This script helps to alert you when a trailing stop is hit. More specifically it alerts you when the low of the candle crosses below your trailing stop. A trailing stop follows a price positive movements. It raises your stop when price goes up, but keeps it at the same level if price goes down, so it "locks" in your profit. You define your long entry bar and choose one of the following methods for the stop:
The Average True Range (ATR) is popular to trail stops. The trailing stop is raised by the low minus the ATR (times a factor that can be set under the settings for ATR).
The Exponential Moving Average (EMA) can be used to trail your stop. When the low goes below the EMA an alert is sent about the stop. Its length can be set in the settings.
The Simple Moving Average (SMA) can be used to trail your stop. When the low goes below the SMA an alert is sent about the stop. Its length can be set in the settings.
An external source can be useful as a stop signal. You can use this option that will stop you out when the signal returns anything else than "na". E.g. if you want a stop when KivancOzbilgic script "SuperTrend" (www.tradingview.com/script/r6dAP7yi/) turns red, you set the source to "Supertrend: Down Trend". This option will not draw pretty things on the chart, but it will alert you!
Please note that this is for long entries only.
Best of trading luck!
- Only alert once per bar
- Some refactoring
- Error if source is the method and the input is close only on the first bar
• Force the user to set the entry for the trailing stop loss
• The trailing stop line is drawn until it's broken
• Code refactoring
• Only set if the stop is hit, not the bar index'
Good luck trading!
Here's a small but important update.
∙ Add option to force the bar to be closed
∙ Add option to select price (open, high, low or close)
Good luck trading!
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.