FlowStateTrader FlowState Trader - Advanced Time-Filtered Strategy
## Overview
FlowState Trader is a sophisticated algorithmic trading strategy that combines precision entry signals with intelligent time-based filtering and adaptive risk management. Built for traders seeking to achieve their optimal performance state, FlowState identifies high-probability trading opportunities within user-defined time windows while employing dynamic trailing stops and partial position management.
## Core Strategy Philosophy
FlowState Trader operates on the principle that peak trading performance occurs when three elements align: **Focus** (precise entry signals), **Flow** (optimal time windows), and **State** (intelligent position management). This strategy excels at finding reversal opportunities at key support and resistance levels while filtering out suboptimal trading periods to keep traders in their optimal flow state.
## Key Features
### 🎯 Focus Entry System
**Support/Resistance Zone Trading**:
- Dynamic identification of key price levels using configurable lookback periods
- Entry signals triggered when price interacts with these critical zones
- Volume confirmation ensures genuine breakout/reversal momentum
- Trend filter alignment prevents counter-trend disasters
**Entry Conditions**:
- **Long Signals**: Price closes above support buffer, touches support level, with above-average volume
- **Short Signals**: Price closes below resistance buffer, touches resistance level, with above-average volume
- Optional trend filter using EMA or SMA for directional bias confirmation
### ⏰ FlowState Time Filtering System
**Comprehensive Time Controls**:
- **12-Hour Format Trading Windows**: User-friendly AM/PM time selection
- **Multi-Timezone Support**: UTC, EST, PST, CST with automatic conversion
- **Day-of-Week Filtering**: Trade only weekdays, weekends, or both
- **Lunch Hour Avoidance**: Automatically skips low-volume lunch periods (12-1 PM)
- **Visual Time Indicators**: Background coloring shows active/inactive trading periods
**Smart Time Features**:
- Handles overnight trading sessions seamlessly
- Prevents trades during historically poor performance periods
- Customizable trading hours for different market sessions
- Real-time trading window status in dashboard
### 🛡️ Adaptive Risk Management
**Multi-Level Take Profit System**:
- **TP1**: First profit target with optional partial position closure
- **TP2**: Final profit target for remaining position
- **Flexible Scaling**: Choose number of contracts to close at each level
**Dynamic Trailing Stop Technology**:
- **Three Operating Modes**:
- **Conservative**: Earlier activation, tighter trailing (protect profits)
- **Balanced**: Optimal risk/reward balance (recommended)
- **Aggressive**: Later activation, wider trailing (let winners run)
- **ATR-Based Calculations**: Adapts to current market volatility
- **Automatic Activation**: Engages when position reaches profitability threshold
### 📊 Intelligent Position Sizing
**Contract-Based Management**:
- Configurable entry quantity (1-1000 contracts)
- Partial close quantities for profit-taking
- Clear position tracking and P&L monitoring
- Real-time position status updates
### 🎨 Professional Visualization
**Enhanced Chart Elements**:
- **Entry Zone Highlighting**: Clear visual identification of trading opportunities
- **Dynamic Risk/Reward Lines**: Real-time TP and SL levels with price labels
- **Trailing Stop Visualization**: Live tracking of adaptive stop levels
- **Support/Resistance Lines**: Key level identification
- **Time Window Background**: Visual confirmation of active trading periods
**Dual Dashboard System**:
- **Strategy Dashboard**: Real-time position info, settings status, and current levels
- **Performance Scorecard**: Live P&L tracking, win rates, and trade statistics
- **Customizable Sizing**: Small, Medium, or Large display options
### ⚙️ Comprehensive Customization
**Core Strategy Settings**:
- **Lookback Period**: Support/resistance calculation period (5-100 bars)
- **ATR Configuration**: Period and multipliers for stops/targets
- **Reward-to-Risk Ratios**: Customizable profit target calculations
- **Trend Filter Options**: EMA/SMA selection with adjustable periods
**Time Filter Controls**:
- **Trading Hours**: Start/end times in 12-hour format
- **Timezone Selection**: Four major timezone options
- **Day Restrictions**: Weekend-only, weekday-only, or unrestricted
- **Session Management**: Lunch hour avoidance and custom periods
**Risk Management Options**:
- **Trailing Stop Modes**: Conservative/Balanced/Aggressive presets
- **Partial Close Settings**: Enable/disable with custom quantities
- **Alert System**: Comprehensive notifications for all trade events
### 📈 Performance Tracking
**Real-Time Metrics**:
- Net profit/loss calculation
- Win rate percentage
- Profit factor analysis
- Maximum drawdown tracking
- Total trade count and breakdown
- Current position P&L
**Trade Analytics**:
- Winner/loser ratio tracking
- Real-time performance scorecard
- Strategy effectiveness monitoring
- Risk-adjusted return metrics
### 🔔 Alert System
**Comprehensive Notifications**:
- Entry signal alerts with price and quantity
- Take profit level hits (TP1 and TP2)
- Stop loss activations
- Trailing stop engagements
- Position closure notifications
## Strategy Logic Deep Dive
### Entry Signal Generation
The strategy identifies high-probability reversal points by combining multiple confirmation factors:
1. **Price Action**: Looks for price interaction with key support/resistance levels
2. **Volume Confirmation**: Ensures sufficient market interest and liquidity
3. **Trend Alignment**: Optional filter prevents counter-trend positions
4. **Time Validation**: Only trades during user-defined optimal periods
5. **Zone Analysis**: Entry occurs within calculated buffer zones around key levels
### Risk Management Philosophy
FlowState Trader employs a three-tier risk management approach:
1. **Initial Protection**: ATR-based stop losses set at strategy entry
2. **Profit Preservation**: Trailing stops activate once position becomes profitable
3. **Scaled Exit**: Partial profit-taking allows for both security and potential
### Time-Based Edge
The time filtering system recognizes that not all trading hours are equal:
- Avoids low-volume, high-spread periods
- Focuses on optimal liquidity windows
- Prevents trading during news events (lunch hours)
- Allows customization for different market sessions
## Best Practices and Optimization
### Recommended Settings
**For Scalping (1-5 minute charts)**:
- Lookback Period: 10-20
- ATR Period: 14
- Trailing Stop: Conservative mode
- Time Filter: Major session hours only
**For Day Trading (15-60 minute charts)**:
- Lookback Period: 20-30
- ATR Period: 14-21
- Trailing Stop: Balanced mode
- Time Filter: Extended trading hours
**For Swing Trading (4H+ charts)**:
- Lookback Period: 30-50
- ATR Period: 21+
- Trailing Stop: Aggressive mode
- Time Filter: Disabled or very broad
### Market Compatibility
- **Forex**: Excellent for major pairs during active sessions
- **Stocks**: Ideal for liquid stocks during market hours
- **Futures**: Perfect for index and commodity futures
- **Crypto**: Effective on major cryptocurrencies (24/7 capability)
### Risk Considerations
- **Market Conditions**: Performance varies with volatility regimes
- **Timeframe Selection**: Lower timeframes require tighter risk management
- **Position Sizing**: Never risk more than 1-2% of account per trade
- **Backtesting**: Always test on historical data before live implementation
## Educational Value
FlowState serves as an excellent learning tool for:
- Understanding support/resistance trading
- Learning proper time-based filtering
- Mastering trailing stop techniques
- Developing systematic trading approaches
- Risk management best practices
## Disclaimer
This strategy is for educational and informational purposes only. Past performance does not guarantee future results. Trading involves substantial risk of loss and is not suitable for all investors. Users should thoroughly backtest the strategy and understand all risks before live trading. Always use proper position sizing and never risk more than you can afford to lose.
---
*FlowState Trader represents the evolution of systematic trading - combining classical technical analysis with modern risk management and intelligent time filtering to help traders achieve their optimal performance state through systematic, disciplined execution.*
Cari skrip untuk "take profit"
Gold Multi TP Strategy📘 Strategy Description: Gold Multi Take-Profit Strategy (XAUUSD)
This strategy is designed for Gold (XAUUSD) and works on any timeframe (recommended: 15-min or higher). It executes trades based on a simple EMA crossover logic with optional higher-timeframe and ATR-based filters to confirm trend direction and volatility.
🔑 Core Features
✅ Directional control: Trade only long, short, or both directions (Strategy Direction)
✅ Multi-level Take Profit: Scale out at up to 4 configurable profit targets
✅ Fixed Stop Loss: Set custom SL distance for risk control
✅ Position Sizing: Allocate different percentages to each TP level
✅ HTF Trend Filter (optional): Align trades with weekly candle trend
✅ ATR Filter (optional): Improve entries with volatility-based filter
⚙️ Inputs Explained
Input Name Function
Strategy Direction Choose to trade all, long, or short only
Length of Filter Length of the moving average used for HTF trend filter
Candle Time Reference candle timeframe in minutes (e.g., 1440 for daily)
Length of ATR Period for ATR calculation (volatility)
HTF Higher timeframe for filter (e.g., 1 week)
Filter Checkbox Enable/disable trend filter
Stop Loss Fixed SL distance in price units
Qty_percent1-3 % of position allocated to TP1–TP3 (rest goes to TP4)
Take profit1–4 TP levels (in price units) from entry price
🧠 Logic Overview
Entry triggered on EMA 20/50 crossover
Optional filter: entry allowed only if current price is above its HTF MA (bullish) or below (bearish)
Position is scaled out at up to 4 profit levels using different qty_percent
SL remains fixed throughout the trade
📊 Best Use
Intraday trading on XAUUSD, ideally during London/NY sessions
Trending or breakout conditions
Works best with additional confluence (price action, S/R, news)
KST Strategy [Skyrexio]Overview
KST Strategy leverages Know Sure Thing (KST) indicator in conjunction with the Williams Alligator and Moving average to obtain the high probability setups. KST is used for for having the high probability to enter in the direction of a current trend when momentum is rising, Alligator is used as a short term trend filter, while Moving average approximates the long term trend and allows trades only in its direction. Also strategy has the additional optional filter on Choppiness Index which does not allow trades if market is choppy, above the user-specified threshold. Strategy has the user specified take profit and stop-loss numbers, but multiplied by Average True Range (ATR) value on the moment when trade is open. The strategy opens only long trades.
Unique Features
ATR based stop-loss and take profit. Instead of fixed take profit and stop-loss percentage strategy utilizes user chosen numbers multiplied by ATR for its calculation.
Configurable Trading Periods. Users can tailor the strategy to specific market windows, adapting to different market conditions.
Optional Choppiness Index filter. Strategy allows to choose if it will use the filter trades with Choppiness Index and set up its threshold.
Methodology
The strategy opens long trade when the following price met the conditions:
Close price is above the Alligator's jaw line
Close price is above the filtering Moving average
KST line of Know Sure Thing indicator shall cross over its signal line (details in justification of methodology)
If the Choppiness Index filter is enabled its value shall be less than user defined threshold
When the long trade is executed algorithm defines the stop-loss level as the low minus user defined number, multiplied by ATR at the trade open candle. Also it defines take profit with close price plus user defined number, multiplied by ATR at the trade open candle. While trade is in progress, if high price on any candle above the calculated take profit level or low price is below the calculated stop loss level, trade is closed.
Strategy settings
In the inputs window user can setup the following strategy settings:
ATR Stop Loss (by default = 1.5, number of ATRs to calculate stop-loss level)
ATR Take Profit (by default = 3.5, number of ATRs to calculate take profit level)
Filter MA Type (by default = Least Squares MA, type of moving average which is used for filter MA)
Filter MA Length (by default = 200, length for filter MA calculation)
Enable Choppiness Index Filter (by default = true, setting to choose the optional filtering using Choppiness index)
Choppiness Index Threshold (by default = 50, Choppiness Index threshold, its value shall be below it to allow trades execution)
Choppiness Index Length (by default = 14, length used in Choppiness index calculation)
KST ROC Length #1 (by default = 10, value used in KST indicator calculation, more information in Justification of Methodology)
KST ROC Length #2 (by default = 15, value used in KST indicator calculation, more information in Justification of Methodology)
KST ROC Length #3 (by default = 20, value used in KST indicator calculation, more information in Justification of Methodology)
KST ROC Length #4 (by default = 30, value used in KST indicator calculation, more information in Justification of Methodology)
KST SMA Length #1 (by default = 10, value used in KST indicator calculation, more information in Justification of Methodology)
KST SMA Length #2 (by default = 10, value used in KST indicator calculation, more information in Justification of Methodology)
KST SMA Length #3 (by default = 10, value used in KST indicator calculation, more information in Justification of Methodology)
KST SMA Length #4 (by default = 15, value used in KST indicator calculation, more information in Justification of Methodology)
KST Signal Line Length (by default = 10, value used in KST indicator calculation, more information in Justification of Methodology)
User can choose the optimal parameters during backtesting on certain price chart.
Justification of Methodology
Before understanding why this particular combination of indicator has been chosen let's briefly explain what is KST, Williams Alligator, Moving Average, ATR and Choppiness Index.
The KST (Know Sure Thing) is a momentum oscillator developed by Martin Pring. It combines multiple Rate of Change (ROC) values, smoothed over different timeframes, to identify trend direction and momentum strength. First of all, what is ROC? ROC (Rate of Change) is a momentum indicator that measures the percentage change in price between the current price and the price a set number of periods ago.
ROC = 100 * (Current Price - Price N Periods Ago) / Price N Periods Ago
In our case N is the KST ROC Length inputs from settings, here we will calculate 4 different ROCs to obtain KST value:
KST = ROC1_smooth × 1 + ROC2_smooth × 2 + ROC3_smooth × 3 + ROC4_smooth × 4
ROC1 = ROC(close, KST ROC Length #1), smoothed by KST SMA Length #1,
ROC2 = ROC(close, KST ROC Length #2), smoothed by KST SMA Length #2,
ROC3 = ROC(close, KST ROC Length #3), smoothed by KST SMA Length #3,
ROC4 = ROC(close, KST ROC Length #4), smoothed by KST SMA Length #4
Also for this indicator the signal line is calculated:
Signal = SMA(KST, KST Signal Line Length)
When the KST line rises, it indicates increasing momentum and suggests that an upward trend may be developing. Conversely, when the KST line declines, it reflects weakening momentum and a potential downward trend. A crossover of the KST line above its signal line is considered a buy signal, while a crossover below the signal line is viewed as a sell signal. If the KST stays above zero, it indicates overall bullish momentum; if it remains below zero, it points to bearish momentum. The KST indicator smooths momentum across multiple timeframes, helping to reduce noise and provide clearer signals for medium- to long-term trends.
Next, let’s discuss the short-term trend filter, which combines the Williams Alligator and Williams Fractals. Williams Alligator
Developed by Bill Williams, the Alligator is a technical indicator that identifies trends and potential market reversals. It consists of three smoothed moving averages:
Jaw (Blue Line): The slowest of the three, based on a 13-period smoothed moving average shifted 8 bars ahead.
Teeth (Red Line): The medium-speed line, derived from an 8-period smoothed moving average shifted 5 bars forward.
Lips (Green Line): The fastest line, calculated using a 5-period smoothed moving average shifted 3 bars forward.
When the lines diverge and align in order, the "Alligator" is "awake," signaling a strong trend. When the lines overlap or intertwine, the "Alligator" is "asleep," indicating a range-bound or sideways market. This indicator helps traders determine when to enter or avoid trades.
The next indicator is Moving Average. It has a lot of different types which can be chosen to filter trades and the Least Squares MA is used by default settings. Let's briefly explain what is it.
The Least Squares Moving Average (LSMA) — also known as Linear Regression Moving Average — is a trend-following indicator that uses the least squares method to fit a straight line to the price data over a given period, then plots the value of that line at the most recent point. It draws the best-fitting straight line through the past N prices (using linear regression), and then takes the endpoint of that line as the value of the moving average for that bar. The LSMA aims to reduce lag and highlight the current trend more accurately than traditional moving averages like SMA or EMA.
Key Features:
It reacts faster to price changes than most moving averages.
It is smoother and less noisy than short-term EMAs.
It can be used to identify trend direction, momentum, and potential reversal points.
ATR (Average True Range) is a volatility indicator that measures how much an asset typically moves during a given period. It was introduced by J. Welles Wilder and is widely used to assess market volatility, not direction.
To calculate it first of all we need to get True Range (TR), this is the greatest value among:
High - Low
abs(High - Previous Close)
abs(Low - Previous Close)
ATR = MA(TR, n) , where n is number of periods for moving average, in our case equals 14.
ATR shows how much an asset moves on average per candle/bar. A higher ATR means more volatility; a lower ATR means a calmer market.
The Choppiness Index is a technical indicator that quantifies whether the market is trending or choppy (sideways). It doesn't indicate trend direction — only the strength or weakness of a trend. Higher Choppiness Index usually approximates the sideways market, while its low value tells us that there is a high probability of a trend.
Choppiness Index = 100 × log10(ΣATR(n) / (MaxHigh(n) - MinLow(n))) / log10(n)
where:
ΣATR(n) = sum of the Average True Range over n periods
MaxHigh(n) = highest high over n periods
MinLow(n) = lowest low over n periods
log10 = base-10 logarithm
Now let's understand how these indicators work in conjunction and why they were chosen for this strategy. KST indicator approximates current momentum, when it is rising and KST line crosses over the signal line there is high probability that short term trend is reversing to the upside and strategy allows to take part in this potential move. Alligator's jaw (blue) line is used as an approximation of a short term trend, taking trades only above it we want to avoid trading against trend to increase probability that long trade is going to be winning.
Almost the same for Moving Average, but it approximates the long term trend, this is just the additional filter. If we trade in the direction of the long term trend we increase probability that higher risk to reward trade will hit the take profit. Choppiness index is the optional filter, but if it turned on it is used for approximating if now market is in sideways or in trend. On the range bounded market the potential moves are restricted. We want to decrease probability opening trades in such condition avoiding trades if this index is above threshold value.
When trade is open script sets the stop loss and take profit targets. ATR approximates the current volatility, so we can make a decision when to exit a trade based on current market condition, it can increase the probability that strategy will avoid the excessive stop loss hits, but anyway user can setup how many ATRs to use as a stop loss and take profit target. As was said in the Methodology stop loss level is obtained by subtracting number of ATRs from trade opening candle low, while take profit by adding to this candle's close.
Backtest Results
Operating window: Date range of backtests is 2023.01.01 - 2025.05.01. It is chosen to let the strategy to close all opened positions.
Commission and Slippage: Includes a standard Binance commission of 0.1% and accounts for possible slippage over 5 ticks.
Initial capital: 10000 USDT
Percent of capital used in every trade: 60%
Maximum Single Position Loss: -5.53%
Maximum Single Profit: +8.35%
Net Profit: +5175.20 USDT (+51.75%)
Total Trades: 120 (56.67% win rate)
Profit Factor: 1.747
Maximum Accumulated Loss: 1039.89 USDT (-9.1%)
Average Profit per Trade: 43.13 USDT (+0.6%)
Average Trade Duration: 27 hours
These results are obtained with realistic parameters representing trading conditions observed at major exchanges such as Binance and with realistic trading portfolio usage parameters.
How to Use
Add the script to favorites for easy access.
Apply to the desired timeframe and chart (optimal performance observed on 1h BTC/USDT).
Configure settings using the dropdown choice list in the built-in menu.
Set up alerts to automate strategy positions through web hook with the text: {{strategy.order.alert_message}}
Disclaimer:
Educational and informational tool reflecting Skyrexio commitment to informed trading. Past performance does not guarantee future results. Test strategies in a simulated environment before live implementation.
Canuck Trading Trader StrategyCanuck Trading Trader Strategy
Overview
The Canuck Trading Trader Strategy is a high-performance, trend-following trading system designed for NASDAQ:TSLA on a 15-minute timeframe. Optimized for precision and profitability, this strategy leverages short-term price trends to capture consistent gains while maintaining robust risk management. Ideal for traders seeking an automated, data-driven approach to trading Tesla’s volatile market, it delivers strong returns with controlled drawdowns.
Key Features
Trend-Based Entries: Identifies short-term trends using a 2-candle lookback period and a minimum trend strength of 0.2%, ensuring responsive trade signals.
Risk Management: Includes a configurable 3.0% stop-loss to cap losses and a 2.0% take-profit to lock in gains, balancing risk and reward.
High Precision: Utilizes bar magnification for accurate backtesting, reflecting realistic trade execution with 1-tick slippage and 0.1 commission.
Clean Interface: No on-chart indicators, providing a distraction-free trading experience focused on performance.
