This script alert idea is designed to be used with Renko (10pip brick recommended) Renko or Heikin Ashi (1 hour recommended) charts. It combines the Channel centre line price action with a directional coloured (default length 8) to provide entry and exit signals.
There are three options to exit trade:
- MA Cross (default exit) = exit occur when price breaks in opposite direction.
- Centre Cross = exit occurs when price breaks back passed the centre line in opposite direction.
- Brick Colour = exit when a brick/bar paints in the opposite colour to trade direction.
Each Entry and Exit signal creates an Alertcondition that can be picked up by the TradingView Alarm system.
- This type of Trading technique only works well in a trending market. Do not try to trade this technique in a ranging/flat market, wait for market to return to trend or pick another pair.
- To get 10pip Bricks set Renko to "Traditional" type bricks and 0.001 for non-JPY currency pairs and 0.1 for JPY currency pairs. Also set chart Time frame to 5min or 15mins.
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.