WillStop Pro [tradeviZion]

24 Okt 2024

WillStop Pro [tradeviZion]: A Step-by-Step Guide for Beginners to Master Trend Trading

Welcome to an in-depth guide to the WillStop Pro [tradeviZion] indicator. This article will walk you through the key features, how to use them effectively, and how this tool can help you navigate the markets confidently. WillStop Pro is based on principles established by Larry Williams, a well-known figure in trading, and aims to help you manage trades more effectively without overcomplicating things.

This guide will help you understand the basics of the WillStop Pro indicator, how to interpret its signals, and how to use it step-by-step to manage risk and identify opportunities in your trading journey. We will also cover the underlying logic and calculations for advanced users interested in more details.

What is the WillStop Pro Indicator?

The WillStop Pro [tradeviZion] indicator is a user-friendly tool that helps traders establish stop levels dynamically. It helps you figure out optimal points to enter or exit trades, while managing risk effectively during changing market conditions. The indicator tracks trending markets and sets price levels as stops for ongoing trades, making it suitable both for deciding when to enter and exit trades.

The indicator is beginner-friendly because it simplifies complex calculations and presents the results visually. This allows traders to focus more on their decision-making process instead of spending time with complex analysis.

WillStop Pro adapts to different market conditions, whether you're trading stocks, forex, commodities, or cryptocurrencies. It adjusts stop levels dynamically based on current market momentum, providing a practical way to manage both risk and reward.

Another significant benefit of WillStop Pro is that it works well with other indicators. Beginners can use it on its own or combine it with other tools like moving averages or oscillators to form a comprehensive trading strategy. Whether you are trading daily or looking at longer-term trends, WillStop Pro helps you manage your trades effectively.

Key Features of WillStop Pro

1. Dynamic Stop Levels: WillStop Pro calculates real-time stop levels for both long (buy) and short (sell) positions. This helps you protect your profits and reduce risk. The stop levels adjust based on the current market environment, making them more adaptable compared to fixed stop levels.
   
2. Advanced Stop Settings: There are optional settings to make the stop calculations more advanced, which take into consideration previous price movements to refine where the stops should be placed. These settings provide more precise control over your trades.
   
3. Break Signals and Alerts: The indicator provides visual signals, like arrows, to show when a stop level has been broken. This makes it easier for you to identify possible reversals and understand when the market direction is changing.
   
4. Comprehensive Table Display: A small table on the chart shows the current trend, the stop level, and whether advanced mode is active. This simple display provides an overview of the market, making decision-making easier.
   
5. Based on Larry Williams' Methodology: WillStop Pro builds upon Larry Williams' ideas, which are designed to capture major market trends while managing risk effectively. It provides a systematic way to follow these strategies without requiring deep technical analysis skills.
   

How Are Stop Levels Calculated? (For Advanced Users)

The WillStop Pro indicator determines stop levels by evaluating highs, lows, and closing prices over a specific lookback period. It uses this information to identify key points that justify adjusting your stop level, and there are separate approaches for both long and short positions.

Below, we explain the mathematical logic behind the stop calculations, along with some code snippets to give advanced users a clearer understanding.

• For Long Stops (buy positions): The indicator looks for the highest closing price within the lookback period and continues until it finds three valid bars that meet certain criteria. Stops are adjusted to skip bars that have consecutive upward closes to ensure that the stop is placed at a level that offers solid support. Specifically, the function iterates over recent bars to determine the highest closing value, and checks for specific conditions before finalizing the stop level. Here is an excerpt of the relevant code:
  

getTrueLow(idx) => math.min(low[idx], close[idx + 1])

findStopLevels() =>
    float highestClose = close
    int highestCloseIndex = 0
    
    for i = 0 to lookback
        if close > highestClose
            highestClose := close
            highestCloseIndex := i

    // Logic to adjust based on up close skipping
    int longCount = 0
    int longCurrentIndex = highestCloseIndex
    while longCount < 3 and longCurrentIndex < 100
        if not isInsideBar(longCurrentIndex)
            longCount += 1
        longCurrentIndex += 1

    // Determine the lowest low for the stop level
    float longStopLevel = high * 2
    for i = searchIndex to highestCloseIndex
        longStopLevel := math.min(longStopLevel, getTrueLow(i))

    // Apply offset
    longStopLevel := longStopLevel - (offsetTicks * tickSize)

In this code snippet, the function findStopLevels() calculates the long stop level by first identifying the highest close within the lookback period and then finding a suitable support level while skipping certain conditions, such as inside bars or consecutive upward closes. Finally, the user-defined offset (offsetTicks) is applied to determine the stop level.