Flexible Sizing: Allocates 10% of equity per trade with support for up to 2 simultaneous positions (pyramiding).
Performance Highlights
Backtested from March 1, 2024, to June 20, 2025, on NASDAQ:TSLA (15-minute timeframe) with $1,000,000 initial capital:
Net Profit: $2,279,888.08 (227.99%)
Win Rate: 52.94% (3,039 winning trades out of 5,741)
Profit Factor: 3.495
Max Drawdown: 2.20%
Average Winning Trade: $1,050.91 (0.55%)
Average Losing Trade: $338.20 (0.18%)
Sharpe Ratio: 2.468
Note: Past performance is not indicative of future results. Always validate with your own backtesting and forward testing.
Usage Instructions
Setup:
Apply the strategy to a NASDAQ:TSLA 15-minute chart.
Ensure your TradingView account supports bar magnification for accurate results.
Configuration:
Lookback Candles: Default is 2 (recommended).
Min Trend Strength: Set to 0.2% for optimal trade frequency.
Stop Loss: Default 3.0% to cap losses.
Take Profit: Default 2.0% to secure gains.
Order Size: 10% of equity per trade.
Pyramiding: Allows up to 2 orders.
Commission: Set to 0.1.
Slippage: Set to 1 tick.
Enable "Recalculate After Order is Filled" and "Recalculate on Every Tick" in backtest settings.
Backtesting:
Run backtests over March 1, 2024, to June 20, 2025, to verify performance.
Adjust stop-loss (e.g., 2.5%) or take-profit (e.g., 1–3%) to suit your risk tolerance.
Live Trading:
Use with a compatible broker or TradingView alerts for automated execution.
Monitor execution for slippage or latency, especially given the high trade frequency (5,741 trades).
Validate in a demo account before deploying with real capital.
Risk Disclosure
Trading involves significant risk and may result in losses exceeding your initial capital. The Canuck Trading Trader Strategy is provided for educational and informational purposes only. Users are responsible for their own trading decisions and should conduct thorough testing before using in live markets. The strategy’s high trade frequency requires reliable execution infrastructure to minimize slippage and latency.
EMA 34 Crossover with Break Even Stop LossEMA 34 Crossover with Break Even Stop Loss Strategy
This trading strategy is based on the 34-period Exponential Moving Average (EMA) and aims to enter long positions when the price crosses above the EMA 34. The strategy is designed to manage risk effectively with a dynamic stop loss and take-profit mechanism.
Key Features:
EMA 34 Crossover:
The strategy generates a long entry signal when the closing price of the current bar crosses above the 34-period EMA, with the condition that the previous closing price was below the EMA. This crossover indicates a potential upward trend.
Risk Management:
Upon entering a trade, the strategy sets a stop loss at the low of the previous bar. This helps in controlling the downside risk.
A take profit level is set at a 10:1 risk-to-reward ratio, meaning the potential profit is ten times the amount risked on the trade.
Break-even Stop Loss:
As the price moves in favor of the trade and reaches a 3:1 risk-to-reward ratio, the strategy moves the stop loss to the entry price (break-even). This ensures that no loss will be incurred if the market reverses, effectively protecting profits.
Exit Conditions:
The strategy exits the trade when either the stop loss is hit (if the price drops below the stop loss level) or the take profit target is reached (if the price rises to the take profit level).
If the price reaches the break-even level (entry price), the stop loss is adjusted to lock in profits and prevent any loss.
Visualization:
The stop loss and take profit levels are plotted on the chart for easy visualization, helping traders track the status of their trade.
Trade Management Summary:
Long Entry: When price crosses above the 34-period EMA.
Stop Loss: Set to the low of the previous candle.
Take Profit: Set to a 10:1 risk-to-reward ratio.
Break-even: Stop loss is moved to entry price when a 3:1 risk-to-reward ratio is reached.
Exit: The trade is closed either when the stop loss or take profit levels are hit.
This strategy is designed to minimize losses by employing a dynamic stop loss and to maximize gains by setting a favorable risk-to-reward ratio, making it suitable for traders who prefer a structured, automated approach to risk management and trend-following.
Profit Trailing BBandsProfit Trailing Trend BBands v4.7.5 with Double Trailing SL
A TradingView Pine Script Strategy
Created by Kevin Bourn and refined with the help of Grok 3 (xAI)
Overview
Welcome to Profit Trailing Trend BBands v4.7.5, a dynamic trading strategy designed to ride trends and lock in profits with a unique double trailing stop-loss mechanism. Built for TradingView’s Pine Script v6, this strategy combines Bollinger Bands for trend detection with a smart trailing system that doubles down on profit protection. Whether you’re trading XRP or any other asset, this tool aims to maximize gains while keeping risk in check—all with a clean, visual interface.
What It Does
Identifies Trends: Uses Bollinger Bands to spot uptrends (price crossing above the upper band) and downtrends (price crossing below the lower band).
Enters Positions: Opens long or short trades based on trend signals, with customizable position sizing and leverage.
Trails Profits: Employs a two-stage trailing stop-loss:
Initial Trailing SL: Acts as a take-profit level, set as a percentage (%) or dollar ($) distance from the entry price.
Tightened Trailing SL: Once the initial profit target is hit, the stop-loss tightens to half the initial distance, locking in gains as the trend continues.
Manages Risk: Includes a margin call feature to exit losing positions before they blow up your account.
Visualizes Everything: Plots Bollinger Bands (blue upper, orange lower) and a red stepped trailing stop-loss line for easy tracking.
Why Built It?
Captures Trends: Bollinger Bands are a proven way to catch momentum, and we tuned them for responsiveness (short length, moderate multiplier).
Secures Profits: Traditional trailing stops often leave money on the table or exit too early. The double trailing SL first takes a chunk of profit, then tightens up to ride the rest of the move.
Stays Flexible: Traders can tweak price sources, stop-loss types (% or $), and position sizing to fit their style.
Looks Good: Clear visuals help you see the strategy in action without cluttering your chart.
Originally refined for XRP, it’s versatile enough for most markets — crypto, forex, stocks, you name it.
How It Works
Core Components
Bollinger Bands:
Calculated using a simple moving average (SMA) and standard deviation.
Default settings: 6-period length, 1.66 multiplier.
Upper Band (blue): SMA + (1.66 × StdDev).
Lower Band (orange): SMA - (1.66 × StdDev).
Trend signals: Price crossing above the upper band triggers a long, below the lower band triggers a short.
Double Trailing Stop-Loss:
Initial SL: Set via "Trailing Stop-Loss Value" (default 6% or $6). Trails the price at this distance and doubles as the first profit target.
Tightened SL: Once price hits the initial SL distance in profit (e.g., +6%), the SL tightens to half (e.g., 3%) and continues trailing, locking in gains.
Visualized as a red stepped line, only visible during active positions.
Position Sizing:
Choose "% of Equity" (default 30%) or "Amount in $" to set trade size.
Leverage (default 10x) amplifies positions, capped by available equity to avoid overexposure.
Margin Call:
Exits positions if drawdown exceeds the "Margin %" (default 10%) to protect your account.
Backtesting Filter:
Starts trading after a user-defined date (default: Jan 1, 2020) for focused historical analysis.
Trade Logic
Long Entry: Price crosses above the upper Bollinger Band → Closes any short position, opens a long.
Short Entry: Price crosses below the lower Bollinger Band → Closes any long position, opens a short.
Exit: Position closes when price hits the trailing stop-loss or triggers a margin call.
How to Use It
Setup
Add to TradingView:
Open TradingView, go to the Pine Editor, paste the script, and click "Add to Chart."
Ensure you’re using Pine Script v6 (the script includes @version=6).
Configure Inputs:
Start Date for Backtesting: Set the date to begin historical testing (default: Jan 1, 2020).
BB Length & Mult: Adjust Bollinger Band sensitivity (default: 6, 1.66).
BB Price Source: Choose the price for BBands (default: Close).
Trend Price Source: Choose the price for trend detection (default: Close).
Trailing Stop-Loss Type: Pick "%" or "$" (default: Trailing SL %).
Trailing Stop-Loss Value: Set the initial SL distance (default: 6).
Margin %: Define the max drawdown before exit (default: 10%).
Order Size Type & Value: Set position size as % of equity (default: 30%) or $ amount.
Leverage: Adjust leverage (default: 10x).
Run It:
Use the Strategy Tester tab to backtest on your chosen asset and timeframe.
Watch the chart for blue/orange Bollinger Bands and the red trailing SL line.
Tips for Traders
Timeframes: Works on any timeframe, but test 1H or 4H for XRP—great balance of signals and noise.
Assets: Optimized for XRP, but tweak slValue and mult for other markets (e.g., tighter SL for low-volatility pairs).
Risk Management: Keep marginPercent low (5-10%) for volatile assets; adjust leverage based on your risk tolerance.
Visuals: The red stepped SL line shows only during trades—zoom in to see its tightening in action.
Visuals on the Chart
Blue Line: Upper Bollinger Band (trend entry for longs).
Orange Line: Lower Bollinger Band (trend entry for shorts).
Red Stepped Line: Trailing Stop-Loss (shifts tighter after the first profit target).
Order Labels: Short tags like "OL" (Open Long), "CS" (Close Short), "LSL" (Long Stop-Loss), etc., mark trades.
Disclaimer
Trading involves risk. This strategy is for educational and experimental use—backtest thoroughly and use at your own risk. Past performance doesn’t guarantee future results. Not financial advice—just a tool from traders, for traders.
Enhanced Bollinger Bands Strategy with SL/TP// Title: Enhanced Bollinger Bands Strategy with SL/TP
// Description:
// This strategy is based on the classic Bollinger Bands indicator and incorporates Stop Loss (SL) and Take Profit (TP) levels for automated trading. It identifies potential long and short entry points based on price crossing the lower and upper Bollinger Bands, respectively. The strategy allows users to customize several parameters to suit different market conditions and risk tolerances.
// Key Features:
// * **Bollinger Bands:** Uses Simple Moving Average (SMA) as the basis and calculates upper and lower bands based on a user-defined standard deviation multiplier.
// * **Customizable Parameters:** Offers extensive customization, including SMA length, standard deviation multiplier, Stop Loss (SL) in pips, and Take Profit (TP) in pips.
// * **Long/Short Position Control:** Allows users to independently enable or disable long and short positions.
// * **Stop Loss and Take Profit:** Implements Stop Loss and Take Profit levels based on pip values to manage risk and secure profits. Entry prices are set to the band levels on signals.
// * **Visualizations:** Provides options to display Bollinger Bands and entry signals on the chart for easy analysis.
// Strategy Logic:
// 1. **Bollinger Bands Calculation:** The strategy calculates the Bollinger Bands using the specified SMA length and standard deviation multiplier.
// 2. **Entry Conditions:**
// * **Long Entry:** Enters a long position when the closing price crosses above the lower Bollinger Band and the `Enable Long Positions` setting is enabled.
// * **Short Entry:** Enters a short position when the closing price crosses below the upper Bollinger Band and the `Enable Short Positions` setting is enabled.
// 3. **Exit Conditions:**
// * **Stop Loss:** Exits the position if the price reaches the Stop Loss level, calculated based on the input `Stop Loss (Pips)`.
// * **Take Profit:** Exits the position if the price reaches the Take Profit level, calculated based on the input `Take Profit (Pips)`.
// Input Parameters:
// * **SMA Length (length):** The length of the Simple Moving Average used to calculate the Bollinger Bands (default: 20).
// * **Standard Deviation Multiplier (mult):** The multiplier applied to the standard deviation to determine the width of the Bollinger Bands (default: 2.0).
// * **Enable Long Positions (enableLong):** A boolean value to enable or disable long positions (default: true).
// * **Enable Short Positions (enableShort):** A boolean value to enable or disable short positions (default: true).
// * **Pip Value (pipValue):** The value of a pip for the traded instrument. This is crucial for accurate Stop Loss and Take Profit calculations (default: 0.0001 for most currency pairs). **Important: Adjust this value to match the specific instrument you are trading.**
// * **Stop Loss (Pips) (slPips):** The Stop Loss level in pips (default: 10).
// * **Take Profit (Pips) (tpPips):** The Take Profit level in pips (default: 20).
// * **Show Bollinger Bands (showBands):** A boolean value to show or hide the Bollinger Bands on the chart (default: true).
// * **Show Entry Signals (showSignals):** A boolean value to show or hide entry signals on the chart (default: true).
// How to Use:
// 1. Add the strategy to your TradingView chart.
// 2. Adjust the input parameters to optimize the strategy for your chosen instrument and timeframe. Pay close attention to the `Pip Value`.
// 3. Backtest the strategy over different periods to evaluate its performance.
// 4. Use the `Enable Long Positions` and `Enable Short Positions` settings to customize the strategy for specific market conditions (e.g., only long positions in an uptrend).
// Important Notes and Disclaimers:
// * **Backtesting Results:** Past performance is not indicative of future results. Backtesting results can be affected by various factors, including market volatility, slippage, and transaction costs.
// * **Risk Management:** This strategy is provided for informational and educational purposes only and should not be considered financial advice. Always use proper risk management techniques when trading. Adjust Stop Loss and Take Profit levels according to your risk tolerance.
// * **Slippage:** The strategy takes into account slippage by specifying a slippage parameter on the `strategy` declaration. However, real-world slippage may vary.
// * **Market Conditions:** The performance of this strategy can vary significantly depending on market conditions. It may perform well in trending markets but poorly in ranging or choppy markets.
// * **Pip Value Accuracy:** **Ensure the `Pip Value` is correctly set for the specific instrument you are trading. Incorrect pip value will result in incorrect stop loss and take profit placement.** This is critical.
// * **Broker Compatibility:** The strategy's performance may vary depending on your broker's execution policies and fees.
// * **Disclaimer:** I am not a financial advisor, and this script is not financial advice. Use this strategy at your own risk. I am not responsible for any losses incurred while using this strategy.
Altcoins DCA ScalperIntroduction
The Altcoins DCA Scalper is a Pine Strategy Script designed to automate Altcoins trading through 3Commas integration. It implements a Dollar-Cost Averaging (DCA) strategy that expands upon 3Commas' standard DCA capabilities, helping to manage risk while trading both long and short positions automatically.
This tool aims to assist both beginners exploring automated trading and experienced 3Commas users seeking dynamic DCA automation. The script is specifically designed for the 1-minute timeframe , where it has shown a good balance between performance and risk management. Complete setup typically takes less than 10 minutes, with a detailed guide making configuration straightforward for users of all experience levels.
------------------------------
🔶 What is DCA?
------------------------------
Dollar-cost averaging (DCA) refers to the practice of gradually increasing your position size at lower prices when trading long, or at higher prices when trading short, to achieve a better average entry price if the market moves against the initial entry . Instead of investing all capital at once, which could result in a significant drawdown if the price moves unfavorably, DCA spreads entries across different price levels to help manage potential drawdowns as they occur.
In this script, DCA is implemented through a system that:
🔹 Triggers safety orders only when/if needed (if take profit isn't reached quickly)
🔹 Dynamically adjusts order sizing based on market volatility
🔹 Automatically reduces take profit targets after each DCA order to increase the likelihood of a positive outcome
🔹 Can handle drawdowns depending on market volatility and settings
The images below illustrate two scenarios: one where an entry reaches the take profit directly, without activating DCA orders, and another where DCA is utilized, with the order closing positively after two DCA orders.
Case 1: Order closes in profit after entry
Case 2: Order closes in profit after 2 DCA orders (dynamically placed based on trend and volatility)
This DCA implementation aims to enhance standard 3Commas DCA by adding market-adaptive features while maintaining risk management principles.
------------------------------
🔶 Could this strategy script benefit you?
------------------------------
This script may be helpful if you are:
✅ Looking to automate your trading through 3Commas integration while maintaining full control of your assets
✅ Wanting to enhance 3Commas' standard DCA with market-adaptive features that consider:
Multi-timeframe trend analysis
Real-time volatility assessment
Dynamic safety order sizing and timing
✅ Seeking to minimize chart monitoring through full automation of:
Entry and exit decisions
Safety order management
Risk controls
✅ Interested in comprehensive performance tracking with:
Real-time position metrics
Detailed backtesting capabilities
Risk/reward analysis
Backtesting Metrics (script performance over the backtesting period - which is approx. 15 days on the 1min timeframe with the TradingView Pro Plan):
Current/Open Deal Metrics (the deal is currently under DCA, and waiting for further actions to close):
✅ Looking for trading automation that remains easy to set up and use
Note: While this script provides trading automation, successful trading requires proper education, risk management, and regular performance monitoring. No automated tool can guarantee trading success or profits.
------------------------------
🔶 How it Works
------------------------------
The Altcoins DCA Scalper provides trading automation through:
Market Analysis
* Multi-timeframe trend analysis (1m to 1d) for market direction and entry validation
* Volatility assessment (1h, 4h, 24h) benchmarked against TOTAL3 (excluding Top10 Altcoins and Stablecoins)
* Real-time adjustment of DCA parameters based on:
* Current volatility class (low/medium/high) vs. overall Altcoins market
* Market trend strength
* Price action dynamics
Trading Execution
* Position opening aligned with detected market trends
* "Beast Mode" base order sizing that increases position size during strong trends
* Dynamic take-profit targets that automatically reduce after each safety order to increase the likelihood of positive exits
* Dynamic DCA with safety orders that can:
* Adapt timing based on volatility
* Scale order sizes based on market conditions
* Handle 30-50% drawdowns depending on volatility class
* Execute up to 6 safety orders per position
Risk Management
* Emergency exits during extreme market events:
* "Black Swan" protection for long positions
* "God-Candle" protection for short positions
* Configurable stop-loss with volatility-based placement
* Trend-switch management with automated position reversal
* Position aging controls to prevent capital lock-up
* Leveraged trading protection with a pre-liquidation exit system
Integration & Automation
* Quick setup with two 3Commas bots (typically under 10 minutes)
* Fully automated signal generation and execution through 3Commas
* Detailed performance tracking including:
* Real-time position metrics
* DCA depth analysis
* Win rate and ROE calculations
* Pre-configured settings optimized for most pairs
* Multiple customization options for experienced users
Note: While this strategy employs automation and risk management, trading always carries the risk of loss. No system can guarantee profits, and market conditions significantly impact performance. Always do your own research and monitor your positions closely.
------------------------------
How to Use
------------------------------
Setting up the Altcoins DCA Scalper is quick and facilitated by the User Interface:
1️⃣ 3Commas/TradingView Setup
* Create two 3Commas accounts if using the FREE plan:
* One account for Long Bot
* One account for Short Bot
* This split allows full functionality while staying within 3Commas' free tier limits
* You do not need two separate accounts if you have a Paid 3Commas subscription
* While a free TradingView account works with the script, it limits you to one trading pair and a 4-day backtesting history. A paid TradingView subscription removes these limitations (such as the "Essential" plan).
2️⃣ Bot Configuration
* Create one Long and one Short DCA Bot in 3Commas
* Follow the setup guide available in the script itself for hassle-free configuration
* Copy Bot IDs and Email Token for script connection
* No complex settings needed - the script manages all DCA parameters by itself
3️⃣ Script Implementation
* Apply the script to your TradingView charts
* Use the built-in backtesting to analyze performance on different pairs
* Focus on USDT.P futures pairs with good volatility
4️⃣ Trading Activation
* Create TradingView alerts for each trading pair you want to activate
* Example: Set an alert for BINANCE: XRPUSDT.P following the in-script guide
* The script automatically manages all aspects:
* Entry and exit decisions
* DCA execution
* Risk management
* Position monitoring
Capital Requirements
* Important: Ensure sufficient capital to cover all activated pairs
* Consider volatility class when allocating capital to specific pairs
Once setup is complete, the script operates fully automatically while you maintain complete control of your funds through 3Commas and your exchange.
Note: While the setup is straightforward, always start with a small number of pairs and monitor performance before expanding. Trade responsibly and never risk more than you can afford to lose.
------------------------------
Explaining the Settings
------------------------------
The Altcoins DCA Scalper offers mulitple customization options during the setup process. All settings include detailed tooltips and default values.
