Price Action ZigZag (Impulses & Corrections)This indicator tracks price structure by connecting significant swing highs and lows—giving a clear, actionable “ZigZag” view of market movement. It automatically maps the underlying price action as alternating impulses (trend legs) and corrections (pullbacks), directly on your chart, for any timeframe.
How does it work?
Swing Detection:
The script uses the user-selected “pivot length” to identify confirmed swing highs and lows with Pine Script’s ta.pivothigh and ta.pivotlow.
These pivots only print after full confirmation, making all lines strictly non-repainting.
ZigZag Drawing:
After pivots are captured, the indicator connects each alternating swing with lines that trace the progression of price structure.
Each line segment is mapped according to the sequence and direction of swings:
Impulse: Moves that break further away from prior swing in the same direction (continuations/uptrends/downtrends)
Correction: Moves that pull price back, but do not extend past the previous impulse (retracements/sideways action)
Impulse vs Correction Logic:
Bullish impulse: swing from a higher low to a higher high (fast upward moves after a low)
Bearish impulse: swing from a lower high to a lower low (fast downward moves after a high)
Corrections appear as smaller lines between alternating swing points not leading to new trend extension.
Labels & Colors:
Impulse lines are drawn teal (customizable), corrections in gray.
Tiny labels ("Impulse", "Correction") are shown for clarity (optional).
Most recent pivots are highlighted with yellow dots for quick visual reference.
Key Features:
User-adjustable pivot length controls sensitivity and structure size (scalp to swing).
Distinguishes between impulses and corrections instantly on the chart.
Labels and color coding for clarity—traders can spot trend continuation vs. pullback at a glance.
Non-repainting confirmed pivots and lines; never show incomplete data.
Fully customizable appearance—all colors and label display adjustable in settings.
Zero lookahead or repainting: all signals use confirmed, historical price only.
How to use:
Add to any chart and set 'Swing Length' to fit your trading style (shorter for scalping, longer for bigger structure).
Follow the ZigZag lines to see when price makes an impulse vs. correction, and use this to identify high-probability momentum or reversal zones.
Combine this script with your own analysis/strategy or other indicators for deeper context.
Adjust colors and label options for your preferred chart clarity.
Disclaimer:
This script is a visualization and analysis tool for educational purposes—it does not predict future price movement, guarantee results, or provide trading signals. Always use sound risk management and your own judgment in live trading.
Search in scripts for "zigzag"
Volatility ZigZagIt calculates and plots zigzag lines based on volatility and price movements. It has various inputs for customization, allowing you to adjust parameters like source data, length, deviation, line styling, and labeling options.
The indicator identifies pivot points in the price movement, drawing lines between these pivots based on the deviation from certain price levels or volatility measures.
The script labels various data points at the ZigZag pivot points on the chart. These labels provide information about different aspects of the price movement and volume around these pivot points. Here's a breakdown of what gets labeled:
Price Change: Indicates the absolute and average percentage change between the two pivot points. It displays the absolute or relative change in price as a percentage. Additionally, the average absolute price increase or the average rate of increase can also be labeled.
Volume: Shows the total volume and average volume between the two pivot points.
Number of Bars: Indicates the number of bars between the current and the last pivot point.
Reversal Price: Displays the price of the reversal point (the previous pivot).
Zigzag SARThis is another ZigZag script. But the difference between this and other ZigZag indicators on TV is that here we find highs and lows based on Parabolic SAR.
It repaints?
YES.
On last line of ZigZag you get repainting, because the highs and lows get confirmation only if direction (SAR dots) changes.
This shouldn't be used to forecast highs and lows directly anyway, it's just a visual guide for past highs and lows.
I'm using it to spot harmonic patterns and Wolfe waves more easily. The plan is to draw these automatically in the future, but my skills at Pinescript are limited at the moment.
PS. Ideas for my scripts are coming from @Jegejig1 on Stocktwits, if you want to know who to blame lol
[RS]3 Level ZigZag Semafor V0EXPERIMENTAL:
request for CharanTejaM
zigzag may be adjusted to use other methods.
zigzag repaints, use at your own discretion.
Micro ZigzagMicro zigzag is created based on similar concepts as that of zigzag but by using lower timeframe intra-bar data. The lines join candle's high/low points but also depict how the price movement within the candle happened. That is, if the high of the candle is reached first, pivot from previous candle join the high first and then low and vice versa.