• For Short Stops (sell positions): Similarly, the indicator finds the lowest closing price within the lookback period and then identifies three bars that fit the conditions for a short stop. It avoids using bars with consecutive down closes to help find a more robust resistance level. Here's a relevant code snippet:
  

getTrueHigh(idx) => math.max(high[idx], close[idx + 1])

findStopLevels() =>
    float lowestClose = close
    int lowestCloseIndex = 0
    
    for i = 0 to lookback
        if close < lowestClose
            lowestClose := close
            lowestCloseIndex := i

    // Logic to adjust based on down close skipping
    int shortCount = 0
    int shortCurrentIndex = lowestCloseIndex
    while shortCount < 3 and shortCurrentIndex < 100
        if not isInsideBar(shortCurrentIndex)
            shortCount += 1
        shortCurrentIndex += 1

    // Determine the highest high for the stop level
    float shortStopLevel = 0
    for i = searchIndex to lowestCloseIndex
        shortStopLevel := math.max(shortStopLevel, getTrueHigh(i))

    // Apply offset
    shortStopLevel := shortStopLevel + (offsetTicks * tickSize)

Here, findStopLevels() calculates the short stop level by finding the lowest closing price within the lookback period. It then determines the highest value that acts as a resistance level, excluding bars that do not fit certain criteria.

• Volume Confirmation for Alert Accuracy: To further enhance the stop level accuracy, volume is used as a confirmation filter. The average volume (volAvg) is calculated over a 20-period moving average, and alerts are only generated if the volume exceeds a defined threshold (volMultiplier). This ensures that price movements are significant enough to consider as meaningful signals.
  

volAvg = ta.sma(volume, 20)
isVolumeConfirmed() =>
    result = requireVolumeConfirmation ? volume > (volAvg * volMultiplier) : true
    result

This additional logic ensures that stop level breaks or adjustments are not triggered during periods of low trading activity, thus enhancing the reliability of the generated signals.

These calculations are at the core of WillStop Pro's ability to determine dynamic stop levels that respond effectively to market movements, helping traders manage risk by placing stops at levels that make sense given historical price and volume data.

How to Identify Opportunities with WillStop Pro
WillStop Pro provides various signals that help you decide when to enter or exit a trade:

• When a Stop Level is Broken: If a stop level (support for long positions or resistance for short positions) is broken, it may indicate a reversal. WillStop Pro visually plots arrows whenever a stop level is breached, making it easy for you to see where changes might occur. This feature helps traders identify momentum shifts quickly.
  
• Support and Resistance Levels: The indicator plots support and resistance levels, which show key zones to watch for opportunities. These levels often act as psychological barriers in the market, where price action may either reverse or stall temporarily.
  
• Dynamic State Management: The indicator shifts between long and short states based on price action, providing real-time feedback. This helps traders stick to their trading plan without second-guessing the market.
  

A major advantage of WillStop Pro is that it responds well to changing market conditions. By identifying when key support or resistance levels break, it allows you to adjust your strategies and react to new opportunities accordingly. Whether the market is trending strongly or staying within a range, WillStop Pro provides valuable information to help guide your trades.

Setting Up Alerts

Alerts are an important feature in trading, especially when you can’t be in front of your charts all the time. WillStop Pro has been enhanced to include flexible alert settings to help you stay on top of your trades without constantly monitoring the charts.

• Enable Alerts: There is a master switch to enable or disable all alerts. This way, you can control whether you want to be notified of events at any time.
  
