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edakad

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Everything posted by edakad

  1. Trend RSI is a modified version of the classic RSI indicator. It smooths the price with a moving average before calculating the RSI. Then it applies a factor of ATR in smoothing out the RSI values. The plots are like classical RSI indicator. The yellow line is the Trend RSI value and the dotted line is the signal line. Trend RSI can be used as the normal RSI indicator. The difference is trend RSI indicator removes many whipsaw signals associated with the RSI. Trend RSI value above 80 is considered as overbought and value below 20 is considered as oversold conditions in the instrument. Some traders use 70 30 levels. In a consolidation, the overbought oversold levels signal reversal. In strong trends, overbought oversold levels mean a temporary pause in the trend before continuation. Some traders use Cross over between Trend RSI and its signal line can be used as signals. When a cross down happens sell positions can be opened. When up crossover happens buy positions can be opened. However, trades taken in the long term trend direction works best with this strategy. Another method is the divergence between price and Trend RSI. When price makes new lows, but Trend RSI fails to make new lows, buying is suggested. Price makes new highs, but Trend RSI fails to make new highs, selling is suggested. When divergence happens, it more likely that the prevailing trend will reverse direction. Parameters: RSIPeriod – RSI Period EMAPeriod – Smoothing MA Period for Price ATRPeriod – ATR Period K – Smoothing Factor TrendRSI.zip
  2. Trendless Oscillator was developed by Joe DiNapoli and described in his book, Trading with DiNapoli levels. It used with Fibonacci Levels to open trades. However, it can be used as a standalone indicator or with other indicators and support resistance levels. Formula TrendlessOscillator = Close – Simple Moving Average of close with period 7 The basic idea of the Trendless Oscillator is when it is above 0, it is uptrend and when below 0, it is down trend. It is designed to show overbought oversold situations too. When it reaches an extreme level above 0, the instrument is considered in an overbought situation. This may lead to consolidation or trend reversal. Many times, trend pauses and continue in the original direction. The overbought levels are used as profit booking levels. The extreme levels in this indicator is a relative term, observe the charts and find the extreme levels indicator reached historically. This depends on the volatility of the instrument. Another method to use the oscillator is divergence. When price makes new high and oscillator fails to reach new high, there is divergence between price and oscillator. This happens when the trend is losing strength, and eventually lead to a reversal of trend. Trendless_OS.zip
  3. edakad

    Volatility Bands

    Volatility Bands is based on the concept of Bollinger Bands. The difference is that volatility is used as the bands instead of standard deviation. It allows users to compare volatility and relative price levels over a period time. The indicator consists of three bands designed to encompass most of the security's price action. Volatility Bands are plotted at volatility levels above and below a moving average. A distinct characteristic of Volatility Bands is how the spacing between bands varies based on the volatility of prices. Like Bollinger Bands, the bands are self-adjusting: widening during volatile markets and contracting during calmer or trending periods. Volatility bands can help confirm trend, but they do not determine the future direction of a security. In an uptrend when price reaches the lower band buy position can be opened. In down trend, when price reach the band top sell is recommended. Volatility Bands is based on the concept of Bollinger Bands. The difference is that volatility is used as the bands instead of standard deviation. It allows users to compare volatility and relative price levels over a period time. The indicator consists of three bands designed to encompass most of the security's price action. Volatility Bands are plotted at volatility levels above and below a moving average. A distinct characteristic of Volatility Bands is how the spacing between bands varies based on the volatility of prices. Like Bollinger Bands, the bands are self-adjusting: widening during volatile markets and contracting during calmer or trending periods. Volatility bands can help confirm trend, but they do not determine the future direction of a security. In an uptrend when price reaches the lower band buy position can be opened. In down trend, when price reach the band top sell is recommended. Volatility Bands.zip
  4. Percentage Channel, PCC is a modified version of the Donchain channel indicator. Instead of the N day High Low range used in Donchain channel, Percentage Channel uses a certain percentage value of the price to draw the channel. As price moves upward or downward, the PCC shows trading opportunities. It is a trend following indicator, and the signals make good profits on long lasting trends. Price trade inside the channel for considerable period and then breakout from the channel. This is likely to be a new trend beginning. Traders can open buy position when price establishes above the upper channel line. Short position is opened when price trade below the lower channel. Trading activity inside the channel indicates lack of strength in the current trend. Usually in an up trend most of the trading happens inside the upper channel line and mid channel line. In down trend, price action is more likely to confined within the lower channel line and mid channel line. PCC is used in long time frame charts like daily or weekly charts. The default value for parameter percentage in PCC is 2. Test the channel with different values for parameter percent and use the best parameter value for each instrument. The best value for percent depends on the volatility of the instrument. PCC avoids many false signals that occur with other channel indicators in tight trading ranges by choosing a proper value for parameter percent. PCC.zip