The output can also be viewed as advanced line chart.
🎲 Process
🎯 For every bar identify whether high came first or low by using lower timeframe data.
🎯 If high came before low, add high as high pivot first and then low as low pivot. If otherwise, add low as lower pivot first and then high as higher pivot.
🎯 When adding pivot, check if the last pivot is in the same direction as the new one. If yes, replace existing pivot if the new one goes beyond it. Ignore otherwise.
🎯 If the last pivot is of different direction as that one new one, then simple add the new pivot.
ZigZag Plus [xdecow]A ZigZag Like based on candle close.
A lot of options that can be hide in options.
Triangle/bright - reversal confirmation candle
Circle/dark - higher/lower candle breakout
Square/light - Insidebar
ZigZag BandsThis script plots a central line and top and bottom lines, like a bands.
If the market is up and price still going up then central line follow the last closed "close" value.
If the market is up and price goes down, then central line stop change. If price still going down and cross bottom line, the direction changes and central line start to follow the close value if it is below central line.
I recommend to use Bandsize = 2 or 3 times ATR(300 or bigger)
This script is used in pair with my ZigZag Volume Accumulator,
ZigZag Chart with SupertrendHello All,
This script creates Zigzag Chart by using Zigzag waves, so it's timeless chart meaning that no time dependency on X-axis. Optionally it can calculate & show Zigzag Supertrend or Simple Moving Average. Also it can change bar colors of the main chart by trend direction of Zigzag Supertrend.
As seen below, each zigzag wave is a candle on Zigzag chart:
You have a few options and using these options you can find best settings for the securities/timeframes.
You can change Zigzag period, if you change Zigzag Period then all zigzag and the chart is recalculated/reconstructed.
You have option to show Zigzag Supertrend or Zigzag Moving Average, the options you have;
- You can change ATR Length and ATR multiplier for supertrend
- You can change Length for Simple Moving Average
You can change Zigzag candle & wick colors using options. Also you have option to change bar colors according to Zigzag Supertrend direction.
As it's timeless chart, below you can see how/when bar colors and Zigzag Supertrend change:
You can see Simple Moving Average of the Zigzag Candles:
You can play with ATR length and multiplier to find best supertrend:
You can play with the candle & wick colors:
Enjoy!
zigzag newThis is just experimenal zigzag
The zigzag % is adaptation of Ricardo santos old Zigzag %
the pivot are from pine script manual
So it try to cross them together
I think it need much work
but as i idea i put it for anypne who is interested
zigzag support&resistance levels [LM]Hello Traders,
I would like to introduce you zigzag support&resistance levels. It is based on the ZigZag semafor script made by DevLucem so shout out to him
The Semafor is used to spot future multi-level Supports and Resistance zones.
It is also useful to spot HL or LL or HH or LH zones at different Depth settings.
The red zones are the extreme places where the market has a higher chance of reversing while the green zones have the lowest setting with lower chances of the market reversal
I have refactored script and extended it with the horizontals.
The lines can be extended like so if you want to see
The lines also can expire when the price will reach it you can change this in general settings:
Also you can use view from the original script with just label circles
Enjoy!
Multi Level ZigzagAt first I thought of doing double zig zag. Once developed I thought it is not much effort to make it multi level zigzag. This script is not same as multi-zigzag indicator (link in the end). In multi zigzag indicator we use zigzag based on different length and each zigzag has no relation to each other. In this script however, each zigzags are related to each other. We cannot just derive Zigzag 4 without deriving Zigzag 3. (Though we can hide each of them individually)
The logic is simple.
Zigzag1: This is the basic zigzag plotted based on given length.
Zigzag2, Zigzag2, Zigzag3 : These are built based on lower level zigzags.
For example, Zigzag2 is built based on Zigzag1 pivots. For calculation, we just use N*2 number of Zigzag1 pivots to derive the next level. Similarly Zigzag2 will become input for Zigzag 3 and Zigzag3 will become input for Zigzag4
Input parameters allow you to chose upto 4 levels of zigzag along with zigzag line color and length. Max array lines also defines how many lines back you want to calculate the zigzag pivots and display then in the stats. Lowering this number will not reduce the number of lines - but, it will limit possibility of calculating higher level zigzags. Stats table just highlight which pivots are applicable for which outer level.
Application: Can be used in pattern recognization scripts to improve accuracy.
