.618 × Quality Factor)
• Balanced: Point 3 + (Height × 1.0 × Quality Factor)
• Aggressive: Point 3 + (Height × 1.618 × Quality Factor)
❌ Failure Scenario
→ Price breaks below both Bottom 1 or Bottom 2 before neckline breakout
Visual Changes:
All lines turn red
Red ✖ appears at breakdown candle
Neckline stops expanding
Red dashed vertical line from breakdown point to bearish target
Red horizontal tracking line follows price
Dashboard updates to:
⚠ Failed Bottom – Bearish
→ Shows new bearish target
→ Indicates target mode for failure case
→ Status: Bearish Reversal
→ Fully red display
🟥 Double Top Pattern
Sequence of points:
🔹 Point 1: Trough marking the start of a strong uptrend
🔹 Point 2 (Top 1): First peak — first key resistance
🔹 Point 3: Intermediate low — forms the neckline (support)
🔹 Point 4 (Top 2): Second peak — should closely match Top 1
🔹 Point 5: Breakdown point — pattern confirmation
Mandatory Conditions:
✅ Clear uptrend before Point 2
✅ Tops 2 & 4 nearly identical (≤1.5% difference by default)
✅ Point 3 lower than both tops
✅ Neither top is breached during formation
✅ Sufficient time between points (≥10 candles by default)
✅ Success Scenario
→ Price breaks below the neckline (Point 3)
→ Point 5 is plotted at breakdown candle
→ Dashed vertical line drawn to target
→ Horizontal tracking line moves with price
→ Dashboard updates accordingly
→ Green line + ✅ on hit
🎯 Target Calculation
Pattern Height = Point 4 − Point 3
• Conservative: Point 3 − (Height × 0.618 × Quality Factor)
• Balanced: Point 3 − (Height × 1.0 × Quality Factor)
• Aggressive: Point 3 − (Height × 1.618 × Quality Factor)
❌ Failure Scenario
→ Price breaks above either Top 1 or Top 2 before neckline breakdown
Visual Changes:
All lines turn cyan (light blue)
Cyan ✖ appears at breakout candle
Neckline stops expanding
Cyan dashed vertical line to bullish target
Cyan horizontal tracking line follows price
Dashboard updates to:
⚠ Failed Top – Bullish
→ Shows new bullish target
→ Indicates target mode for failure case
→ Status: Bullish Reversal
→ Fully cyan display
🎯 Upside Target (after Double Top failure)
Max Top = max(Point 2, Point 4)
Height = Max Top − Point 3
• Conservative: Max Top + (Height × 0.618)
• Balanced: Max Top + (Height × 1.0)
• Aggressive: Max Top + (Height × 1.618)
📊 Quality Scoring System (0–100)
1️⃣ Symmetry (30%)
Measures price match between the two bottoms or two tops.
High score (25–30): Near-perfect symmetry → very strong pattern
Medium (15–24): Good match → reliable signal
Low (5–14): Weak symmetry → use caution
Zero: No symmetry → invalid pattern
2️⃣ Trend Strength (20%)
Uses ADX and DI indicators.
20 pts: Strong trend confirmed (e.g., ADX ≥ 20 + correct DI alignment)
10 pts: Trend filter disabled
6 pts: Weak or sideways trend
3️⃣ Volume Behavior (20%)
Declining volume on second touch is a positive sign (shows exhaustion).
15–20 pts: Clear volume drop → strong signal
10 pts: Neutral volume
6 pts: Rising volume → higher risk of continuation
4️⃣ Pattern Depth (15%)
Deeper patterns = stronger reversals.
12–15 pts: Deep → high reversal power
8–11 pts: Medium → acceptable
<8 pts: Shallow → weak signal
5️⃣ Structural Integrity (15%)
Checks logical structure (e.g., Point 1 > Point 3 in Double Bottom).
12–15 pts: Ideal structure
8–11 pts: Minor flaws
<8 pts: Poor setup
📈 Final Quality Rating & Colors
• 85–100 → ⭐ Excellent
→ Double Bottom: Cyan #00BCD4
→ Double Top: Light Red #FF5252
• 75–84 → ✨ Very Good
• 65–74 → ✓ Good
• 60–64 → ○ Acceptable
→ All use Amber #FFC107
• <60 → ❌ Rejected (not shown)
→ Gray #9E9E9E
🔧 Dynamic Filters
1️⃣ ATR Filter (Volatility Check)
Rejects patterns in abnormally high volatility periods.
→ If current ATR > 1.8 × 50-period ATR MA → pattern rejected
✅ Recommended for crypto, small caps
❌ Optional for calm markets (gold, bonds)
2️⃣ ADX Filter (Trend Confirmation)
Ensures a real trend exists before the pattern.
→ If ADX < 14 (70% of default 20) → pattern rejected
✅ Strongly recommended (keep ON)
3️⃣ Volume Filter (Behavior Validation)
Not used to reject patterns, but strongly affects quality score.
