Grok/Claude Quantum Signal Pro V2 * Grok/Clause X Series

📊 Quantum Signal Pro+ Enhanced - Complete Guide
🎯 What This Script Does
This is an advanced momentum reversal trading system that combines multiple technical filters to identify high-probability buy and sell signals. It's designed to catch market reversals at extreme oversold/overbought levels while avoiding choppy, low-conviction trades.

🔍 Buy/Sell Signal Logic
BUY SIGNAL (Long Entry)
A BUY signal triggers when ALL core conditions are met:
Core Requirements (Always Required):

ADX Trending - Market must be trending (ADX > 20 by default)
RSI Oversold - RSI below 30 (extreme selling)
Fisher Oversold - Fisher Transform below -2.0 (momentum exhaustion)

Optional Filters (Can be toggled ON/OFF):

EMA Trend Alignment - Price must be above 50 EMA (uptrend confirmation)
Volume Surge - Volume must be 1.5x above average (strong participation)
Divergence Confirmation - Regular or Hidden bullish divergence detected

Signal Philosophy: Wait for extreme oversold conditions in a trending market, then enter when momentum exhausts.

SELL SIGNAL (Short Entry)
A SELL signal triggers when ALL core conditions are met:
Core Requirements (Always Required):

ADX Trending - Market must be trending (ADX > 20)
RSI Overbought - RSI above 70 (extreme buying)
Fisher Overbought - Fisher Transform above 2.0 (momentum exhaustion)

Optional Filters (Can be toggled ON/OFF):

EMA Trend Alignment - Price must be below 50 EMA (downtrend confirmation)
Volume Surge - Volume must be 1.5x above average
Divergence Confirmation - Regular or Hidden bearish divergence detected

Signal Philosophy: Wait for extreme overbought conditions in a trending market, then enter when momentum exhausts.

🛠️ Key Settings Explained
Dynamic Bands Settings

Basis Type: EMA (faster) or SMA (smoother)
Basis Length: 20 (default) - The midline
ATR Period: 14 - Volatility measurement window
ATR Multiplier: 2.5 - Band width (higher = wider bands)
Adaptive Band Width: ON - Bands widen in trending markets (ADX-based)

💡 Tip: Keep ATR multiplier at 2.5-3.0 for most markets. Lower values (1.5-2.0) for ranging markets.

Signal Filters (The Brain)
Fisher Transform

Period: 10 bars
Overbought: +2.0
Oversold: -2.0
More sensitive than RSI, catches momentum shifts faster

RSI (Relative Strength Index)

Period: 14 bars
Oversold: 30
Overbought: 70
Classic momentum indicator

ADX (Trend Strength)

Length: 14
Threshold: 20
Purpose: Filters out choppy/ranging markets
ADX < 20 = Ranging (no signals)
ADX > 20 = Trending (signals allowed)

💡 Critical Tip: ADX is your signal quality filter. Raise threshold to 25-30 for cleaner signals in volatile markets.
EMA Trend Filter (Optional - OFF by default)

Period: 50 bars
When ON: Only buys above EMA, only sells below EMA
Use case: Strong trending markets

💡 Tip: Turn this ON in strong trends, leave OFF in choppy markets for more signals.
Volume Filter (Optional - OFF by default)

Average Period: 20 bars
Surge Multiplier: 1.5x
When ON: Requires volume spike for signal confirmation
Use case: High-volume breakouts

💡 Tip: Enable this for crypto/stocks, disable for forex (lower volume reliability).

RSI Divergence Detection (Advanced)
Regular Divergences (Reversal Signals)

Regular Bullish: Price makes lower low, RSI makes higher low → Reversal UP
Regular Bearish: Price makes higher high, RSI makes lower high → Reversal DOWN
Line Color: Bright Light Blue (#00D9FF) - Solid lines
Meaning: Momentum is weakening, trend may reverse

Hidden Divergences (Continuation Signals)

Hidden Bullish: Price makes higher low, RSI makes lower low → Uptrend continues
Hidden Bearish: Price makes lower high, RSI makes higher high → Downtrend continues
Line Color: Purple (#9D4EDD) - Dashed lines
Meaning: Trend is healthy, expect continuation

Divergence Settings:

Pivot Lookback: 5 left, 5 right (sensitivity)
Max Lookback: 60 bars (how far back to compare)
Require Divergence: OFF by default (optional extra filter)

💡 Tip: Regular divergences are more reliable for reversals. Hidden divergences are great for trend-following entries.

