I'm learning how to use the pine editor to create scripts and am looking for comment on this one I've put together.
It draws a blue down arrow on the chart when a bar closes below the tight +-2% band (and the previous bar close was above).
It draws a blue UP arrow on the chart when a bar closes ABOVE the tight band (and the previous bar close was below).
The idea is to enter in the direction of the arrow on the next 2 bars. Usually the price retraces before taking off in the direction of the arrow so I'm looking for rules to patiently enter. The 3 centre lines look like good candidates for 3 entry levels.
If the market move is explosive like recently on the 14th then price doesn't retrace in the next 2 bars but you will see that right now the price has reentered the buy zone and the trend is bullish (Wide bands turn green when sloping up). Is the market retracing now simply because the first move was too quick for people to catch this train? Comments welcome.
It draws a blue down arrow on the chart when a bar closes below the tight +-2% band (and the previous bar close was above).
It draws a blue UP arrow on the chart when a bar closes ABOVE the tight band (and the previous bar close was below).
The idea is to enter in the direction of the arrow on the next 2 bars. Usually the price retraces before taking off in the direction of the arrow so I'm looking for rules to patiently enter. The 3 centre lines look like good candidates for 3 entry levels.
If the market move is explosive like recently on the 14th then price doesn't retrace in the next 2 bars but you will see that right now the price has reentered the buy zone and the trend is bullish (Wide bands turn green when sloping up). Is the market retracing now simply because the first move was too quick for people to catch this train? Comments welcome.
Kommentera:
On the weekly chart trading the breakout looks like it will keep you out of more losing trades.
Kommentera:
These channels on the weekly are +-40% and +-5%. To be exact the lowest line is 60% of the centre line (100%-40%=60%) and the top line is 100/60 (= +66%) of the centre line. The chart is log.