- EMA ribbon is created using 3 EMA’s 35/70/105. Users can change these as per their preference. This is used for trend identification – 1. Bullish bias if Price > EMA1 > EMA2 > EMA3. 2. Bearish bias if Price < EMA1 < EMA2 < EMA3.
- Background is marked during crossing of EMA1 and EMA2 to alert possible trend change.
- 5-bar fractals are used to mark the Fractal levels and background between top and bottom fractals are filled to create a Fractal Box.
- Fractal levels are marked only when the fractal formation is complete. Given offset is used this is lagging.
- Sloping EMA ribbon is used for identifying the trend.
- Fractal box break-out/ break-downs are used to trigger the trade with fractal high/low for entry/SL. Waiting for price contraction towards EMA ribbon resulting in smaller boxes is key to initiate trade. Avoid bigger boxes as SL’s will be big and price may move within. To draw the vertical lines of FractalBox change fractal level0 style to step-line.
- This indicator combined with the cycle high/low (overbought/oversold) indicators such as CCI/Stochastic/RSI etc. can make it a good trend scalping setup while trading in the direction of momentum in higher timeframe.
- This setup could be used for any timeframes. Do your back-testing before using it in live market.
DISCLAIMER: This indicator has been created for educational reference only and do not constitute investment advice. This indicator should not be relied upon as a substitute for extensive independent market research before making your actual trading decisions. Market data or any other content is subject to change at any time without notice. Liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from use of this indicator is accountability of user using it.
- Simplified Fractal code and modified Williams 5bar fractal to be flexible to include equal high/ lows.
- Added 20 ema as Trend Strength measuring tool - slope/ angle of this ema above 30 will indicate good strength.
- Fractal Line width
- Latest Fractal level are extended as lines for better visibility
- EMA 10 added. This will help in deriving Impulsive zone - EMA10 > EMA20 is bullish zone and EMA10< EMA20 is bearish.
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.