Disclaimer: This is not working in intraday charts. Nothing I could do at this point of time. Use it only for daily + timeframes.
Related scripts:
Recursive Micro Zigzag🎲 Overview
Zigzag is basic building block for any pattern recognition algorithm. This indicator is a research-oriented tool that combines the concepts of Micro Zigzag and Recursive Zigzag to facilitate a comprehensive analysis of price patterns. This indicator focuses on deriving zigzag on multiple levels in more efficient and enhanced manner in order to support enhanced pattern recognition.
The Recursive Micro Zigzag Indicator utilises the Micro Zigzag as the foundation and applies the Recursive Zigzag technique to derive higher-level zigzags. By integrating these techniques, this indicator enables researchers to analyse price patterns at multiple levels and gain a deeper understanding of market behaviour.
🎲 Concept:
Micro Zigzag Base : The indicator utilises the Micro Zigzag concept to capture detailed price movements within each candle. It allows for the visualisation of the sequential price action within the candle, aiding in pattern recognition at a micro level.
Basic implementation of micro zigzag can be found in this link - Micro-Zigzag
Recursive Zigzag Expansion : Building upon the Micro Zigzag base, the indicator applies the Recursive Zigzag concept to derive higher-level zigzags. Through recursive analysis of the Micro Zigzag's pivots, the indicator uncovers intricate patterns and trends that may not be evident in single-level zigzags.
Earlier implementations of recursive zigzag can be found here:
Recursive Zigzag
Recursive Zigzag - Trendoscope
And the libraries
rZigzag
ZigzagMethods
The major differences in this implementation are
Micro Zigzag Base - Earlier implementation made use of standard zigzag as base whereas this implementation uses Micro Zigzag as base
Not cap on Pivot depth - Earlier implementation was limited by the depth of level 0 zigzag. In this implementation, we are trying to build the recursive algorithm progressively so that there is no cap on the depth of level 0 zigzag. But, if we go for higher levels, there is chance of program timing out due to pine limitations.
These algorithms are useful in automatically spotting patterns on the chart including Harmonic Patterns, Chart Patterns, Elliot Waves and many more.
Recursive Zigzag [Trendoscope]Here is an another outcome of Object Oriented Zigzag and Pattern Ecosystem of Libraries.
We already have another implementation of recursive zigzag which makes use of earlier library rzigzag . Here in this example, we make use of similar logic but leverage the new type and method based Zigzag system libraries to derive the indicator.
🎲 Design Overview
Similar to Recursive Auto Pitchfork, here too the indicator code is around 50 lines. Whereas most of the heavy lifting is done by the libraries.
🎲 Base Libraries
Base libraries are those which does not have any dependency. They form basic structures which are later used in other libraries. These libraries need to be crafted carefully so that minimal updates are done later on. Any updates on these libraries will impact all the dependent libraries and scripts.
🎯 Drawing
DrawingTypes - Defines basic drawing types Point, Line, Label, Box, Linefill and related property types.
DrawingMethods - All the methods or functionality surrounding Basic types are defined here.
🎲 Layer 1 Libraries
These are the libraries which has direct dependency on base libraries.
🎯 Zigzag
ZigzagTypes - Types required for defining Zigzag and Divergence
ZigzagMethods - Methods associated with Zigzag Type definitions.
🎲Indicator
Indicator draws zigzags based on given length. And then recursively derives next level zigzags based on previous levels. As per the utility, indicator is useful in several ways
Visualising price structure based on zigzag pivots - which in turn can help visualise patterns.
Ability to add any oscillator makes it easy to spot divergences with choice of indicators.
Programmers can use the derived values to build complex algorithms such as automatic pattern recognition.
🎯 Settings
Settings are explained via tooltips. These are very much straight forward and directly related to zigzag, oscillators and divergence.
Multi ZigZagI created this as basis for my next scripts. We are just trying to plot multiple zigzags with different length basis here. Input allows you to select different Length , Width , Color and Line Style for each Zigzags.
Max_pivot_size says how many pivots each Zigzag can have. Value 100 means, each zigzag will show 99 lines joining 100 points.
Additional option ShowStatsTable allows you to print pivots in a table. Table only shows selected zigzags.