Core Settings Sections:
1️⃣ 3Commas Connection
* Bot IDs and Email Token configuration
* Leverage settings (1x to 5x supported)
* Detailed 3Commas bot setup guide included
* Automatic bot control configuration
2️⃣ Trading Parameters
* Capital allocation per trade
* Timeframe verification
* Alert system setup
* Backtesting period control
* Performance tracking preferences
3️⃣ Advanced Features
🔹 Risk Management Suite
* Emergency exit controls (to strengthen protection against extraordinary market events)
* Customizable stop-loss system
* Trend-based exit management
* Position aging controls
* Liquidation protection features
* Advanced DCA controls
🔹 Performance Analytics
* Real-time position monitoring
* Comprehensive backtesting metrics
* DCA depth analysis
* Win rate calculations
* Capital efficiency tracking
🔹 Technical Optimizations
* Exchange minimum order adjustment
* Trading pair name override capability
* System stability controls
* Error handling mechanisms
🔹 Interface Customization
* Theme selection
* Chart overlay options
* Warning display preferences
* Performance metrics visibility
All settings come pre-configured but can be fully customized based on your trading preferences and risk tolerance. The script includes tooltips and setup guides for each option.
Note: While default settings may be tested, market conditions vary and all trading involves risk. Monitor performance and adjust settings according to your risk management requirements.
------------------------------
Frequently Asked Questions
------------------------------
Here are some common questions you may have, and our answers:
❓ Is this tool only for experts? I'm new to algo trading, can I use it?
No, the Altcoins DCA Scalper could be used by both beginners and experienced traders. The setup process is guided, and the algorithm handles all the calculations in the background.
❓ I'm not familiar with 3Commas. Is that a problem?
While the script is designed to work with 3Commas, a step-by-step guide is provided within the script to help you set up your 3Commas accounts and bots, if needed.
❓ Do I need to constantly monitor the script after it's set up?
No, after the initial setup and configuration, the script operates autonomously. It handles all aspects of trading including entries, exits, DCA management, and risk controls. However, we recommend:
* Checking performance metrics daily
* Reviewing position statistics weekly
* Adjusting pair selection monthly based on performance
* Monitoring overall market conditions that might require adjustments
❓ Can I use it with leverage?
Yes, the script is designed to work with leverage up to 5x on perpetual futures pairs (USDT.P). It includes specific features for leveraged trading:
* Dynamic safety order placement based on distance to liquidation
* Pre-liquidation exit system to minimize exchange fees
* Adjustable take-profit targets optimized for leveraged positions
* Emergency exit system for extreme market movements
* Optional risk controls specific to leverage:
* Automatic exit in the liquidation danger zone
* Position size scaling based on leverage level
* Safety order adjustments for different leverage settings
While leverage can amplify returns, it also increases risk. We recommend starting with lower leverage (2x), or no leverage at all, until familiar with the script's operation.
❓ Does this script guarantee profits?
No, no script or trading strategy can guarantee profits. The Altcoins DCA Scalper provides a framework for implementing an automated DCA strategy, but your success will depend on many different factors and conditions.
❓ Do I need to understand the complex algorithms used in the script?
No, it’s not necessary. The logic is handled by the script, and you do not need to understand every detail to use it effectively. However, a basic knowledge of DCA concepts will be beneficial.
❓ Can I use this script with spot or leveraged trades?
The script is optimized for USDT.P pairs (perpetual futures) with leverage up to 5x. This allows:
* Automatic long/short position management
* Increased capital utilization
* Full DCA functionality without holding the underlying assets
* Enhanced risk management features specific to futures
While spot trading is possible, it requires holding underlying assets for shorts and doesn't access the script's full capabilities.
❓What timeframe should I use?
This script is optimized for the 1-minute timeframe , which is the recommended setting for the best balance between performance, capital efficiency, and risk. While we recommend using the tool on the 1 minute TF, it would work on other timeframes too.
❓ What happens if my internet/computer goes down?
Since the script sends signals from Tradingview to 3Commas (which executes trades on your exchange), your positions and DCA management continue to function even if your TradingView chart is closed or your computer is off. The script only needs to be active to generate new signals.
❓ How are the DCA parameters determined?
The script dynamically adjusts DCA parameters based on:
* The pair's volatility class (compared to the overall altcoin market)
* Current market conditions and volatility
* Position direction (long/short)
* Leverage settings
* Number of safety orders already executed
This allows for adaptive/dynamic DCA compared to static or %-based parameters.
❓ What exchanges are supported?
The script works with any exchange supported by 3Commas for futures trading (approximately 15 different crypto Exchanges). However, it's optimized for Binance Futures (USDT.P pairs) due to its high liquidity and for consistency.
❓ What happens during extreme market conditions?
The script includes some (optional) protective measures that can be activated:
* Emergency exits during sharp and abnormal market moves
* Automatic adjustment of DCA parameters during high volatility
* Position closure on significant trend changes
* Special handling of aged positions
These features aim to protect capital during unusual market conditions.
❓How many pairs can I trade simultaneously?
This depends on your total capital. As a general indication, define the number of pairs to activate based on:
* Total available capital
* Desired position size per pair
* Risk tolerance
* Pairs' volatility class
------------------------------
Final Thoughts
------------------------------
We believe that your trading performance will greatly depend on your selection of appropriate trading pairs for this script (high volatility), and your commitment to regularly monitoring its performance and adjust the settings, rather than on the script alone.
------------------------------
⚠️ Risk Disclaimer
------------------------------
Remember that trading involves risk, and most day traders experience losses. This script is for educational and informational purposes only. Past performance does not guarantee future results. This is not financial advice, and you should always do your own research (DYOR). Trade responsibly with capital you can afford to lose.
The Altcoins DCA Scalper is an independent tool and is not endorsed, connected, or validated by TradingView.
3Commas is a third-party service, and TradingView is not responsible for the 3Commas integration or the performance of 3Commas bots. You are solely responsible for the security and management of your 3Commas account. Do not share your 3Commas access credentials (like login information, Bots-ID, Email Token) with anyone. The Author of the script has no access to such information, and nobody (but you) should.
Dynamic Support and Resistance Pivot Strategy The Dynamic Support and Resistance Pivot Strategy is a flexible and adaptive tool designed to identify short-term support and resistance levels using the concept of price pivots.
### Key Elements of the Strategy
1. Pivot points as support and resistance levels
Pivots are significant turning points on the price chart, often marking local highs and lows where the price has reversed direction. A pivot high occurs when the price forms a local peak, while a pivot low occurs when the price forms a local trough. When a new pivot high is formed, it creates a resistance level. Conversely, when a new pivot low is formed, it creates a support level.
The strategy continuously updates these levels as new pivots are detected, ensuring they remain relevant to the current market conditions. By identifying these price levels, the strategy dynamically adjusts to market conditions, allowing it to adapt to both trending and ranging markets, since it has a long target and can perform reversal operations.
2. Entry Criteria
- Buy (Long): A long position is triggered when the price is near the support level and then crosses it from below to above. This suggests that the price has found support and may start moving upwards.
- Sell (Short): A short position is triggered when the price is near the resistance level and then crosses it from above to below. This indicates that the price may be reversing and moving downward.
3. Support/Resistance distance (%)
- This parameter establishes a percentage range around the identified support and resistance level. For example, if the Support Resistance Distance is 0.4% (default), the closing price must be within a range of 0.4% above support or below the resistance to be considered "close" and trigger a trade.
4. Exit criteria
- Take profit = 27 %
- Stop loss = 10 %
- Reversal if a new entry point is identified in the opposite direction
5. No Repainting
- The Dynamic Support and Resistance Pivot Strategy is not subject to repainting.
6. Position Sizing by Equity and risk management
- This strategy has a default configuration to operate with 35% of the equity. The stop loss is set to 10% from the entry price. This way, the strategy is putting at risk about 10% of 35% of equity, that is, around 3.5% of equity for each trade. The percentage of equity and stop loss can be adjusted by the user according to their risk management.
7. Backtest results
- This strategy was subjected to backtest and operations in replay mode on **1000000MOGUSDT.P**, with the inclusion of transaction fees at 0.12% and slipagge of 5 ticks, and the past results have shown consistent profitability. Past results are no guarantee of future results. The strategy's backtest results may even be due to overfitting with past data.
8. Chart Visualization
- Support and resistance levels are displayed as green (support) and red (resistance) lines.
- Pivot prices are displayed as green (pivot low) and red (pivot high) labels.
In this image above, the Support/Resistance distance (%) parameter was set to 0.8.
9. Default Configuration
Chart Timeframe: 1h
Pivot Lengh: 2
Support/Resistance distance (%): 0.4*
Stop Loss: 10 %
Take Profit: 27 %
* This parameter can alternatively be set to 0.8.
10. Alternative Configuration
Chart Timeframe: 20 min
Pivot Lengh: 4
Support/Resistance distance (%): 0.1
Stop Loss: 10 %
Take Profit: 25 %
BYBIT:1000000MOGUSDT.P
BullBear with Volume-Percentile TP - Strategy [presentTrading] Happy New Year, everyone! I hope we have a fantastic year ahead.
It's been a while since I published an open script, but it's time to return.
This strategy introduces an indicator called Bull Bear Power, combined with an advanced take-profit system, which is the main innovative and educational aspect of this script. I hope all of you find some useful insights here. Welcome to engage in meaningful exchanges. This is a versatile tool suitable for both novice and experienced traders.
█ Introduction and How it is Different
Unlike traditional strategies that rely solely on price or volume indicators, this approach combines Bull Bear Power (BBP) with volume percentile analysis to identify optimal entry and exit points. It features a dynamic take-profit mechanism based on ATR (Average True Range) multipliers adjusted by volume and percentile factors, ensuring adaptability to diverse market conditions. This multifaceted strategy not only improves signal accuracy but also optimizes risk management, distinguishing it from conventional trading methods.
BTCUSD 6hr performance
Disable the visualization of Bull Bear Power (BBP) to clearly view the Z-Score.
█ Strategy, How it Works: Detailed Explanation
The BBP Strategy with Volume-Percentile TP utilizes several interconnected components to analyze market data and generate trading signals. Here's an overview with essential equations:
🔶 Core Indicators and Calculations
1. Exponential Moving Average (EMA):
- **Purpose:** Smoothens price data to identify trends.
- **Formula:**
EMA_t = (Close_t * (2 / (lengthInput + 1))) + (EMA_(t-1) * (1 - (2 / (lengthInput + 1))))
- Usage: Baseline for Bull and Bear Power.
2. Bull and Bear Power:
- Bull Power: `BullPower = High_t - EMA_t`
- Bear Power: `BearPower = Low_t - EMA_t`
- BBP:** `BBP = BullPower + BearPower`
- Interpretation: Positive BBP indicates bullish strength, negative indicates bearish.
3. Z-Score Calculation:
- Purpose: Normalizes BBP to assess deviation from the mean.
- Formula:
Z-Score = (BBP_t - bbp_mean) / bbp_std
- Components:
- `bbp_mean` = SMA of BBP over `zLength` periods.
- `bbp_std` = Standard deviation of BBP over `zLength` periods.
- Usage: Identifies overbought or oversold conditions based on thresholds.
🔶 Volume Analysis
1. Volume Moving Average (`vol_sma`):
vol_sma = (Volume_1 + Volume_2 + ... + Volume_vol_period) / vol_period
2. Volume Multiplier (`vol_mult`):
vol_mult = Current Volume / vol_sma
- Thresholds:
- High Volume: `vol_mult > 2.0`
- Medium Volume: `1.5 < vol_mult ≤ 2.0`
- Low Volume: `1.0 < vol_mult ≤ 1.5`
🔶 Percentile Analysis
1. Percentile Calculation (`calcPercentile`):
Percentile = (Number of values ≤ Current Value / perc_period) * 100
2. Thresholds:
- High Percentile: >90%
- Medium Percentile: >80%
- Low Percentile: >70%
🔶 Dynamic Take-Profit Mechanism
1. ATR-Based Targets:
TP1 Price = Entry Price ± (ATR * atrMult1 * TP_Factor)
TP2 Price = Entry Price ± (ATR * atrMult2 * TP_Factor)
TP3 Price = Entry Price ± (ATR * atrMult3 * TP_Factor)
- ATR Calculation:
ATR_t = (True Range_1 + True Range_2 + ... + True Range_baseAtrLength) / baseAtrLength
2. Adjustment Factors:
TP_Factor = (vol_score + price_score) / 2
- **vol_score** and **price_score** are based on current volume and price percentiles.
Local performance
🔶 Entry and Exit Logic
1. Long Entry: If Z-Score crosses above 1.618, then Enter Long.
2. Short Entry: If Z-Score crosses below -1.618, then Enter Short.
3. Exiting Positions:
If Long and Z-Score crosses below 0:
Exit Long
If Short and Z-Score crosses above 0:
Exit Short
4. Take-Profit Execution:
- Set multiple exit orders at dynamically calculated TP levels based on ATR and adjusted by `TP_Factor`.
█ Trade Direction
The strategy determines trade direction using the Z-Score from the BBP indicator:
- Long Positions:
- Condition: Z-Score crosses above 1.618.
- Short Positions:
- Condition: Z-Score crosses below -1.618.
- Exiting Trades:
- Long Exit: Z-Score drops below 0.
- Short Exit: Z-Score rises above 0.
This approach aligns trades with prevailing market trends, increasing the likelihood of successful outcomes.
█ Usage
Implementing the BBP Strategy with Volume-Percentile TP in TradingView involves:
1. Adding the Strategy:
- Copy the Pine Script code.
- Paste it into TradingView's Pine Editor.
- Save and apply the strategy to your chart.
2. Configuring Settings:
- Adjust parameters like EMA length, Z-Score thresholds, ATR multipliers, volume periods, and percentile settings to match your trading preferences and asset behavior.
3. Backtesting:
- Use TradingView’s backtesting tools to evaluate historical performance.
- Analyze metrics such as profit factor, drawdown, and win rate.
4. Optimization:
- Fine-tune parameters based on backtesting results.
- Test across different assets and timeframes to enhance adaptability.
5. Deployment:
- Apply the strategy in a live trading environment.
- Continuously monitor and adjust settings as market conditions change.
█ Default Settings
The BBP Strategy with Volume-Percentile TP includes default parameters designed for balanced performance across various markets. Understanding these settings and their impact is essential for optimizing strategy performance:
Bull Bear Power Settings:
- EMA Length (`lengthInput`): 21
- **Effect:** Balances sensitivity and trend identification; shorter lengths respond quicker but may generate false signals.
- Z-Score Length (`zLength`): 252
- **Effect:** Long period for stable mean and standard deviation, reducing false signals but less responsive to recent changes.
- Z-Score Threshold (`zThreshold`): 1.618
- **Effect:** Higher threshold filters out weaker signals, focusing on significant market moves.
Take Profit Settings:
- Use Take Profit (`useTP`): Enabled (`true`)
- **Effect:** Activates dynamic profit-taking, enhancing profitability and risk management.
- ATR Period (`baseAtrLength`): 20
- **Effect:** Shorter period for sensitive volatility measurement, allowing tighter profit targets.
- ATR Multipliers:
- **Effect:** Define conservative to aggressive profit targets based on volatility.
- Position Sizes:
- **Effect:** Diversifies profit-taking across multiple levels, balancing risk and reward.
Volume Analysis Settings:
- Volume MA Period (`vol_period`): 100
- **Effect:** Longer period for stable volume average, reducing the impact of short-term spikes.
- Volume Multipliers:
- **Effect:** Determines volume conditions affecting take-profit adjustments.
- Volume Factors:
- **Effect:** Adjusts ATR multipliers based on volume strength.
Percentile Analysis Settings:
- Percentile Period (`perc_period`): 100
- **Effect:** Balances historical context with responsiveness to recent data.
- Percentile Thresholds:
- **Effect:** Defines price and volume percentile levels influencing take-profit adjustments.
- Percentile Factors:
- **Effect:** Modulates ATR multipliers based on price percentile strength.
Impact on Performance:
- EMA Length: Shorter EMAs increase sensitivity but may cause more false signals; longer EMAs provide stability but react slower to market changes.
- Z-Score Parameters:*Longer Z-Score periods create more stable signals, while higher thresholds reduce trade frequency but increase signal reliability.
- ATR Multipliers and Position Sizes: Higher multipliers allow for larger profit targets with increased risk, while diversified position sizes help in securing profits at multiple levels.
- Volume and Percentile Settings: These adjustments ensure that take-profit targets adapt to current market conditions, enhancing flexibility and performance across different volatility environments.
- Commission and Slippage: Accurate settings prevent overestimation of profitability and ensure the strategy remains viable after accounting for trading costs.
Conclusion
The BBP Strategy with Volume-Percentile TP offers a robust framework by combining BBP indicators with volume and percentile analyses. Its dynamic take-profit mechanism, tailored through ATR adjustments, ensures that traders can effectively capture profits while managing risks in varying market conditions.
Custom Dual EMA Crossover Strategy with Configurable LogicThis strategy is designed to assist traders in identifying and capitalizing on bullish market trends through a systematic and data-driven approach. It incorporates detailed trend analysis, volatility filtering, and percentage-based thresholds to provide actionable insights and high-confidence trade setups. It leverages the Exponential Moving Average and combines it with custom logic to detect volatility, maximum allowed price movements over last bars and trend confirmation.
Key Features:
- Buy orders follow several conditions, including but not limited to:
a. EMA Crossover: specifically designed to capture immediate market shifts rather than medium- or long-term trends, ensuring responsiveness to rapidly changing conditions but requiring additional confirmations to avoid false signals (see below).
b. Thresholds in Price Changes: Ensures recent price fluctuations remain within specific thresholds, allowing trades to be entered at optimal times and avoiding delayed or unsustainable short-term bullish trends.
c. Adequate Market Volatility: Requires sufficient market activity to avoid false signals stemming from low volatility conditions.
d. Bullish Medium-Term Trend: Validates a bullish medium-term trend using an EMA crossover to avoid trading during bearish market conditions and minimize risk.
- Leverages Take profit and Stop loss levels
- Implements an optional mechanism to automatically close trades after a predefined number of bars, supporting disciplined trade management.
The script does not rely on any public scripts or indicators. Apart the EMA, all the underlying logic, including the volatility thresholds and filtering mechanisms, has been custom developed to ensure originality and precision. The strategy's conditions are all configurable by the user in the TradingView pop-up, allowing it to adapt to different assets and timeframes. For example, users can set the EMA lengths to align with long-term trends for cryptocurrencies or adjust volatility thresholds to account for the specific price movement behavior of stocks or forex pairs.
---
Recommendations:
- Identify a crypto asset with potential
- Before live trading, rigorously backtest your strategy on the chosen asset and interval over a period of at least one year*, analyzing results, refining parameters' value and eventually changing timeframe and / or asset.
- Refine your approach until you achieve consistent profitability with a high win rate. Balance the two — a high win rate is great, but only if your profits outweigh your losses in the long term.
- Once successful, remain disciplined and adhere to the parameters that yield the best results. Set up TradingView alerts to trigger real-time actions via your preferred trading bot. Alerts can be set up on the Indicator, which mirrors the strategy's logic and enables users to execute real-time actions effectively. I will provide you access to the Indicator, as well as the Strategy.
* Alternatively, you can apply the strategy to a shorter period for tactical use. While this approach may increase short-term opportunities (e.g. strong bullish short term movements), it also comes with heightened risks.
Use Cases:
- Suitable for traders focusing on bullish or range-bound markets.
- Ideal for short to medium-term trading horizons.
Access and Configuration Support:
This is an invite-only script. For access, please reach out directly for subscription details. I also provide guidance on configuring the strategy with real-world examples to optimize its use for various assets, intervals and timeframes.
---
Disclaimer:
This script is a tool to support trading decisions and does not guarantee profitability. Past performance does not indicate future results. Trading carries inherent risks; always trade responsibly and manage risk accordingly.
MACD Aggressive Scalp SimpleComment on the Script
Purpose and Structure:
The script is a scalping strategy based on the MACD indicator combined with EMA (50) as a trend filter.
It uses the MACD histogram's crossover/crossunder of zero to trigger entries and exits, allowing the trader to capitalize on short-term momentum shifts.
The use of strategy.close ensures that positions are closed when specified conditions are met, although adjustments were made to align with Pine Script version 6.
Strengths:
Simplicity and Clarity: The logic is straightforward and focuses on essential scalping principles (momentum-based entries and exits).
Visual Indicators: The plotted MACD line, signal line, and histogram columns provide clear visual feedback for the strategy's operation.
Trend Confirmation: Incorporating the EMA(50) as a trend filter helps avoid trades that go against the prevailing trend, reducing the likelihood of false signals.
Dynamic Exit Conditions: The conditional logic for closing positions based on weakening momentum (via MACD histogram change) is a good way to protect profits or minimize losses.
Potential Improvements:
Parameter Inputs:
Make the MACD (12, 26, 9) and EMA(50) values adjustable by the user through input statements for better customization during backtesting.
