Daveatt

BEST Engulfing + Breakout Strategy

Hello traders

This is a simple algorithm for a Tradingview strategy tracking a convergence of 2 unrelated indicators.

Convergence is the solution to my trading problems.
It's a puzzle with infinite possibilities and only a few working combinations.

Here's one that I like

- Engulfing pattern
- Price vs Moving average for detecting a breakout

Definition

Take out the notebooks :) and some coffee (good for focus). I'm bullish in coffee

The engulfing pattern is a two-candle reversal pattern.
The second candle completely ‘engulfs’ the real body of the first one, without regard to the length of the tail shadows.

The bullish Engulfing pattern appears in a downtrend and is a combination of one red candle followed by a larger green candle
The bearish Engulfing pattern appears in a downtrend and is a combination of one green candle followed by a larger red candle

Example: https://imgur.com/a/krDDUz4

We're bored sir... what's the point of all this?

In summary, an engulfing is a pattern to track reversals. (the whole TradingView audience stands up now giving a standing ovation)
Adding the Price vs Moving average filters allows to track reversals with momentums (half of the audience collapsed because this is too awesome)

Ok sir... you picked up my interest

I included some cool backtest filters:

- date range filtering
- flexible take profit in USD value (plotted in blue)
- flexible stop loss in USD value (plotted in red)

All the best
Dave
Release Notes: - Added pyramiding
Remove from Favorite Scripts Add to favorite indicators
💰 Results/Blogs: https://bit.ly/2ULUtjo

⏩ Signals/Pricing: https://best-trading-indicator.com/pages/pricing

🐦 Twitter: https://twitter.com/bti_trading

👉 Get a $30 discount on TradingView: https://bit.ly/2UM5OA0

📺 Youtube: https://bit.ly/3bKvnZu

Comments

Thank you for the indicator....will this work on stocks / index chart?
+6 Reply
Daveatt kshah84
@kshah84, should work on everything. This is not a complete strategy at all by any means so please be careful trading with it
+1 Reply
hi, how to trigger the alert?
+1 Reply
Daveatt meyaarsenal95
@meyaarsenal95, Hi there
It was made as a strategy
For alerts, the code needs to be updated using this tutorial: https://www.tradingview.com/blog/en/strategy-alerts-are-live-now-18770/
+1 Reply
Whenever I add this it flattens all over the candles and ruins the chart. I think there is a bug...
+1 Reply
Daveatt johnsmithtetley
@johnsmithtetley, Hi there
This is most likely a TradingView configuration issue
You can solve it by following this quick tutorial to adjust your scaling
https://best-trading-indicator.com/pages/how-to-install-a-custom-indicator-on-tradingview#menu-scaling-issues
Reply
Thanks for the share...and for the smiles :) Good luck.
+1 Reply
Daveatt streamDr
@streamDr, ah you don't see the orange color using this script?
that's the color I chose for the bearish condition
+1 Reply
streamDr Daveatt
@Daveatt, I think that reply was probably meant for @akafnf? (Success for the New Year, by the way)
+1 Reply
any time fr
Reply
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