Modified QQE-ZigZag [Non Repaint During Candle Building]V V V V V V V Please Read V V V V V V V
I ask Peter and he is fine, that im published this script
Tell me if you have some ideas or criticism about that sricpt
>>>>>>>>>> This is a modified Version of Peter_O's Momentum Based ZigZag <<<<<<<<<<<
This is only a test, and i want to share it with the community
It works like other ZigZags
Because Peters_O's original Version is only non repaint on closed historical Data ,
during a Candle building process it can still repaint (signal appears / 21 seconds later signal disapears / 42 seconds later signal appears again in the same candle / etc.),
but that isnt important for backtesting, its only important for realtime PivotPoints during a candle.
My goal for this zigzag was to make it absolute non repaint neither during a candle building process (current candle),
so once the signal is shown there is no chance that it disapers and shown a few seconds later again on that same candle, it can only show up one time per candle an thats it,
and that makes it absolute non repaint in all time frames.
Credits to:
==> Thanks to @glaz , for bringing the QQE to Tradingview <3
==> Thanks to @Peter_O , for sharing his idea to use the QQE as base for a Zigzag
and for sharing his MTF RSI with the Community <3
Changes:
- I changed the MTF RSI a little bit, you can choose between two version
- I changed the QQE a little bit, its now using the MTF RSI , and its using High and Low values as Source to make it absolute non repaint during a candle is building
- I added a little Divergence Calculation beween price and the MTF RSI that is used for the ZigZag
Colors :
- Green for HH / HL Continuation
- Red for LL / LH Continuation
- Yellow for Positive Divergence
- Purple for Negative Divergence
Important:
It is not possible to backtest this script correctly with historical Data, its only possible in Realtime,
because the QQE is using crossunders with RSILowSource and the QQE Line to find the Tops and,
because the QQE is using crossovers with RSIHighSource and the QQE Line to find the Bottoms,
and that means it is not possible to find the correct Time/Moment when that crossovers / crossunders happens in historical Data
=============> So please be sure you understand the Calculation and Backtest it in Realtime when you want to use it,
because i didn't published this script for real trading
=============> Im not a financial advisor and youre using this script at your own risk
=============> Please do your own research
Multi-Timeframe Recursive Zigzag [Trendoscope®]🎲 Welcome to the Advanced World of Zigzag Analysis
Embark on a journey through the most comprehensive and feature-rich Zigzag implementation you’ll ever encounter. Our Multi-Timeframe Recursive Zigzag Indicator is not just another tool; it's a groundbreaking advancement in technical analysis.
🎯 Key Features
Multi Time-Frame Support - One of the rare open-source Zigzag indicators with robust multi-timeframe capabilities, this feature sets our tool apart, enabling a broader and more dynamic market analysis.
Innovative Recursive Zigzag Algorithm - At its core is our unique Recursive Zigzag Algorithm, a pioneering development that powers multiple Zigzag levels, offering an intricate view of market movements. This proprietary algorithm is the backbone of our advanced pattern recognition indicators.
Sub-Waves and Micro-Waves Analysis - Dive deeper into market trends with our Sub-Waves and Micro-Waves feature. Sub-Waves reveal the interconnectedness of various Zigzag levels, while Micro-Waves offer insight into the fundamental waves at the base level.
Enhanced Indicator Tracking - Integrate and track your custom indicators or oscillators with the zigzag, capturing their values at each Zigzag level, complete with retracement ratios. This offers a comprehensive view of market dynamics.
Curved Zigzag Visualization - Experience a new way of visualizing market movements with our Curved Zigzag Display, employing Pine Script’s polyline feature for a more intuitive and visually appealing representation.
Built-in Customizable Alerts - Stay ahead with built-in alerts that can be customized via user input settings.
🎯 Practical Applications
Our Zigzag Indicator is designed with an understanding of its inherent nature - the last unconfirmed pivot that consistently repaints. This characteristic, while by design, directs its usage more towards pattern recognition rather than direct identification of market tops and bottoms. Here's how you can leverage the Zigzag Indicator:
Harmonic Patterns - Ideal for those familiar with harmonic patterns, this tool simplifies the manual spotting of complex XABCD, ABC, and ABCD patterns on charts.
Chart Patterns - Effortlessly identify patterns like Double/Triple Taps, Head and Shoulders, Inverse Head and Shoulders, and Cup and Handle patterns with enhanced clarity. Navigate through challenging patterns such as Triangles, Wedges, Flags, and Price Channels, where the Zigzag Indicator adds a layer of precision to your breakout strategy.