Example:
pine
Copy code
macdFast = input(12, title="MACD Fast Length")
macdSlow = input(26, title="MACD Slow Length")
macdSignal = input(9, title="MACD Signal Line Length")
emaLength = input(50, title="EMA Length")
Stop Loss and Take Profit:
The strategy currently lacks explicit stop-loss or take-profit levels, which are critical in a scalping strategy to manage risk and lock in profits.
ATR-based or fixed-percentage exits could be added for better control.
Position Size and Risk Management:
While the script uses 50% of equity per trade, additional options (e.g., fixed position sizes or risk-adjusted sizes) would be beneficial for flexibility.
Avoid Overlapping Signals:
Add logic to prevent overlapping signals (e.g., opening a new position immediately after closing one on the same bar).
Backtesting Optimization:
Consider adding labels or markers (label.new or plotshape) to visualize entry and exit points on the chart for better debugging and analysis.
The inclusion of performance metrics like max drawdown, Sharpe ratio, or profit factor would help assess the strategy's robustness during backtesting.
Compatibility with Live Trading:
The strategy could be further enhanced with alert conditions using alertcondition to notify the trader of buy/sell signals in real-time.
LETF Leveraged Edge Strategy v1.5Overview
The strategy is based on Stochastics to detect trends and then makes Buys and Sell based on custom entry and exit criteria as described below in the Execution Logic Rules section. It will NOT work with standard Stochastics.
This is not a standard Stochastics implementation. It has been customized and modified, and does not match any widely known Stochastics variations (like Fast, Slow, or Full Stochastics) in its smoothing and iterative calculation process with:
• A unique smoothing mechanism.
• Iterative calculations.
• Additional conditional logic for strategy execution.
This strategy is designed to focus on volatile, liquid leveraged ETFs to capture gains equal to or better than Buy and Hold, and mitigate the risk of trading with a goal of reducing drawdown to a lot less than Buy and Hold. It has had successful backtest performance to varying degrees with TQQQ, SOXL, FNGU, TECL, FAS, UPRO, NAIL and SPXL. Results have not been good on other LETFs that have been backtested.
Performance
In this backtest the Net Profit shows to be $4,561 or 45.61%. Considering the initial order size was $1,000 I have to wonder if the Strategy Tester is calculating this correctly. The Strategy Tester Performance Summary shows the Buy and Hold Return at $61,165 or 611.7%. Based on calculating the price of the last shares sold, less the price paid, times the number of initial shares purchased, my math shows the Buy and Hold Gain at $4,572 or about equal with the strategy performance in this case. The Performance Summary also states the strategy had a Max DD of 3.46% which I believe is incorrect. Based on other backtests I’ve done, I believe the strategy drawdown here was closer to 28.4% and the Buy and Hold Drawdown at 82.7%. I manually calculated the Buy and Hold drawdown.
How it Works
The author provides training and support resource materials for this at his website. The strategy execution logic is driven by these rules:
Execution Logic Rules
Buy the LETF When:
BR #1a) The Daily Fast Line (FL) crosses above the Daily Slow Line (SL) and the FL is between the Low (L*) and High (H*) Range set (often referred to as Oversold and Overbought Lines). This can execute (Buy) any trading day of the week.
BR #1b) Re-Buy the next day after any Stop or Take Profit Sell if the Buy Rule condition is true (FL is above SL), if not, remain in cash and wait for the next Buy Signal.
Sell the LETF When:
SR #1a) The Daily Fast Line (FL) crosses below Daily Slow Line (SL) within the Low (L*) and High (H*) Range (often referred to as Oversold and Overbought Lines). “Crossunder Range Exit” This can execute (Sell) any trading day of the week.
SR #1b) If the (FL) crosses Below the SL above the Exit Level*, wait. Only Sell if the FL drops down below the Exit Level* “Crossunder Level Exit” This can execute (Sell) any trading day of the week.
SR #2a) Sell at the open any day the gap-down price is at or below the 1-Day Stop%*, based on previous day’s closing price (Execute on the day it happens.)
SR #2b) Sell intraday any day the price is at or below the 1-Day Stop %*, based on previous day’s closing price (Execute on the day it happens.)
SR #3a) Sell at the open any day the price is at or below the Trailing Stop %*, based on highest intraday price since Buy date (Execute on the day it happens.)
SR #3b) Sell intraday any day the price is at or below the Trailing Stop%*, based on highest intraday price since Buy date (Execute on the day it happens.)
SR #4) Sell any day when the opening price exceeds, or intraday price meets the Profit Target % price* (Execute on the day it happens.)
SR #5) After each Sell go to Rule BR #1b to determine if a Re-Buy should occur the next day, or stay in cash until next Buy Signal
Settings:
Properties Tab – Initial Capital has been set to $10,000 and order size 10% of Equity, 0.1% commission and 3 Ticks for slippage. Net order size is $1,000
Input Tab:
Stochastic
Timeframe is selected to Daily or Weekly based on preference. Daily has more trades, but on average higher profitability.
Type: Proprietary (best selection for most LETFs, but a few will work better with the Full selection
%k Length 20, %K Smoothing 14, %D Smoothing (many LETFs work better with a specific Stoch setting, often each different) A List of these is provided for your starting point.
Trade Settings
Direction: Longs (This strategy only works on the Long side)
Stop Type: Trailing is recommended, but Fixed is an option.
Stop % (based on user risk tolerance)
PD Stop % (Suggest start at 5%. Based on volatility of LETF and is a stop percentage from prior day’s close. Designed to protect against sudden market volatility. Will need to balance between strategy performance and user risk tolerance)
Profit Target: User preference. (I can help with suggestions based on historical performance)
Entry/Exit Conditions
Enter on Tie: Default Checked – if a Fast line crosses a Slow line for a Buy signal, but doesn’t do so in the range set, this will trigger if it crosses at a tie.
Renter – Default Checked – If stopped out of a position, this tells the strategy to re-buy the position the next day if the conditions are still positive.
Exit Level: This is a exit level for a Fast cross below a Slow line that takes place above the Sell Range, but only happens if the Fast continues down to the level set. These usually don’t happen often, but can have a significant impact on performance. Unfortunately, it’s a trial and error process starting with 90 and working down to see if there’s any positive impact.
Trade Range
Buy Range: Start at typical 20 to 80. Expand the low end down first to check on performance impact. Normally a wide buying range is better for performance.
Sell Range: Start at 20 to 80 and tighten gradually to see performance impact. In some cases a very tight sell range does better. I have worked on our primary LETFs for many months to determine ranges for each that typically produce better results.
External Indicator: Some additional indicators have a positive impact on the strategy performance by increasing P/l, reducing drawdown and reducing the number of trades. This is not always the case and each LETF and time period for the LETF will have a bearing on whether the secondary indicator will help or not. Two that have helped are the MACD Histogram, and the Sloe-Velocity Indicator by Kamleshkumar43. Sometimes a couple of different indicators will have a positive impact, then it’s a personal preference which you pick to use with the strategy.
Since this strategy is focused on a very narrow selection of liquid LETFs, I have a lot of experience experimenting with the settings for the primary ones and can suggest things that will help. Additional training on the rules, working with the settings, and mitigating some of the negative trades during choppy markets is available at the website.
Chart
The strategy can be selected to use either a Daily or Weekly version of stochastic. This is important because the characteristics are different while still generating very good gains and minimal drawdowns. Generally, the daily stochastic will have a greater number of, and certainly more frequent, trades than the weekly stochastic. However, on average the daily version of the stochastic will generates greater profitability.
The Settings tabs have tooltip icons that will assist in inputting values that correspond to the written rules for the strategy, and some include specific rule detail.
Buying
The strategy generates Buy signals with the Fast line crossing over the Slow line within a “Buy Range” which is adjusted based on volatility of the leveraged ETF. This is unique in that a default is set for these entries to occur if the values are tied and doesn’t need to be within the high and low range if that occurs. The trader can select in the strategy for this to occur the same day, if he’s selected a Daily Stochastic timeframe, or at the end of the trading week if he’s selected a Weekly stochastic timeframe. The volatility of a leveraged ETF will sometimes cause a shake-out exit, a trailing stop can be hit, or there can be an exit based on taking a profit. A big part of the timing challenge was how to handle these. The strategy normally (set as a default) will immediately re-buy the next day only if the original buy conditions are still true. This helps capture gains when conditions are still favorable but keeps the trader out when they’re not.
Selling
Exits are handled in several ways. The strategy will exit if there is a fast line cross below a slow line within the “range”. The range is adjusted based on volatility of the leveraged ETF. The exit occurs at the close of the day if the trader has selected to use a Daily stochastic setting. The exit will occur at the end of the trading week if the trader has chosen a weekly stochastic strategy. The trader will set a level based on the instrument and volatility for another exit type. The level will sometimes coincide with the range exit high level but does not need to. If a fast line crosses down through a slow line above the level set, and then comes down to that level, the strategy will exit the position.
Another unique aspect of the strategy is the PD Stop setting. This is short for “Prior Day”, Rather than a normal stop based on the price paid for a position, the PD Stop is based on a percentage drop from the previous day’s closing price. This helps account for the volatility of the leveraged ETF and will cause an exit quickly if there’s a market, or index moving event. This helps capture gains and reduce risk should there be continued pullback.
Exits will also occur based on setting a trailing stop level and profit taking level. These are adjusted based on the leveraged ETFs volatility and historical performance.
Limitations
Choppy, or sideways markets are the most prone to poor performance and potential for being stopped out multiple times. If stopped out two consecutive times, make sure you’re monitoring market health and there are clear signs of a new uptrend such as a 10D and 21D MA in proper alignment and moving up. If you get a Buy signal from the strategy and you’re not confident yet about market and price direction then it’s fine to wait a day, or several days, to enter after the Buy signal when you have greater confidence about market direction. The author can help with a short list of tactical rules developed for these sideways or choppy markets.
This strategy has proven successful backtest results with a very limited set of LETFs as discussed earlier. The author does not know if it will prove successful with any others, or other types of ETFs such as 2X or plain ETFs. A lot more testing needs to be done.
The strategy buys and sells , excluding stops or take profit, at the market close. It can be very challenging to enter an order at market close.
Disclaimer
Please remember that past performance may not be indicative of future results.
Due to various factors, including changing market conditions, the strategy may no longer perform as well as in historical backtesting. This post and the script do not provide any financial advice and are for educational and entertainment purposes only.
Liquid Pours XtremeStrategy Description: Liquid Pours Xtreme
The Liquid Pours Xtreme is an innovative trading strategy that combines the analysis of specific time-based patterns with price comparisons to identify potential opportunities in the forex market. Designed for traders seeking a structured methodology based on clear rules, this strategy offers integration with Telegram for real-time alerts and provides visual tools to enhance trade management.
Key Features:
Analysis of Specific Time Patterns: The strategy captures and compares closing prices at two key moments during the trading day, identifying recurring patterns that may indicate future market movements.
Dynamic SL and TP Levels Implementation: Utilizes tick-based calculations to set Stop-Loss and Take-Profit levels, adapting to the current market volatility.
Advanced Telegram Integration: Provides detailed alerts including information such as the asset, signal time, entry price, and SL/TP levels, facilitating real-time decision-making.
Complete Customization: Allows users to adjust key parameters, including operation schedules, weekdays, and visual settings, adapting to different trading styles.
Enhanced Chart Visualization: Includes visual elements like candle color changes based on signal state, event markers, and halos to highlight important moments.
Default Strategy Properties: Specific configuration for optimal risk management and simulation.
How the Strategy Works
Capturing Prices at Key Moments:
- The strategy records the closing price at two user-defined specific times. These times typically correspond to periods of high market volatility, such as the opening of the European session and the US pre-market.
- Rationale: Volatility and trading volume usually increase during these times, presenting opportunities for significant price movements.
Generating Signals Based on Price Comparison:
- Buy Signal: If the second closing price is lower than the first, it indicates possible accumulation and is interpreted as a bullish signal.
- Sell Signal: If the second closing price is higher than the first, it suggests possible distribution and is interpreted as a bearish signal.
- Signals are only generated on selected trading days, allowing you to avoid days with lower liquidity or higher risk.
Calculating Dynamic SL and TP Levels:
- Stop-Loss (SL) and Take-Profit (TP) levels are calculated based on the entry price and a user-defined number of ticks, adapting to market volatility.
- The strategy offers the option to base these levels on the close of the signal candle or the open of the next candle, providing flexibility according to the trader's preference.
- SL and TP boxes are drawn on the chart for visual reference, facilitating trade management.
Automatic Execution and Alerts:
- Upon signal generation, the strategy automatically executes a market order (buy or sell).
- Sends a detailed alert to your Telegram channel, including essential information for quick decision-making.
Visual Elements:
- Colors candles based on the signal state: buy, sell, or neutral, allowing for quick trend identification.
- Provides a smooth color transition between signal states and uses markers and halos to highlight important events and signals on the chart.
Trade Management:
- Manages open trades with automatic exit conditions based on the established SL and TP levels.
- Includes mechanisms to prevent exceeding TradingView's limitations on boxes and labels, ensuring optimal script performance.
Originality and utility:
- This strategy incorporates a unique approach focusing on specific time patterns and their relationship to institutional activity in the market.
How to Use the Strategy
Add the Script to the Chart:
- Go to the indicators menu in TradingView.
- Search for " Liquid Pours Xtreme " and add it to your chart.
Set Up Telegram Alerts:
- Enter your Telegram Chat ID in the script parameters to receive alerts.
- Customize the Buy and Sell alert messages as desired.
Configure Time Patterns:
- Set the hours and minutes for the two times you want to compare closing prices, aligning them with relevant market sessions or events.
Set SL and TP Parameters:
- Define the number of ticks for the Stop-Loss and Take-Profit levels, adapting them to the asset you're trading and your risk tolerance.
- Choose the basis for SL and TP calculation (close of the signal candle or open of the next candle).
Select Trading Days:
- Enable or disable trading on specific days of the week, allowing you to avoid days with lower activity or unexpected volatility.
Customize Visual Elements:
- Adjust the colors and styles of visual elements to enhance readability and suit your personal preferences.
Monitor the Strategy:
- Observe the chart for signals and use Telegram alerts to stay informed of new opportunities, even when you're not at your terminal.
Testing and Optimization:
- Use TradingView's backtesting features to evaluate the historical performance of the strategy with different parameters.
- Adjust and optimize the parameters based on the results and your own analysis.
Adjust the Strategy Properties:
- Ensure that the strategy properties (order size, commission, slippage) are aligned with your trading account and platform to obtain realistic results.
Strategy Properties (Important)
This script backtest is conducted on M30 EURUSD , using the following backtesting properties:
Initial Capital: $10,000
Order Size: 50,000 Contracts (equivalent to 0.5% of the capital)
Commission: $0.20 per order
Slippage: 1 tick
Pyramiding: 1 order
Verify Price for Limit Orders: 0 ticks
Recalculate on Order Execution: Enabled
Recalculate on Every Tick: Enabled
Recalculate After Order Filled: Enabled
Bar Magnifier for Backtesting Precision: Enabled
We use these properties to ensure a realistic preview of the backtesting system. Note that default properties may vary for different reasons:
- Order Size: It is essential to calculate the contract size according to the traded asset and desired risk level.
- Commission and Slippage: These costs can vary depending on the market and instrument; there is no default value that might return realistic results.
We strongly recommend all users adjust the Properties within the script settings to align with their accounts and trading platforms to ensure the results from the strategies are realistic.
Backtesting Results:
- Net Profit: $4,037.50 (40.37%)
- Total Closed Trades : 292
- Profitability Percentage: 26.71%
- Profit Factor: 1.369
- Max Drawdown: $769.30 (6.28%)
- Average Trade: $13.83 (0.03%)
- Average Bars in Trades: 11
These results were obtained under the mentioned conditions and properties, providing an overview of the strategy's historical performance.
Interpreting Results:
- The strategy has demonstrated profitability in the analyzed period, although with a win rate of 26.71%, indicating that success relies on a favorable risk-reward ratio.
- The profit factor of 1.369 suggests that total gains exceed total losses by that proportion.
- It is crucial to consider the maximum drawdown of 6.28% when evaluating the strategy's suitability to your risk tolerance.
Risk Warning:
Trading leveraged financial instruments carries a high level of risk and may not be suitable for all investors. Before deciding to trade, you should carefully consider your investment objectives, level of experience, and risk tolerance. Past performance does not guarantee future results. It is essential to conduct additional testing and adjust the strategy according to your needs.
---
What Makes This Strategy Original?
Time-Based Pattern Approach: Unlike conventional strategies, this strategy focuses on identifying time patterns that reflect institutional activity and macroeconomic events that can influence the market.
Advanced Technological Integration: The combination of automatic execution and customized alerts via Telegram provides an efficient and modern tool for active traders.
Customization and Adaptability: The wide range of adjustable parameters allows the strategy to be tailored to different assets, time zones, and trading styles.
Enhanced Visual Tools: Incorporated visual elements facilitate quick market interpretation and informed decision-making.
Additional Considerations
Continuous Testing and Optimization: Users are encouraged to perform additional backtesting and optimize parameters according to their own observations and requirements.
Complementary Analysis: Use this strategy in conjunction with other indicators and fundamental analysis to reinforce decision-making.
Rigorous Risk Management: Ensure that SL and TP levels, as well as position sizing, align with your risk management plan.
Updates and Support: I am committed to providing updates and improvements based on community feedback. For inquiries or suggestions, feel free to contact me.
---
Example Configuration
Assuming you want to use the strategy with the following parameters:
Telegram Chat ID: Your unique Telegram Chat ID
First Time (Hour:Minute): 6:30
Second Time (Hour:Minute): 7:30
SL Ticks: 100
TP Ticks: 400
SL and TP Basis: Close of the Signal Candle
Trading Days: Tuesday, Wednesday, Thursday
Simulated Initial Capital: $10,000
Risk per Trade in Simulation: $50 (-0.5% of capital)
Slippage and Commissions in Simulation: 1 tick of slippage and $0.20 commission per trade
---
Conclusion
The Liquid Pours Xtreme strategy offers an innovative approach by combining specific time analysis with robust risk management and modern technological tools. Its original and adaptable design makes it valuable for traders looking to diversify their methods and capitalize on opportunities based on less conventional patterns.
Ready for immediate implementation in TradingView, this strategy can enrich your trading arsenal and contribute to a more informed and structured approach to your operations.
---
Final Disclaimer:
Financial markets are volatile and can present significant risks. This strategy should be used as part of a comprehensive trading approach and does not guarantee positive results. It is always advisable to consult with a professional financial advisor before making investment decisions.
---
SMB MagicSMB Magic
Overview: SMB Magic is a powerful technical strategy designed to capture breakout opportunities based on price movements, volume spikes, and trend-following logic. This strategy works exclusively on the XAU/USD symbol and is optimized for the 15-minute time frame. By incorporating multiple factors, this strategy identifies high-probability trades with a focus on risk management.
Key Features:
Breakout Confirmation:
This strategy looks for price breakouts above the previous high or below the previous low, with a significant volume increase. A breakout is considered valid when it is supported by strong volume, confirming the strength of the price move.
Price Movement Filter:
The strategy ensures that only significant price movements are considered for trades, helping to avoid low-volatility noise. This filter targets larger price swings to maximize potential profits.
Exponential Moving Average (EMA):
A long-term trend filter is applied to ensure that buy trades occur only when the price is above the moving average, and sell trades only when the price is below it.
Fibonacci Levels:
Custom Fibonacci retracement levels are drawn based on recent price action. These levels act as dynamic support and resistance zones and help determine the exit points for trades.
Take Profit/Stop Loss:
The strategy incorporates predefined take profit and stop loss levels, designed to manage risk effectively. These levels are automatically applied to trades and are adjusted based on the market's volatility.
Volume Confirmation:
A volume multiplier confirms the strength of the breakout. A trade is only considered when the volume exceeds a certain threshold, ensuring that the breakout is supported by sufficient market participation.
How It Works:
Entry Signals:
Buy Signal: A breakout above the previous high, accompanied by significant volume and price movement, occurs when the price is above the trend-following filter (e.g., EMA).
Sell Signal: A breakout below the previous low, accompanied by significant volume and price movement, occurs when the price is below the trend-following filter.
Exit Strategy:
Each position (long or short) has predefined take-profit and stop-loss levels, which are designed to protect capital and lock in profits at key points in the market.
Fibonacci Levels:
Fibonacci levels are drawn to identify potential areas of support or resistance, which can be used to guide exits and stop-loss placements.