• Alert Frequency: Choose between receiving alerts Once Per Bar or Once Per Bar Close. This helps you manage the frequency of alerts and decide if you need real-time updates or want confirmation after a bar closes.
  
• Break Alerts: These alerts notify you when a stop level has been broken. This can help you catch potential reversals or trading opportunities as soon as they happen.
  
• Strong Break Alerts: Alerts are available for strong breaks, which occur when the price breaks stop levels with confirmation based on additional price, volume, and momentum criteria. These alerts help identify significant shifts in the market.
  
• Level Change Alerts: These alerts tell you whenever a new stop level is calculated, keeping you updated about changes in market dynamics. You can set a Minimum Level Change % to ensure that alerts are only triggered when the stop level changes significantly.
  
• Require Volume Confirmation: You can opt to receive alerts only if the volume is above a certain threshold. This confirmation helps reduce false signals by ensuring that significant price changes are backed by increased trading activity.
  
• Volume Multiplier: The volume multiplier allows you to set a minimum volume requirement that must be met for an alert to trigger. This ensures that alerts are triggered only when there is sufficient trading interest.
  

Here is a part of the updated alert logic that has been implemented in the indicator:

// Alert on break conditions
if alertsEnabled
    if alertOnBreaks
        if longStopBroken and isVolumeConfirmed()
            alert(createAlertMessage("Support Break - Short Signal", useAdvancedStops), alertFreq)
        if shortStopBroken and isVolumeConfirmed()
            alert(createAlertMessage("Resistance Break - Long Signal", useAdvancedStops), alertFreq)

// Strong break alerts
if alertOnStrongBreaks
    if longStopBroken and isStrongBreak(false)
        alert(createAlertMessage("Strong Support Break - Short Signal", useAdvancedStops), alertFreq)
    if shortStopBroken and isStrongBreak(true)
        alert(createAlertMessage("Strong Resistance Break - Long Signal", useAdvancedStops), alertFreq)

// Level change alerts
if alertOnLevelChanges and isSignificantChange() and isVolumeConfirmed()
    alert(createAlertMessage("Significant Level Change", useAdvancedStops), alertFreq)

Setting alerts allows you to react to market changes without having to watch the charts constantly. Alerts are particularly helpful if you have other responsibilities and can’t be actively monitoring your trades all day.

Understanding the Table Display

The WillStop Pro indicator provides a status table that gives an overview of the current market state. Here’s what the table shows:

• Indicator Status: The table indicates whether the indicator is in a LONG or SHORT state. This helps you quickly understand the market trend.
  
• Stop Level: The active stop level is shown, whether it is acting as support (long) or resistance (short). This is important for knowing where to set your protective stops.
  
• Mode: The table also displays whether the advanced calculation mode is being used. This keeps you informed about how stop levels are being calculated and why they are positioned where they are.
  
• Empowering Messages: The table also includes motivational messages that rotate periodically, such as 'Trade with Clarity, Stop with Precision' and 'Let Winners Run, Cut Losses Short.' These messages are designed to keep you focused, motivated, and disciplined during your trading journey.
  

The table is simple and easy to follow, helping you maintain discipline in your trading plan. By having all the essential information in one place, the table reduces the need to make quick, emotional decisions and promotes more thoughtful analysis.

Tips for Using WillStop Pro Effectively

Here are some practical ways to make the most of the WillStop Pro indicator:

1. Start with Default Settings: If you’re new to the indicator, start with the default settings. This will give you an idea of how stop levels are determined and how they adjust to different markets.
   
2. Experiment with Advanced Settings: Once you are comfortable, try using the advanced stop settings to see how they refine the stop levels. This can be useful in certain market conditions to improve accuracy.
   
3. Use Alerts to Stay Updated: Set up alerts for when a stop level is broken or when new levels are calculated. This helps you take action without constantly watching the chart. Swing traders may find alerts especially helpful for monitoring longer-term moves.
   
4. Monitor the Status Table: Keep an eye on the status table to understand the current market condition. Whether the indicator is in a LONG or SHORT state can help you make more informed decisions.
   