Elliott Wave Components - The indicator's detailed pivot highlighting aids in identifying key Elliott Wave components, enhancing your wave analysis and decision-making process.
🎲 Deep Dive into Indicator Features
Join us as we explore the intricate features of our indicator in more detail.
🎯 Multi-Timeframe Capability
Our indicator comes equipped with an input option for selecting the desired resolution. This unique feature allows users to view higher timeframe Zigzag patterns directly on their lower timeframe charts.
🎯 Recursive Multi Level Zigzag
Our advanced recursive approach creates multi-level Zigzags from lower-level data. For instance, the level 0 Zigzag forms the base, calculated from specified length and depth parameters, while level 1 Zigzag is derived using level 0 as its foundation, and so forth.
The indicator not only displays multiple Zigzag levels but also offers settings to emphasize specific levels for more detailed analysis.
🎯 Sub-Components and Micro-Components of Zigzag Wave
Sub-components within a Zigzag wave consist of the previous level's Zigzag pivots. Meanwhile, the micro-components are composed of the base level (Level 0) Zigzag pivots encapsulated within the wave.
🎯 Curved Zigzag
Experience a new perspective with our curved Zigzag display. This innovative feature utilizes the polyline curved option to automatically generate sinusoidal waves based on multiple points.
🎯 Indicator Tracking
Default indicators such as RSI, MFI, and OBV are included, alongside the ability to track one external indicator at each Zigzag pivot.
🎯 Customizable Alerts
Our indicator employs the `alert()` function for alert creation. While this means the absence of a customization text box in the alert settings, we've included a custom text area for users to create their own alert templates.
Template placeholders include:
{alertType} - type of alert. Either Confirmed Pivot Update or Last Pivot Update. Depends on the alert type selected in the inputs.
When Last Pivot Update type is selected, the alerts are triggered whenever there is a new Zigzag Pivot. This may also be a repaint of last unconfirmed pivot.
When Confirmed Pivot Update type is selected, the alerts are triggered only when a pivot becomes a confirmed pivot.
{level} - Zigzag level on which the alert is triggered.
{pivot} - Details of the last pivot or confirmed pivot including price, ratio, indicator values and ratios, subcomponent and micro-component pivots.
🎲 User Settings Overview
🎯 Zigzag and Generic Settings
This involves some generic zigzag calculation settings such as length, depth, and timeframe. And few display options such as theme, Highlight Level and Curved Zigzag. By default, zigzag calculation is done based on the latest real time bar. An option is provided to disable this and use only confirmed bars for the calculation.
Indicator Settings
Allows users to track one or more oscillators or volume indicators. Option to add any indicator via external input is provided.
🎯 Alert Settings
Has input fields required to select and customize alerts.
3 Zigzag for MTF Fib Alert [MsF]Japanese below / 日本語説明は英文の後にあります。
-------------------------
This indicator that automatically displays Fibonacci from each High & Low based on 3 Zigzags. It's useful for multi-timeframe analysis.
For example, Fibonacci calculated from the high and low prices (Zigzag 3 Period=100) of the upper timeframe can be displayed on the lower timeframe.
Also, you can set alerts for each Fibonacci point. It is useful when you are waiting for the price to return to the discount (50% or less) or the premium (50% or more) of the upper timeframe.
"Fib 1 - Crossing 0.00" … Trigger an alert when crossing the 0% line in Fibonacci of Zigzag1
"Fib 1 - Crossing 100.0" … Trigger an alert when crossing the 100% line in Fibonacci of Zigzag1
"Fib 1 - Crossing 23.6" … Trigger an alert when crossing the 23.6% line in Fibonacci of Zigzag1
"Fib 1 - Crossing 38.2" … Trigger an alert when crossing the 38.2% line in Fibonacci of Zigzag1
"Fib 1 - Crossing 50.0" … Trigger an alert when crossing the 50.0% line in Fibonacci of Zigzag1
"Fib 1 - Crossing 61.8" … Trigger an alert when crossing the 61.8% line in Fibonacci of Zigzag1
"Fib 1 - Crossing 76.4" … Trigger an alert when crossing the 76.4% line in Fibonacci of Zigzag1
*Same as Zigzag 1 and Zigzag 2 too.
"Choose Zig Zag Leg for fib" parameter means...
Latest : Calculate Fibonacci based on "the most recent Zigzag line".
