OPEN-SOURCE SCRIPT
Updated Daily max Close High/Low Montly
This indicator highlights the current month's highest and lowest closing prices, also tracking historical monthly reference levels to provide additional market context.
It is designed to help traders identify key levels based on closing prices that can serve as areas of interest for price interaction and decision making.
Concept and Purpose
The script focuses on extreme closing prices, offering an alternative perspective to traditional high/low indicators based on wicks.
Closing prices can represent areas of accepted value, making them useful as reference points in analyzing price behavior.
This approach aligns with a broader concept used by many traders: focusing on key price levels derived from previous sessions, rather than relying on complex indicators.
Central Idea (Context from Reference Strategy)
A simplified trading framework often revolves around the previous session's levels, such as:
HCOM → Daily Close High of the Current Month
LCOM → Daily Close Low of the Current Month
PHCOM / PLCOM → Historical Levels
These levels are widely watched because they represent areas of concentrated liquidity and market participation.
Price interactions around these levels typically result in one of two general behaviors:
Continuation → the price breaks a level and continues its move
Reversal → the price fails to hold the level and re-enters the range
This indicator complements this type of analysis by providing monthly closing extremes, which can serve as reference points on longer time frames.
How it works
Current Month Levels
Tracks the highest close (HCOM) and lowest close (LCOM) of the current month
Updates dynamically
Extends levels forward on the chart
Monthly Historical Levels
Displays closing extremes from previous months:
PHCOM (Previous Month's Closing High)
PLCOM (Previous Month's Closing Low)
The number of months is user-defined
Monthly Separators
Optional vertical lines indicate the start of each month
Labels
Clear labels displayed on the right side of the chart:
HCOM, LCOM, PHCOM, PLCOM
How to Use
Use monthly closing extremes as reference levels for higher timeframes
Observe how the price reacts when approaching these levels
Combine them with your own framework (e.g., structural, liquidity, or session-based analysis)
Example Approach:
Wait for the price to reach a key level
Evaluate whether Price exhibits continuation or rejection behavior
Use a separate execution template on lower timeframes, if necessary
This tool is intended to support structured analysis, not to provide direct trading signals.
Trading Perspective (Important Insight)
Many traders focus on adding complexity (more indicators, more signals), while effective approaches often rely on:
Clear Levels
Defined Rules
Consistent Execution
Simplifying analysis can help reduce noise and improve consistency in decision-making.
However, having a strategy alone is not enough. Execution, discipline, and risk management play a significant role in trading results.
Reference Video: https://www.youtube.com/watch?v=SfMFgqaYsLM
Limitations
This indicator does not generate buy or sell signals.
It does not guarantee performance or accuracy.
Close-based levels may not capture all intraday volatility.
Interpretation depends on the trader's approach.
It is designed to help traders identify key levels based on closing prices that can serve as areas of interest for price interaction and decision making.
Concept and Purpose
The script focuses on extreme closing prices, offering an alternative perspective to traditional high/low indicators based on wicks.
Closing prices can represent areas of accepted value, making them useful as reference points in analyzing price behavior.
This approach aligns with a broader concept used by many traders: focusing on key price levels derived from previous sessions, rather than relying on complex indicators.
Central Idea (Context from Reference Strategy)
A simplified trading framework often revolves around the previous session's levels, such as:
HCOM → Daily Close High of the Current Month
LCOM → Daily Close Low of the Current Month
PHCOM / PLCOM → Historical Levels
These levels are widely watched because they represent areas of concentrated liquidity and market participation.
Price interactions around these levels typically result in one of two general behaviors:
Continuation → the price breaks a level and continues its move
Reversal → the price fails to hold the level and re-enters the range
This indicator complements this type of analysis by providing monthly closing extremes, which can serve as reference points on longer time frames.
How it works
Current Month Levels
Tracks the highest close (HCOM) and lowest close (LCOM) of the current month
Updates dynamically
Extends levels forward on the chart
Monthly Historical Levels
Displays closing extremes from previous months:
PHCOM (Previous Month's Closing High)
PLCOM (Previous Month's Closing Low)
The number of months is user-defined
Monthly Separators
Optional vertical lines indicate the start of each month
Labels
Clear labels displayed on the right side of the chart:
HCOM, LCOM, PHCOM, PLCOM
How to Use
Use monthly closing extremes as reference levels for higher timeframes
Observe how the price reacts when approaching these levels
Combine them with your own framework (e.g., structural, liquidity, or session-based analysis)
Example Approach:
Wait for the price to reach a key level
Evaluate whether Price exhibits continuation or rejection behavior
Use a separate execution template on lower timeframes, if necessary
This tool is intended to support structured analysis, not to provide direct trading signals.
Trading Perspective (Important Insight)
Many traders focus on adding complexity (more indicators, more signals), while effective approaches often rely on:
Clear Levels
Defined Rules
Consistent Execution
Simplifying analysis can help reduce noise and improve consistency in decision-making.
However, having a strategy alone is not enough. Execution, discipline, and risk management play a significant role in trading results.
Reference Video: https://www.youtube.com/watch?v=SfMFgqaYsLM
Limitations
This indicator does not generate buy or sell signals.
It does not guarantee performance or accuracy.
Close-based levels may not capture all intraday volatility.
Interpretation depends on the trader's approach.
Release Notes
- FixRelease Notes
- Fixed Daily CloseRelease Notes
- Fixed candleRelease Notes
- Fixed BugOpen-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.