BB Squeeze (Version of TTM Squeeze)

[Bam-Bam]

I programmed this indicator so it displays only the alert line and not the histogram. I have been running the alert line at the bottom of my chart window to see how the trade signals compare with my charts.

So far, this indicator lags my other lagging indicators by about two bars. In a choppy market like this week, it puts you into a trade almost exactly at the point of reversal.

When big, smooth moves happen, it is great to look back and say, "Wow, that BB Squeeze really worked for that move." Of course, there were two or four other signals that would have put you in the move a lot sooner.

It is a nice confirmation signal for these bigger moves,

Bam-Bam

[forsearch]

Bam,
Can you illustrate with a photo the lagginess of it? Just curious which of your other laggardly indicators would be a better entry trigger.
-fs

[Bam-Bam]

fs -

Here's a for instance for you. This is a 2-minute chart of the YM from April 28. The chart has a 8-period EMA on price, bar color based on closing above this EMA (+/-), MACD, Chaikin Oscillator, and BB Squeeze. Default settings for all indicators.

There were two squeezes triggered in the timeframe.

Squeeze 1:
- MACD crossover 3 bars before trigger
- slope on EMA went negative 2 bars before
- bar color changed 3 bars before
- Chaikin Oscillator peaked 7 bars before

Squeeze 2:
- MACD crossover 9 bars before trigger
- slope on EMA went negative 9 bars before
- bar color changed 12 bars before

Squeeze 2 shows an example of how in a choppy market, you would enter just before the market turned back up.

Some caveats: I don't really trade off of oscillators, so I may not be interpreting them properly. Also, my program may have a greater than or equal rather than simply greater than on the off chance that the Standard Deviation and the ATR is the same to umpteen decimal places. Finally, I ain't no programmin' genius, so Blu-Ray's or the TTM stuff may work better.

The two bar lag (minimum) is consistent across chart periods (min, ticks, volume).

[Bam-Bam]

fs -

In the interest of equal representation, here's a couple of examples of the "Wow, that BB Squeeze really worked for that move."

The chart has the same indicators as above. This one is a 5-minute from April 25 YM price action.

Squeeze A:
- MACD crossover 2 bars before trigger
- slope on EMA went negative 3 bars before
- bar color changed 4 bars before

Squeeze B:
- MACD crossover many bars before trigger
- slope on EMA went positive 2 bars before
- bar color changed 8 bars before

Same caveats as above message on coding.

Hope this helps,

Bam-Bam

[pattonb]

I have discovered the squeeze indicator works better on tick charts, however
the smaller tick charts ( 55,89,144) will provide more false signals. the 233 and 512 have a much better track record.