Important Notes:
Timeframe Restriction: This strategy is designed specifically for the 15-minute time frame.
Symbol Restriction: The strategy works exclusively on the XAU/USD (Gold) symbol and is not recommended for use with other instruments.
Best Performance in Trending Markets: It works best in trending conditions where breakouts occur frequently.
Disclaimer:
Risk Warning: Trading involves risk, and past performance is not indicative of future results. Always conduct your own research and make informed decisions before trading.
XAUUSD Trend Strategy### Description of the XAUUSD Trading Strategy with Pine Script
This strategy is designed to trade gold (**XAUUSD**) using proven technical analysis principles. It combines key indicators such as **Exponential Moving Averages (EMA)**, the **Relative Strength Index (RSI)**, and **Bollinger Bands** to identify trading opportunities in trending market conditions.
---
#### Objective:
To maximize profits by identifying trend-aligned entry points while minimizing risks through well-defined Stop Loss and Take Profit levels.
---
### How It Works
1. **Indicators Used:**
- **Exponential Moving Averages (EMA):** Tracks short-term and long-term trends to confirm market direction.
- **Relative Strength Index (RSI):** Detects overbought or oversold conditions for potential reversals or trend continuation.
- **Bollinger Bands:** Measures volatility to identify breakout or reversion points.
2. **Entry Rules:**
- **Long (Buy):** Triggered when:
- The short-term EMA crosses above the long-term EMA (bullish trend confirmation).
- RSI exits oversold territory (<30), signaling buying momentum.
- The price breaks above the upper Bollinger Band, indicating a strong trend.
- **Short (Sell):** Triggered when:
- The short-term EMA crosses below the long-term EMA (bearish trend confirmation).
- RSI exits overbought territory (>70), signaling selling momentum.
- The price breaks below the lower Bollinger Band, indicating a strong downtrend.
3. **Risk Management:**
- **Stop Loss:** Automatically calculated based on a percentage of equity risk (customizable via inputs).
- **Take Profit:** Defined using a risk-to-reward ratio, ensuring consistent profitability when trades succeed.
4. **Visualization:**
- The chart displays the EMAs, Bollinger Bands, and entry/exit points for clear analysis.
---
### Key Features:
- **Customizable Parameters:** You can adjust EMAs, RSI thresholds, Bollinger Band settings, and risk levels to suit your trading style.
- **Alerts:** Automatic alerts for potential trade setups.
- **Backtesting-Ready:** Easily test historical performance on TradingView.
---
This strategy is ideal for gold traders looking for a systematic, rule-based approach to trading trends with minimal emotional interference.
VIDYA ProTrend Multi-Tier ProfitHello! This time is about a trend-following system.
VIDYA is quite an interesting indicator that adjusts dynamically to market volatility, making it more responsive to price changes compared to traditional moving averages. Balancing adaptability and precision, especially with the more aggressive short trade settings, challenged me to fine-tune the strategy for a variety of market conditions.
█ Introduction and How it is Different
The "VIDYA ProTrend Multi-Tier Profit" strategy is a trend-following system that combines the VIDYA (Variable Index Dynamic Average) indicator with Bollinger Bands and a multi-step take-profit mechanism.
Unlike traditional trend strategies, this system allows for more adaptive profit-taking, adjusting for long and short positions through distinct ATR-based and percentage-based targets. The innovation lies in its dynamic multi-tier approach to profit-taking, especially for short trades, where more aggressive percentages are applied using a multiplier. This flexibility helps adapt to various market conditions by optimizing trade management and profit allocation based on market volatility and trend strength.
BTCUSD 6hr performance
█ Strategy, How it Works: Detailed Explanation
The core of the "VIDYA ProTrend Multi-Tier Profit" strategy lies in the dual VIDYA indicators (fast and slow) that analyze price trends while accounting for market volatility. These indicators work alongside Bollinger Bands to filter trade entries and exits.
🔶 VIDYA Calculation
The VIDYA indicator is calculated using the following formula:
Smoothing factor (𝛼):
alpha = 2 / (Length + 1)
VIDYA formula:
VIDYA(t) = alpha * k * Price(t) + (1 - alpha * k) * VIDYA(t-1)
Where:
k = |Chande Momentum Oscillator (MO)| / 100
🔶 Bollinger Bands as a Volatility Filter
Bollinger Bands are calculated using a rolling mean and standard deviation of price over a specified period:
Upper Band:
BB_upper = MA + (K * stddev)
Lower Band:
BB_lower = MA - (K * stddev)
Where:
MA is the moving average,
K is the multiplier (typically 2), and
stddev is the standard deviation of price over the Bollinger Bands length.
These bands serve as volatility filters to identify potential overbought or oversold conditions, aiding in the entry and exit logic.
🔶 Slope Calculation for VIDYA
The slopes of both fast and slow VIDYAs are computed to assess the momentum and direction of the trend. The slope for a given VIDYA over its length is:
Slope = (VIDYA(t) - VIDYA(t-n)) / n
Where:
n is the length of the lookback period. Positive slope indicates bullish momentum, while negative slope signals bearish momentum.
LOCAL picture
🔶 Entry and Exit Conditions
- Long Entry: Occurs when the price moves above the slow VIDYA and the fast VIDYA is trending upward. Bollinger Bands confirm the signal when the price crosses the upper band, indicating bullish strength.
- Short Entry: Happens when the price drops below the slow VIDYA and the fast VIDYA trends downward. The signal is confirmed when the price crosses the lower Bollinger Band, showing bearish momentum.
- Exit: Based on VIDYA slopes flattening or reversing, or when the price hits specific ATR or percentage-based profit targets.
🔶 Multi-Step Take Profit Mechanism
The strategy incorporates three levels of take profit for both long and short trades:
- ATR-based Take Profit: Each step applies a multiple of the ATR (Average True Range) to the entry price to define the exit point.
The first level of take profit (long):
TP_ATR1_long = Entry Price + (2.618 * ATR)
etc.
█ Trade Direction
The strategy offers flexibility in defining the trading direction:
- Long: Only long trades are considered based on the criteria for upward trends.
- Short: Only short trades are initiated in bearish trends.
- Both: The strategy can take both long and short trades depending on the market conditions.
█ Usage
To use the strategy effectively:
- Adjust the VIDYA lengths (fast and slow) based on your preference for trend sensitivity.
- Use Bollinger Bands as a filter for identifying potential breakout or reversal scenarios.
- Enable the multi-step take profit feature to manage positions dynamically, allowing for partial exits as the price reaches specified ATR or percentage levels.
- Leverage the short trade multiplier for more aggressive take profit levels in bearish markets.
This strategy can be applied to different asset classes, including equities, forex, and cryptocurrencies. Adjust the input parameters to suit the volatility and characteristics of the asset being traded.
█ Default Settings
The default settings for this strategy have been designed for moderate to trending markets:
- Fast VIDYA Length (10): A shorter length for quick responsiveness to price changes. Increasing this length will reduce noise but may delay signals.
- Slow VIDYA Length (30): The slow VIDYA is set longer to capture broader market trends. Shortening this value will make the system more reactive to smaller price swings.
- Minimum Slope Threshold (0.05): This threshold helps filter out weak trends. Lowering the threshold will result in more trades, while raising it will restrict trades to stronger trends.
Multi-Step Take Profit Settings
- ATR Multipliers (2.618, 5.0, 10.0): These values define how far the price should move before taking profit. Larger multipliers widen the profit-taking levels, aiming for larger trend moves. In higher volatility markets, these values might be adjusted downwards.
- Percentage Levels (3%, 8%, 17%): These percentage levels define how much the price must move before taking profit. Increasing the percentages will capture larger moves, while smaller percentages offer quicker exits.
- Short TP Multiplier (1.5): This multiplier applies more aggressive take profit levels for short trades. Adjust this value based on the aggressiveness of your short trade management.
Each of these settings directly impacts the performance and risk profile of the strategy. Shorter VIDYA lengths and lower slope thresholds will generate more trades but may result in more whipsaws. Higher ATR multipliers or percentage levels can delay profit-taking, aiming for larger trends but risking partial gains if the trend reverses too early.
Optimized Heikin Ashi Strategy with Buy/Sell OptionsStrategy Name:
Optimized Heikin Ashi Strategy with Buy/Sell Options
Description:
The Optimized Heikin Ashi Strategy is a trend-following strategy designed to capitalize on market trends by utilizing the smoothness of Heikin Ashi candles. This strategy provides flexible options for trading, allowing users to choose between Buy Only (long-only), Sell Only (short-only), or using both in alternating conditions based on the Heikin Ashi candle signals. The strategy works on any market, but it performs especially well in markets where trends are prevalent, such as cryptocurrency or Forex.
This script offers customizable parameters for the backtest period, Heikin Ashi timeframe, stop loss, and take profit levels, allowing traders to optimize the strategy for their preferred markets or assets.
Key Features:
Trade Type Options:
Buy Only: Enter a long position when a green Heikin Ashi candle appears and exit when a red candle appears.
Sell Only: Enter a short position when a red Heikin Ashi candle appears and exit when a green candle appears.
Stop Loss and Take Profit:
Customizable stop loss and take profit percentages allow for flexible risk management.
The default stop loss is set to 2%, and the default take profit is set to 4%, maintaining a favorable risk/reward ratio.
Heikin Ashi Timeframe:
Traders can select the desired timeframe for Heikin Ashi candle calculation (e.g., 4-hour Heikin Ashi candles for a 1-hour chart).
The strategy smooths out price action and reduces noise, providing clearer signals for entry and exit.
Inputs:
Backtest Start Date / End Date: Specify the period for testing the strategy’s performance.
Heikin Ashi Timeframe: Select the timeframe for Heikin Ashi candle generation. A higher timeframe helps smooth the trend, which is beneficial for trading lower timeframes.
Stop Loss (in %) and Take Profit (in %): Enable or disable stop loss and take profit, and adjust the levels based on market conditions.
Trade Type: Choose between Buy Only or Sell Only based on your market outlook and strategy preference.
Strategy Performance:
In testing with BTC/USD, this strategy performed well in a 4-hour Heikin Ashi timeframe applied on a 1-hour chart over a period from January 1, 2024, to September 12, 2024. The results were as follows:
Initial Capital: 1 USD
Order Size: 100% of equity
Net Profit: +30.74 USD (3,073.52% return)
Percent Profitable: 78.28% of trades were winners.
Profit Factor: 15.825, indicating that the strategy's profitable trades far outweighed its losses.
Max Drawdown: 4.21%, showing low risk exposure relative to the large profit potential.
This strategy is ideal for both beginner and advanced traders who are looking to follow trends and avoid market noise by using Heikin Ashi candles. It is also well-suited for traders who prefer automated risk management through the use of stop loss and take profit levels.
Recommended Use:
Best Markets: This strategy works well on trending markets like cryptocurrency, Forex, or indices.
Timeframes: Works best when applied to lower timeframes (e.g., 1-hour chart) with a higher Heikin Ashi timeframe (e.g., 4-hour candles) to smooth out price action.
Leverage: The strategy performs well with leverage, but users should consider using 2x to 3x leverage to avoid excessive risk and potential liquidation. The strategy's low drawdown allows for moderate leverage use while maintaining risk control.
Customization: Traders can adjust the stop loss and take profit percentages based on their risk appetite and market conditions. A default setting of a 2% stop loss and 4% take profit provides a balanced risk/reward ratio.
Notes:
Risk Management: Traders should enable stop loss and take profit settings to maintain effective risk management and prevent large drawdowns during volatile market conditions.
Optimization: This strategy can be further optimized by adjusting the Heikin Ashi timeframe and risk parameters based on specific market conditions and assets.
Backtesting: The built-in backtesting functionality allows traders to test the strategy across different market conditions and historical data to ensure robustness before applying it to live trading.
How to Apply:
Select your preferred market and chart.
Choose the appropriate Heikin Ashi timeframe based on the chart's timeframe. (e.g., use 4-hour Heikin Ashi candles for 1-hour chart trends).
Adjust stop loss and take profit based on your risk management preference.
Run backtesting to evaluate its performance before applying it in live trading.
This strategy can be further modified and optimized based on personal trading style and market conditions. It’s important to monitor performance regularly and adjust settings as needed to align with market behavior.
Intramarket Difference Index StrategyHi Traders !!
The IDI Strategy:
In layman’s terms this strategy compares two indicators across markets and exploits their differences.
note: it is best the two markets are correlated as then we know we are trading a short to long term deviation from both markets' general trend with the assumption both markets will trend again sometime in the future thereby exhausting our trading opportunity.
📍 Import Notes:
This Strategy calculates trade position size independently (i.e. risk per trade is controlled in the user inputs tab), this means that the ‘Order size’ input in the ‘Properties’ tab will have no effect on the strategy. Why ? because this allows us to define custom position size algorithms which we can use to improve our risk management and equity growth over time. Here we have the option to have fixed quantity or fixed percentage of equity ATR (Average True Range) based stops in addition to the turtle trading position size algorithm.
‘Pyramiding’ does not work for this strategy’, similar to the order size input togeling this input will have no effect on the strategy as the strategy explicitly defines the maximum order size to be 1.
This strategy is not perfect, and as of writing of this post I have not traded this algo.
Always take your time to backtests and debug the strategy.
🔷 The IDI Strategy:
By default this strategy pulls data from your current TV chart and then compares it to the base market, be default BINANCE:BTCUSD . The strategy pulls SMA and RSI data from either market (we call this the difference data), standardizes the data (solving the different unit problem across markets) such that it is comparable and then differentiates the data, calling the result of this transformation and difference the Intramarket Difference (ID). The formula for the the ID is
ID = market1_diff_data - market2_diff_data (1)
Where
market(i)_diff_data = diff_data / ATR(j)_market(i)^0.5,
where i = {1, 2} and j = the natural numbers excluding 0
Formula (1) interpretation is the following
When ID > 0: this means the current market outperforms the base market
When ID = 0: Markets are at long run equilibrium
When ID < 0: this means the current market underperforms the base market
To form the strategy we define one of two strategy type’s which are Trend and Mean Revesion respectively.
🔸 Trend Case:
Given the ‘‘Strategy Type’’ is equal to TREND we define a threshold for which if the ID crosses over we go long and if the ID crosses under the negative of the threshold we go short.
The motivating idea is that the ID is an indicator of the two symbols being out of sync, and given we know volatility clustering, momentum and mean reversion of anomalies to be a stylised fact of financial data we can construct a trading premise. Let's first talk more about this premise.
For some markets (cryptocurrency markets - synthetic symbols in TV) the stylised fact of momentum is true, this means that higher momentum is followed by higher momentum, and given we know momentum to be a vector quantity (with magnitude and direction) this momentum can be both positive and negative i.e. when the ID crosses above some threshold we make an assumption it will continue in that direction for some time before executing back to its long run equilibrium of 0 which is a reasonable assumption to make if the market are correlated. For example for the BTCUSD - ETHUSD pair, if the ID > +threshold (inputs for MA and RSI based ID thresholds are found under the ‘‘INTRAMARKET DIFFERENCE INDEX’’ group’), ETHUSD outperforms BTCUSD, we assume the momentum to continue so we go long ETHUSD.
In the standard case we would exit the market when the IDI returns to its long run equilibrium of 0 (for the positive case the ID may return to 0 because ETH’s difference data may have decreased or BTC’s difference data may have increased). However in this strategy we will not define this as our exit condition, why ?
This is because we want to ‘‘let our winners run’’, to achieve this we define a trailing Donchian Channel stop loss (along with a fixed ATR based stop as our volatility proxy). If we were too use the 0 exit the strategy may print a buy signal (ID > +threshold in the simple case, market regimes may be used), return to 0 and then print another buy signal, and this process can loop may times, this high trade frequency means we fail capture the entire market move lowering our profit, furthermore on lower time frames this high trade frequencies mean we pay more transaction costs (due to price slippage, commission and big-ask spread) which means less profit.
By capturing the sum of many momentum moves we are essentially following the trend hence the trend following strategy type.
Here we also print the IDI (with default strategy settings with the MA difference type), we can see that by letting our winners run we may catch many valid momentum moves, that results in a larger final pnl that if we would otherwise exit based on the equilibrium condition(Valid trades are denoted by solid green and red arrows respectively and all other valid trades which occur within the original signal are light green and red small arrows).
another example...
Note: if you would like to plot the IDI separately copy and paste the following code in a new Pine Script indicator template.
indicator("IDI")
// INTRAMARKET INDEX
var string g_idi = "intramarket diffirence index"
ui_index_1 = input.symbol("BINANCE:BTCUSD", title = "Base market", group = g_idi)
// ui_index_2 = input.symbol("BINANCE:ETHUSD", title = "Quote Market", group = g_idi)
type = input.string("MA", title = "Differrencing Series", options = , group = g_idi)
ui_ma_lkb = input.int(24, title = "lookback of ma and volatility scaling constant", group = g_idi)
ui_rsi_lkb = input.int(14, title = "Lookback of RSI", group = g_idi)
ui_atr_lkb = input.int(300, title = "ATR lookback - Normalising value", group = g_idi)
ui_ma_threshold = input.float(5, title = "Threshold of Upward/Downward Trend (MA)", group = g_idi)
ui_rsi_threshold = input.float(20, title = "Threshold of Upward/Downward Trend (RSI)", group = g_idi)
//>>+----------------------------------------------------------------+}
// CUSTOM FUNCTIONS |
//<<+----------------------------------------------------------------+{
// construct UDT (User defined type) containing the IDI (Intramarket Difference Index) source values
// UDT will hold many variables / functions grouped under the UDT
type functions
float Close // close price
float ma // ma of symbol
float rsi // rsi of the asset
float atr // atr of the asset
// the security data
getUDTdata(symbol, malookback, rsilookback, atrlookback) =>
indexHighTF = barstate.isrealtime ? 1 : 0
= request.security(symbol, timeframe = timeframe.period,
expression = [close , // Instentiate UDT variables
ta.sma(close, malookback) ,
ta.rsi(close, rsilookback) ,
ta.atr(atrlookback) ])
data = functions.new(close_, ma_, rsi_, atr_)
data
// Intramerket Difference Index
idi(type, symbol1, malookback, rsilookback, atrlookback, mathreshold, rsithreshold) =>
threshold = float(na)
index1 = getUDTdata(symbol1, malookback, rsilookback, atrlookback)
index2 = getUDTdata(syminfo.tickerid, malookback, rsilookback, atrlookback)
// declare difference variables for both base and quote symbols, conditional on which difference type is selected
var diffindex1 = 0.0, var diffindex2 = 0.0,
// declare Intramarket Difference Index based on series type, note
// if > 0, index 2 outpreforms index 1, buy index 2 (momentum based) until equalibrium
// if < 0, index 2 underpreforms index 1, sell index 1 (momentum based) until equalibrium
// for idi to be valid both series must be stationary and normalised so both series hae he same scale
intramarket_difference = 0.0
if type == "MA"
threshold := mathreshold
diffindex1 := (index1.Close - index1.ma) / math.pow(index1.atr*malookback, 0.5)
diffindex2 := (index2.Close - index2.ma) / math.pow(index2.atr*malookback, 0.5)
intramarket_difference := diffindex2 - diffindex1
else if type == "RSI"
threshold := rsilookback
diffindex1 := index1.rsi
diffindex2 := index2.rsi
intramarket_difference := diffindex2 - diffindex1
//>>+----------------------------------------------------------------+}
// STRATEGY FUNCTIONS CALLS |
//<<+----------------------------------------------------------------+{
// plot the intramarket difference
= idi(type,
ui_index_1,
ui_ma_lkb,
ui_rsi_lkb,
ui_atr_lkb,
ui_ma_threshold,
ui_rsi_threshold)
//>>+----------------------------------------------------------------+}
plot(intramarket_difference, color = color.orange)
hline(type == "MA" ? ui_ma_threshold : ui_rsi_threshold, color = color.green)
hline(type == "MA" ? -ui_ma_threshold : -ui_rsi_threshold, color = color.red)
hline(0)
Note it is possible that after printing a buy the strategy then prints many sell signals before returning to a buy, which again has the same implication (less profit. Potentially because we exit early only for price to continue upwards hence missing the larger "trend"). The image below showcases this cenario and again, by allowing our winner to run we may capture more profit (theoretically).
This should be clear...
🔸 Mean Reversion Case:
We stated prior that mean reversion of anomalies is an standerdies fact of financial data, how can we exploit this ?