5. Focus on Risk Management: WillStop Pro is designed to help you manage risk by dynamically adjusting stop levels. Make sure you are using these levels to protect your trades, especially during strong trends or volatile periods.
   

Acknowledging Larry Williams' Influence

WillStop Pro [tradeviZion] is inspired by the work of Larry Williams, who described the approach as one of his best trading techniques. His method aims to ride major market trends while reducing the risk of giving back gains during corrections. WillStop Pro builds upon this approach, adding features like advanced stop settings and visual alerts that make it easier to apply in modern markets.

By using WillStop Pro, you are essentially leveraging a well-established trading strategy with additional tools that help improve its effectiveness. The indicator is designed to provide a reliable way to manage trades, stay on top of market conditions, and reduce emotional decision-making.

Conclusion: Why WillStop Pro is Great for Beginners and Advanced Users

The WillStop Pro [tradeviZion] is a powerful yet easy-to-use tool that helps traders ride trends while managing risk during market corrections. It can be used both for entering and exiting trades, and its visual features make it accessible for those who are new to trading, while the underlying logic appeals to advanced users seeking greater control and understanding.

WillStop Pro is more than just a tool for setting stops. It is a comprehensive solution for managing trades, with features like dynamic stop levels, customizable alerts, and an easy-to-understand status table. This combination of simplicity and advanced features makes it suitable for beginners as well as more experienced traders.

We hope this guide helps you get started with WillStop Pro and improves your trading confidence. Remember to start with the basics, explore the advanced features, and set alerts to stay informed without getting overwhelmed. Whether you’re just beginning or want to simplify your strategy, WillStop Pro [tradeviZion] is a valuable tool to have in your trading arsenal.

Trading can be challenging, but the right tools make it more manageable. WillStop Pro helps you keep track of market movements, identify opportunities, and manage risk effectively. Give it a try and see how it can improve your trading decisions and help you navigate the markets more efficiently.

By incorporating WillStop Pro into your strategy, you are following a systematic approach that has been refined over time. It’s designed to help you make sense of the markets, plan your trades, and manage your risks with greater clarity and confidence.

Note: Always practice proper risk management and thoroughly test the indicator to ensure it aligns with your trading strategy. Past performance is not indicative of future results.

Trade smarter with TradeVizion—unlock your trading potential today!

16 Nov 2024

Catatan Rilis

WillStop Pro [tradeviZion] - Version 1.1: Enhanced Stop Level Flexibility

What's New
We've enhanced the original Larry Williams' methodology by introducing user-adjustable stop level calculations. The fixed 3-bar requirement has been replaced with a customizable range, allowing traders to adapt the indicator to different market conditions and trading styles.

Key Feature Updates

• New input parameter Target Non-Inside Bars allowing selection from 2 to 10 bars
  
• Default remains at 3 bars, preserving Larry Williams' original methodology
  
• Dynamic stop level calculation that adapts to your chosen number of bars
  

Technical Improvements

• Optimized lookback period calculation
  

  validMaxLookback = math.min(500, targetNonInsideBars * 5)

• Enhanced array handling for variable bar counts
  
• Improved stop level accuracy with dynamic sizing
  
• Better memory management for different bar selections
  

Benefits for Traders

• Greater flexibility in stop placement strategy
  
• Ability to adapt to different timeframes and market conditions
  
• More precise control over trade management
  
• Maintains compatibility with classic 3-bar method while offering extended options
  

This update provides more versatility while staying true to the core principles that make WillStop Pro effective. Whether you prefer the classic 3-bar approach or need more bars for your specific trading style, the choice is now yours.

4 Des 2024

Catatan Rilis

WillStop Pro [tradeviZion] - Version 3.0
Release Date: December 5, 2024

Bug Fixes & Improvements
- Fixed compatibility issues with Pine Script™ v6 type system
- Improved boolean condition handling for stop level changes
- Enhanced reliability of alert triggers

Technical Updates
- Updated `ta.change()` condition handling to comply with Pine Script™ v6 requirements
- Optimized label creation logic for better performance
- Improved stop level change detection accuracy

Code Quality
- Implemented stricter type checking for boolean operations
- Enhanced code stability and reliability
- Maintained all existing functionality while improving code structure

Notes
- No changes to core WillStop calculation logic
- All existing features and settings remain unchanged
- Backwards compatible with previous user settings

For optimal performance, please ensure you're using the latest version of TradingView platform.