✅ Best for liquid markets (Forex majors, large stocks)
❌ Optional for illiquid assets
⚙️ Key Settings Explained
🔘 General Settings
• Language: Arabic / English
• Show Previous Patterns: Yes / No
→ “No” keeps chart clean; “Yes” for historical review
🔘 Pattern Selection
• Enable Double Bottom: ✅ / ❌
• Enable Double Top: ✅ / ❌
→ Use combinations:
✅✅ → Full reversal scanning
✅❌ → Long setups only
❌✅ → Short setups only
❌❌ → Indicator OFF
🔘 Detection Parameters
• Pivots Left (1–20): Higher = more reliable, fewer patterns
• Pivots Right (1–20): Lower = faster signals
• Min Width (5–100): Min candles between Bottom/Top 1 & 2
• Tolerance % (0.1%–5%): Max allowed price difference
• Min Arm (5–50): Min candles between pivot & neckline
• Min Trend (5–50): Min candles in prior trend
• Trend Lookback (50–500): How far back to detect trend start
• Extension Multiplier (1.0–5.0): How long to wait for breakout
🔘 Quality Settings
• Min Quality Score (0–100):
→ Conservative: 75–85
→ Balanced: 60–70
→ Flexible: 50–55
• Custom Weights: Adjust based on market (e.g., increase Volume weight in Forex)
🔘 Target Settings
• Bottom Bullish Target: Conservative / Balanced / Aggressive
• Bottom Bearish Target: (used on failure)
• Top Bearish Target: Conservative / Balanced / Aggressive
• Top Bullish Target: (used on failure)
🔘 Visual Settings
• Label Size: Small / Normal / Large / Huge
• Pattern Colors: Fully customizable
• Table: Show/Hide + Size (Small/Normal/Large) + Position (Top-Right / Top-Left / Bottom-Right / Bottom-Left)
• Fill Transparency: 70%–95% (default: 85%)
🔔 Alert System (8 Independent Alerts)
📌 Double Bottom Alerts
Bullish Breakout → “Double Bottom Breakout – Bullish!”
Bullish Target Hit → “Bullish Target Achieved!”
Failure (Bearish) → “Double Bottom Failed – Bearish!”
Bearish Target Hit → “Bearish Target Achieved (Failure)!”
📌 Double Top Alerts
Bearish Breakdown → “Double Top Breakdown – Bearish!”
Bearish Target Hit → “Bearish Target Achieved!”
Failure (Bullish) → “Double Top Failed – Bullish!”
Bullish Target Hit → “Bullish Target Achieved (Failure)!”
Each alert can be enabled/disabled independently and supports pop-ups, emails, or webhooks.
⚠️ Disclaimer:
This indicator is for educational and analytical purposes only. It does not constitute financial, investment, or trading advice. Use it in conjunction with your own strategy and risk management. Neither TradingView nor the developer is liable for any financial decisions or losses.
Smart MACD Divergence ScannerOriginal Base Indicator: "CM_MacD_Ult_MTF" by ChrisMoody
This indicator builds upon ChrisMoody's excellent multi-timeframe MACD foundation and transforms it into a professional divergence scanner with advanced quality assessment and filtering capabilities. The original MACD visualization and MTF functionality have been preserved while adding completely new divergence detection, scoring, and filtering systems.
🎯 What Makes This Indicator Unique:
Smart MACD Divergence Scanner is a professional tool for detecting MACD-based divergences with an advanced filtering system and signal quality assessment. Unlike standard divergence indicators, this version includes innovative features:
Adaptive Quality Scoring System — each signal receives a score from 0 to 100 based on multiple factors
Volatility Filter — automatic signal suppression during low market volatility periods
Multi-Timeframe Confirmation — divergence verification on higher timeframe for increased reliability
Divergence Strength Analysis — calculation of percentage difference between price and indicator movement
Information Dashboard — detailed real-time signal statistics
Cooldown System — prevention of multiple consecutive signals
💡 How It Works:
The indicator uses the classic divergence concept — the divergence between price movement and the MACD oscillator. However, instead of simple pivot detection, the algorithm:
Scans the market for local extremes (pivots) on price and MACD histogram
Searches for divergences — when price updates low/high while MACD shows opposite movement
Assesses quality — analyzes divergence strength, volatility, higher timeframe confirmation
Filters noise — eliminates weak signals through threshold system and cooldown
Generates signal — only when all quality criteria are met
🔧 Key Parameters:
MACD Settings: Fast Length (12), Slow Length (26), Signal Length (9)
Divergence Detection: Pivot Lookback (5), Max Lookback Range (60), Min Divergence Strength (15%)
Quality Filters: Min Quality Score (60), Volatility Filter, MTF Confirmation, Signal Cooldown (5)
📊 How to Use:
Add indicator to chart — it will automatically start scanning
Configure filters — start with default settings, then adapt to your trading style
Watch for signals: 🟢 Green "BUY" label = bullish divergence, 🔴 Red "SELL" label = bearish divergence
Check quality score on labels (Q: XX)
Use information panel to monitor statistics and current market conditions
⚙️ Settings Guide:
For swing trading (4H-Daily): Increase Pivot Lookback to 7-10, set Min Quality Score to 70+
For day trading (15m-1H): Keep default settings, enable all filters
For scalping (1m-5m): Decrease Min Quality Score to 50, disable MTF Confirmation
For volatile markets (crypto): Increase Min Divergence Strength to 20-25%, enable Volatility Filter
⚠️ Important Notes:
Divergences are probabilistic signals, not guaranteed reversals
Use additional confirmation (support/resistance levels, volume, price action)
Adjust parameters for specific asset and timeframe
Signals appear with Pivot Lookback bars delay (retrospective confirmation)
On volatile markets, increase Min Quality Score to reduce false signals
QLC v8.4 – GIBAUUM BEAST + ANTI-FAKEOUTQLC v8.4 – GIBAUUM BEAST + ANTI-FAKEOUT
QLC v8.4 — Gibauum Beast Edition (Self-Adaptive Lorentzian Classification + Anti-Fakeout
The most powerful open-source Lorentzian / KNN strategy ever released on TradingView.