  5. Saukey is based on a complex mathematical signal processing algorithm to capture the trend changes at an early stage. It plots two lines on the chart, like moving averages. In comparison to moving average cross over strategies, the Sdaukey indicator reduces the lag factor significantly. Trading signals with Sadukey indicator is simple. When the green line cross above red line, open long position. When red line cross below green line, go short. Stop loss can be placed below recent high or low. This is a good indicator to capture trend changes at an early stage, however in trading ranges, the signals may not be effective. This can be avoided with the help of other indicators. If a trading range is identified in chart, open trades on breakout of the trading range. Sadukey.zip
  6. The Kase Peak Oscillator is made of statistical observation of prices over the last KPeriod. It automatically adapts its cycle to any timeframe or instrument by using a percentile rank of what happens now in comparison of the whole distribution of past values. It consists of a histogram and a line indicating overbought oversold levels. Buy Signal: Histogram cross above the zero level Sell Signal: Histogram cross below the zero levels When histogram reaches the line, chances are a reversal or consolidation may follow. However, in strong trends, the histogram may overshoot the line for may bars before slowing down. This can be used to book profits and open trades if reversal is confirmed by other indicators or price action. Like all indicators, Kase Peak Oscillator also generate whipsaws in consolidating markets. Divergence between the histogram and price bars present good trading opportunities. When price makes new lows and the oscillator fails to make new lows, it is a divergence between the price and the oscillator. When divergence happens, there is high probability that trend reverse upward. For trend reversal down, price makes new high and oscillator fail to reach a new high. KasePeakOscillator.zip
  7. “Day Channel” indicator marks short term support resistance levels for intraday trading. It consists of the day’s High, Low, midpoint, and levels at 38.2% from the day high and low. Day channel is intended to use on lower time frame charts like 5 minutes, 15 minutes, etc. These levels become valid after a few hours of market open each day, best to use towards the closing session. Trading activity below the midline shows bearish sentiment for the day and above midline implies bullish sentiment. In the image, price breaks below the lower support line and trades lower. Later it consolidates between the two lower lines. The day high and low are good support resistance levels. Day channel is not a stand-alone indicator, it should be used together with price action or other indicators to confirm breakout or reversal at these levels. Candle patterns forming at these levels can be used to open trades. When a reversal candle pattern like engulfing bars, hammer, etc. form at these levels, trades can be opened. Day Channel.zip
  8. Perfect Trend Lines, PTL, is a short-term trend trading indicator. The lines showing the trend in this indicator is not straight lines like normal trend lines. PTL indicator calculation is simple. First take the 7 bar high and low, then the 3 bar high and low. If the close price is above the 7 bar high and 3 bar high, then an uptrend is identified. When the close price is below the 7 bar low and 3 bar low then a downtrend is identified. These bars are considered as strong trend bars. The magenta line is the 7 bar high or low depending on the trend. The cyan line is the 3 bar high or low depending on trend direction. When price is trading between these 2 lines trend strength is weak. A magenta diamond shape appears when sell signal is generated. Cyan diamond shape appears for a buy signal. The magenta line can be used as stop loss. The cyan line provides a tighter stop loss level. Strong downtrend bars are marked by a magenta dot at the bar high and strong uptrend bars are marked by a cyan dot at the bottom of the bar. PTL.zip
  9. Qualitative Quantitative Estimation (QQE) is based on a combination of smoothed Moving Average of RSI along with the average true range ATR. Volatile assets such as forex, futures, stocks etc. can be monitored using the Qualitative Quantitative Estimation (QQE) indicator. The indicator displays two lines; a fast and a slow-moving trailing stop line. The level 50 is important in QQE indicator. When the fast line (green line) is above 50, trend is considered bullish, if it is below 50, downtrend is assumed. The original QQE indicator trading strategy is to buy when the green line is above 50 and it cross above dotted red line. For a sell trade the green line is below 50 and green line cross below dotted red line. Some traders open Buy position when the green line is below 50 and it cross above red line. Another method is divergence between price and QQE indicator. When price makes new lows and QQE indicator’s green line fails to make new lows, buy position can be opened. When price makes New highs and QQE green line fails to make new highs, sell position can be opened. QQE.zip
