Multi Level ZigZag Harmonic Patterns

Aug 1, 2021

Lets make things bit complicated.

Main difference between this script and the earlier Multi Zigzag Harmonic Pattern is the calculation logic of Zigzag 2, 3 and 4

In the earlier script, all zigzags were plain and were calculated on the basis of different lengths. (Such as 5, 10, 15, 20). These were derived on the basis of Multi Zigzag indicator

In this script, Zigzag 2, 3 and 4 are calculated in slightly different way. They are calculated on the basis of previous zigzag. This means, Zigzag 1 will be the input for Zigzag2 calculation and Zigzag 2 will be the input for Zigzag3 and so on. This is demonstrated in the script - Multi Level Zigzag

One important parameter which is specific to this script is: UseZigZagChain

If checked:

• Zigzag2 is formed based on Zigzag1
  
• Zigzag3 is formed based on Zigzag2
  
• Zigzag4 is formed based on Zigzag3
  

This can lead to patterns covering huge number of candles as this chaining causes exponential effect in each levels. (Effective length grows exponentially in each level)

If unchecked:

• Zigzag2 is formed based on Zigzag1 (Same as when checked)
  
• Zigzag3 is formed based on Zigzag1. But, length is set to zigzag2Length + zigzag3Length
  
• Zigzag4 is formed based on Zigzag1. But, length is set to zigzag2Length + zigzag3Length + zigzag4Length
  

This reduces exponential increase of zigzag lengths over next levels.


Logical ratios of patterns are coded as below:

Notations:

• Lines XABCD forms the pattern in all cases. (OXABCD in case of Three drives )
  
• abc = BC retacement of AB, xab = AB retracement of XA and so on
  

ABCD Classic

• 0.618 <= abc <= 0.786
  
• 1.272 <= bcd <= 1.618
  

AB=CD

• Price difference between AB and CD are equal
  
• Time difference between AB and CD are equal
  

ABCD Extension

• 0.618 <= abc <= 0.786
  
• 1.272 <= AD/ BC (price) <= 1.618
  

Gartley

• xab = 0.618
  
• 0.382 <= abc <= 0.886
  
• 1.272 <= bcd <= 1.618 OR xad = 0.786
  

Crab

• 0.382 <= xab <= 0.618
  
• 0.382 <= abc <= 0.886
  
• 2.24 <= bcd <= 3.618 OR xad = 1.618
  

Deep Crab

• xab = 0.886
  
• 0.382 <= abc <= 0.886
  
• 2.0 <= bcd <= 3.618 OR xad = 1.618
  

Bat

• 0.382 <= xab <= 0.50
  
• 0.382 <= abc <= 0.886
  
• 1.618 <= bcd <= 2.618 OR xad = 0.886
  

Butterfly

• xab = 0.786
  
• 0.382 <= abc <= 0.886
  
• 1.618 <= bcd <= 2.618 OR 1.272 <= xad <= 2.618
  

Shark

• xab = 0.786
  
• 1.13 <= abc <= 1.618
  
• 1.618 <= bcd <= 2.24 OR 0.886 <= xad <= 1.13
  

Cypher

• 0.382 <= xab <= 0.618
  
• 1.13 <= abc <= 1.414
  
• 1.272 <= bcd <= 2.0 OR xad = 0.786
  

Three Drives

• oxa = 0.618
  
• 1.27 <= xab <= 1.618
  
• abc = 0.618
  
• 1.27 <= bcd <= 1.618
  

5-0

• 1.13 <= xab <= 1.618
  
• 1.618 <= abc <= 2.24
  
• bcd = 0.5
  

Double Bottom

• Last two pivot High Lows make W shape
  
• Last Pivot Low is higher than previous Last Pivot Low.
  
• Last Pivot High is lower than previous last Pivot High.
  
• Price has not gone below Last Pivot Low
  
• Price breaks out of last Pivot High to complete W shape
  

Double Top

• Last two pivot High Lows make M shape
  
• Last Pivot Low is higher than previous Last Pivot Low.
  
• Last Pivot High is lower than previous last Pivot High.
  
• Price has not gone above Last Pivot High
  
• Price breaks out of last Pivot Low to complete M shape
  

Oct 5, 2021

Release Notes

Convert to pine5

May 2, 2022

Release Notes

Updated signature and tags