S&R Precision Cloud by Dr. Abiram Sivprasad -4 directional bias

20 Sep

Description of the Script

**Script Name:** S&R Precision Cloud by Dr. Abhiram Sivprasad

**Overview:**
This script is designed to identify key support and resistance levels using the Central Pivot Range (CPR) methodology along with daily, weekly, and monthly pivots. It incorporates the Lagging Span from the Ichimoku Cloud to enhance decision-making in trading strategies for intraday, swing, and long-term positions mainly for directional bias.

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### Key Components:

1. **Central Pivot Range (CPR):**
- **Central Pivot (CP):** Calculated as the average of the high, low, and close prices. This serves as a reference point for price action.
- **Below Central Pivot (BC) and Top Central Pivot (TC):** Derived to create a range that aids in identifying support and resistance levels.

2. **Support and Resistance Levels:**
- The script computes three support (S1, S2, S3) and resistance (R1, R2, R3) levels based on the Central Pivot.
- These levels are plotted for daily, weekly, and monthly time frames, providing traders with multiple reference points.

3. **Lagging Span:**
- The Lagging Span is plotted as the closing price shifted backward by 26 periods (as per Ichimoku settings).
- This serves as a filter for trade entries, where positions should only be taken in the direction opposite to where the price is relative to this line.

4. **User Inputs:**
- The script allows customization through checkboxes to plot daily, weekly, and monthly support and resistance levels as needed.
- Users can choose whether to display CPR and various support/resistance levels for better visual clarity.

5. **Color Coding:**
- The support and resistance lines are color-coded to distinguish between different levels (green for support, red for resistance, and blue for pivots).

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### Trading Strategies:

- **Intraday Trading:**
- Utilize price movements around the Lagging Span and support/resistance levels for quick trades.

- **Swing Trading:**
- Identify potential reversal points at S2 and R2 levels, confirmed by divergences in price movement.

- **Long-Term Trading:**
- Monitor price behavior against the Lagging Span and significant pivot levels to capture longer trends.

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### Summary:
This script equips traders with essential tools for technical analysis by clearly defining critical price levels and incorporating the Lagging Span for directional bias. It is suitable for various trading styles, including intraday, swing, and long-term strategies, making it a versatile addition to any trader’s toolkit.