  10. Daily Volatility Breakout Client Side VTL Indicator is based on the idea that when price moves strongly in one direction from the day open, that move is likely to continue further. It is based on previous day’s volatility, the high low range of previous day. It marks a buy line at 70 percent above the day open price, and a stop loss level 50 percent above the day open. When price cross above the buy line and holds above it, opening long position is advised. The sell line is 70% below the day open and sell stop is 50% below day open. Short position is suggested when price cross below the sell line. The idea behind the indicator is that when price moves strongly in one direction from day open, the trend can continue in that direction. This is a trend following indicator and positions can be kept for a few days if the trend is strong enough after breakout from the Buy sell levels. Like any other trend following indicators, it does make false signals in consolidating markets. So use Daily Volatility Breakout indicator together with other indicators to confirm the signals. Daily Volatility Breakout.zip
  11. Brain Trend Signal Alerts is Client Side VTL indicator that plots buy and sell signals. This follows the short-term trend and is a great intraday trading tool. The indicator identifies the trend changes using candle high lows and Average True Range. The red arrow appears when a down trend is identified and green arrow appear when trend changes upward. For best results, Brain trend alerts can be used together with a long term moving average like the 200 period simple moving average. Buy signals are valid when the signal is generated above the moving average and sell signals are valid when they form below the moving average. The indicator writes the current signal and last trade details on the information panel on chart. When a new signal appear, it raise an alert. BrainTrendSignalAlerts.zip
  12. edakad

    Ichimoku Alert

    Ichimoku Alert is based on the Ichimoku Cloud charts. This is a simplified VTL Alert based on price crossing the Kijun Sen of ichimoku chart. The Ichimoku Cloud is a type of chart used in technical analysis to display support and resistance, momentum, and trend in one view. The Ichimoku alert takes the Kijun Sen and raises an alert when price crossover happens. This should be used together with an ichimoku chart or other indicators. A signal in ichimoku alert means there is a high probability that a new price wave with momentum can form. For traders using ichimoku charts, these alerts inform them that a trend change is occurring in ichimoku chart and they can switch to ichimoku chart and analyse the situation. In trading ranges, this indicator generates whipsaw signals, so always use it together with other indicators or ichimoku chart. Ichimoku Cloud indicator is available in vStore. Ichimoku_Alert.zip
  13. Brain Trend 2 Is a short term signals indicator. It is used for intraday trading. Brain Trend 2 identifies the short term trend using Williams percent R indicator and average true range. When a short term trend is confirmed by the indicator, it plots semaphores on the bar to show the trend. Bars with red boxes indicate downtrend and bars with blue boxes indicate uptrend. When a trend is identified, open positions in the direction of the trend. When red boxes appear open short position. When blue boxes appear open long position. It is more effective when coupled with other indicators. A moving average can be used as a trend filter. Set the moving average period to medium term or long term like 50 or 100. BrainTrend2.zip
  14. Extend Trend Lines is a VTL Client-side indicator for elongating the trend lines on the chart to the last bar. Traders usually draw trend lines on the chart and use them as support resistance levels. When a trend line breakout happens, it is the beginning of a new trend. One issue with trend lines drawn manually on the chart is that they do not get elongated when new bars form on the chart. It should be manually adjusted with new bars. Extend Trend Lines VTL Indicator takes care of this situation. It automatically adjusts all trend lines on the chart to the last bar. It monitors the trend lines on each new bar and adjust them. This is useful when the trader opens the terminal on a new day and the old trend lines are short and need adjustments. ExtendTrendLines.zip
  15. Previous day high low is a Client Side VTL indicator that draws the last day’s high, low and today’s open on the chart. When day trading, the previous day’s high and low are important reference points or support resistance levels. In a bullish market price breaks above the previous day’s high early in the day and continue to trade above that level. In bear markets, price break below the previous day’s low early in the day and continue to trade below that level. Trading ranges form when price fails to break the previous day’s high or low successfully. This info alone can improve your trading results as this give you a clear vision of what is likely to happen today. Breakout trading strategies work best when price is above or below yesterday’s range. Trend following strategies also work best in this situation. When price is inside yesterday range, counter trend strategies work better. Oscillators like RSI and Stochastics work best in this situation. Prev_Day_High_Low.zip
  16. edakad

    STARC Bands

