OPEN-SOURCE SCRIPT
Safer Reversal: CHoCH & Div 1st BoS Entry & Exits & Pro Features
Professional traders (in ICT/SMC frameworks) often exit reversal trades using these logic layers for better risk control and to avoid holding into reversals:
Opposing CHoCH → Strongest exit/reversal warning: If you’re in a bullish trade and a bearish CHoCH forms (breaks structure against your direction), it’s time to exit fully or scale out aggressively. This signals the new trend might be over or reversing.
Failed BoS / Lack of Continuation → If no new BoS occurs for many bars after entry (e.g., 10–20 bars, adjustable), momentum is fading → partial or full exit.
Target Zones → Common exits at next major POI: e.g., opposite-side liquidity (equal highs/lows), recent swing extremes, or a fixed RR (like 1:2 or 1:3 from entry).
Trailing via Swings → After each new BoS in your direction, trail stop to the recent swing low/high (or below last BoS level) for letting winners run.
Other Pro Touches:
Volume filter on entry BoS (require above-average volume for confirmation).
RSI extreme check (e.g., exit if RSI hits overbought/oversold in your trade direction after entry).
Alerts for exits (“EXIT BUY - Opposing CHoCH” etc.).
Opposing CHoCH → Strongest exit/reversal warning: If you’re in a bullish trade and a bearish CHoCH forms (breaks structure against your direction), it’s time to exit fully or scale out aggressively. This signals the new trend might be over or reversing.
Failed BoS / Lack of Continuation → If no new BoS occurs for many bars after entry (e.g., 10–20 bars, adjustable), momentum is fading → partial or full exit.
Target Zones → Common exits at next major POI: e.g., opposite-side liquidity (equal highs/lows), recent swing extremes, or a fixed RR (like 1:2 or 1:3 from entry).
Trailing via Swings → After each new BoS in your direction, trail stop to the recent swing low/high (or below last BoS level) for letting winners run.
Other Pro Touches:
Volume filter on entry BoS (require above-average volume for confirmation).
RSI extreme check (e.g., exit if RSI hits overbought/oversold in your trade direction after entry).
Alerts for exits (“EXIT BUY - Opposing CHoCH” etc.).
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.
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.