It is also specifically designed for detecting failed (fake) breakouts.
How it works?
This tool uses something similar to , but with more bands.
I used two standard deviations (positive and negative) on either side of a ( ) of the trading .
I also used twice the standard deviation (negative and positive) on either side of the to create more bands.
The classification is made as follows:
This indicator is a tool to compare the , relatively and in different periods. It is also a good tool for detecting failed (fake) breakouts.
Fake Breakouts Occurs when a support or resistance is broken but the market does not accept and support these price changes. This lack of support will cause trading to decrease during or after the breakout.
So, if the indicator shows Low-Volume or Minor-Volume status at the time of the breakout or right after that, it may be a fake breakout.
The truth is you cannot avoid false breakouts completely as long as you trade breakouts but you can minimize the risk and the loss.
Thank you all for forming this unique community.
" Length " => The length of the of the
🚨 Auto Trendline & Breakout Alert 🚨
🔥 Profit Maxima 🔥
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.