This non-repainting indicator is an improved version of my previous work, a more versatile tool designed to provide traders with dynamic and adaptive entry signals while incorporating a mean reversion and trend filtering mechanism. By combining RSI overbought/oversold, regular divergence and confirmatory momentum oscillator such as CCI or MOM, this indicator generates more precise and timely signals for entering trades.
The indicator offers a comprehensive set of entry conditions for both Buy and Sell entries: • For Buy entries, it checks for oversold conditions based on RSI levels, and detects bullish divergence patterns while oversold and it identifies upward crossovers in the selected entry signal source (CCI or Momentum). • Similarly, for Sell entries, it identifies downward crossovers of the CCI or Mom, after the recent overbought conditions, and bearish divergence patterns inside the overbought RSI. To refine the entry signals even further, the indicator utilizes a mean reversion filter. Traders can choose to display signals that occur inside or outside the upper and lower mean reversion bands: • Range Entries are indicating potential buying opportunities near the lower band and selling opportunities near the upper band. This is based on the concept of mean reversion, which suggests that prices tend to return to the average when they reach the upper or lower bands. By focusing on these signals, traders can take advantage of price movements that have a higher probability of reversing towards the mean. • Extreme Entries, on the other hand, represent signals that occur outside of the bands, signaling potential pullbacks during strong trends. By entering positions only at extreme highs or lows, traders can avoid getting caught in the middle of the trend. This approach helps traders capitalize more favorable trading opportunities which have a high reward-risk ratio. Trend Filter acts as a directional bias for the entry signals. When enabled, long and short entry conditions are filtered based on the relationship between the closing price and the EMA. Traders have the flexibility to customize, tweak the indicator filter and values in the settings according to their preferences strategies and traded assets, tailoring the signals to their specific needs. The script sets alert conditions to trigger alerts for buy, sell, or both entry signals. This indicator can be used in conjunction with price action or other technical analysis tools for confirmation and better trading decisions.
I created this indicator for my own use, and I share this for informational purposes only. It does not constitute financial advice so use at your own risk and consider your financial situation before making any trading decisions. The indicator's accuracy is not guaranteed, and past performance is not indicative of future results.
I appreciate your feedback on this indicator. As I am new to script development, I am open to comments and suggestions to improve it. If you encounter any issues while using this indicator, please let me know in the comments section. If you find it helpful, I kindly ask for your support in boosting it. Thank you for your cooperation.
does this work best on the 15M TF? all of the charts seem to be on 15. does this work on forex/currencies as well?
spudow
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@jchaps37919, it could work on any timeframe of any asset, just need to adjust settings to suit market conditions and do backtest first.
Vallu60278
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Nice one
empathicPlayer51816
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Fantastic work!
Parimal_S
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The Best!
lego69
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I will try this on my demo account to see how it works
comprehensiveH7066
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This is an excellent indicator. I have tested SEVERAL indicators and this one has quickly become one of my favorites. I find that it is extremely accurate on short time intervals which matches my style of trading.
I would never think that someone somewhere in the world is making / made exact same indicator I built over many month of tests. I have dynamic linear regression bands which filter signals based on percentage deviation from average price. RSI is also there, I didnt built-in CCI ( not sure why you need it here). I have Engulfing candle+ parabolic sar to confirm those upper / lower extreme signal reversals -YET I am facing an issue with false signals in strong uptrend/downtrend , and I can see yours has exact same issue. I am trying to find additional filter that will filter out strong uptend/downtrends, do you have any idea/suggestions what to add? I searched many different indictors on platform but didnt find anything suitable yet.