Previous : Calculate Fibonacci based on "the previous Zigzag line".
-------------------------
3つのZigzagを元に各High＆Lowからフィボナッチを自動で表示するインジケーターです。
Zigzagの期間を工夫することで、マルチタイムフレーム分析に役立ちます。
例えば、以下の設定とした場合：
Zigzag 1 Period … 8
Zigzag 2 Period … 25
Zigzag 3 Period … 100
上位時間足Zigzag（Period=100）の高値安値から形成されるフィボナッチを下位時間足に表示することができるのです。
また、このインジケーターではフィボナッチのポイント毎にアラートの設定が可能です。
上位時間足の割安価格（50％以下）や割高価格（50％以上）に価格が戻ってくるのを待っている時などに力を発揮してくれます。
"Fib 1 - Crossing 0.00" … Zigzag1のフィボナッチにおいて、0%ラインとクロスした場合にアラートを発報します
"Fib 1 - Crossing 100.0" … Zigzag1のフィボナッチにおいて、100%ラインとクロスした場合にアラートを発報します
"Fib 1 - Crossing 23.6" … Zigzag1のフィボナッチにおいて、23.6%ラインとクロスした場合にアラートを発報します
"Fib 1 - Crossing 38.2" … Zigzag1のフィボナッチにおいて、38.2%ラインとクロスした場合にアラートを発報します
"Fib 1 - Crossing 50.0" … Zigzag1のフィボナッチにおいて、50.0%ラインとクロスした場合にアラートを発報します
"Fib 1 - Crossing 61.8" … Zigzag1のフィボナッチにおいて、61.8%ラインとクロスした場合にアラートを発報します
"Fib 1 - Crossing 76.4" … Zigzag1のフィボナッチにおいて、76.4%ラインとクロスした場合にアラートを発報します
※Zigzag1およびZigzag2のフィボナッチも同様
"Choose Zig Zag Leg for fib"パラメータについて：
Latest … 一番新しいZigzagのライン（UpまたはDown）を元にフィボナッチを計算します。
Previous … ひとつ前のZigzagのライン（UpまたはDown）を元にフィボナッチを計算します。
Band-Zigzag - TrendFollower Strategy [Trendoscope]Strategy Time!!!
Have built this on my earlier published indicator Band-Zigzag-Trend-Follower . This is just one possible implementation of strategy on Band-Based-Zigzag .
🎲 Notes
Experimental prototype. Not financial advise and strategy not guaranteed to make money despite backtest results
Not created or tested for any specific instrument or timeframe
Test and adopt with own risk
🎲 Strategy
This is trend following strategy built based on Bands and Zigzag. Traits of trend following strategies are
Lower win rate (Yes, thats right)
High risk reward (Compensates low win rate)
Higher drawdown
If market is choppy, trend following methods suffer.
The script implements few points to overcome the negatives such as lower win rate and higher drawdown by actively assessing pivots on the direction of trend along. This helps us take regular profits and exit on time during the end of trend. Most of the other concepts are defined and explained in indicator - Band-Zigzag-Trend-Follower and Band-Based-Zigzag
Defining a trend following method is simple. Basic rule of trend following is Buy High and Sell Low (Yes, you heard it right). To explain further - methodology involve finding an established trend which is flying high and join the trend with proper risk and optimal stop. Once you get into the trade, you will not exit unless there is change in the trend. Or in other words, the parameters which you used to define trend has reversed and the trend is not valid anymore.
🎯 Using bands
When price breaks out of upper bands (example, Bollinger Band , Keltener Channel, or Donchian Channel), with a pre determined length and multiplier, we can consider the trend to be bullish and similarly when price breaks down the lower band, we can consider the trend to be bearish .
🎯 Using Pivots
Simple logic using zigzag or pivot points is that when price starts making higher highs and higher lows, we can consider this as uptrend. And when price starts making lower highs and lower lows, we can consider this as downtrend. There are few supertrend implementations I have published in the past based on zigzags and pivot points .
Drawbacks of both of these methods is that there will be too many fluctuations in both cases unless we increase the reference length. And if we increase the reference length, we will have higher drawdown.
🎯 Band Based Zigzag Method
Here we use bands to define our pivot high and pivot low - this makes sure that we are identifying trend only on breakouts as pivots are only formed on breakouts
Our method also includes pivot ratio to cross over 1.0 to be able to consider it as trend. This means, we are waiting for price also to make new high high or lower low before making the decision on trend. But, this helps us ignore smaller pivot movements due to the usage of bands.
