Welcome to NexusFi: the best trading community on the planet, with over 200,000 members Sign Up Now for Free
Genuine reviews from real traders, not fake reviews from stealth vendors
Quality education from leading professional traders
We are a friendly, helpful, and positive community
We do not tolerate rude behavior, trolling, or vendors advertising in posts
We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community. It's free for basic access, or support us by becoming an Elite Member -- discounts are available after registering.
-- Big Mike, Site Administrator
(If you already have an account, login at the top of the page)
Does anyone use a reversal Indicator that they like and would recommend to someone? I would like to purchase one or have one coded by someone in the community. Thanks
It will show reversals, pull backs, and the strength of a market. It is all I use. Clean charts. It's free.
Look at whatever you consider to be a reversal, and see how the 14 CCI displays it.
There are other similiar indicators out there that will do the same thing. Paying attention to price helps alot also. Good luck finding a magic reversal indicator.
Don't want to start a debate with you but i know a few people that are in the algo tradingcircle who use worthless indicators as you say but are profitable. How's that?
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals, U308 and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,241 since Dec 2013
Thanks Given: 4,584
Thanks Received: 10,523
I wasn't familiar with CCI and after this decided to investigate. In situations like this I like to see how the indicator reacts to certain things. I normally test against, made up theoretical prices comprising of things like significant trends, market chop, price shocks, and things like sine waves. In the case of this indicator, the denominator of the calculation, aka the median deviation, can have a significant impact on the indicator, and often not in a good way. Take for example a sine wave. As long as the cycle period is less than the CCI length everything is okay, but once the cycle length is longer you get some interesting results. Below is a plot of Price = Sine(t*PI/25) with a 20 period CCI of that price.
Divergences on oscillators as well as overbought oversold, don't work as they last forever, move on oscillator should correspond to move in price and volume...and then it may or may not continue
I have another question as part of custom reversal indicator, how to program in thinkscript "setup condition"-meaning that based on set of conditions high or low would be designated a support/resistance and then I guess by using a lookback period mark breakout if close[0] >< s/r? So say 10 days ago setup condition was true and price was in tight range after and today close>high[10]? So every close must be compared to setup values. I am sure somebody already done this, please point to example. Thank you
Trading: Primarily Energy but also a little Equities, Fixed Income, Metals, U308 and Crypto.
Frequency: Many times daily
Duration: Never
Posts: 5,241 since Dec 2013
Thanks Given: 4,584
Thanks Received: 10,523
Not sure if this was addressed to my post or not, but in my example the indicator seems to react before the price (sine wave) is even 50% through its move, so not sure where the divergence would be.