We exploit this by normalizing the ID by applying the Ehlers fisher transformation. The transformed data is then assumed to be approximately normally distributed. To form the strategy we employ the same logic as for the z score, if the FT normalized ID > 2.5 (< -2.5) we buy (short). Our exit conditions remain unchanged (fixed ATR stop and trailing Donchian Trailing stop)
🔷 Position Sizing:
If ‘‘Fixed Risk From Initial Balance’’ is toggled true this means we risk a fixed percentage of our initial balance, if false we risk a fixed percentage of our equity (current balance).
Note we also employ a volatility adjusted position sizing formula, the turtle training method which is defined as follows.
Turtle position size = (1/ r * ATR * DV) * C
Where,
r = risk factor coefficient (default is 20)
ATR(j) = risk proxy, over j times steps
DV = Dollar Volatility, where DV = (1/Asset Price) * Capital at Risk
🔷 Risk Management:
Correct money management means we can limit risk and increase reward (theoretically). Here we employ
Max loss and gain per day
Max loss per trade
Max number of consecutive losing trades until trade skip
To read more see the tooltips (info circle).
🔷 Take Profit:
By defualt the script uses a Donchain Channel as a trailing stop and take profit, In addition to this the script defines a fixed ATR stop losses (by defualt, this covers cases where the DC range may be to wide making a fixed ATR stop usefull), ATR take profits however are defined but optional.
ATR SL and TP defined for all trades
🔷 Hurst Regime (Regime Filter):
The Hurst Exponent (H) aims to segment the market into three different states, Trending (H > 0.5), Random Geometric Brownian Motion (H = 0.5) and Mean Reverting / Contrarian (H < 0.5). In my interpretation this can be used as a trend filter that eliminates market noise.
We utilize the trending and mean reverting based states, as extra conditions required for valid trades for both strategy types respectively, in the process increasing our trade entry quality.
🔷 Example model Architecture:
Here is an example of one configuration of this strategy, combining all aspects discussed in this post.
Future Updates
- Automation integration (next update)
RunRox - Backtesting System (ASMC)Introducing RunRox - Backtesting System (ASMC), a specially designed backtesting system built on the robust structure of our Advanced SMC indicator. This innovative tool evaluates various Smart Money Concept (SMC) trading setups and serves as an automatic optimizer, displaying which entry and exit points have historically shown the best results. With cutting-edge technology, RunRox - Backtesting System (ASMC) provides you with effective strategies, maximizing your trading potential and taking your trading to the next level
🟠 HOW OUR BACKTESTING SYSTEM WORKS
Our backtesting system for the Advanced SMC (ASMC) indicator is meticulously designed to provide traders with a thorough analysis of their Smart Money Concept (SMC) strategies. Here’s an overview of how it works:
🔸 Advanced SMC Structure
Our ASMC indicator is built upon an enhanced SMC structure that integrates the Institutional Distribution Model (IDM), precise retracements, and five types of order blocks (CHoCH OB, IDM OB, Local OB, BOS OB, Extreme OB). These components allow for a detailed understanding of market dynamics and the identification of key trading opportunities.
🔸 Data Integration and Analysis
1. Historical Data Testing:
Our system tests various entry and exit points using historical market data.
The ASMC indicator is used to simulate trades based on predefined SMC setups, evaluating their effectiveness over a specified time period.
Traders can select different parameters such as entry points, stop-loss, and take-profit levels to see how these setups would have performed historically.
2. Entry and Exit Events:
The backtester can simulate trades based on 12 different entry events, 14 target events, and 14 stop-loss events, providing a comprehensive testing framework.
It allows for testing with multiple combinations of entry and exit strategies, ensuring a robust evaluation of trading setups.
3. Order Block Sensitivity:
The system uses the sensitivity settings from the ASMC indicator to determine the most relevant order blocks and fair value gaps (FVGs) for entry and exit points.
It distinguishes between different types of order blocks, helping traders identify strong institutional zones versus local zones.
🔸 Optimization Capabilities
1. Auto-Optimizer:
The backtester includes an auto-optimizer feature that evaluates various setups to find those with the best historical performance.
It automatically adjusts parameters to identify the most effective strategies for both trend-following and counter-trend trading.
2. Stop Loss and Take Profit Optimization:
It optimizes stop-loss and take-profit levels by testing different settings and identifying those that provided the best historical results.
This helps traders refine their risk management and maximize potential returns.
3. Trailing Stop Optimization:
The system also optimizes trailing stops, ensuring that traders can maximize their profits by adjusting their stops dynamically as the market moves.
🔸 Comprehensive Reporting
1. Performance Metrics:
The backtesting system provides detailed reports, including key performance metrics such as Net Profit, Win Rate, Profit Factor, and Max Drawdown.
These metrics help traders understand the historical performance of their strategies and make data-driven decisions.
2. Flexible Settings:
Traders can adjust initial balance, commission rates, and risk per trade settings to simulate real-world trading conditions.
The system supports testing with different leverage settings, allowing for realistic assessments even with tight stop-loss levels.
🔸 Conclusion
The RunRox Backtesting System (ASMC) is a powerful tool for traders seeking to validate and optimize their SMC strategies. By leveraging historical data and sophisticated optimization algorithms, it provides insights into the most effective setups, enhancing trading performance and decision-making.
🟠 HERE ARE THE AVAILABLE FEATURES
Historical backtesting for any setup – Select any entry point, exit point, and various stop-loss options to see the results of your setup on historical data.
Auto-optimizer for finding the best setups – The indicator displays settings that have shown the best results historically, providing valuable insights.
Auto-optimizer for counter-trend setups – Discover entry and exit points for counter-trend trading based on historical performance.
Auto-optimizer for stop-loss – The indicator shows stop-loss points that have been most effective historically.
Auto-optimizer for take-profit – The indicator identifies take-profit points that have performed well in historical trading data.
Auto-optimizer for trailing stop – The indicator presents trailing stop settings that have shown the best historical results.
And much more within our indicator, all of which we will cover in this post. Next, we will showcase the possible entry points, targets, and stop-loss options available for testing your strategies
🟠 ENTRY SETTINGS
12 Event Triggers for Trade Entry
Extr. ChoCh OB
Extr. ChoCh FVG
ChoCh
ChoCh OB
ChoCh FVG
IDM OB
IDM FVG
BoS FVG
BoS OB
BoS
Extr. BoS FVG
Extr. BoS OB
3 Trade Direction Options
Long Only: Enter long positions only
Short Only: Enter short positions only
Long and Short: Enter both long and short positions based on trend
3 Levels for Order Block/FVG Entries
Beginning: Enter the trade at the first touch of the Order Block/FVG
Middle: Enter the trade when the middle of the Order Block/FVG is reached
End: Enter the trade upon full filling of the Order Block/FVG
*Three levels work only for Order Blocks and FVG. For trade entries based on BOS or CHoCH, these settings do not apply as these parameters are not available for these types of entries
You can choose any combination of trade entries imaginable.
🟠 TARGET SETTINGS
14 Target Events, Including Fixed % and Fixed RR (Risk/Reward):
Fixed - % change in price
Fixed RR - Risk Reward per trade
Extr. ChoCh OB
Extr. ChoCh FVG
ChoCh
ChoCh OB
ChoCh FVG
IDM OB
IDM FVG
BoS FVG
BoS OB
BoS
Extr. BoS FVG
Extr. BoS OB
3 Levels of Order Block/FVG for Target
Beginning: Close the trade at the first touch of your target.
Middle: Close the trade at the midpoint of your chosen target.
End: Close the trade when your target is fully filled.
Customizable Parameters
Easily set your Fixed % and Fixed RR targets with a user-friendly input field. This field works only for the Fixed and Fixed RR entry parameters. When selecting a different entry point, this field is ignored
Choose any combination of target events to suit your trading strategy.
🟠 STOPLOSS SETTINGS
14 Possible StopLoss Events Including Entry Orderblock/FVG
Fixed - Fix the loss on the trade when the price moves by N%
Entry Block
Extr. ChoCh OB
Extr. ChoCh FVG
ChoCh
ChoCh OB
ChoCh FVG
IDM OB
IDM FVG
BoS FVG
BoS OB
BoS
Extr. BoS FVG
Extr. BoS OB
3 Levels for Order Blocks/FVG Exits
Beginning: Exit the trade at the first touch of the order block/FVG.
Middle: Exit the trade at the middle of the order block/FVG.
End: Exit the trade at the full completion of the order block/FVG.
Dedicated Field for Setting Fixed % Value
Set a fixed % value in a dedicated field for the Fixed parameter. This field works only for the Fixed parameter. When selecting other exit parameters, this field is ignored.
🟠 ADDITIONAL SETTINGS
Trailing Stop, %
Set a Trailing Stop as a percentage of your trade to potentially increase profit based on historical data.
Move SL to Breakeven, bars
Move your StopLoss to breakeven after exiting the entry zone for a specified number of bars. This can enhance your potential WinRate based on historical performance.
Skip trade if RR less than
This feature allows you to skip trades where the potential Risk-to-Reward ratio is less than the number set in this field.
🟠 EXAMPLE OF MANUAL SETUP
For example, let me show you how it works on the chart. You select entry parameters, stop loss parameters, and take profit parameters for your trades, and the strategy automatically tests this setup on historical data, allowing you to see the results of this strategy.
In the screenshot above, the parameters were as follows:
Trade Entry: CHoCH OB (Beginning)
Stop Loss: Entry Block
Take Profit: Break of BOS
The indicator will automatically test all possible trades on the chart and display the results for this setup.
🟠 AUTO OPTIMIZATION SETTINGS
In the screenshot above, you can see the optimization table displaying various entry points, exits, and stop-loss settings, along with their historical performance results and other parameters. This feature allows you to identify trading setups that have shown the best historical outcomes.
This functionality will enhance your trading approach, providing you with valuable insights based on historical data. You’ll be aware of the Smart Money Concept settings that have historically worked best for any specific chart and timeframe.
Our indicator includes various optimization options designed to help you find the most effective settings based on historical data. There are 5 optimization modes, each offering unique benefits for every trader
Trend Entry - Optimization of the best settings for trend-following trades. The strategy will enter trades only in the direction of the trend. If the trend is upward, it will look for long entry points and vice versa.
Counter Trend Entry - Finding setups against the trend. If the trend is upward, the script will search for short entry points. This is the opposite of trend entry optimization.
Stop Loss - Identifying stop-loss points that showed the best historical performance for the specific setup you have configured. This helps in finding effective exit points to minimize losses.
Take Profit - Determining targets for the configured setup based on historical performance, helping to identify potentially profitable take profit levels.
Trailing Stop - Finding optimal percentages for the trailing stop function based on historical data, which can potentially increase the profit of your trades.
Ability to set parameters for auto-optimization within a specified range. For example, if you choose FixRR TP from 1 to 10, the indicator will automatically test all possible Risk Reward Take Profit variations from 1 to 10 and display the results for each parameter individually.
Ability to set initial deposit parameters, position commissions, and risk per trade as a fixed percentage or fixed amount. Additionally, you can set the maximum leverage for a trade.
There are times when the stop loss is very close to the entry point, and adhering to the risk per trade values set in the settings may not allow for such a loss in any situation. That’s why we added the ability to set the maximum possible leverage, allowing you to test your trading strategy even with very tight stop losses.
Duplicated Smart Money Structure settings from our Advanced SMC indicator that you can adjust to match your trading style flexibly. All these settings will be taken into account during the optimization process or when manually calculating settings.
Additionally, you can test your strategy based on higher timeframe order blocks. For example, you can test a strategy on a 1-minute chart while displaying order blocks from a 15-minute timeframe. The auto-optimizer will consider all these parameters, including higher timeframe order blocks, and will enter trades based on these order blocks.
Highly flexible dashboard and results optimization settings allow you to display the tables you need and sort results by six different criteria: Profit Factor, Profit, Winrate, Max Drawdown, Wins, and Trades. This enables you to find the exact setup you desire, based on these comprehensive data points.
🟠 ALERT CUSTOMIZATION
With this indicator, you can set up buy and sell alerts based on the test results, allowing you to create a comprehensive trading strategy. This feature enables you to receive real-time signals, making it a powerful tool for implementing your trading strategies.
🟠 STRATEGY PROPERTIES
For backtesting, we used realistic initial data for entering trades, such as:
Starting balance: $1000
Commission: 0.01%
Risk per trade: 1%
To ensure realistic data, we used the above settings. We offer two methods for calculating your order size, and in our case, we used a 1% risk per trade. Here’s what it means:
Risk per trade: This is the maximum loss from your deposit if the trade goes against you. The trade volume can change depending on your stop-loss distance from the entry point. Here’s the formula we use to calculate the possible volume for a single trade:
1. quantity = percentage_risk * balance / loss_per_1_contract (incl. fee)
Then, we calculate the maximum allowed volume based on the specified maximum leverage:
2. max_quantity = maxLeverage * balance / entry_price
3. If quantity < max_quantity, meaning the leverage is less than the maximum allowed, we keep quantity. If quantity > max_quantity, we use max_quantity (the maximum allowed volume according to the set leverage).
This way, depending on the stop-loss distance, the position size can vary and be up to 100% of your deposit, but the loss in each trade will not exceed the set percentage, which in our case is 1% for this backtest. This is a standard risk calculation method based on your stop-loss distance.
🔸 Statistical Significance of Trade Data
In our strategy, you may notice there weren’t enough trades to form statistically significant data. This is inherent to the Smart Money Concept (SMC) strategy, where the focus is not on the number of trades but rather on the risk-to-reward ratio per trade. In SMC strategies, it’s crucial to avoid taking numerous uncertain setups and instead perform a comprehensive analysis of the market situation.
Therefore, our strategy results show fewer than 100 trades. It’s important to understand that this small sample size isn’t statistically significant and shouldn’t be relied upon for strategy analysis. Backtesting with a small number of trades should not be used to draw conclusions about the effectiveness of a strategy.
🔸 Versatile Use Cases
The methods of using this indicator are numerous, ranging from identifying potentially the best-performing order blocks on the chart to creating a comprehensive trading strategy based on the data provided by our indicator. We believe that every trader will find a valuable application for this tool, enhancing their entry and exit points in trades.
Disclaimer
Past performance is not indicative of future results. The results shown by this indicator do not guarantee similar outcomes in the future. Use this tool as part of a comprehensive trading strategy, considering all market conditions and risks.
How to access
For access to this indicator, please read the author’s instructions below this post
Strategy - Plus / Connectable [Azullian]Discover the advanced capabilities of Strategy Plus, an essential component of the connectable indicator system designed for fast-paced strategy testing, visualization, and building within TradingView. This enhanced version of our foundational connectable strategy indicator seamlessly integrates with all connectable indicators . By utilizing the TradingView input source as a signal connector , it facilitates the linking of indicators to form a cohesive strategy. Each connectable indicator within the system sends signal weight to the next node, culminating in a comprehensive strategy that incorporates advanced customization options, sophisticated signal interpretation, and elaborate backtest labeling. Strategy Plus stands out by offering improved position management and extensive alert messaging capabilities, ensuring effective strategy refinement and backend integration.
█ DISTINCTIVE FEATURES
The Connectable Strategy Plus enhances risk mitigation within the connectable system through its advanced features and capabilities:
• Refined Signal Input Management: Tailor and precisely connect up to two signal filters with enhanced input flexibility, gain control, and strategic direction settings.
• Strategic Position Investment Control: Optimize positioning with versatile investment bases, custom investment percentages, and direction-specific investments for effective risk management.
• Advanced Exit Stop Loss Configuration: Implement custom stop loss tactics with diverse base modes and trailing options for tailored risk management.
• Strategic Exit Take Profit Settings: Apply precision-driven take profit strategies with various calculation modes and dynamic trailing functionality.
• Calibrated Entry Position Allocation: Optimize investment distribution for entry positions, including DCA and BRO trades, for strategic market response.
• Refined Order Setting Customization: Ensure exchange compliance with adjustable order settings, enhancing backtest accuracy and strategy reliability.
• Comprehensive Condition Settings: Define precise conditions for strategy execution, including date range filtering and order/loss limitations.
• Intuitive Visualization: Enhance strategy clarity with customizable visual elements and trade visualization features.
• Advanced Alert Configurations: Stay informed with comprehensive and customizable alerts for effective backend integration.
• Backend Integration With JSON Format: Leverage elaborate and structured data in JSON format for advanced analytics, enhancing decision-making and strategy optimization outside TradingView.
Let's review the separate parts of this indicator.
█ STRATEGY INPUTS
We've provided 2 inputs for connecting a signal filter or indicators or chains (1→, 2→) which are all set to 'Close' by default.
An input has several controls:
• Enable disable: Toggle the entire input on or off
• Input: Connect indicators or signal filter here, choose indicators with a compatible : Signal connector.
• G - Gain: Increase or reduce the strength of the incoming signal by a factor.
• SM - Signal Mode: Choose a trading direction compatible with the settings in your signal filter
• XM - Exit Mode: Determine when to allow to exit your open trade
○ Always: Doesn't take the restrictions into account, this ignores all the settings chosen in ML or MP
○ Restricted: Use both ML and MP conditions
○ Loss: Use the ML condition only, for example: Position will be exited and the exit signal will be allowed only when the loss exceeds the ML parameter
○ Profit: Use the MP condition only for example: Exits will only be allowed when the profit of the position exceeds the condition of the MP parameter
█ POSITION INVESTMENT
Determine the percentage of your trading budget you would like to use in each position based on the strategy's profit or loss.
• LINVB - Loss Investment Base: Choose which base to use to determine the investment percentage when the strategy is in a loss.
○ Equity: Use the equity as the base for percentage calculation.
○ Initial capital: Use the initial capital as the base for percentage calculation.
• LINV% - Loss Investment Percentage: Set a percentage of the chosen investment base as the investment for a new position.
○ For example, when 10% in loss, and a initial capital of $100, and the investment base is set to equity with a percentage of 50%, your investment will be 50% of $90, $45.
• PINVB - Profit Investment Base: Choose which base to use to determine the investment percentage when the strategy is in profit.
○ Equity: Use the equity as the base for percentage calculation.
○ Initial capital: Use the initial capital as the base for percentage calculation.
• PINV% - Profit Investment Percentage: Set a percentage of the chosen investment base as the investment for a new position.
○ For example, when 10% in profit, and an initial capital of $100, and the investment base is set to equity with a percentage of 100%, your investment will be 100% of $110, $110.
• XINVB - Custom Profit Investment Base: Choose which base to use to determine the investment percentage when the strategy is above a custom profit threshold (XT).
○ Equity: Use the equity as the base for percentage calculation.
○ Initial capital: Use the initial capital as the base for percentage calculation.
• XINV% - Custom Profit Investment Percentage: Set a percentage of the chosen investment base as the investment for a new position.
○ For example, when 100% in profit, exceeding the XT threshold of 50%, and an initial capital of $100, and the investment base is set to equity with a percentage of 50%, your investment will be 50% of $200, $100.
• XT% - Custom Profit Threshold: Determine how much profit triggers these custom profit investment settings.
• ELIB% - Entry Long Investment Base: Following previous settings, you can further restrict the investment according to the long trading direction.
○ For instance, if the previous calculation resulted in $45 to be used as an investment, and you've set the ELIB% to 50%, your long position will use 50% of $45, which is $22.5.
• ESIB% - Entry Short Investment Base: Following previous settings, you can further restrict the investment according to the short trading direction.
○ For example, if the previous calculation resulted in $45 to be used as an investment, and you've set the ESIB% to 50%, your short position will use 50% of $45, which is $22.5.
• RISK% - Risk Percentage:
○ Determine how much of the calculated position investment is at risk when the stop-loss is hit.
- For example, 1% of $45 represents a maximum loss of $0.45.
○ Risk percentage works together with the stop loss and the max leverage.
• MXLVG - Maximum Leverage:
○ Investigate the trading rules for your trading pair and use the maximum allowed amount of leverage.
○ To determine the number of contracts to be bought or sold, considering the stop loss and the specified risk percentage, the maximum leverage available will constrain the amount of leverage utilized to ensure that the maximum risk threshold is not exceeded. For instance, suppose the stop loss is set at 1%, and the risk percentage is defined as 10%. Initially, the calculated leverage to be used would be 10. However, if there is a maximum leverage cap set at 5, it would constrain the calculated leverage of 10 to adhere to the maximum limit of 5.
█ EXIT STOP LOSS
Determine the Stop Loss price based on your selected configuration.
As the stop loss is an integral part of the ordered contracts calculation used in conjunction with the Risk and Max leverage, you'll always need to provide a stop loss price.