Key Features
• True Approximate Nearest Neighbors using Lorentzian Distance (extremely robust to outliers)
• 5 hand-picked, z-score normalized features (RSI, WaveTrend, CCI, ADX, RSI)
• Real-time self-learning engine — the indicator tracks its own past predictions and automatically adjusts Lorentzian Power and number of neighbors (k) to maximize live accuracy
• Live Win-Rate calculation (last 100 strong signals) shown on dashboard
• Super-aggressive early entries on extreme predictions (|Pred| ≥ 12)
• Smart dynamic exits with Kernel + ATR trailing
• Powerful Anti-Fakeout filter — blocks entries on massive volume spikes (stops almost all whale dumps and liquidation cascades)
• SuperTrend + low choppiness + volatility filters → only trades in strong trending regimes
• Beautiful huge arrows + “GOD MODE” label when conviction is nuclear
Performance (real-time monitored on BTC, ETH, SOL 15m–4h)
→ Average live win-rate 74–84 % after the first few hours of adaptation
→ Almost zero false breakouts thanks to the volume-spike guard
Perfect for scalping, day trading and swing trading crypto and major forex pairs.
No repainting | Bar-close confirmed | Works on all timeframes (best 15m–4h)
Enjoy the beast.
Global Liquidity - Impulse (ROC & Z-score) [GMI-style]What it is:
Liquidity is a faucet. When central banks add money, the faucet opens (risk-on). When they pull money out, it closes (risk-off). This indicator builds a global net-liquidity proxy and shows its impulse :
- ROC (green/red histogram): % change vs N weeks ago.
- Z-score (cyan line): how unusually strong the latest weekly move is.
Why it matters:
Liquidity impulse often leads risk assets (equities/crypto) by weeks to a few months.
- Green bars > 0 + positive Z → friendlier risk-on backdrop.
- Red bars < 0 + negative Z → tightening conditions; caution.
Data used (TV Economics / FRED):
USA (FRED, millions USD):
- FRED:WALCL (Fed assets)
- FRED:RRPONTSYD (Reverse Repo – subtract)
- FRED:WTREGEN (Treasury General Account – subtract)
Other CBs (Economics, units vary):
- ECONOMICS:EUCBBS (ECB)
- ECONOMICS:JPCBBS (BoJ)
- ECONOMICS:CNCBBS (PBoC)
Optional:
- ECONOMICS:GBCBBS (BoE, UK)
- ECONOMICS:CACBBS (BoC, Canada)
- ECONOMICS:CHCBBS (SNB, Switzerland)
- ECONOMICS:AUCBBS (RBA, Australia)
Proxy (scaled to billions):
(Fed − RRP − TGA) + ECB + BoJ + PBoC +
How to read:
- Green bars above 0 = faucet opening → money in → risk-on.
- Red bars below 0 = faucet closing → money out → risk-off.
- Taller bar = stronger push.
- Cyan Z > +1 = unusually strong positive impulse; Z < −1 = unusually strong negative impulse.
- Background : green when ROC>0 & Z>0 , red when ROC<0 & Z<0 .
Quick reading guide (TL;DR):
- Early risk-on: ROC crosses > 0 and Z > 0 (ideally Z ≥ +1 ).
- Early risk-off: ROC crosses < 0 and Z < 0 (ideally Z ≤ −1 ).
- Use weekly timeframe; price often reacts with a 0–12 week lag.
- Combine with PMIs/New Orders, real yields (down), and credit spreads (narrowing).
Notes:
Symbols may differ by provider; leave optional banks OFF if missing. Currencies/units differ across CBs; this is a pragmatic proxy, not a perfect macro model. Educational use only; not financial advice.
BTC vs US2000 – Ratio & Spread (BarDai v6 CLEAN)📌 How the Indicator Works
BTC vs US2000 — Ratio & Spread
The indicator shows:
who is stronger right now — crypto-risk (BTC) or equity-risk (US2000 / Russell-2000)
📈 Top Panel — RATIO + Risk Regime Signals
🎯 Ratio (cyan line)
Measures BTC’s relative strength versus US2000:
📈 Ratio rising → BTC outperforming → Risk-ON environment
📉 Ratio falling → BTC underperforming → Risk-OFF environment
📉 EMA (white line)
A smoothed benchmark.
➡ Key signal — when Ratio crosses the EMA
That marks a shift in the risk regime.
🟩🟥 Background Coloring (Risk Mode)
Condition Regime Meaning Trading Logic
Ratio above EMA 🟩 Risk-ON Capital flows into risk assets Favor BTC longs
Ratio below EMA 🟥 Risk-OFF Capital flows out of risk Prefer shorts / hedge / cash
🧭 SpreadNorm — Bottom Panel
🎯 SpreadNorm shows how strong the deviation is:
🟩 Above 0 → BTC risk premium
🟥 Below 0 → Equity-side risk premium (US2000 stronger)
It helps to:
✔ confirm regime signals
✔ filter false crossovers
✔ measure strength of risk move
(Yellow dots mark extreme deviations → mean-reversion potential)
📌 Trading Usage Guide
Scenario Interpretation Action
Ratio above EMA + SpreadNorm green Stable Risk-ON Look for BTC long entries
Ratio below EMA + SpreadNorm red Stable Risk-OFF Avoid aggressive longs
SpreadNorm extreme + yellow dot Reversal potential Take profit / wait for crossover
📌 Best used on 30–60m timeframes for intraday decision making.
🎁 Final Takeaway
The indicator tracks where risk-capital is flowing.
If BTC outperforms equities → we buy BTC.
If BTC underperforms → we don’t buy (or short it).
DEMA ATR Strategy [PrimeAutomation]⯁ OVERVIEW
The DEMA ATR Strategy combines trend-following logic with adaptive volatility filters to identify strong momentum phases and manage trades dynamically.
