Confluence Candles
This indicator looks for confluence among three indicators (RSI, Stochastic, and MACD), a strategy popularized by Markus Heitkoetter in his book, “The PowerX Strategy: How to Trade Stocks and Options in Only 15 Minutes a Day”, and expands it to look for agreement on up to four symbols.
Each indicator is configurable in the settings, as well as the ability to choose which of the indicators are used.
Default Logic
Green Candles
RSI > 50
Stochastic > 50
MACD Histogram > 0
Red Candles
RSI < 50
Stochastic < 50
MACD Histogram < 0
When multiple symbols are selected, the above needs to be true for all selected symbols.
Example Use Cases
- Setting the indicator to the Nasdaq 100 (QQQ or NQ1!) while trading a stock that is part of that index such as AAPL or TSLA
- Setting the indicator to multiple indexes that tend to move together in order to trade one of them since they tend to make stronger moves when moving together (ex. SPY & QQQ, or ES1! & NQ1!)
- Setting the indicator to Bitcoin while trading a smaller crypto pair that moves as a sympathy play.
Tip
If you have trouble finding the full name for a specific instrument from an exchange such as BTCUSD from Coinbase, you can bring up TradingView’s “Symbol Search” pop-up modal, enter your search term, use the down arrow key on your keyboard to move the focus to the symbol you want, and you will see the full name in the search field such as “COINBASE:BTCUSD”.
Each indicator is configurable in the settings, as well as the ability to choose which of the indicators are used.
Default Logic
Green Candles
RSI > 50
Stochastic > 50
MACD Histogram > 0
Red Candles
RSI < 50
Stochastic < 50
MACD Histogram < 0
When multiple symbols are selected, the above needs to be true for all selected symbols.
Example Use Cases
- Setting the indicator to the Nasdaq 100 (QQQ or NQ1!) while trading a stock that is part of that index such as AAPL or TSLA
- Setting the indicator to multiple indexes that tend to move together in order to trade one of them since they tend to make stronger moves when moving together (ex. SPY & QQQ, or ES1! & NQ1!)
- Setting the indicator to Bitcoin while trading a smaller crypto pair that moves as a sympathy play.
Tip
If you have trouble finding the full name for a specific instrument from an exchange such as BTCUSD from Coinbase, you can bring up TradingView’s “Symbol Search” pop-up modal, enter your search term, use the down arrow key on your keyboard to move the focus to the symbol you want, and you will see the full name in the search field such as “COINBASE:BTCUSD”.
Versionsinformation:
Added alerts for when the candle color changes. In the script settings you can select which colors will trigger alerts. To enable the alerts open the "Add Alert" dialog and select "Any alert() function call".