• SLLB - Stop Loss Long Base: Choose a stop loss mode for calculating stop loss prices in long positions.
○ Risk: Determines the price using the Risk parameter (RISK%) and maximum leverage (MXLVG). In this case, SLLB% will not have any impact.
○ Price Entry + Offset: Calculates the stop loss price based on a offset percentage (SLLB%) from the entry price of the position.
○ Source: Computes the stop loss price based on an external indicator defined in SLLSRC.
- If this results in an invalid price, the calculation will revert to using the price entry + offset.
○ Source + Offset: Determines the stop loss price based on a positive or negative offset percentage (SLLB%) from an external indicator defined in SLLSRC.
- If this results in an invalid price, the calculation will fall back to using the price entry + offset.
• SLLB% - Stop Loss Long Base Percentage: Define an offset percentage that will be applied in the price entry + offset and source + offset stop loss modes.
• SLLSRC - Stop Loss Long Source: Connect an external indicator as the source for stop loss (only those providing price values eg: bollinger bands, moving averages...).
• SLLT - Stop Loss Long Trailing:
○ Fixed: The initial stop loss will be kept and no trailing stop loss will be applied.
○ Trail Stop: Takes into account all settings defined in SLLB and SLLB% and recalculates them with each candle.
- If a better stop loss is computed, it replaces the existing stop loss. In this mode SLLT% will be disregarded.
○ Trail Stop till BE: Similar to trailing stop mode, but it stops trailing when the stop loss reaches the break-even point.
○ Trail Stop from BE: Similar to trailing stop mode, but it starts trailing when the stop loss reaches the break-even point.
○ Trail Price: Computes the trailing stop loss price based on an offset percentage (SLLT%) from the closing price of the current candle.
- If a better stop loss price is calculated, it will be set as the new stop loss price.
○ Trail Price till BE: Similar to the Trail Price mode, but it stops trailing when the stop loss reaches the break-even point.
○ Trail Price from BE: Similar to Trail Price mode, but it starts trailing when the stop loss reaches the break-even point.
○ Trail Incr: Adapts the trailing stop loss price based on the offset percentage (SLLT%).
- Each price change in favor of your position will incrementally adapt the trailing stop loss with SLLT%.
○ Trail Incr till BE: Similar to the Trail Incr mode, but it stops trailing when the stop loss reaches the break-even point.
• SLLT% - Stop Loss Long Trailing Percentage: This percentage serves as an offset or increment depending on your chosen trailing mode.
• SLSB - Stop Loss Short Base: Functions similarly to SLLB but for short positions.
• SLSB% - Stop Loss Short Base Percentage: Functions similarly to SLLB% but for short positions.
• SLSSRC - Stop Loss Short Source: Functions similarly to SLLSRC but for short positions.
• SLST - Stop Loss Short Trailing: Functions similarly to SLLT but for short positions.
• SLST% - Stop Loss Short Trailing Percentage: Functions similarly to SLLT% but for short positions.
█ EXIT TAKE PROFIT
Determine the Take Profit price based on your selected configuration.
• TPLB - Take Profit Long Base: Choose a take profit mode for calculating take profit prices in long positions.
○ Reward: Determines the take profit price using the Risk parameter (RISK%) and the calculated Stop Loss price and the set reward percentage (TPLB%).
- For example: Risk 1%, Calculated Stop loss price: $90, Entry price: $100, Reward (TPLB%): 2%, will result in a take profit price on $120.
○ Price Entry + Offset: Calculates the take profit price based on a offset percentage (TPLB%) from the entry price of the position.
- For example: Entry price: $100, Offset (TPLB%): 2%, will result in a take profit price on $102.
○ Source: Computes the take profit price based on an external input from another indicator defined in TPLSRC.
- If this results in an invalid price, the calculation will revert to using the price entry + offset.
○ Source + Offset: Determines the take profit price based on a positive or negative offset percentage (TPLB%) from an external indicator inpuy defined in TPLSRC.
- If this results in an invalid price, the calculation will fall back to using the price entry + offset.
• TPLB% - Take Profit Long Base Percentage: Define an offset percentage that will be applied in the price entry + offset and source + offset take profit modes.
• TPLSRC - Take Profit Long Source: Choose to connect an external indicator as the source for take profit (of course only those which provide price values eg: bollinger bands, moving averages... but not oscillators).
• TPLT - Take Profit Long Trailing:
○ Fixed: The initial take profit will be kept and no trailing take profit will be applied.
○ Trail Profit: Takes into account all settings defined in TPLB and TPLB% and recalculates them with each candle.
- If an applicable take profit is computed, it replaces the existing take profit. In this mode TPLT% will be disregarded.
○ Trail Profit till BE: Similar to trailing profit mode, but it stops trailing when the take profit reaches the break-even point.
○ Trail Profit from BE: Similar to trailing profit mode, but it starts trailing when the take profit reaches the break-even point.
○ Trail Price: Computes the trailing take profit price based on an offset percentage (TPLT%) from the closing price of the current candle.
- If an applicable take profit price is calculated, it will be set as the new take profit price.
○ Trail Price till BE: Similar to the Trail Price mode, but it stops trailing when the take profit reaches the break-even point.
○ Trail Price from BE: Similar to Trail Price mode, but it starts trailing when the take profit reaches the break-even point.
○ Trail Incr: Adapts the trailing take profit price based on the offset percentage (TPLT%). Each price change against your position will incrementally adapt the trailing take profit with TPLT%.
○ Trail Incr till BE: Similar to the Trail Incr mode, but it stops trailing when the take profit reaches the break-even point.
• TPLT% - Take Profit Long Trailing Percentage: This percentage serves as an offset or increment depending on your chosen trailing mode.
• TPSB - Take Profit Short Base: Functions similarly to TPLB but for short positions.
• TPSB% - Take Profit Short Base Percentage: Functions similarly to TPLB% but for short positions.
• TPSSRC - Take Profit Short Source: Functions similarly to TPLSRC but for short positions.
• TPST - Take Profit Short Trailing: Functions similarly to TPLT but for short positions.
• TPST% - Take Profit Short Trailing Percentage: Functions similarly to TPLT% but for short positions.
█ ENTRY INVESTMENT DISTRIBUTION
Based on your position investment calculation you can distribute the position investment accross the initial opening trade of the position (SIG%) or the follow up Dollar Cost Averaging (DCA%) or Break Out (BRO%) trades.
For example: SIG%: 10%, DCA%: 45%, BRO%: 45% and the calculated Position Investment is $100, then the initial trade will receive $10, DCA will receive $45, and BRO will receive $45 to work with. Disable BRO and or DCA by setting them to 0%. Keep in mind that the sum of SIG, BRO and DCA may not exceed 100%.
• SIG% - Initial order investment percentage based on the signal: The percentage of the position investment distributed over normal trades.
• DCA% - Dollar Cost Averaging investment percentage: The percentage of the position investment distributed to DCA trades.
• BRO% - Break Out investment percentage: The percentage of the position investment distributed to BRO trades.
█ ENTRY DCA
DCA (Dollar-Cost Averaging) is a risk mitigation strategy where the allocated DCA% budget from the Entry Investment Distribution is distributed among x levels (DCA#) based on calculated prices (DPLM) and order sizes (DOSM), when prices move against your position.
• DCA# - Maximum DCA levels: Set the maximum number of DCA levels.
• DPLM - DCA Price Level Mode: Choose a price level mode that determines at which prices the additional purchases are distributed:
○ Linear: Entry prices are evenly spaced at regular intervals.
○ QuadIn: Entry prices are front-loaded, with more at the beginning and fewer later.
○ QuadOut: Entry prices are back-loaded, with fewer at the beginning and more later.
○ QuadInOut: Entry prices start front-loaded, then become back-loaded.
○ CubicIn: Similar to QuadIn but with a smoother front-loaded distribution.
○ CubicOut: Similar to QuadOut but with a smoother back-loaded distribution.
○ ExpoIn: Entry prices are exponentially increasing, starting small and growing.
○ ExpoOut: Entry prices are exponentially decreasing, starting large and reducing.
○ ExpoInOut: Entry prices start exponentially increasing, then decrease exponentially.
• DOSM - DCA Order Size Mode: Choose a DCA budget distribution mode for order sizes:
○ Linear: Order sizes are evenly spaced at regular intervals.
○ QuadIn: Order sizes are front-loaded, with larger orders at the beginning and smaller ones later.
○ QuadOut: Order sizes are back-loaded, with smaller orders at the beginning and larger ones later.
○ QuadInOut: Order sizes start front-loaded and transition to back-loaded.
○ CubicIn: Similar to QuadIn but with a smoother front-loaded distribution of order sizes.
○ CubicOut: Similar to QuadOut but with a smoother back-loaded distribution of order sizes.
○ ExpoIn: Order sizes exponentially increase, starting small and growing.
○ ExpoOut: Order sizes exponentially decrease, starting large and reducing.
○ ExpoInOut: Order sizes start exponentially increasing, then decrease exponentially.
For a visual representation of the price or order size distribution modes, refer to online easing curves.
█ ENTRY BRO
BRO (Break Out) is a risk mitigation strategy where the allocated BRO% budget from the Entry Investment Distribution is distributed among x levels (BRO#) based on calculated prices (BPLM) and order sizes (BOSM), when prices move in favor of your position.
• BRO# - Maximum BRO levels: Set the maximum number of BRO levels.
• BPLM - BRO Price Level Mode: Choose a price level mode that determines at which prices the additional purchases are distributed:
○ Distribution easing modes work similar as the DCA easing modes.
• BOSM - BRO Order Size Mode: Choose a BRO budget distribution mode for order sizes:
○ Distribution easing modes work similar as the DCA easing modes.
█ ORDER SETTINGS
Fine-tune accuracy to match your exchange's trading constraints, enhancing backtest precision with these settings, default settings are least restrictive for crypto trading pairs.
• MINP - Mininmum Position Notional Value: Exchange-defined minimum notional value for positions:
○ Calculated based on your exchange's rules and is the minimum total value your position must hold to meet their requirements It is calculated by multiplying Quantity with price and leverage.
○ It helps ensure your trades align with your exchange's standards.
• MAXP - Maximum Position Notional Value: Exchange-defined maximum notional value for positions:
○ Similar to MINP, this value is calculated based on your exchange's rules and represents the maximum total value allowed for your position.
• MINQ - Mininmum Order Quantity: Least permissible order quantity based on exchange rules:
○ This is the smallest quantity of an asset that your exchange allows you to trade in a single order.
• MAXQ - Maximum Order Quantity: Highest permissible order quantity according to exchange rules:
○ Opposite of MINQ, this is the largest quantity of an asset you can trade in a single order as defined by your exchange.
• DECP - Decimals in Order Price: Allowed decimal places in order prices as per exchange specifications:
○ This value specifies the number of decimal places you can use when specifying the price of an order.
• DECQ - Decimals in Order Quantity: Permitted decimal places in order quantities according to exchange specifications:
○ Similar to DECP, this value indicates the number of decimal places you can use when specifying the quantity of an asset in an order.
█ STRATEGY CONDITIONS
Specify when the strategy is permitted to execute trades.
• DATE: Enable the Date Range filter to restrict entries to a specific date range.
○ START: Set a start date and hour to commence trading.
○ END: Set an end date and hour to conclude trading within the defined range.
• IDO - Maximum Intraday Orders: Limit the number of orders the strategy can place within a single trading day. Upon reaching this limit, the strategy temporarily halts further entries for the day.
• DL% - Maximum Intraday Loss%: Set a threshold for the maximum allowable intraday loss as a percentage of equity. When exceeded, the strategy temporarily suspends trading for the day.
• CLD - Maximum Consecutive Loss Days: Define the maximum number of consecutive days the strategy can incur losses. Upon reaching this limit, the strategy halts trading and avoids new entries.
• DD% - Maximum Drawdown: Specify the maximum permissible drawdown as a percentage of equity. If this limit is met, the strategy halts trading and refrains from placing additional entries.
• TP% - Total Profit %: Establish a target for the total profit percentage the strategy aims to achieve. Once this target is attained, the strategy halts trading and refrains from initiating new entries.
• TL% - Total Loss %: Define a limit for the total loss percentage relative to the initial capital. If this limit is exceeded, the strategy discontinues trading and refrains from placing further entries.
■ VISUALS
• LINE: Activate a colored dashed diagonal line to visually connect the entry and exit points of positions.
• SLTP: Enable visualization of stop loss, take profit, and break-even levels.
• PNL: Enable Break-Even and Close Lines along with a colored area in between to visualize profit and loss.
• ☼: Brightness % : Adjust the opacity of the plotted trading visuals.
• P - Profit Color : Choose the color for profit-related elements.
• L - Loss Color: Choose the color for loss-related elements.
• B - Breakeven Color : Select the color for break-even points.
• EL - Long Color: Specify the color for long positions.
• ES - Short Color: Specify the color for short positions.
• TRADE LABELING: For better analysis we've labeled all entries and exits conform with the type of order your strategy has executed, some examples:
○ EL-SIG0-124: Enter Long - Signal 0 - Position 124
○ EL-BRO1-130: Enter Long - BRO1 - Position 130
○ EL-BRO2-130: Enter Long - BRO2 - Position 130
○ ES-DCA1-140: Enter Short - DCA1 - Position 140
○ XS-DCA2-140: Exit Short - DCA2 - Position 140
○ XL-TP-150: Exit Long - Take Profit - Position 150
○ XS-TP-154: Exit Short - Take Profit - Position 154
○ XL-SL-160: Exit Long - Stop Loss - Position 160
○ XS-SL-164: Exit Short - Stop Loss - Position 164
○ XS-CND-165: Exit Short - Strategy Condition - Max intraday loss - Position 165
■ ALERT SETTINGS
For developers and those who wish to integrate TradingView alerts into their backend systems, we offer comprehensive labeling options.
• ALID: A unique identifier you've assigned to your alert.
• NAME: A structured name you've given to this strategy.
• LAYOUT: The layout key of the strategy, allowing direct chart linking from your backend.
• SYMBOL: The symbol on which the strategy operates.
○ ONCE: You can choose to include this information only in the first message to reduce message size and repetition in follow-up messages. (max. 4096 characters)
• TICK: The ticker for the strategy.
• CHART: The chart parameter containing the timeframe.period and timeframe.multiplier.
○ ONCE: You can choose to include this information only in the first message to reduce message size and repetition in follow-up messages. (max. 4096 characters)
• BAR: Includes bar information in the alert message.
• STRATEGY: Adds strategy inputs to the alert message.
○ ONCE: You can choose to include this information only in the first message to reduce message size and repetition in follow-up messages. (max. 4096 characters)
• PERFORMANCE: Incorporates strategy performance data into the alert message.
• SIGNAL: Appends received signal weights (EL, XL, ES, XS) to the alert message.
• ORDERS: Includes order details in the alert message.
• TAGS: Adds up to 6 tags and their corresponding values to the alert message.
○ ONCE: You can choose to include this information only in the first message to reduce message size and repetition in follow-up messages. (max. 4096 characters)
Of course we can't neglect letting you in on how this juicy JSON would look (without the // comments):
{
"id": 20726, // Message Id
"t": "2023-11-01T10:35:00Z", // Message Time
"al": { // Alert
"id": "639bfa9a-5f01-4031-8880-7ec01e972055", // Alert Id
"n": "TEST04", // Name
"l": "ABC123" // Layout
},
"sym": { // Symbol
"typ": "crypto", // Type
"r": "DOGEUSD.PM", // Root
"pre": "KRAKEN", // Prefix
"tc": "DOGEUSD.PM", // Ticker
"bc": "DOGE", // BaseCurrency
"c": "USD", // Currency
"d": "DOGEUSD Multi Collateral Perpetual Futures Contract", // Description
"mtc": 0.000001, // MinTick
"pv": 1, // PointValue
"ct": "PF_DOGEUSD" // CustomTicker
},
"ch": { // Chart
"pd": "1", // Period
"mul": 1 // Multiplier
},
"bar": { // Bar
"id": 20725, // Index
"t": "2023-11-01T10:33:00Z", // Time
"o": 0.066799, // Open
"h": 0.066799, // High
"l": 0.066799, // Low
"c": 0.066799, // Close
"v": 2924 // Vol
},
"strat": { // Strategy
"n": "Strategy - Plus / Connectable ", // Name
"sig": { // Signal
"c1e": true, // Connector1Enabled
"c1s": 500500.500501, // Connector1Source
"c1g": 1, // Connector1Gain
"c2e": false, // Connector2Enabled
"c2s": 0.067043, // Connector2Source
"c2g": 1, // Connector2Gain
"sm": "Swing (EL, ES)", // SignalMode
"xm": "Always", // ExitMode
"mlp": 0.01, // ExitModeMinPercLoss
"mpp": 0.01 // ExitModeMinPercProfit
},
"inv": { // Investment
"lb": "Equity", // LossBase
"lp": 50, // LossPerc
"pb": "Equity", // ProfitBase
"pp": 100, // ProfitPerc
"pcb": "Equity", // ProfitCustomBase
"pcp": 100, // ProfitCustomPerc
"pct": 10000, // ProfitCustomThreshold
"elp": 100, // LongPerc
"esp": 100, // ShortPerc
"rsk": 1, // MaxRisk
"lvg": 10 // MaxLeverage
},
"sl": { // StopLoss
"lb": "Price Entry + Offset", // LongBase
"lp": 0.2, // LongPerc
"lsrc": 0.067043, // LongSource
"lt": "Trail Stop", // LongTrailMode
"ltp": 0.2, // LongTrailPerc
"sb": "Price Entry + Offset", // ShortBase
"sp": 0.2, // ShortPerc
"ssrc": 0.067043, // ShortSource
"st": "Trail Stop", // ShortTrailMode
"stp": 0.2 // ShortTrailPerc
},
"tp": { // TakeProfit
"lb": "Price Entry + Offset", // LongBase
"lp": 1, // LongPerc
"lsrc": 0.067043, // LongSource
"lt": "Fixed", // LongTrailMode
"ltp": 1, // LongTrailPerc
"sb": "Price Entry + Offset", // ShortBase
"sp": 1, // ShortPerc
"ssrc": 0.067043, // ShortSource
"st": "Fixed", // ShortTrailMode
"stp": 1 // ShortTrailPerc
},
"dis": { // Distribution
"sigp": 10, // SignalPerc
"dcap": 0, // DCAPerc
"brop": 90 // BROPerc
},
"dca": { // DCA
"lvl": 3, // Levels
"pl": "linear", // ModePriceLevel
"os": "linear" // ModeOrderSize
},
"bro": { // BRO
"lvl": 3, // Levels
"pl": "expoIn", // ModePriceLevel
"os": "cubicOut" // ModeOrderSize
},
"ord": { // OrderSettings
"pmin": 5, // PNVMin
"pmax": 30000000, // PNVMax
"qmin": 0, // QtyMin
"qmax": 1000000000, // QtyMax
"dp": 6, // DecPrice
"dq": 6 // DecQty
},
"cnd": { // Conditions
"de": true, // DateRangeEnabled
"start": "2023-11-01T10:30:00Z", // StartTime
"end": "2024-12-31T23:30:00Z", // EndTime
"idoe": false, // MaxIntradayOrdersEnabled
"ido": 100, // MaxIntradayOrders
"dle": false, // MaxIntradayLossEnabled
"dl": 10, // MaxIntradayLossPerc
"clde": false, // MaxConsLossDaysEnabled
"cld": false, // MaxConsLossDays
"dde": false, // MaxDrawdownEnabled
"dd": 100, // MaxDrawdownPerc
"mpe": false, // MaxProfitEnabled
"mp": 200, // MaxProfitPerc
"mle": false, // MaxLossEnabled
"ml": -50 // MaxLossPerc
}
},
"perf": { // Performance
"ic": 1000, // InitialCapital
"eq": 1000, // Equity
"np": 0, // NetProfit
"op": 0, // OpenProfit
"ct": 0, // ClosedTrades
"ot": 0, // OpenTrades
"p": "FLAT", // MarketPosition
"ps": 0, // MarketPositionSize
"pp": "FLAT", // PreviousMarketPosition
"pps": 0 // PreviousMarketPositionSize
},
"sig": { // Signal
"el": 0, // EL
"xl": 0, // XL
"es": 6, // ES
"xs": 0 // XS
},
"ord": ,
"tag":
}
█ USAGE OF CONNECTABLE INDICATORS
■ Connectable chaining mechanism
Connectable indicators can be connected directly to the signal monitor, signal filter or strategy , or they can be daisy chained to each other while the last indicator in the chain connects to the signal monitor, signal filter or strategy. When using a signal filter you can chain the filter to the strategy input to make your chain complete.