It uses a Double Exponential Moving Average (DEMA) anchored to ATR volatility bands, creating a self-adjusting trend baseline.
When the adjusted DEMA shifts direction, the strategy enters positions and scales out profit in phases based on ATR-driven targets.
This system adapts to volatility, filters noise, and seeks sustained directional moves.
⯁ KEY FEATURES
DEMA-Volatility Hybrid Filter
Uses Double EMA with ATR expansion/compression logic to form a dynamic trend baseline.
Directional Shift Entries
Entries occur when the adjusted DEMA flips trend (bullish crossover or bearish crossunder vs its past value).
Noise Reduction Mechanism
ATR range caps extreme moves and prevents false flips during choppy volatility spikes.
Multi-Level Take Profits
Targets scale out positions at 1×, 2×, and 3× ATR multiples in the trade direction.
Volatility-Adaptive Targets
ATR multiplier ensures profit targets expand/contract based on market conditions.
Single-Direction Exposure
No pyramiding; the strategy flips position only when trend shifts.
Automated Trade Finalization
When all profit targets trigger, the position is fully closed.
⯁ STRATEGY LOGIC
Trend Direction:
DEMA baseline is modified using ATR upper/lower envelopes.
• If the adjusted DEMA rises above previous value → Bullish
• If it falls below previous value → Bearish
Entry Rules:
• Enter Long when bullish shift occurs and no long position exists
• Enter Short when bearish shift occurs and no short position exists
Take Profit Logic:
3 partial exits for each trade based on ATR:
• TP1 = ±1× ATR
• TP2 = ±2× ATR
• TP3 = ±3× ATR
Profit distribution: 30% / 30% / 40%
Exit Conditions:
• Exit when all TPs hit (full scale-out if sum of all TPs 100%)
• Opposite trend signal closes current trade and opens new one
⯁ WHEN TO USE
Trending environments
Medium–high volatility phases
Swing trading and intraday trend plays
Markets that respect momentum continuation (crypto, indices, FX majors)
⯁ CONCLUSION
This strategy blends DEMA trend recognition with ATR-based volatility adaptation to generate cleaner directional entries and structured take-profit exits. It is designed to capture momentum phases while avoiding noise-driven false signals, delivering a disciplined and scalable trend-following approach.
Dimagi72 Trend Suite (EMA/SMA + 52W + Cross Signals)Dimagi72 Trend Suite is an advanced trend analysis tool designed to give traders a clear picture of market direction, momentum, and major structural turning points.
It combines the most reliable long-term and short-term signals into one clean, easy-to-read indicator.
Features
• EMA9 & EMA21 for short-term momentum
• SMA50, SMA100, SMA200 for medium & long-term trend structure
• 52-Week High & Low levels for institutional support/resistance
• Golden Cross / Death Cross signals (SMA50 vs SMA200)
• Trend Strength Meter, shown directly on the chart
• Clean labels without clutter
• Designed for crypto, stocks, and forex on all timeframes (best on Daily)
How it works
The indicator measures alignment between EMAs and SMAs, tracks long-term institutional levels, and highlights major trend reversals through cross signals.
The Trend Strength Meter calculates a score from -4 to +4, making trend direction instantly visible.
Why use this indicator
This suite brings together the most widely used trend-following tools into one unified system.
It helps traders quickly determine when the market is bullish, bearish, or neutral — and when major reversals may be forming.
Best for:
Swing traders, long-term trend followers, crypto traders, and anyone who wants a clean visual overview of the trend without using multiple separate indicators.
Tags (use these to show up in search)
trend
ema
sma
trend-following
golden cross
death cross
momentum
trend strength
52 week high
crypto
stocks
market structure
Ultimate Multi-Asset Correlation System by able eiei Ultimate Multi-Asset Correlation System - User Guide
Overview
This advanced TradingView indicator combines WaveTrend oscillator analysis with comprehensive multi-asset correlation tracking. It helps traders understand market relationships, identify regime changes, and spot high-probability trading opportunities across different asset classes.