8 Des 2024

Catatan Rilis

WillStop Pro [tradeviZion] - Version 4.0
Release Date: 09 December 2024

What's New
We've enhanced the Bar 1 identification process in up moves, improving the accuracy of stop level calculations while maintaining Larry Williams' core methodology.

Key Feature Updates

• Improved up move detection for more accurate Bar 1 identification
  
• Enhanced stop level calculation using true highs and lows
  
• Optimized performance with fixed lookback periods
  

Technical Improvements

• Enhanced Up Move Detection
  Previous implementation:
  

  // Old code
  for i = 0 to validMaxLookback - 1 by 1
      if close > highestClose
          highestClose := close
          highestCloseIndex := i

  
  
  New implementation:
  

  // New code
  if close < close[1]
      inUpMove := false
  
  if inUpMove
      while i < 100 and close > close[i+1]  // Continue while each close is higher than previous
          if not isInsideBar(i) and close > highestClose
              highestClose := close
              highestCloseIndex := i

• Stop Level Calculation
  Using true lows/highs for more accurate stop levels:
  

  getTrueLow(idx) =>
      math.min(low[idx], close[idx + 1])
  getTrueHigh(idx) =>
      math.max(high[idx], close[idx + 1])

• Performance Optimization
  Replaced variable lookback with optimized fixed limit:
  

  // Old code
  int validMaxLookback = math.min(500, targetNonInsideBars * 5)
  
  // New code
  while longCount < targetNonInsideBars and currentIndex < 100  // Fixed reasonable limit

Benefits for Traders

• More accurate trend identification and stop placement
  
• Better performance with optimized calculations
  
• Reduced false signals in choppy markets
  
• Improved reliability in stop level determination
  

This update enhances the accuracy of trend identification while maintaining the core principles that make WillStop Pro effective. The improvements focus on precise Bar 1 identification and proper use of true highs/lows for stop calculations.

8 Jan

Catatan Rilis

WillStop Pro [tradeviZion] - Version 5.0
Release Date: 08 January 2025

Dear Traders,

Thanks to your valuable feedback, we discovered that Version 4 wasn't following Larry Williams' stop calculation method exactly as he designed it. Here are the improvements in Version 5.0:

What Was Wrong in Version 4
- Version 4 started from the current bar and searched backwards for stop levels
- Larry Williams' method is different:
* For LONG: First find the highest close in the up move, count it as day one, then look back
* For SHORT: First find the lowest close in the down move, count it as day one, then look back
- This difference in approach caused inconsistent stop levels

Core Stop Calculation Method - Now Fixed
For LONG Positions:
1. Find highest close (skipping inside bars)
2. Use this as the first bar
3. Find two more non-inside bars going backwards
4. Calculate lowest true low of these three bars
5. Place stop below this level

For SHORT Positions:
1. Find lowest close (skipping inside bars)
2. Use this as the first bar
3. Find two more non-inside bars going backwards
4. Calculate highest true high of these three bars
5. Place stop above this level

Advanced Option - Improved
For LONG: If bar before highest close is up, skip to next bar
For SHORT: If bar before lowest close is down, skip to next bar

Two Stop Methods - As Per Larry's Design
1. ATR(3) at 120% - For sideways markets
2. WillStop - For trending markets

Additional Improvements
- Forward-plotting: See stops one bar ahead
- Simplified settings: Removed unnecessary inputs
- Status table: Shows both ATR and WillStop levels
- Step-line display: Clearer level changes

Note: Previous versions are still available through Pine Script's version history.

Remember Larry's Rule: Use ATR stops when market is quiet, switch to WillStop when market starts trending ("Rock and Roll").