• Direct chaining: Connect an indicator directly to the signal monitor, signal filter or strategy through the provided inputs (→).
• Daisy chaining: Connect indicators using the indicator input (→). The first in a daisy chain should have a flow (⌥) set to 'Indicator only'. Subsequent indicators use 'Both' to pass the previous weight. The final indicator connects to the signal monitor, signal filter, or strategy.
■ Set up this indicator with signals and a signal filter
The indicator provides visual cues based on signal conditions. However, its weight system is best utilized when paired with a connectable signal filter, monitor, or strategy .
Let's connect the Strategy - Plus to a connectable signal filter and connectable indicators :
1. Load all relevant indicators
• Load MA - Plus / Connectable
• Load Signal filter - Plus / Connectable
• Load Strategy - Plus / Connectable
2. Signal Filter Plus: Connect the MA - Plus to the Signal Filter
• Open the signal filter settings
• Choose one of the five input dropdowns (1→, 2→, 3→, 4→, 5→) and choose : MA - Plus / Connectable: Signal Connector
• Toggle the enable box before the connected input to enable the incoming signal
3. Signal Filter: Update the filter settings if needed
• The default filter mode for the trading direction is SWING, and is compatible with the default settings in the strategy and indicators.
4. Signal Filter: Update the weight threshold settings if needed
• All connectable indicators load by default with a score of 6 for each direction (EL, XL, ES, XS)
• By default, weight threshold is 'ABOVE' Threshold 1 (TH1) and Threshold 2 (TH2), both set at 5. This allows each occurrence to score, as the default score is 1 point above the threshold.
5. Strategy Plus: Connect one of the strategy plus inputs to the signal filters signal connector in the strategy settings
• Select a strategy input → and select the Signal filter - Plus: Signal connector
6. Strateg Plus: Enable filter compatible directions
• As the default setting of the filter is SWING, we should also set the SM (Strategy mode) to SWING.
7. Strateg Plus: You're ready to start optimizing
• Dive into all parameters and start optimizing your backtesting results.
█ BENEFITS
• Adaptable Modular Design: Arrange indicators in diverse structures via direct or daisy chaining, allowing tailored configurations to align with your analysis approach.
• Streamlined Backtesting: Simplify the iterative process of testing and adjusting combinations, facilitating a smoother exploration of potential setups.
• Intuitive Interface: Navigate TradingView with added ease. Integrate desired indicators, adjust settings, and establish alerts without delving into complex code.
• Signal Weight Precision: Leverage granular weight allocation among signals, offering a deeper layer of customization in strategy formulation.
• Advanced Signal Filtering: Define entry and exit conditions with more clarity, granting an added layer of strategy precision.
• Clear Visual Feedback: Distinct visual signals and cues enhance the readability of charts, promoting informed decision-making.
• Standardized Defaults: Indicators are equipped with universally recognized preset settings, ensuring consistency in initial setups across different types like momentum or volatility.
• Reliability: Our indicators are meticulously developed to prevent repainting. We strictly adhere to TradingView's coding conventions, ensuring our code is both performant and clean.
█ COMPATIBLE INDICATORS
Each indicator that incorporates our open-source 'azLibConnector' library and adheres to our conventions can be effortlessly integrated and used as detailed above.
For clarity and recognition within the TradingView platform, we append the suffix ' / Connectable' to every compatible indicator.
█ COMMON MISTAKES, CLARIFICATIONS AND TIPS
• Removing an indicator from a chain: Deleting a linked indicator and confirming the "remove study tree" alert will also remove all underlying indicators in the object tree. Before removing one, disconnect the adjacent indicators and move it to the object stack's bottom.
• Point systems: The azLibConnector provides 500 points for each direction (EL: Enter long, XL: Exit long, ES: Enter short, XS: Exit short) Remember this cap when devising a point structure.
• Flow misconfiguration: In daisy chains the first indicator should always have a flow (⌥) setting of 'indicator only' while other indicator should have a flow (⌥) setting of 'both'.
• Hide attributes: As connectable indicators send through quite some information you'll notice all the arguments are taking up some screenwidth and cause some visual clutter. You can disable arguments in Chart Settings / Status line.
• Layout and abbreviations: To maintain a consistent structure, we use abbreviations for each input. While this may initially seem complex, you'll quickly become familiar with them. Each abbreviation is also explained in the inline tooltips.
• Inputs: Connecting a connectable indicator directly to the strategy delivers the raw signal without a weight threshold, meaning every signal will trigger a trade.
• Layout and Abbreviations: Abbreviations streamline structure and input identification. Although they may seem complex initially, inline tooltips provide explanations, facilitating quick acclimatization.
• Total Trade Limit Error & Date-Time Filter: For deep backtesting, be mindful of the total trade limit. Utilize the date-time filter to narrow the test scope and avoid TradingView order limits.
• Calculation Timeout: Encounter a timeout? Adjust any parameter slightly to restart the calculation process.
• Message Character Limit: To stay within message character limits, consider turning off certain features or setting some to 'once'.
• Direct Indicator-to-Strategy Connection: When connecting an indicator directly to a strategy without thresholds, the strategy will default to long if weights are equally assigned.
• Pyramid Enabling with DCA and BRO: Activate pyramid orders, enabling you to optimize your strategy during Dollar Cost Averaging and Break Out trades.
• Recalculate & Fill Orders Properties: Adjusting these default settings in strategy properties tab may lead to unexpected behavior when backtesting. Approach with caution.
• Optimized for Crypto: Our indicators have been optimized and tested primarily on cryptocurrency markets. Results in other markets may vary.
• Inline Tooltips Documentation: Detailed documentation and guidance are available via inline tooltips for immediate assistance.
• Strategy Settings Margin: Set margin to 1 to be able to apply leverage.
• Styling Panel: Explore the styling panel to disable labels or any other visual cues to reduce clutter on busy charts, enhancing visual clarity and personalization.
• Applying Leverage on Spot Markets: Ensure that maximum leverage on spot markets is configured to 1.
• Unrealistic Order Sizes: Verify that the order book can accommodate your backtested order sizes.
█ A NOTE OF GRATITUDE
Through years of exploring TradingView and Pine Script, we've drawn immense inspiration from the community's knowledge and innovation. Thank you for being a constant source of motivation and insight.
█ RISK DISCLAIMER
Azullian's content, tools, scripts, articles, and educational offerings are presented purely for educational and informational uses. Please be aware that past performance should not be considered a predictor of future results.
INFINITY ALGO🆕Meet the updated version of our flagship indicator, now it's INFINITY ALGO!
🏃🏻 QUICK START
In very simple terms, our indicator generates complex trading signals on your chart (buy/sell), including Entry Point, Take Profit levels, Stop Loss level
To start, you need to add our indicator to your chart , choose a timeframe (we recommend 13min,15min and 4h but you can try any, these only have the best results) and set up notifications (how to do it told below) and that's it, you can work with it even without changing the settings!
Of course, to improve the accuracy of signals you will have to choose the optimal settings of the script for each trading pair and timeframe (you can find a guide below)
📊 SIGNALS
This script will generate complex trading recommendations, both Long and Short (signals); signals include:
- Entry Point:
Calculated based on pivot levels with confirmation by EMA/SMA (you can select this in the settings); also bullish/bearish cup is checked to confirm the entry.
Additionally, in the settings you can enable Heiken Ashi calculation mode (it shows much better on some trading pairs).
Why do we mashup these components and how they work together?
- The main indicator in our script is pivot levels, it is enabled by default and cannot be disabled. Auxiliary indicators (which you can switch on and off in the script settings) are EMA/SMA and Heiken Ashi. We have used pivot levels, which mark potential support and resistance zones based on previous price action. We have also used EMA/SMA that smooth out price fluctuations and show the direction of the trend. We have added an option to use Heiken Ashi that filters out noise and highlights the trend. We have also checked for bullish/bearish cup patterns, which are reversal patterns that indicate a change in momentum. By combining these indicators, we have created a more robust entry point that considers multiple factors such as price levels, trend, noise, and momentum.
- 6 Take Profit levels:
It is also possible to change in the settings (It is also possible to change the values for Short or Long positions separately), it will be fixed values in % (The default Take Profits for Long&Short are as follows: TP1-0.3%; TP2-1%; TP3-2%; TP4-3%; TP5-7.5%; TP6-16.5%)
- Stop Loss Level:
As with Take Profits, this is a fixed % value that you can customise to suit your risk management needs (It is also possible to change the values for Short or Long positions separately, by default is 4.5% for Long&Short positions)
*When trading on these signals, we strongly recommend that you exit the position in parts at each take profit or close your entire position at one particular take profit. Our script was designed specifically for exiting a position on take profits
⚙️ SETTINGS
Now let's talk about the settings of this script, which allow you to customise the signals quite a lot. In general, we recommend selecting the settings for each trading pair and timeframe separately, this will allow you to achieve better targets accuracy (the default settings are universal, you can trade with them without changing them if you want)
-> IMAGE <-
1. Period - minimum value of 2. Increasing this parameter will increase the accuracy of signals, but will reduce their number (accordingly, lowering the parameter will do the opposite). For the majority of trading pairs and timeframes the optimal period will be between 5 and 10 (the default value is 5).
2. Maximum Breakout length (in bars) - for most trading pairs you can set the value from 200 to 300 and it will be optimal. Below 200 is not recommended
3. T hreshold Rate % - this value also affects the accuracy and the number of signals - the higher this value is, the more often signals will be generated, but it can negatively affect the accuracy. The minimum value is 3, and the maximum value is 10. We recommend to try values in the range from 4 to 7 for most tickers
4. Minimum Number of tests - the number of level checks is required, we recommend to try 2, and only for some timeframes increase to 3
5. MA type & MA filter - The shorter the length of moving averages, the faster they react to trend changes, and show more local trends than global ones. If the length of MAs is longer, more global trends are shown. By default, the most optimal values are set.
By the way, you can ask us for a ready-made preset for any pair and we will be happy to help you!
📄 BACKTESTING
Now let's talk about how to properly test the settings and evaluate their effectiveness. Our script has a c ustom built-in backtester that shows statistics on the current trading pair and allows you to calculate the accuracy of each take profit target, as well as calculate values such as Gross profit/loss, net profit, and the ratio of initial deposit to profit. (you can enable/disable backtester "statistics" label in main settings)
In the main settings you can change the values for: initial deposit (Deposit $), trade size $ and leverage (by the way, it also affects the display of the label "Peak profit", which is calculated with this leverage)
-> IMAGE <-
Now let's look at the backtester - it shows detailed statistics for each Take Profit level, including: accuracy in % and number of trades; gross profit & loss; net profit in % and $ (based on selected settings); deposit to profit ratio in % and $.
Why did we choose such properties in the backtest for publication?
- Well, as the initial capital we took 5000$ and deposit 3% (150$) of the initial capital in each trade. For the fee was taken the value from the exchange Binance, which is 0.06% per trade (Taker + Maker, for a user without VIP on Binance and without taking into account additional fees such as funding, leverage fees, etc).
- Please also take a look at our inbuilt backtester ( IMAGE ) which counts the accuracy to each Take Profit. Also note that our inbuilt backtester does not take any fees into account. Pay attention to the last field "Deposit with Profit" it shows the value if you would close all positions at a certain target. For example, we can see that the most optimal is TP3 at these settings for this trading pair and timeframe, as the deposit to profit ratio will be +61.2%
- Also the script is more designed for swing and long term trading, so on most trading pairs you will be able to see statistics for 60-90 trades dataset
*disclaimer: please note that past results does not guarantee future performance! The accuracy of take profit targets in our backtester is calculated on past results, keep this in mind please
📥 NOTIFICATIONS
We have provided notifications that will deliver the latest signals to you in a convenient format in TradingView. The notification looks like this: It contains the entry point, Take Profits, Stop Loss, and a bit of advice on risk management. -> IMAGE <-
To set up notifications:
1. Select the script settings, trading pair and timeframe
2. Click "add alert on InfinityAlgo", then select "alert () function calls only" in the settings
-> IMAGE <-
3. That's it, now all that's left is to wait for a fresh alert
🔑 HOW TO GET ACCESS
We hope you will like this script :) We are always ready to help you with customisation, just let us know! To learn more about our scripts & get access - check out the “Author’s instructions” below 👇🏼
FluxFilter Trend Strategy [BITsPIP]Hello fellow traders, I'm excited to share with you the FluxFilter Trend Strategy, a trading approach I've developed for those interested in exploring trend-following strategies. My goal was to create something straightforward and accessible, so traders looking to refine their portfolios can easily integrate its features. By the end of this guide, I hope you'll have a solid grasp of how the FluxFilter Trend Strategy functions, appreciate its benefits, understand its potential drawbacks, and see how it might fit into various trading contexts.
I) Overview
The FluxFilter Trend Strategy is tailored to align with the market's long-term trend. It examines the price data from the previous year to gauge the market's overall trajectory by employing moving averages. Subsequently, within shorter timeframes, the strategy utilizes a combination of modified Supertrend, Hull Suite, and various trend-following and filtering techniques to generate buy or sell signals. Although its advanced take profit and stop loss mechanisms might initially present a learning curve, they are integral to the strategy's effectiveness. They are designed to secure gains by capturing prevailing trends and mitigating the impact of false reversal signals.
II) Deep Backtesting
Deep backtesting stands as a cornerstone in the development of trading strategies, offering a robust method for traders to assess the performance of their strategy against historical data. This process yields a retrospective view, illustrating how the strategy might have navigated through past market fluctuations, thereby shedding light on its potential robustness and areas for refinement. However, it's crucial to acknowledge that a strategy's performance can be influenced by a myriad of factors including market dynamics, the chosen timeframe, and the inherent attributes of the traded asset. Consequently, it's advisable to conduct thorough backtesting under various conditions to ascertain the strategy's reliability before applying it to actual trading scenarios.
III) Benefits
A primary advantage of the FluxFilter Trend Strategy is its proficiency in discerning genuine market trends from mere price fluctuations, thereby avoiding premature or uncertain trades. Unlike approaches that take high risks on speculative trades, this strategy prioritizes a high degree of confidence in the direction of the trade. It meticulously waits for a clear confirmation of the market trend. Once this certainty is established, the strategy promptly generates trade signals, ensuring that traders are positioned to capitalize on optimal market entry points without delay. This approach not only enhances the potential for profit but also aligns with a disciplined and methodical trading ethos.
IV) Applications
FluxFilter Trend Strategy can be applied across various timeframes, with a particular efficacy in those under 15 minutes. Its adaptable framework means it can be customized to cater to a variety of asset classes, encompassing stocks, commodities, forex, and cryptocurrencies. Initially, the strategy was specifically calibrated for low-volatile cryptocurrencies, as reflected in the default settings for stop loss and take profit values. It's important to recognize that the unique volatility and trend patterns of your selected market necessitate careful adjustments to these parameters. This fine-tuning of profit targets and stop loss thresholds is crucial for aligning the strategy with the specific dynamics of your chosen market, which I will discuss shortly.
V) Strategy's Logic
1. Trend Identification: My conviction lies in the power of trend trading to yield long-term gains. Central to the FluxFilter Trend Strategy is the Hull Suite indicator, a tool developed by InSilico, serving as one of the confirmation indicators. This indicator acts as a compass for trend direction; a price residing above the Hull Suite line signals an uptrend, potentially marking an entry point for a buy position or confirming it. In contrast, a price positioned below this line suggests a downtrend, potentially indicating a strategic moment to sell or confirming the sell.
2. Noise Reduction: The financial markets are known for their 'noise'—short-lived price movements that can obscure the true market direction. The FluxFilter Trend Strategy is designed to sift through this noise, thereby facilitating more lucid and informed trading decisions. It employs a set of straightforward yet innovative techniques to single out significant misleading fluctuations. This is achieved by analyzing recent bars to spot bars with unusually large bodies, which often represent misleading market noise.
3. Risk Management: A key facet of the strategy is its emphasis on pragmatic risk management. Traders are empowered to establish practical stop-loss and take-profit levels, tailoring these crucial parameters to the specific market they are engaging in. This customization is instrumental in optimizing long-term profitability, ensuring that the strategy adapts fluidly to the unique characteristics and volatility patterns of different trading environments.
VI) Strategy's Input Settings and Default Values
1. Modified Supertrend
i. Factor: Serving as a multiplier in the Average True Range (ATR) calculation, this parameter adjusts the distance of the Supertrend line relative to the price chart. Elevating the factor value widens the gap between the Supertrend line and price, offering a more conservative stance. On the flip side, diminishing the factor value pulls the Supertrend line closer to the price action, heightening its sensitivity. While the preset value is 1, you have the flexibility to modify this to suit your trading approach.
ii. ATR Length: This defines the count of bars that are incorporated into the ATR computation, directly influencing the Supertrend's adaptability to market changes. With a default setting of 30 bars, it strikes a balance, smoothing over short-term fluctuations while maintaining a meaningful sensitivity to market trends. Adjusting this parameter allows you to tailor the indicator's responsiveness to suit your trading strategy, considering the volatility and behavioral patterns of the asset you are trading.
2. Hull Suite
i. Hull Suite Length: Designed for capturing long-term trends, the Hull Suite Length is configured at 1000. Functioning comparably to moving averages, the Hull Suite features upper and lower bands, though these are not employed in our current strategy.
ii. Length Multiplier: It's advisable to maintain a minimal value for the Length Multiplier, prioritizing the optimization of the Hull Suite Length. Presently, it is set to 1.
3. Filtering Indicators
i. Fluctuation Filtering Percentage: It's advisable to set this parameter to ten times the size of the average bar in your specific market, as this helps effectively mitigate the impact of market fluctuations. While the initial default is 0.4(%), based on the BTCUSDT market, it's crucial to adjust this figure to align with the characteristics of different assets or markets you're trading in.
ii. Fluctuation Filtering Bars: This parameter designates the count of preceding bars to consider when assessing market fluctuations. It's fully customizable, allowing you to tailor it based on your market insights. The preset default is 3, a balance chosen to minimize susceptibility to potentially misleading signals.
iii. Trend Confirmation Percentage: This metric is pivotal for verifying the viability of a trend post-entry. If the trade doesn't achieve this percentage in profit, it indicates a deviation from the expected trend. Under such circumstances, it may be prudent to exit the trade prematurely rather than awaiting the stop-loss trigger. It's recommended to set this parameter at half the size of the average candle body for the market you're analyzing. The initial default is set at 0.2(%).
4. StopLoss and TakeProfit
i. StopLoss and TakeProfit Settings: Two distinct approaches are available. Semi-Automatic StopLoss/TakeProfit Setting and Manual StopLoss/TakeProfit Setting. The Semi-Automatic mode streamlines the process by allowing you to input values for a 5-minute timeframe, subsequently auto-adjusting these values across various timeframes, both lower and higher. Conversely, the Manual mode offers full control, enabling you to meticulously define TakeProfit values for each individual timeframe.
ii. TakeProfit Threshold # and TakeProfit Value #: Imagine this mechanism as an ascending staircase. Each step represents a range, with the lower boundary (TakeProfit Value) designed to close the trade upon being reached, and the upper boundary (TakeProfit Threshold) upon being hit, propelling the trade to the next level, and forming a new range. This stair-stepping approach enhances risk management and has the potential to increase profitability. The pre-set configurations are tailored for volatile markets, such as BTCUSDT. It's advisable to devote time to tailoring these settings to your specific market, aiming to achieve optimal results based on backtesting.
iii. StopLoss Value: In line with its name, this value marks the limit of loss you're prepared to accept should the market trend go against your expectations. It's crucial to note that once your asset reaches the first TakeProfit range, the initial StopLoss value becomes obsolete, supplanted by the first TakeProfit Value. The default StopLoss value is pegged at 1.8(%), a figure worth considering in your trading strategy.
VII) Entry Conditions
The principal element that triggers the signal is the Modified Supertrend. Additional indicators serve as confirmatory tools. Nonetheless, to refine your strategy effectively, it's crucial to fine-tune the parameters. This involves adjusting input variables such as take profit levels, threshold parameters, and the filtering values discussed previously.
VIII) Exit Conditions
The strategy stipulates exit conditions primarily governed by stop loss and take profit parameters. On infrequent occasions, if the trend lacks confirmation post-entry, the strategy mandates an exit upon the issuance of a reverse signal (whether confirmed or unconfirmed) by the strategy itself.
Good Luck!!