Key Features
1. WaveTrend Oscillator
Main Signal Lines: WT1 (blue) and WT2 (red) plot momentum and its moving average
Overbought/Oversold Zones: Default levels at +60/-60
Cross Signals:
🟢 Bullish: WT1 crosses above WT2 in oversold territory
🔴 Bearish: WT1 crosses below WT2 in overbought territory
Higher Timeframe (HTF) Analysis: Shows WT1 from 4H, Daily, and Weekly timeframes for trend confirmation
2. Multi-Asset Correlation Tracking
Monitors relationships between:
Major Assets: Gold (XAUUSD), Dollar Index (DXY), US 10-Year Yield, S&P 500
Crypto Assets: Bitcoin, Ethereum, Solana, BNB
Cross-Asset Analysis: Correlation between traditional markets and crypto
3. Market Regime Detection
Automatically identifies market conditions:
Risk-On: High correlation + positive sentiment (🟢 Green background)
Risk-Off: High correlation + negative sentiment (🔴 Red background)
Crypto-Risk-On: Strong crypto correlations (🟠 Orange background)
Low-Correlation: Divergent market behavior (⚪ Gray background)
Neutral: Mixed signals (🟡 Yellow background)
How to Use
Basic Setup
Add to Chart: Apply the indicator to any chart (works on all timeframes)
Choose Display Mode (Display Options):
All: Shows everything (recommended for comprehensive analysis)
WaveTrend Only: Focus on momentum signals
Correlation Only: View market relationships
Heatmap Only: Simplified correlation view
Enable Asset Groups:
✅ Major Assets: Traditional markets (stocks, bonds, commodities)
✅ Crypto Assets: Digital currencies
Mix and match based on your trading focus
Reading the Charts
WaveTrend Section (Bottom Panel)
Above 0 = Bullish momentum
Below 0 = Bearish momentum
Above +60 = Overbought (potential reversal)
Below -60 = Oversold (potential bounce)
Lighter lines = Higher timeframe trends
Correlation Histogram (Colored Bars)
Blue bars: Major asset correlations
Orange bars: Crypto correlations
Purple bars: Cross-asset correlations
Bar height: Correlation strength (-50 to +50 scale)
Background Color
Intensity reflects correlation strength
Color shows market regime
Dashboard Elements
🎯 Market Regime Analysis (Top Left)
Current Regime: Overall market condition
Average Correlation: Strength of relationships (0-1 scale)
Risk Sentiment: -100% (risk-off) to +100% (risk-on)
HTF Alignment: Multi-timeframe trend agreement
Signal Quality: Confidence level for current signals
📊 Correlation Matrix (Top Right)
Shows correlation values between asset pairs:
1.00: Perfect positive correlation
0.75+: Strong correlation (🟢 Green)
0.50+: Medium correlation (🟡 Yellow)
0.25+: Weak correlation (🟠 Orange)
Below 0.25: Negative/no correlation (🔴 Red)
🔥 Correlation Heatmap (Bottom Right)
Visual matrix showing:
Gold vs. DXY, BTC, ETH
DXY vs. BTC, ETH
BTC vs. ETH
Color-coded strength
📈 Performance Tracker (Bottom Left)
Tracks individual asset momentum:
WT1 Values: Current momentum reading
Status: OB (overbought) / OS (oversold) / Normal
Trading Strategies
1. High-Probability Trend Following
✅ Entry Conditions:
WaveTrend bullish/bearish cross
HTF Alignment matches signal direction
Signal Quality > 70%
Correlation supports direction
2. Regime Change Trading
🎯 Watch for regime shifts:
Risk-Off → Risk-On = Consider long positions
High correlation → Low correlation = Reduce position size
Crypto-Risk-On = Focus on crypto longs
3. Divergence Trading
🔍 Look for:
Strong correlation breakdown = Potential volatility
Cross-asset correlation surge = Follow the leader
Volume-price correlation extremes = Trend confirmation
4. Overbought/Oversold Reversals
⚡ Trade reversals when:
WT crosses in extreme zones (-60/+60)
HTF alignment shows opposite trend weakening
Correlation confirms mean reversion setup
Customization Tips
Fine-Tuning Parameters
WaveTrend Core:
Channel Length (10): Lower = more sensitive, Higher = smoother
Average Length (21): Adjust for your timeframe
Correlation Settings:
Length (50): Longer = more stable, Shorter = more responsive
Smoothing (5): Reduce noise in correlation readings
Market Regime:
Risk-On Threshold (0.6): Lower = earlier regime signals
High Correlation Threshold (0.75): Adjust sensitivity
Custom Asset Selection
Replace default symbols with your preferred markets:
Major Assets: Any forex, indices, bonds
Crypto: Any digital currencies
Must use correct exchange prefix (e.g., BINANCE:BTCUSDT)
Alert System
Enable "Advanced Alerts" to receive notifications for:
✅ Market regime changes
✅ Correlation breakdowns/surges
✅ Strong signals with high correlation
✅ Extreme volume-price correlation
✅ Complete HTF alignment
Correlation Interpretation Guide
ValueMeaningTrading Implication+0.75 to +1.0Strong positiveAssets move together+0.5 to +0.75Moderate positiveGenerally aligned+0.25 to +0.5Weak positiveLoose relationship-0.25 to +0.25No correlationIndependent movements-0.5 to -0.25Weak negativeSlight inverse relationship-0.75 to -0.5Moderate negativeTend to move opposite-1.0 to -0.75Strong negativeStrongly inversely correlated
Best Practices
Use Multiple Timeframes: Check HTF alignment before trading
Confirm with Correlation: Strong signals work best with supportive correlations
Watch Regime Changes: Adjust strategy based on market conditions
Volume Matters: Enable volume-price correlation for confirmation
Quality Over Quantity: Trade only high-quality setups (>70% signal quality)
Common Patterns to Watch
🔵 Risk-On Environment:
Gold-BTC positive correlation
DXY negative correlation with risk assets
High crypto correlations
🔴 Risk-Off Environment:
Flight to safety (Gold up, stocks down)
DXY strength
Correlation breakdowns
🟡 Transition Periods:
Low correlation across assets
Mixed HTF signals
Use caution, reduce position sizes
Technical Notes
Calculation Period: Uses HLC3 (average of high, low, close)
Correlation Window: Rolling correlation over specified length
HTF Data: Accurately calculated using security() function
Performance: Optimized for real-time calculation on all timeframes
Support
For optimal performance:
Use on 15-minute to daily timeframes
Enable only needed asset groups
Adjust correlation length based on trading style
Combine with your existing strategy for confirmation
Enjoy comprehensive multi-asset analysis! 🚀
CSS_LFU_v0.1Overview:
A multi-factor, market-adaptive swing strategy designed for intraday and short-term crypto trading. It synthesizes momentum, volatility, and trend signals into a unified composite score over a configurable lookback window. The strategy leverages a modular, signal-weighted approach to ensure robust entry timing while remaining compatible with human-in-the-loop validation and algorithmic execution.
Core Modules:
AJFFRSI (RSX-based Momentum): Measures smoothed price momentum with noise-reduction filters to detect crossovers relative to the QQE trailing stop.
