Ultimate [Milind_k]

Mar 8, 2023

BANKNIFTY

Hello traders,
This indicator shows you 5 different types of signals which servers different roles while taking the trades. Thses signals are being drawn by calculating the average of OHLC values and MA's.
Indicator works in any time-frame and on any chart(Indices, stocks, crypto, forex, futures , bonds) which shows OHLC values.

How to use it:
(please follow the image below to understand these 5 points.)
1) Minor/Shorter trend signal: It is the line on the candles. It's is Green in up-trend and turns Red in down-trend.
- You can buy the Call when it turns Green and buy the Put when it turns Red. But you can't trade every time it changes the color, that will be over-trading.
To solve this problem signal-4(trend reversal) has been created which will guide you(see the point 4 for details).

2) Major/Longer trend signal: This is indicated by a stream of small triangles.
- Continuous Green upward triangles shows the major up-trend and continuous Red downward triangles shows the major down-trend.
- If you have bought the Call as per the signal given by the indicator and if Minor trend Red you can exit the trade. But if the Major trend is still Green you can hold the trade and exit when Major trend turns Red.
- Likewise,
if you have bought the Put as per the signal given by the indicator and if Minor trend Green you can exit the trade. But if the Major trend is still Red you can hold the trade and exit when Major trend turns Green.

3) Bullish and Bearish candle signal: These are the small triangles at the top.
- If you have bought Call as per the signal given by the indicator and if a red candle is formed during the trade. At the same time see the color of the triangle being formed at the top. If it's Green then there is nothing to worry, you can wait and decide on the next candle if you want to exit.
Likewise,
- If you have bought Put as per the signal given by the indicator and if a green candle is formed during the trade. At the same time see the color of the triangle being formed at the top. If it's Red then there is nothing to worry, you can wait and decide on the next candle if you want to exit.
- And if an empty area is continuously being built where no triangles are being formed, then understand that the market is range bound(sideways).

4) Trend reversal signal: It is formed just above or below the candle. This is the early entry signal for buying.
- The big advantage of this signal is that you are taking the entry on trend reversal, so your SL will be very less.
- If Minor trend turns Green and "green color upward triangle" is formed just Below the candle you can buy the Call and SL will be at swing low.
- Likewise, if Minor trend turns Red and "purple color downward triangle" is formed just Above the candle you can buy the Put and SL will be at swing high.
- If 2-3 trend reversal signals are made continuously then there is no need to get confused. It means that if you did not take the trade on the first signal, then you can take it on the second candle, and if there is a signal on the third candle also, then you can take it on the third signal as well.
- Note: Keep in mind that you must ignore a "purple color downward triangle" while up-trend likewise a "green color upward triangle" while downtrend. These are false signals and you must not take the trades in these situations.

5) Buying signal: It is formed just above or below the candle. It's denoted by capital letter "B". Green label-up means you can buy the Call. Purple label-down means you can buy the put.



Inputs tab in the indicator settings:
1) Base: Controls the trend reversal signal, default length is 1.
2) Minor Trend: Controls the smoothness of Minor trend, default length is 3.
3) Major Trend: Controls the smoothness of Major trend, default length is 15.
4) PD-HLC: Shows previous day's high, low and close values. These values serves as support and resistance .
Style tab in the settings:
You can switch on/off and set the styles of the signals as per your need.

Disclaimer:
The information provided in the indicator is intended solely for educational purposes, use it at your own risk.
The information contained in the indicator isn't a promise or guarantee or financial advice or a solicitation to buy or sell any securities of any type. It is your responsibility to confirm and decide which trades to make. I cannot be held responsible for your loss in any way. Past results are no indication of future performance. If you do not fully understand these risks you must seek independent advice from your financial adviser.

All the very best and safe trading.