PROTECTED SOURCE SCRIPT
BPS BB-Expansion (BPS-Regime with Traffic-Light)
#BPS BB-Expansion (BPS-Regime with Traffic-Light)
1. Identifies bullish Bollinger Band expansions by measuring increasing band width, signaling the transition from consolidation to directional movement.
2. Confirms bullish market direction using a rising EMA, ensuring trades are aligned with the prevailing trend.
3. Detects confirmed bullish breakouts when price closes above the upper Bollinger Band, avoiding repainting signals.
4. Applies a trend-stability filter that requires price to remain above the EMA for a minimum number of bars, reducing false breakouts.
5. Calculates annualized volatility using ATR, Parkinson, or a hybrid method, allowing flexible and realistic volatility estimation.
6. Enhances volatility assessment with a dynamic volatility buffer that adapts to current market regimes via ATR comparison.
7. Filters trades based on minimum buffered volatility, ensuring sufficient option premium for credit-based strategies.
8. Uses a signal-locking mechanism to prevent repeated signals during the same bullish move.
9. Classifies market conditions into a Traffic Light system (GREEN / YELLOW / NO TRADE) to guide Bull Put Spread decisions.
10. Displays an on-chart dashboard and signal history, including regime status, buffered volatility, and recent buy signals for structured decision-making.
1. Identifies bullish Bollinger Band expansions by measuring increasing band width, signaling the transition from consolidation to directional movement.
2. Confirms bullish market direction using a rising EMA, ensuring trades are aligned with the prevailing trend.
3. Detects confirmed bullish breakouts when price closes above the upper Bollinger Band, avoiding repainting signals.
4. Applies a trend-stability filter that requires price to remain above the EMA for a minimum number of bars, reducing false breakouts.
5. Calculates annualized volatility using ATR, Parkinson, or a hybrid method, allowing flexible and realistic volatility estimation.
6. Enhances volatility assessment with a dynamic volatility buffer that adapts to current market regimes via ATR comparison.
7. Filters trades based on minimum buffered volatility, ensuring sufficient option premium for credit-based strategies.
8. Uses a signal-locking mechanism to prevent repeated signals during the same bullish move.
9. Classifies market conditions into a Traffic Light system (GREEN / YELLOW / NO TRADE) to guide Bull Put Spread decisions.
10. Displays an on-chart dashboard and signal history, including regime status, buffered volatility, and recent buy signals for structured decision-making.
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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.
Protected script
This script is published as closed-source. However, you can use it freely and without any limitations – learn more here.
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.