    volatility. STARC bands is used in two modes. First one is as a trend following indicator. For this enter 1.33 for parameter KATR. Now when price breaks out of the bands, there is a high probability that price move will continue in that direction. Open positions in the breakout direction. To use STARC bands as an oversold overbought indicator, make parameter KATR 3. Now when the price reaches the bands, chances are that it is a short-term price extreme. Countertrend trades can be opened here. Parameters: 1. MA_Period – Moving Average Period 2. ATR_Period – Average True Range Period 3. KATR – ATR multiplier 4. Shift – Number of bars to shift forward STARC Bands.zip
  17. Auto Trend Lines is a VTL Client-Side indicator to plot trend lines. It detects the peaks and troughs in the chart and then plot trend lines joining recent peaks for down trend line and the recent troughs for uptrend line. Trendlines are usually considered as strong support resistance levels. Traders can open buy positions when the down trend line is broken, and price remains above the trend line. Sell position can be opened when the uptrend line is broken, and price remains below the trend line. The Auto Trend Lines VTL can be used to identify geometrical chart patterns like Triangles and Flags. Symmetrical Triangles, Ascending triangles and descending triangles can be easily identified. Up and down flags can be identified with help of this indicator. It can be used to identify many other chart patterns like trend channels, pennants etc. AutoTrendLines.zip
  18. Close all On Timer is a VertexFX EA that closes all open positions and limit orders at a stipulated time. In Forex markets news releases have a high impact on price volatility. Big price moves happen when some unexpected new release comes. Economic calendars like the one at Fxstreet.com gives in advance the time of important news release. Many traders close their open positions before such important news release events. This helps in avoiding getting trapped in price moves following the event. The close all on Timer EA is developed to smoothly handle such situations. CloseAllOnTimer.zip
  19. SuperTrend is a simplified implementation of the famous super trend indicator. Supertrend is a very simple indicator. The Buy and Sell signal changes as soon as the indicator flips over the closing price. Supertrend is a trending indicator, and like all trending indicators it works well in trending markets. However, it does give lesser false signals than a lot of other indicators. The SuperTrend indicator is calculated utilizing the ATR to offset the indicator from the price. One of the advantages of the SuperTrend is it just moves in the direction of the trend. When the red line flips and turns red a buy signal is generated. When the green line flips and turns red, a sell signal is generated. The signals itself can be used to open positions. With other strategies, super trend can be used as a trend filter. The supertrend line can also act as a trailing stop loss. http://i66.tinypic.com/2cs767t.png[/IMG] SuperTrend.zip
  20. Levy’s Relative Strength Indicator (RSL) is used to identify the instruments showing strength and weakness. The concept of Relative Strength to Levy is based on the assumption that securities which exhibited a large relative strength in the past will also develop relatively strongly in the future, and conversely. RSL is used to create balanced long-short portfolios in trading portfolios. For Currency traders, RSL can be used to pick the currency pairs showing the highest strength and weakness. Traders create a portfolio of positions by buying stronger instruments and selling the weaker instruments. The first step in creating a long-short portfolio is ranking all instruments based on their strength and weakness. Note down the RSL value of each currency pair at the start of the week or month. The pair that has the highest RSL value is the strongest one. The pair that has the lowest RSL value is the weakest one. Now open Buy positions on the top two stronger pairs and open sell positions on top two weaker pairs. Keep the positions open for the next week or month start. At the start of next week or month, again rank the instruments based on their RSL values and adjust the positions. This portfolio is hedged, market neutral and offer steady return over long periods of time. RelativeStrengthLevy.zip
  21. Flat Trend Indicator identifies the prevailing trend in the chart. It plots a green histogram when the price is in an uptrend, in a downtrend it plots the red histogram and in sideways markets it plots a yellow histogram. With this indicator applied on the chart, trend identification can be easily done by looking at the indicator panel. The trend is identified by combining Parabolic stop and reverse indicator (PSAR) and ADX indicator. When PSAR is in buy mode and ADX is showing an uptrend, the trend is marked as up. When PSAR is in sell mode and ADX is showing downtrend, the trend is marked as down. All other situations are marked as a neutral trend. This indicator is useful to identify the prevailing trend in the market and traders can tune their system to take positions in the trend direction. Discretionary traders can use it to align their position in the trend direction. The RSI indicator is used to identify the overbought oversold situation in the market. However, in trending markets, going short when RSI indicates an overbought situation is not a good trade. With this Flat trend indicator, if the trend is flat and RSI reaches overbought, levels, opening a sell position has better chances of winning. Many traditional indicators performance can be improved by using Flat Trend indicator as a trade filter. Flat Trend.zip
