OPEN-SOURCE SCRIPT
Nico Trend Change Indicator + 2 TP Targets
The Trend Change Indicator (TCI) is a trend-following momentum tool designed to identify clear trade entries and exits based on the relationship between two moving averages and volatility-adjusted margins.
Here is a breakdown of how the indicator works and how to interpret its components:
1. The Core Ribbon (Momentum & Trend)
The heart of the indicator is the "Ribbon," formed by a Fast and a Slow-moving average.
Green Ribbon (Bullish): This occurs when the Fast length is significantly above the Slow length, indicating strong upward momentum. This serves as your Long Entry signal.
Red Ribbon (Bearish): This occurs when the Fast length is significantly below the Slow length, indicating strong downward momentum. This serves as your Put / Short Entry signal.
White Ribbon (Neutral/Chop): When the difference between the two averages is smaller than the volatility-based margin (determined by the ATR), the ribbon turns white. This is a No Trade Zone or a Take Profit (TP) Zone.
2. Volatility Filtering (ATR Margin)
Unlike a standard moving average crossover, the TCI uses an ATR (Average True Range) Margin.
The trend only changes to Bullish or Bearish if the gap between the Fast and Slow lines is larger than a specific percentage of the market's current volatility.
This helps filter out "fakeouts" or "noise" during sideways markets where moving averages might cross frequently without a real trend starting.
3. Support/Resistance & Forecast Dots
SMA Line: The thick white line is a long-term Simple Moving Average (defaulting to 140 periods). It acts as the primary "baseline." If the price is above this line, the overall bias is bullish; below it, the bias is bearish.
Forecast Dots: The white dots appearing ahead of the price are SMA Forecasts. They project where the SMA will likely be in the future based on current price action, helping you visualize potential dynamic support or resistance levels before the price reaches them.
4. Higher Timeframe (HTF) Analysis
The indicator includes a built-in "Security" function that looks at a higher timeframe (like the 4H or 12H) regardless of what chart you are currently viewing.
The dashboard table uses this to show you if the "Big Trend" (HTF) matches the "Current Trend" (Chart TF).
Trading in the direction of both timeframes (e.g., both are Green) typically increases the probability of a successful trade.
Summary of Trade Signals
Here is a breakdown of how the indicator works and how to interpret its components:
1. The Core Ribbon (Momentum & Trend)
The heart of the indicator is the "Ribbon," formed by a Fast and a Slow-moving average.
Green Ribbon (Bullish): This occurs when the Fast length is significantly above the Slow length, indicating strong upward momentum. This serves as your Long Entry signal.
Red Ribbon (Bearish): This occurs when the Fast length is significantly below the Slow length, indicating strong downward momentum. This serves as your Put / Short Entry signal.
White Ribbon (Neutral/Chop): When the difference between the two averages is smaller than the volatility-based margin (determined by the ATR), the ribbon turns white. This is a No Trade Zone or a Take Profit (TP) Zone.
2. Volatility Filtering (ATR Margin)
Unlike a standard moving average crossover, the TCI uses an ATR (Average True Range) Margin.
The trend only changes to Bullish or Bearish if the gap between the Fast and Slow lines is larger than a specific percentage of the market's current volatility.
This helps filter out "fakeouts" or "noise" during sideways markets where moving averages might cross frequently without a real trend starting.
3. Support/Resistance & Forecast Dots
SMA Line: The thick white line is a long-term Simple Moving Average (defaulting to 140 periods). It acts as the primary "baseline." If the price is above this line, the overall bias is bullish; below it, the bias is bearish.
Forecast Dots: The white dots appearing ahead of the price are SMA Forecasts. They project where the SMA will likely be in the future based on current price action, helping you visualize potential dynamic support or resistance levels before the price reaches them.
4. Higher Timeframe (HTF) Analysis
The indicator includes a built-in "Security" function that looks at a higher timeframe (like the 4H or 12H) regardless of what chart you are currently viewing.
The dashboard table uses this to show you if the "Big Trend" (HTF) matches the "Current Trend" (Chart TF).
Trading in the direction of both timeframes (e.g., both are Green) typically increases the probability of a successful trade.
Summary of Trade Signals
오픈 소스 스크립트
트레이딩뷰의 진정한 정신에 따라, 이 스크립트의 작성자는 이를 오픈소스로 공개하여 트레이더들이 기능을 검토하고 검증할 수 있도록 했습니다. 작성자에게 찬사를 보냅니다! 이 코드는 무료로 사용할 수 있지만, 코드를 재게시하는 경우 하우스 룰이 적용된다는 점을 기억하세요.
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.
오픈 소스 스크립트
트레이딩뷰의 진정한 정신에 따라, 이 스크립트의 작성자는 이를 오픈소스로 공개하여 트레이더들이 기능을 검토하고 검증할 수 있도록 했습니다. 작성자에게 찬사를 보냅니다! 이 코드는 무료로 사용할 수 있지만, 코드를 재게시하는 경우 하우스 룰이 적용된다는 점을 기억하세요.
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.