I have also implemented few tricks such as sticky bands (Bands will not contract unless there is breakout) and Adaptive Bands (Band will not expand unless price is moving in the direction of band). This makes the trend following method very robust.
To avoid fakeouts, we also use percentB of high/low in comparison with price retracement to define breakout.
🎲 Settings
Settings are fairly simpler and are explained as below. You will find most of the required information in tooltips.
Multi-ZigZag Multi-Oscillator Trend DetectorThis table is intended to give you snapshot of how price and oscillators are moving along with zigzag pivots.
This is done in the same lines of Zigzag-Trend-Divergence-Detector
But, here are the differences
Table shows multiple oscillator movements at a same time instead of one selected oscillator
Divergence is not calculated and also supertrend based trend. Trend can be calculated based on zigzag movements. However, lets keep this for future enhancements.
This system also uses multiple zigzags instead of just one.
⬜ Process
▶ Derive multiple zigzags - Code is taken from Multi-ZigZag
▶ Along with zigzags - also calculate different oscillators and attach it to zigzag pivot.
▶ Calculate directions of zigzag pivots and corresponding oscillators.
▶ Plot everything in the table on last bar.
⬜ Table components
Table contains following data:
Directional legends are:
⇈ - Higher High (Green)
⇊ - Lower Low (Red)
⭡- Lower High (Orange)
⭣ - Higher Low (Lime)
⬜ Input Parameters
▶ Source : Default is close. If Unchecked - uses high/low data for calculating pivots. Can also use external input such as OBV
▶ Stats : Gives option to select the depth of output (History) and also lets you chose text size and table position.
▶ Oscillators : Oscillator length is derived by multiplying multiplier to zigzag length. For example, for zigzag 5, with 4 as multiplier, all oscillators are calculated with length 20. But, same for zigzag 8 will be 32 and so on.
▶ Available oscillators :
CCI - Commodity Channel Index
CMO - Chande Momentum Oscillator
COG - Center Of Gravity
MFI - Money Flow Index (Shows only if volume is present)
MOM - Momentum oscillator
ROC - Rate Of Change
RSI - Relative Strength Index
TSI - Total Strength Index
WPR - William Percent R
BB - Bollinger Percent B
KC - Keltner Channel Percent K
DC - Donchian Channel Percent D
ADC - Adoptive Donchian Channel Percent D ( Adoptive-Donchian-Channel )
⬜ Challenges
There are 12 oscillators and each zigzag has different length. Which means, there are 48 combinations of the ocillators.
First challenge was generating these values without creating lots of static initialization. Also, note, if the functions are not called on each bar, then they will not yield correct result. This is achieved through initializer function which runs on every bar and stores the oscillator values in an array which emulates multi dimensional array oscillator X zigzag length.
Next challenge was getting these values within function when we need it. While doing so I realized that values stored in array also have historical series and calling array.get will actully get you the entire series and not just the value. This is an important takeaway for me and this can be used for further complex implementations.
Thanks to @LonesomeTheBlue and @LucF for some timely suggestions and interesting technical discussions :)
Multi ZigZag EW - ImpulseSimilar to the previous script on Elliot Wave Impulse:
But, here we are trying to use multiple zigzags instead of just one.
You can select upto 4 different Zigzags and set different length, line color, line width and style for each. Parameters ShowZigZag , ZigZag Length, ZigZag Color, ZigZag Width, ZigZag Style can be used for adjusting these.
ErrorPercent lets you set error threshold calculation of ratios for pattern identification
EntryPercent is used for marking Entry and T.Stop (Tight Stoploss) based on the length of Wave 2.
Target of the script is same as before. We are trying to identify Wave 1 and 2 of Elliot Impulese Wave and then project Wave 3. Chances of price following the pattern are there. Hence, we set Stoploss based on levels which fails the pattern.
Ratios are taken from below link: elliottwave-forecast.com - Section 3.1 Impulse
Wave 2 is 50%, 61.8%, 76.4%, or 85.4% of wave 1 - used for identifying the pattern.
Wave 3 is 161.8%, 200%, 261.8%, or 323.6% of wave 1-2 - used for setting the targets
Since we use multiple zigzags, labels can be quite messy at times. In such scenarios, just disable one of the zigzag length causing label overlaps.