QQE (Quantitative Qualitative Easing RSI): A modified RSI with a dynamic trailing stop that adapts to short-term volatility, identifying exhaustion and potential reversal points.
Keltner Channel Zones: Determines overextension relative to trend, providing buy/sell zones based on ATR-banded EMA.
WaveTrend Oscillator: Confirms short-term swings and market direction through smoothed oscillator cross signals.
Rolling Composite Score: Aggregates module signals over a unified lookback (e.g., 144 bars) to normalize noise and capture consistent trends.
Signal Logic:
Each module outputs a discrete score (+1 / 0 / -1).
The rolling composite score sums all module scores over the lookback period.
Long positions trigger when the rolling score meets or exceeds the long threshold.
Short positions trigger when the rolling score meets or falls below the short threshold.
Multi-dimensional signal aggregation reduces false positives from single indicators.
Rolling lookback ensures score normalization across different volatility regimes.
Highly modular: easy to adapt modules or weights to different instruments or timeframes.
Fully compatible with automated execution pipelines, including custom exchange screener bots.
Use Case:
Ideal for quant-driven altcoin or multi-asset strategies where high-frequency validation is critical and sequential module weighting enhances trend flip detection.
Support & Resistance Zone Hunter [BOSWaves]Support & Resistance Zone Hunter - Dynamic Structural Zones with Real-Time Breakout Intelligence
Overview
The Support & Resistance Zone Hunter is a professional-grade structural mapping framework designed to automatically detect high-probability support and resistance areas in real time. Unlike traditional static levels or manually drawn zones, this system leverages pivot detection, range thresholds, and optional volume validation to create dynamic zones that reflect the true structural architecture of the market.
Zones evolve as price interacts with their boundaries. The first touch of a zone determines its bias - bullish, bearish, or neutral - and the system tracks the full lifecycle of each zone from formation, testing, and bias establishment to potential breakout events. Diamond-shaped breakout signals highlight structurally significant price expansions while filtering noise using a configurable cooldown period.
By visualizing market structure in this way, traders gain a deeper understanding of price behavior, trend momentum, and areas where liquidity and reactive forces are concentrated.
Theoretical Foundation
The Support & Resistance Zone Hunter is built on the premise that meaningful structural zones arise from two core principles:
Pivot-Based Turning Points : Only significant highs and lows that represent actual swings in price are considered.
Contextual Validation : Zones must pass minimum range criteria and optional volume thresholds to ensure their relevance.
Markets naturally generate numerous micro-pivots that do not carry predictive significance. By filtering out minor swings and validating zones against volume and range, the system isolates levels that are more likely to attract future price interaction or act as catalysts for breakout moves.
This framework captures not only where price is likely to react but also the direction of potential pressure, providing a statistically grounded, visually intuitive representation of market structure.
How It Works
The Support & Resistance Zone Hunter constructs zones through a multi-layered process that blends pivot logic, range validation, and real-time bias determination:
1. Pivot Detection Core
The indicator identifies pivot highs and pivot lows using a configurable lookback period. Zones are only considered valid when both a top and bottom pivot are present.
2. Zone Qualification Engine
Prospective zones must satisfy two conditions:
Range Threshold : The distance between pivot high and low must exceed the minimum percentage set by the user.
Volume Requirement : If enabled, the current volume must exceed the 50-period moving average.
Only zones meeting these criteria are drawn, reducing noise and emphasizing high-probability structural levels.
3. Zone Lifecycle
Once a valid top and bottom pivot exist:
The zone is created starting from the pivot formation bar.
Zones remain active until both boundaries have been touched by price.
The first boundary touched establishes bias: resistance first → bullish bias ,support first → bearish bias, neither → neutral.
Inactive zones stop expanding but remain visible historically to maintain a clear structural context.
4. Visual Rendering
Active zones are displayed as filled boxes with color corresponding to their bias. Top, bottom, and midpoint lines are drawn for reference. Once a zone becomes inactive, its lines are removed while the filled box remains as a historical footprint.
5. Breakout Detection
Breakout signals occur when price closes above the top boundary or below the bottom boundary of an active zone. The system applies a cooldown period and requires price to return to the zone since the previous breakout to prevent signal spam. Bullish and bearish breakouts are visually represented by diamond-shaped markers with configurable colors.
Interpretation
The Support & Resistance Zone Hunter provides a structural view of market balance:
Bullish Zones : Form when resistance is tested first, indicating upward pressure and potential continuation.
Bearish Zones : Form when support is tested first, reflecting downward pressure and continuation risk.
Neutral Zones : Fresh zones that have not yet been interacted with, representing undiscovered liquidity.
Breakout Diamonds : Highlight significant structural price expansions, helping traders identify confirmed continuation moves while filtering noise.
Zones do not simply indicate past levels; they dynamically reflect the evolving battle between buyers and sellers, providing actionable context for both trend continuation and reversion strategies.
Strategy Integration
The Support & Resistance Zone Hunter is versatile and can be applied across multiple trading approaches:
Trend Continuation : Use bullish and bearish zones to confirm directional bias. Breakout diamonds indicate structural continuation opportunities.
Reversion Entries : Neutral zones often act as magnets in ranging markets, allowing for high-probability mean-reversion setups.
Breakout Trading : Diamonds mark true structural expansions, reducing false breakout risk and guiding stop placement or momentum entries.
Liquidity Zone Alignment : Combining the indicator with order block, breaker, or volume-based tools helps validate zones against broader market participation.
Technical Implementation Details
Pivot Engine : Two-sided pivot detection based on configurable lookback.
Zone Qualification : Minimum range requirement and optional volume filter.
Bias Logic : Determined by the first boundary touched.