  22. Firebird is an indicator to identify the price spikes in the market. Firebird indicator first calculates a 10-period moving average, then shifts this moving average a certain percentage above and below the 10-period moving average. The shifted averages are drawn on chart as the red and green line. When price touches these lines, price spike is identified. Usually after a price spike, the trend reverses for some time. The indicator can be used to take advantage of this price behaviors. In daily chart usually the 10 period MA is shifted by 2 percent to form the price bands. On lower time frames like Hourly, Four Hour a smaller percentage price shift is used like 0.5% . The important consideration here is most of the price bars must be contained within the upper and lower bands. When price reaches above the upper red band, a sell position is opened. When price reaches the lower green band, buy position is opened. Trades can be managed with proper stop loss and take profit. In the picture, Firebird indicator is attached to daily chart of EUR/USD with 2% shift on MA. Note that almost all price bars are within the price bands. And when price extends beyond these bands, price trend reverses and comes back into the bands. FireBird.zip
  23. Bollinger Bands stops is a trend following indicator. The green line indicates uptrend and red line indicates down trend. When price close above the red line, up trend begins. Buy Positions can be opened immediately or on a pull back to a support level in the new uptrend. The green line can be used as a stop loss. Similarly, when the red line appears, sell positions can be opened immediately or on pullback to resistance with the red line as stop loss. This indicator works best in trending markets, in consolidating markets signals may be not effective. BollingerBands Stops.zip
  24. ATR Ratio (Average True Range Ratio) is a VertexFX Client Side VTL Indicator. It plots the ratio between a long-term ATR and a short-Term ATR. ATR is a measurement of market volatility, when the price trend is strong, ATR values rise and consolidation is marked by low ATR values. ATR ratio shows the present market volatility in relation to long term market volatility. It is calculated by dividing the short term ATR with Long term ATR. ATR Ratio above one indicates the current market volatility is higher. How to Use ATR Ratio Indicator The ATR ratio indicator does not generate trading signals, it is a confirmatory indicator. When a new trend begins, usually the indicator value climbs above one. Identify the direction of the trend from chart with the help of moving averages or trend lines and then initiate trades when the ATR ratio indicator climbs above one. The image shows a short trade setup. After a consolidation, price breaks below the moving average. As you can see in the area highlighted by vertical box, price remains below the MA and ATR ratio climbs above one. This is the ideal time to open a short trade. When the ATR ratio falls below one and stays there, it is clearly telling that the trend has lost momentum. Open positions can be closed when this happens, and wait for the next breakout. Parameters ATR Ratio can be customized through the parameters. Long Term ATR Period and Short Term ATR period are defined by the parameters. Default values are 7 and 49. To change the parameter values, open the script in VTL editor by right clicking on the indicator name in navigator and select edit. The script is now opened in the VTL editor. Parameters are located at the top of the script file. Change the parameter values, save and compile. Apply again to chart for the new parameter values to take effect. ATR_Ratio.zip
  25. Bollinger Bands High Low (BB HL) indicator is a finetuned version of the Standard Bollinger Bands indicator. Bollinger Bands defines and plots an upper band and lower band within which most of the price bars are confined. The calculation of Bollinger bands is based on a short term moving average that determines the trend. The upper and lower bands are two standard deviations away from the base moving average. Standard Bollinger Bands uses the closing price of each candle in its calculation. In this refined Bollinger bands High Low indicator, the upper band is based on the standard deviation of candle high and lower band is based on the standard deviation of candle low, instead of the candle close used in standard Bollinger bands. This makes the indicator more responsive to price moves and extreme levels are more accurate. Trading Strategies 1. Bollinger Band squeeze. This might be the most common trading strategy with Bollinger bands. Bollinger band squeeze happens when the width of the band is the narrowest in recent times. This indicates a sideways trading or lack of volatility. Finally a volatility breakout will come and price will move in the breakout direction. This volatility breakout is identified by the expansion in band width. 2. Reversals at Bollinger Bands. Look for candlestick reversal patterns like engulfing bars and pin bars formed at the upper or lower band. In the chart below, a bearish pin bar is formed at the upper band. Trade bearish signals forming at upper band and bullish signals forming at lower band. The Bollinger Bands High Low indicator can be customized through the parameters. You can change the Bollinger Band calculation period and Standard Deviation. To edit parameter values, open the VTL script in VTL Editor by right clicking on the indicator name in Navigator and select Edit. Parameters are located at the top of the script file. Edit them save, compile and attach to chart again for the new parameter values to take effect BB_HL.zip
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