OPEN-SOURCE SCRIPT
Up & Down entry poins
Fibonacci-Bollinger function to calculate the upper and lower boundaries, as well as to display reversal points (blue and red) based on price changes.
Analysis of your script:
Fibonacci-Bollinger: Used to calculate the upper and lower boundaries based on the Simple Moving Average (SMA) and standard deviation (a standard approach for creating ranges).
MA50 for trend: The moving average based on normalized deviation is used to assess the current trend (bullish or bearish).
Reversal points:
Blue points (buy signals) are plotted when the price deviates below the lower Fibonacci boundary and the MA line is rising.
Red points (sell signals) are plotted when the price deviates above the upper Fibonacci boundary and the MA line is falling.
Volume usage: Including volume in the reversal conditions helps filter signals, which is a good practice for reducing false signals.
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You should only enter long or short positions according to the trend, because counter-trend points will not indicate entry points for trades, but rather large profit-taking from trending positions.
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Ver. 0.1.1 -- First edition.
Analysis of your script:
Fibonacci-Bollinger: Used to calculate the upper and lower boundaries based on the Simple Moving Average (SMA) and standard deviation (a standard approach for creating ranges).
MA50 for trend: The moving average based on normalized deviation is used to assess the current trend (bullish or bearish).
Reversal points:
Blue points (buy signals) are plotted when the price deviates below the lower Fibonacci boundary and the MA line is rising.
Red points (sell signals) are plotted when the price deviates above the upper Fibonacci boundary and the MA line is falling.
Volume usage: Including volume in the reversal conditions helps filter signals, which is a good practice for reducing false signals.
-----------------------------------
You should only enter long or short positions according to the trend, because counter-trend points will not indicate entry points for trades, but rather large profit-taking from trending positions.
------------------------------------
Ver. 0.1.1 -- First edition.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.