Zone Lifecycle : Active until both boundaries are touched, historical visibility retained.
Breakout Signals : Diamond markers with cooldown filtering and price-return validation.
Visuals : Transparent filled zones with live top, bottom, and midpoint lines.
Suggested Optimal Parameters
Pivot Lookback : 10 - 30 for intraday, 20 - 50 for swing trading.
Minimum Range % : 0.5 - 2% for crypto or indices, 1 - 3% for metals or forex.
Volume Filter : Enable for assets with inconsistent liquidity; disable for consistently liquid markets.
Breakout Cooldown : 5 - 20 bars depending on volatility.
These suggested parameters should be used as a baseline; their effectiveness depends on the asset and timeframe, so fine-tuning is expected for optimal performance.
Performance Characteristics
High Effectiveness:
Markets with clear pivot structure and reliable volume.
Trending symbols with consistent retests.
Assets where zones attract repeated price interaction.
Reduced Effectiveness:
Random walk markets lacking structural pivots.
Low-volatility periods with minimal price reaction.
Assets with irregular volume distribution or erratic price action.
Integration Guidelines
Use zone color as contextual bias rather than a standalone signal.
Combine with structural tools, order blocks, or volume-based indicators for confluence.
Validate zones on higher timeframes to refine lower timeframe entries.
Treat breakout diamonds as confirmation of continuation rather than independent triggers.
Disclaimer
The Support & Resistance Zone Hunter provides structural zone mapping and breakout analytics. It does not predict price movement or guarantee profitability. Success requires disciplined risk management, proper parameter calibration, and integration into a comprehensive trading strategy.
Altseason IndexDescription of the "Altseason Index" Indicator
The Altseason Index is a powerful and visually minimalist tool designed to objectively identify the onset and conclusion of an "altseason" in the cryptocurrency market. Moving beyond subjective speculation, this indicator employs a clear, mathematical methodology by comparing the performance of a broad basket of altcoins against Bitcoin.
🎯 Core Concept and Utility
An "Altseason" is a market period where altcoins (cryptocurrencies other than Bitcoin) consistently yield higher returns than BTC. This indicator empowers traders and investors to:
Objectively Identify Market Cycles: Precisely pinpoint when capital is actively rotating from Bitcoin into altcoins and vice versa.
Make Data-Driven Decisions: Adjust their strategy in a timely manner: increasing exposure to altcoins during an altseason or rotating back into BTC upon its conclusion.
Avoid Emotional Pitfalls: Steer clear of FOMO (Fear Of Missing Out) and base decisions on hard data rather than market noise.
⚙️ How the Calculation Works
1. Asset Selection: The indicator tracks the performance of 15 leading altcoins across various market segments (Layer 1s, DeFi, Meme, Payments), ensuring a representative sample.
2. Performance Comparison: For each altcoin, the percentage price change over the user-defined lookback period (default: 90 days) is calculated. This performance is then compared to BTC's performance over the same period.
3. Counting the "Outperformers": The index counts the number of altcoins that have "outperformed" BTC.
4. Calculating the Index: The Altseason Index value is the percentage of altcoins in the basket that are outperforming BTC. For example, a value of 60% means that 9 out of the 15 coins performed better than Bitcoin.
🛠️ Indicator Settings
The settings are kept simple and intuitive, allowing you to customize the indicator to your strategy:
Lookback Period (days) (Default: 90):
- Defines the time horizon for the performance calculation.
- Shorter Periods (30-60 days) react faster to new trends but may produce more false signals.
- Longer Periods (90-180 days) provide smoother and more reliable signals, capturing sustained macro-trends.
Altseason Threshold (%) (Default: 75%):
- This is the key parameter that defines what index value constitutes an official "altseason."
- A threshold of 75% means an altseason is declared when at least 11 out of the 15 altcoins (75%) are outperforming BTC.
- You can increase the threshold (e.g., to 85%) for more conservative and stronger signals, or decrease it (e.g., to 65%) for earlier entries.
📊 Interpreting the Readings and Signals
The indicator uses a clear color-coding system and levels for easy interpretation:
🔴 < 30%: "BTC SEASON"
Bitcoin is dominating. The market is in risk-off mode or a state of anticipation. Growth is concentrated in BTC.
⚪ 30% - 49%: "NEUTRAL"
A transitional phase. The market is uncertain. Some alts show strength, but there is no unified trend.
🔵 50% - 74%: "BULLISH"
Growing strength in altcoins. Capital is beginning to rotate actively. This can be an early stage of an altseason.
🟢 ≥ 75% (or your custom threshold): "ALTSEASON"
The active altseason phase. The vast majority of altcoins are rising faster than BTC. This is the period of maximum potential returns for alts.
Signal Markers:
Green Dot: Signals the potential start of an altseason (the index crosses above the threshold).
Red Dot: Signals the potential end of an altseason (the index crosses below the threshold).
ℹ️ Information Panel
The chart displays two clean information panels:
1. Main Info Label:
Current index value (e.g., ⟠ 80%).
Market status (ALTSEASON, BULLISH, etc.).
The ratio of outperforming altcoins (11/15 alts).
2. Dominance & Market Cap Panel:
Alts: Altcoin Dominance (the market cap share of all coins except BTC).
BTC: Bitcoin Dominance.
Market: Total cryptocurrency market capitalization in billions of USD. This helps assess the overall market context (bullish/bearish).
💎 Conclusion
The Altseason Index is your strategic companion for navigating the crypto markets. It transforms the complex task of identifying market cycles into a simple and visual process. Use it to confirm broad market trends, identify potential entry and exit points, and, most importantly, to maintain discipline in your trading strategy by filtering out noise and emotion.
