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Created By Request from @elpuerto936c

Description of Indicator:
***This measures the day's open / close vs then high lows of the day (range)
***When the open /close is less than 20% of the range, then it's likely that the following day will have a big jump.
***The Thought Process is Simply When (Open - Close) is Less Than 20% Of The Range…Shows Indecision and Breakout is Probable.
***Which way? Use whatever indicator you want to figure out if the market is oversold or overbought.

***NOTE: If Indicator Triggers After Extended Up or Down Move…This = High Probability Reversal.

In Inputs Tab:
-Ability to Change The Trigger Value…(This is Percent The (Open-Close) is to the Total RANGE of The Bar).
-Ability to Turn On/Off Highlight Bars via Check Box.

-In First Drop Down Box Select Name of Indicator
-In Drop Down to Right Select “Alert Blast Off If Below Trigger”.
-Then Select “Greater Than”.
-Then Select “Value”
-To the Right of Value type in .99
-Select On Bar Close, If not you will get FALSE Alerts.
```//Created By ChrisMoody on 12-26-2014 By Request from elpuerto936c
//This measures the day's open / close vs then high lows of the day (range)
//When the open /close is less than 20% of the range, then it's likely that the following day will have a big jump.
//Which way? use whatever indicator you want to figure out if the market is oversold or overbought
//***NOTE: If Indicator Triggers After Extended Up or Down Move…This = High Probability Reversal.

trig = input(20, title="Trigger Value = % of Range")
hb = input(true, title="Show Highlight Bars When Condition = True")
cc = input(true, title="Show Color Change When Value is < Trigger Value")

val = abs(close - open)
range = high - low

blastOffVal = (val/range) * 100
trigger = trig

alert1 = blastOffVal < trig ? 1 : na

col = cc and blastOffVal < trig ? red : aqua

barcolor(hb and blastOffVal < trig ? fuchsia : na)

plot(blastOffVal, title="Blast Off Value", style=columns, linewidth=3, color=col)
plot(trigger, title="Trigger Value Plot 1", style=circles, linewidth=3, color=fuchsia)
plot(trigger, title="Trigger Value Plot 2", style=line, linewidth=2, color=fuchsia)
```
Great, I'll give it a shot...can try modifying it to spot certain formations I use.
Thanks!
Hey chrismoody, thanks for sharing!!
moneymaking
No Problem
Thank you very much Chris for coding this! Have a great holiday season!
elp
Lots of people like it...Good Job on the Request...Keep the good ideas coming...Thats how the Community BENEFITS....
good one Chris!
2use
Credit goes to @elpuerto936c for the Request. The code was very simple...I just threw in a few Cosmetic affects and the ability to change the 20% Threshold...

As Always...Thank for the Comment...
ChrisMoody
im changing some strategies now and assembling a list of indicators i would like to checkout for a combined use.
Hey chrismoody, I was trying to understand how to use this system, but I am still unable to figure it out. Could you please, very briefly, describe how should we base our trades on this indicator, if one chooses to? Thank you once again!!
moneymaking
1. It's not a Trading System...it's just an Indicator someone asked me to code.

2. The thought process is listed in the description. The histogram measures on a percentage basis the Range of the Open - Close...Vs...the Range of the High To Low. So if the Open and Close equaled the High and Low...the Range would be 100% of the total candle body. The thought process is if the Open-Close Range is less than 20% (Of the Total Candle Body)...that means buyers and sellers were Battling and NO ONE Won..So the next bar you would expect the Open-Close Range to be much higher when one of the sides took control. In general you don't know which way this will go. However...

There are two main finds:
1. If you look at the Yellow Callout at the bottom middle of the chart...you'll find when there has been an extended up or down move and this indicator "Triggers" there is a High Probability of a reversal.

2. THEN...when price reversed and started moving UP...Notice each "Trigger" (Fuchsia Highlight Bars) the move the next day tended to be to the upside which makes sense b/c Buyers were in control. THEN...at the top of that move you saw 2 Fuchsia bars (also close to Dojis) and the Trend reversed to the downside...THEN...when you got a Fuchsia Bar the next day Tended to Be a Downside Move...

Therefore the Indicator simply shows Either the probability of a reversal...OR...the probability that there will be a large move on the next bar...and most likely in the direction of the General Trend at that time.

I simply view it as a Indicator that whatever Indicators you typically use...whether it's MACD...or RSI...Or whatever...IF your indicator gives you a potential entry...AND you have a Trigger on this indicator...that Equals a higher probability Set Up...

Nothing more...Nothing less......To Trade this as a Stand Alone System several other filters would need to me added.
ChrisMoody
Great explanation. Thanks you so much. Happy holidays!!
thanks for sharing...Quick question, is it comparing prior bar range or a range of X days?
Zen_NQ
Neither really. Each Histogram Line is showing the percentage for that day(The Bar Directly Above). So on the current bar it will update in real time as the bar/candle develops.

It's not looking back and getting an average or Percent Rank based on X Days...JUST looks at current bar comparing the Range of the Open-Close to the Range of the High-Low.

Think of it in these terms. Imagine the Indicator asking if each bar was a Doji Star. It would return a value of Yes Or No for each bar. This indicator is not giving us a Yes Or No (except the colors change if the Range is < 20%)...It's giving us the Value...Which is the Percentage of the Range of the Open-Close to the Range of the High-Low.
hi, i am a beginner and i wonder how can i use that on mt4? could someone be cool enough to
explain me Thanks for all
touns
Almost every Trading Platform has there own coding language. TradingView's coding language is called PineScript and was designed to be mush simpler to code than MT4's, or any other platforms coding language. Therefore no indicators coded on TradingView are MT4 compatible.
ChrisMoody
People are using MT4 extensively now.. don't you think people like you should look at MT4 seriously as per as coding a Indicator is concerned.. Anyway Thanks for explaining ...
ChrisMoody
Chris, is it possible to modify this script to only show doji's on the over 80 and under 20 OB/OS areas?
binaryking
Is it possible to show only Dojis...Yes.

But this indicator isn't showing overbought or oversold. It's showing percentile of the Range of the Current bar. So do you mean with a RSI os some type of indicator like that?
ChrisMoody
I would like for it to show dojis when it is ob/os, i do use other indicators to show this, just need to be alerted when they apear
binaryking
No problem...One MAJOR item to think about. A candle that looks like a Doji is not always have the open and close at the EXACT same price.

Give me your EXACT definition of a Doji. A exact indicator/criteria your using for the Over Bought---Over Sold Criteria.
ChrisMoody
Thanks for this indicator Chris. I'll check it out and play with it a bit.

Surfdude.
SurfDude
No problem
ChrisMoody
The doji will have a small body in the middle of the wicks, so like a hammer but in the middle with the wicksthat are at least 2 time the size of the body on either side.

85 ob and 15 osIs that good enough?

Could there be an option for changing specs?

Thanks Chris
binaryking
yeh...remind me Tuesday...PM me...I'm slammed through the weekend
Dear Chris Moody,
Is it possible to modify the code so that it will color only the candles whose body size is less than 50 % of range.
Color candle <=50 % of range

Range= high - low
Body= open-close

Mob
mobfriend3
Sorry forgot to mention indicator for MT4
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