📈 Visual Elements
Dynamic Bands (Envelope System)

Upper Band: Red line (resistance)
Lower Band: Green line (support)
Basis Line: Middle line (changes color with trend)

Green = Uptrend
Red = Downtrend
Yellow = Neutral


Cloud Fill: Shows trend strength

Green cloud = Bullish momentum
Red cloud = Bearish momentum



Info Panel (Top Right)
Displays real-time status of all indicators:

Fisher State (OVERSOLD/OVERBOUGHT/NEUTRAL)
RSI value
Volume status (SURGE/NORMAL)
ATR state (EXPANDING/CONTRACTING)
ADX value (color-coded: gray<15, orange 15-24, green>24)
Trend direction
DPO % (cycle position)
Regular Divergence status
Hidden Divergence status

💡 Tip: Watch the panel! When ADX turns green (>25) and RSI hits oversold/overbought, prepare for signals.

💡 Usage Tips & Best Practices
For Beginners:

Start with default settings - They work well across most markets
Keep ALL optional filters OFF initially - Get more signals to learn
Focus on ADX - Only trade when ADX > 20 (trending markets)
Use 15m-1H timeframes for day trading
Use 4H-Daily for swing trading

For Intermediate Traders:

Enable EMA Trend Filter - Cleaner signals in strong trends
Raise ADX threshold to 25 - Higher quality setups
Watch divergences - They add conviction to signals
Combine timeframes - Check 1H signals on 5m chart for entries
Adjust RSI levels for volatility:

Crypto: RSI 25/75 (more extreme)
Forex: RSI 30/70 (default)
Stocks: RSI 30/70 (default)



For Advanced Traders:

Enable Volume Filter for breakout confirmation
Enable "Require Divergence" for ultra-selective signals
Raise ADX threshold to 30 for only the strongest trends
Customize Fisher levels:

Aggressive: ±1.5
Conservative: ±2.5


Use multiple timeframes:

Check Daily for trend
Trade 1H signals
Enter on 15m pullbacks



Market-Specific Settings:
Crypto (High Volatility):

ATR Multiplier: 3.0-3.5
RSI: 25/75
ADX: 25
Volume Filter: ON

Forex (Trending):

ATR Multiplier: 2.5
RSI: 30/70
ADX: 20
EMA Filter: ON

Stocks (Balanced):

ATR Multiplier: 2.5
RSI: 30/70
ADX: 20
Volume Filter: ON (for breakouts)

Ranging Markets:

ATR Multiplier: 2.0
ADX: Keep at 20 but expect fewer signals
Disable EMA Filter
Focus on divergences


⚠️ Important Notes
What This Script Does Well:
✅ Catches momentum exhaustion reversals
✅ Filters out choppy, low-conviction trades
✅ Combines multiple confirmations
✅ Visual divergence detection
✅ Adaptive to market volatility
What This Script Doesn't Do:
❌ Predict the future (no indicator does)
❌ Work well in sideways/ranging markets (use ADX filter)
❌ Provide stop loss/take profit levels (you must decide)
❌ Guarantee profits (always use proper risk management)
Risk Management Tips:

Always use stop losses - Suggested: 1-1.5x ATR below entry
Position sizing - Risk 1-2% per trade maximum
Take profits - Consider 2-3x ATR targets
Don't force trades - Wait for all conditions to align
Avoid news events - Signals can fail during major news


🎯 Quick Setup Guide
Conservative Setup (Fewer, Higher Quality Signals):

ADX Threshold: 25-30
Enable: EMA Trend Filter
Enable: Volume Filter
Keep: Divergence optional

Balanced Setup (Default - Recommended):

ADX Threshold: 20
Disable: All optional filters
Let core logic work

Aggressive Setup (More Signals):

ADX Threshold: 15-18
Disable: All optional filters
Lower RSI thresholds: 35/65


📊 Alert System
The script includes comprehensive alerts:

🟢 BUY Signal - All conditions met
🔴 SELL Signal - All conditions met
⚠️ Setup Building - 4/5 conditions met (early warning)
📈 Market Trending - ADX crosses above threshold
📊 Market Ranging - ADX drops below threshold
💚 Regular Bullish Divergence - Reversal signal UP
❤️ Regular Bearish Divergence - Reversal signal DOWN
💙 Hidden Bullish Divergence - Uptrend continuation
💜 Hidden Bearish Divergence - Downtrend continuation

💡 Tip: Set up "Setup Building" alerts to prepare for signals before they trigger!

🏆 Pro Strategies

The Divergence Entry: Wait for regular divergence + signal arrow
The Trend Rider: Enable EMA filter, only trade with trend
The Breakout Hunter: Enable volume filter for explosive moves
The Patient Sniper: Enable ALL filters, take only perfect setups

Remember: The best traders wait for high-quality setups. Quality > Quantity! 🎯