20-day High Breakout

11 JulOverview:
The 20-day High Breakout Indicator is a very simple yet powerful tool designed for traders seeking to capitalize on significant price movements in the stock market. This indicator identifies potential buy and sell signals based on a stock's 20-day high breakout levels, making it an essential addition to your trading strategy.

Key Features:

• Swing Period Input: Customize the swing period to your preferred number of days, with a default of 20 days, allowing flexibility based on your trading style.
  
• Trailing Stop Level: Automatically calculates the trailing stop level based on the highest high and lowest low within the defined swing period, helping to manage risk and lock in profits.
  
• Buy and Sell Signals: Generates clear buy signals when the price crosses above the trailing stop level and sell signals when the price crosses below, enabling timely entries and exits.
  
• Visual Indicators: Plots buy signals as green upward triangles below the bars and sell signals as red downward triangles above the bars, providing easy-to-interpret visual cues directly on the chart.
  

How It Works:

• Resistance and Support Levels: The indicator calculates the highest high (resistance) and lowest low (support) over the defined swing period.
  
• Swing Direction: It determines the market direction by comparing the current closing price to the previous resistance and support levels.
  
• Trailing Stop Calculation: Depending on the market direction, the trailing stop level is set to either the support or resistance level.
  
• Signal Generation: Buy and sell signals are generated based on the crossover of the closing price and the trailing stop level, filtered to ensure only valid signals are displayed.
  
• Visual Representation: The trailing stop level is plotted as a line, and buy/sell signals are marked with respective shapes for easy identification.
  

Usage:

• Trend Following: Ideal for traders looking to follow trends and catch significant breakouts in the stock price.
  
• Risk Management: Helps in managing risk by providing a trailing stop level that adjusts with market movements.
  
• Visual Clarity: The clear visual signals make it easy for traders to interpret and act upon the indicator's signals.
  
• Add the 20-day High Breakout Indicator to your TradingView charts to enhance your trading strategy and gain an edge in identifying profitable trading opportunities.