Disclaimer: This indicator is a tool for analysis and does not constitute investment advice. All trading decisions are taken at your own risk.
Reversal Candlestick Setups (Doji, Outside, Extreme, Wick)Reversal Candlestick Setups – Doji, Outside, Extreme & Wick
This indicator identifies four high-probability reversal candlestick patterns across all timeframes: Doji Reversals, Outside Reversals, Extreme Reversals, and Wick Reversals. Each setup is based on clearly defined quantitative rules, allowing traders to filter noise and focus on strong reversal signals instead of relying on subjective visual interpretation.
The tool automatically scans every candle, highlights qualifying patterns on the chart, and provides alert options for both bullish and bearish versions of all four setups. This makes it suitable for intraday traders, swing traders, and positional traders seeking early reversal confirmation.
Included Setups
1. Doji Reversal Setup
Identifies candles with extremely small bodies relative to their range, combined with a smaller-than-average bar size. Useful for spotting market indecision before a directional shift.
2. Outside Reversal Setup
Flags candles that engulf the previous candle’s high–low range and exceed the average range by a multiplier. This is designed to capture strong momentum reversals driven by aggressive buying or selling.
3. Extreme Reversal Setup
Highlights large-bodied candles that dominate their overall range and exceed twice the average bar size. These signals aim to catch climactic exhaustion and institutional-level reversals.
4. Wick Reversal Setup
Detects candles with long rejection wicks, small bodies, and closes near an extreme of the range, supported by above-average bar size. Ideal for identifying sharp intrabar rejections.
Key Features
• Automatically detects all four reversal setups
• Works on all timeframes and symbols
• Customizable variables for deeper testing and optimization
• Clear bullish and bearish labels directly on the chart
• Fully integrated alert conditions for real-time notifications
• Suitable for crypto, stocks, indices, forex, and commodities
Who This Indicator Is For
• Traders who want objective, rule-based reversal detection
• Price action traders looking to enhance accuracy
• Systematic traders wanting quantifiable candlestick criteria
• Beginners learning reversal structures with visual guidance
• Professionals integrating reversal patterns into algorithmic or discretionary systems
How to Use
Add the indicator to your chart and enable alerts for the specific setups you want to track (e.g., “Bullish Wick Reversal”). Combine these signals with market structure, trend filters, volume analysis, or momentum indicators for increased conviction.
BTC Risk Metric DCA Adapter (3Commas Webhook Strategy)Risk Metric DCA Adapter (3Commas Webhook Strategy) - WORK IN PROGRESS
This Pine Script strategy, originally inspired by the Risk Metric Indicator, is fundamentally engineered as an Adapter to interface with external trading bots like 3Commas via Webhooks. It calculates a dynamic market risk score and translates that score into specific dollar-cost averaging (DCA) entry levels and tiered profit-taking exits.
Key Features & Logic
Risk Metric Calculation (Credit to The Trading Parrot):
The strategy incorporates a complex, multi-timeframe Risk Metric calculation based on daily and weekly moving averages (SMA) and standard deviation (StDev). This metric aims to quantify the current market overextension or compression relative to long-term historical data. The resulting score dictates the level of conviction for a new trade.
Tiered DCA Entry Sizing:
The strategy defines three distinct Buy Levels (L1, L2, L3) corresponding to increasingly favorable (lower) Risk Metric scores.
L1 (Base): Risk is moderate, initiating the minimum defined trade amount.
L2 (Scaled): Risk is low, initiating L1 amount + L2 amount.
L3 (Aggressive): Risk is very low, initiating L1 + L2 + L3 amounts.
Tiered Profit-Taking Exits:
The strategy implements a staggered, partial profit-taking approach based on the Risk Metric rising:
Sell L1 & L2: Closes a percentage of the current position when the Risk Metric reaches defined high thresholds, locking in partial profits.
Sell L3 (Full Exit): Closes the remaining position when the Risk Metric reaches the highest defined threshold.
The Adapter Function (Webhook Integration)
This script is unique because it uses the Pine Script strategy() function to trigger Order Fills, which are necessary to access powerful placeholders in the TradingView alert system.
Trigger Type: The alert must be set to trigger on Any order fill.
Dynamic Webhook Data: Instead of using fixed alert() commands, the strategy generates dynamic labels (e.g., BUY_ENTRY_L3_USD_1000 or SELL_L1_PCT_25) using the strategy.entry and strategy.close commands.
Data Transfer: The alert message then uses the placeholder {{strategy.order.comment}} to pass these dynamic labels to the 3Commas bot, allowing the bot to execute the precise action (e.g., start_deal_with_volume_in_quote_currency or close_deal_at_market_percentage).
Full Strategy Webhook payload
{
"secret": "YOUR_3COMMAS_SECRET_KEY",
"max_lag": "300",
"timestamp": "{{timenow}}",
"trigger_price": "{{close}}",
"tv_exchange": "{{exchange}}",
"tv_instrument": "{{ticker}}",
"action": "{{strategy.order.action}}",
"bot_uuid": "YOUR_BOT_UUID",
"strategy_info": {
"market_position": "{{strategy.market_position}}",
"market_position_size": "{{strategy.market_position_size}}",
"prev_market_position": "{{strategy.prev_market_position}}",
"prev_market_position_size": "{{strategy.prev_market_position_size}}"
},
"order": {
"amount": "{{strategy.order.contracts}}",
"currency_type": "base",
"comment": "{{strategy.order.comment}}"
}
}
Disclaimer: This script is an adapter tool and does not guarantee profit. Trading requires manual configuration of risk settings, bot parameters, and adherence to platform-specific setup instructions.
